Subaru Enterprise Co., Ltd. (9632) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Subaru Enterprise Co., Ltd.

Sotetsu Holdings, Inc.

Why is Subaru Enterprise Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 2.16% over the last 5 years

Negative results in Oct 25

ROCE(HY) Lowest at 6.67%
RAW MATERIAL COST(Y) Grown by 9.34% (YoY)
DEBT-EQUITY RATIO (HY) Highest at -37.2 %

With ROE of 9.04%, it has a very attractive valuation with a 1.14 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 12.67%, its profits have fallen by -2.2%

Underperformed the market in the last 1 year

The stock has generated a return of 12.67% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Subaru Enterprise Co., Ltd. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Subaru Enterprise Co., Ltd.

12.67%

1.30

29.42%

Japan Nikkei 225

36.73%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.16%

EBIT Growth (5y)

3.29%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.34

Sales to Capital Employed (avg)

0.86

Tax Ratio

33.95%

Dividend Payout Ratio

31.84%

Pledged Shares

Institutional Holding

ROCE (avg)

30.34%

ROE (avg)

10.25%

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

5.90

EV to EBITDA

5.13

EV to Capital Employed

1.21

EV to Sales

0.94

PEG Ratio

Dividend Yield

ROCE (Latest)

20.57%

ROE (Latest)

9.04%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-16What is not working for the Company

ROCE(HY)

Lowest at 6.67%

RAW MATERIAL COST(Y)

Grown by 9.34% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -37.2 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 24.49 times

NET SALES(Q)

Lowest at JPY 6,571.68 MM

OPERATING PROFIT(Q)

Lowest at JPY 990.79 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 15.08 %

PRE-TAX PROFIT(Q)

Lowest at JPY 837.04 MM

NET PROFIT(Q)

Lowest at JPY 538.52 MM

EPS(Q)

Lowest at JPY -30.85

Here's what is not working for Subaru Enterprise Co., Ltd.

Net Sales

At JPY 6,571.68 MM has Fallen at -12.31%

over average net sales of the previous four periods of JPY 7,494.37 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Net Sales

Lowest at JPY 6,571.68 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Operating Profit

Lowest at JPY 990.79 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at 15.08 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY 837.04 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

At JPY 837.04 MM has Fallen at -35.11%

over average net sales of the previous four periods of JPY 1,289.88 MM

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY 538.52 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Net Profit

At JPY 538.52 MM has Fallen at -36.75%

over average net sales of the previous four periods of JPY 851.45 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -30.85

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Highest at -37.2 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 24.49 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 9.34% (YoY)

MOJO Watch

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

Raw Material Cost as a percentage of Sales