Studio Atao Co., Ltd. (3550) 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

Artnature, Inc.

Studio Atao Co., Ltd.

Samantha Thavasa Japan Ltd.

Why is Studio Atao Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -2.26% and Operating profit at -25.36% over the last 5 years

Positive results in May 25

ROCE(HY) Highest at 3.5%
INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
DEBT-EQUITY RATIO (HY) Lowest at -64.65 %

With ROE of 3.09%, it has a very attractive valuation with a 1.14 Price to Book Value

Over the past year, while the stock has generated a return of 15.00%, its profits have risen by 39.6% ; the PEG ratio of the company is 0.9

Underperformed the market in the last 1 year

The stock has generated a return of 15.00% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 38.59%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Studio Atao Co., Ltd. should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

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

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

Is Studio Atao Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Studio Atao Co., Ltd.

-100.0%

0.31

28.75%

Japan Nikkei 225

38.88%

1.45

26.59%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.26%

EBIT Growth (5y)

-25.36%

EBIT to Interest (avg)

15.85

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.65

Sales to Capital Employed (avg)

1.26

Tax Ratio

55.28%

Dividend Payout Ratio

101.10%

Pledged Shares

Institutional Holding

ROCE (avg)

8.90%

ROE (avg)

1.27%

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

1.14

EV to EBIT

6.65

EV to EBITDA

5.26

EV to Capital Employed

1.40

EV to Sales

0.33

PEG Ratio

0.93

Dividend Yield

ROCE (Latest)

21.07%

ROE (Latest)

3.09%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

No Trend

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

25What is working for the Company

ROCE(HY)

Highest at 3.5%

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

DEBT-EQUITY RATIO (HY)

Lowest at -64.65 %

INVENTORY TURNOVER RATIO(HY)

Highest at 2.54%

NET SALES(Q)

At JPY 1,068.44 MM has Grown at 15.63%

OPERATING PROFIT(Q)

Highest at JPY 104.8 MM

OPERATING PROFIT MARGIN(Q)

Highest at 9.81 %

PRE-TAX PROFIT(Q)

Highest at JPY 92.34 MM

NET PROFIT(Q)

Highest at JPY 51.51 MM

EPS(Q)

Highest at JPY 3.72

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for Studio Atao Co., Ltd.

Pre-Tax Profit

At JPY 92.34 MM has Grown at 103.24%

over average net sales of the previous four periods of JPY 45.43 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 51.51 MM has Grown at 166.67%

over average net sales of the previous four periods of JPY 19.32 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Net Sales

At JPY 1,068.44 MM has Grown at 15.63%

over average net sales of the previous four periods of JPY 924.03 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 104.8 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 9.81 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 92.34 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 51.51 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 3.72

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Lowest at -64.65 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 2.54%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio