Sysmex Corp. (6869) 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

Asahi Intecc Co., Ltd.

HOYA Corp.

Terumo Corp.

Shimadzu Corp.

Sumitomo Bakelite Co., Ltd.

Nakanishi, Inc.

Nihon Kohden Corp.

Fukuda Denshi Co., Ltd.

Olympus Corp.

JEOL Ltd.

Sysmex Corp.

Why is Sysmex Corp. ?

Weak Long Term Fundamental Strength with a 7.13% CAGR growth in Operating Profits over the last 5 years

Poor long term growth as Operating profit has grown by an annual rate 7.13% of over the last 5 years

The company has declared Negative results for the last 5 consecutive quarters

ROCE(HY) Lowest at 7.32%
INTEREST COVERAGE RATIO(Q) Lowest at 1,578.62
RAW MATERIAL COST(Y) Grown by 5.14% (YoY)

With ROE of 9.32%, it has a expensive valuation with a 1.78 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 -19.10%, its profits have fallen by -21.2%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -19.10% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in each of the last 3 annual periods

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 Pharmaceuticals & Biotechnology)

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

Is Sysmex Corp. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Sysmex Corp.

-19.1%

67.10

37.56%

Japan Nikkei 225

59.79%

2.03

29.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.21%

EBIT Growth (5y)

7.13%

EBIT to Interest (avg)

39.04

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.10

Sales to Capital Employed (avg)

0.98

Tax Ratio

27.13%

Dividend Payout Ratio

66.79%

Pledged Shares

Institutional Holding

0.00%

ROCE (avg)

20.40%

ROE (avg)

11.89%

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

1.78

EV to EBIT

12.15

EV to EBITDA

7.40

EV to Capital Employed

1.83

EV to Sales

1.70

PEG Ratio

Dividend Yield

ROCE (Latest)

15.09%

ROE (Latest)

9.32%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bullish

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

No Trend

OBV

Mildly Bullish

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

DIVIDEND PAYOUT RATIO(Y)

Highest at 669.77%

DIVIDEND PER SHARE(HY)

Highest at JPY 2.65

-21What is not working for the Company

ROCE(HY)

Lowest at 7.32%

INTEREST COVERAGE RATIO(Q)

Lowest at 1,578.62

RAW MATERIAL COST(Y)

Grown by 5.14% (YoY

DEBT-EQUITY RATIO (HY)

Highest at -2.85 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.65 times

INTEREST(Q)

Highest at JPY 1,698 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 19.31 %

PRE-TAX PROFIT(Q)

Fallen at -36.84%

EPS(Q)

Lowest at JPY 2.84

Here's what is working for Sysmex Corp.

Dividend per share

Highest at JPY 2.65

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Dividend Payout Ratio

Highest at 669.77%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Here's what is not working for Sysmex Corp.

Interest

At JPY 1,698 MM has Grown at 100.47%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest Coverage Ratio

Lowest at 1,578.62

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at JPY 1,698 MM

in the last five periods and Increased by 100.47% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit Margin

Lowest at 19.31 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Fallen at -36.84%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

EPS

Lowest at JPY 2.84

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Highest at -2.85 %

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

Debtors Turnover Ratio

Lowest at 2.65 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 5.14% (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