ScoreWhy is System Research Co., Ltd. ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 18.36%
- Healthy long term growth as Net Sales has grown by an annual rate of 9.80% and Operating profit at 11.71%
- Company has very low debt and has enough cash to service the debt requirements
2
With ROE of 18.62%, it has a very attractive valuation with a 2.55 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 36.93%, its profits have risen by 7.9%
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to System Research Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is System Research Co., Ltd. for you?
Low Risk, Medium Return
Absolute
Risk Adjusted
Volatility
System Research Co., Ltd.
-100.0%
0.76
34.91%
Japan Nikkei 225
27.37%
1.06
25.71%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
9.80%
EBIT Growth (5y)
11.71%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.58
Sales to Capital Employed (avg)
2.02
Tax Ratio
28.48%
Dividend Payout Ratio
45.35%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
67.60%
ROE (avg)
18.36%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
14
Industry P/E
Price to Book Value
2.55
EV to EBIT
7.74
EV to EBITDA
7.24
EV to Capital Employed
4.73
EV to Sales
0.89
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
61.12%
ROE (Latest)
18.62%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend3What is working for the Company
NET SALES(Q)
Highest at JPY 6,940.18 MM
RAW MATERIAL COST(Y)
Fallen by -1.85% (YoY
-12What is not working for the Company
INTEREST(9M)
At JPY 8.32 MM has Grown at 28.54%
DEBT-EQUITY RATIO
(HY)
Highest at -50.83 %
INVENTORY TURNOVER RATIO(HY)
Lowest at 474.6%
Here's what is working for System Research Co., Ltd.
Net Sales
Highest at JPY 6,940.18 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (JPY MM)
Raw Material Cost
Fallen by -1.85% (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
Depreciation
Highest at JPY 55.87 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
Here's what is not working for System Research Co., Ltd.
Interest
At JPY 5.43 MM has Grown at 26.7%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Debt-Equity Ratio
Highest at -50.83 %
in the last five Semi-Annual periodsMOJO 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 474.6%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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