ScoreWhy is System D, Inc. ?
1
High Management Efficiency with a high ROE of 17.81%
2
Company has very low debt and has enough cash to service the debt requirements
3
Poor long term growth as Net Sales has grown by an annual rate of 4.87% over the last 5 years
4
Positive results in Oct 25
- DIVIDEND PER SHARE(HY) Highest at JPY 5.22
- DIVIDEND PAYOUT RATIO(Y) Highest at 129.94%
- RAW MATERIAL COST(Y) Fallen by -0.68% (YoY)
5
With ROE of 13.06%, it has a expensive valuation with a 2.74 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 -9.56%, its profits have fallen by -3.9%
6
Below par performance in long term as well as near term
- Along with generating -9.56% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to System D, Inc. should be less than 10%
- Overall Portfolio exposure to Software Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is System D, Inc. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
System D, Inc.
-9.56%
0.65
37.06%
Japan Nikkei 225
36.73%
1.30
28.24%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
4.87%
EBIT Growth (5y)
4.50%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.28
Sales to Capital Employed (avg)
1.01
Tax Ratio
32.10%
Dividend Payout Ratio
28.59%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
34.22%
ROE (avg)
17.81%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
21
Industry P/E
Price to Book Value
2.74
EV to EBIT
12.79
EV to EBITDA
7.75
EV to Capital Employed
3.41
EV to Sales
2.33
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
26.68%
ROE (Latest)
13.06%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
No Trend
No Trend
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend6What is working for the Company
DIVIDEND PER SHARE(HY)
Highest at JPY 5.22
DIVIDEND PAYOUT RATIO(Y)
Highest at 129.94%
RAW MATERIAL COST(Y)
Fallen by -0.68% (YoY
CASH AND EQV(HY)
Highest at JPY 5,280.28 MM
DEBT-EQUITY RATIO
(HY)
Lowest at -46.07 %
-1What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for System D, Inc.
Dividend per share
Highest at JPY 5.22 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (JPY)
Cash and Eqv
Highest at JPY 5,280.28 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at -46.07 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Dividend Payout Ratio
Highest at 129.94%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Raw Material Cost
Fallen by -0.68% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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