Stanley Electric Co., Ltd. (6923) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

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DENSO Corp.

Why is Stanley Electric Co., Ltd. ?

Company has very low debt and has enough cash to service the debt requirements

Low Debt Company with Strong Long Term Fundamental Strength

Negative results in Jun 25

INTEREST(HY) At JPY 291 MM has Grown at 33.49%
NET SALES(Q) Lowest at JPY 119,838 MM
OPERATING PROFIT(Q) Lowest at JPY 18,675 MM

With ROE of 8.93%, it has a very attractive valuation with a 0.97 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 20.04%, its profits have risen by 11.7% ; the PEG ratio of the company is 0.8
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Stanley Electric Co., Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Stanley Electric Co., Ltd. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Stanley Electric Co., Ltd.

20.04%

478.69

24.17%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.41%

EBIT Growth (5y)

14.56%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.37

Sales to Capital Employed (avg)

0.91

Tax Ratio

23.89%

Dividend Payout Ratio

35.00%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

12.06%

ROE (avg)

7.43%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.97

EV to EBIT

5.94

EV to EBITDA

3.14

EV to Capital Employed

0.95

EV to Sales

0.57

PEG Ratio

0.76

Dividend Yield

0.02%

ROCE (Latest)

15.92%

ROE (Latest)

8.93%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -2.4% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 6.77%

-15What is not working for the Company

INTEREST(HY)

At JPY 291 MM has Grown at 33.49%

NET SALES(Q)

Lowest at JPY 119,838 MM

OPERATING PROFIT(Q)

Lowest at JPY 18,675 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 15.58 %

PRE-TAX PROFIT(Q)

At JPY 10,108 MM has Fallen at -28.69%

NET PROFIT(Q)

At JPY 5,223.86 MM has Fallen at -40.46%

EPS(Q)

Lowest at JPY 34.58

Here's what is working for Stanley Electric Co., Ltd.

Debtors Turnover Ratio

Highest at 6.77%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -2.4% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Stanley Electric Co., Ltd.

Interest

At JPY 291 MM has Grown at 33.49%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

Lowest at JPY 119,838 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Net Sales

At JPY 119,838 MM has Fallen at -5.93%

over average net sales of the previous four periods of JPY 127,391.25 MM

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Operating Profit

Lowest at JPY 18,675 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 15.58 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

At JPY 10,108 MM has Fallen at -28.69%

over average net sales of the previous four periods of JPY 14,174.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 5,223.86 MM has Fallen at -40.46%

over average net sales of the previous four periods of JPY 8,773.86 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY 34.58

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)