Syuppin Co., Ltd. (3179) 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

Valuence Holdings, Inc.

USS Co., Ltd.

Aucnet, Inc.

ZOZO, Inc.

Oisix ra daichi, Inc.

Syuppin Co., Ltd.

Kitanotatsujin Corp.

Kakuyasu Group Co., Ltd.

Mercari, Inc.

Belluna Co., Ltd.

ASKUL Corp.

Why is Syuppin Co., Ltd. ?

Strong Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 25.91%

Healthy long term growth as Net Sales has grown by an annual rate of 8.73%
Company has very low debt and has enough cash to service the debt requirements

The company has declared Negative results for the last 3 consecutive quarters

NET PROFIT(9M) At JPY 1,207.45 MM has Grown at -31.79%
DEBTORS TURNOVER RATIO(HY) Lowest at 16.59 times
INTEREST(Q) Highest at JPY 11.87 MM

With ROCE of 26.27%, it has a very attractive valuation with a 2.22 Enterprise value to Capital Employed

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 7.67%, its profits have fallen by -2.3%

Underperformed the market in the last 1 year

The stock has generated a return of 7.67% 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 hold?

Overall Portfolio exposure to Syuppin Co., Ltd. should be less than 10%
Overall Portfolio exposure to E-Retail/ E-Commerce should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in E-Retail/ E-Commerce)

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

Is Syuppin Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Syuppin Co., Ltd.

7.67%

-0.32

29.95%

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)

8.73%

EBIT Growth (5y)

14.12%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

1.15

Net Debt to Equity (avg)

0.27

Sales to Capital Employed (avg)

3.67

Tax Ratio

31.54%

Dividend Payout Ratio

43.00%

Pledged Shares

Institutional Holding

ROCE (avg)

25.91%

ROE (avg)

26.77%

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

2.56

EV to EBIT

8.46

EV to EBITDA

7.99

EV to Capital Employed

2.22

EV to Sales

0.55

PEG Ratio

Dividend Yield

ROCE (Latest)

26.27%

ROE (Latest)

22.42%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Sideways

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

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

8What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -17.52% (YoY

CASH AND EQV(HY)

Highest at JPY 3,772.92 MM

NET SALES(Q)

Highest at JPY 13,485.43 MM

OPERATING PROFIT(Q)

Highest at JPY 900.1 MM

OPERATING PROFIT MARGIN(Q)

Highest at 6.67 %

PRE-TAX PROFIT(Q)

Highest at JPY 818.74 MM

NET PROFIT(Q)

Highest at JPY 585.47 MM

EPS(Q)

Highest at JPY 27.32

-14What is not working for the Company

NET PROFIT(9M)

At JPY 1,207.45 MM has Grown at -31.79%

DEBTORS TURNOVER RATIO(HY)

Lowest at 16.59 times

INTEREST(Q)

Highest at JPY 11.87 MM

Here's what is working for Syuppin Co., Ltd.

Net Sales

Highest at JPY 13,485.43 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 900.1 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 6.67 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 818.74 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 585.47 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 27.32

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 3,772.92 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -17.52% (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

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

Interest

At JPY 11.87 MM has Grown at 18.01%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 11.87 MM

in the last five periods and Increased by 18.01% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debtors Turnover Ratio

Lowest at 16.59 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio