Tachi-S Co., Ltd. (7239) 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

Bando Chemical Industries Ltd.

Press Kogyo Co., Ltd.

Nippon Seiki Co., Ltd.

G-Tekt Corp.

Aisan Industry Co., Ltd.

Futaba Industrial Co., Ltd.

Tachi-S Co., Ltd.

Hi-Lex Corp.

TPR Co., Ltd.

Pacific Industrial Co., Ltd.

PIOLAX, Inc.

Why is Tachi-S Co., Ltd. ?

Low Debt Company with Strong Long Term Fundamental Strength

Flat results in Mar 26

INTEREST(HY) At JPY 170 MM has Grown at 27.82%
DEBTORS TURNOVER RATIO(HY) Lowest at 6.1 times
NET PROFIT(Q) Fallen at -36.35%

With ROE of 12.91%, it has a very attractive valuation with a 0.78 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 25.29%, its profits have risen by 43.3% ; the PEG ratio of the company is 0.1
At the current price, the company has a high dividend yield of 0

Underperformed the market in the last 1 year

The stock has generated a return of 25.29% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 75.22%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Tachi-S Co., Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)

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

Is Tachi-S Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Tachi-S Co., Ltd.

25.29%

0.61

19.32%

Japan Nikkei 225

75.22%

2.67

28.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.76%

EBIT Growth (5y)

27.10%

EBIT to Interest (avg)

-1.68

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.33

Sales to Capital Employed (avg)

2.74

Tax Ratio

29.85%

Dividend Payout Ratio

31.46%

Pledged Shares

Institutional Holding

ROCE (avg)

5.69%

ROE (avg)

5.71%

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

0.78

EV to EBIT

4.11

EV to EBITDA

2.80

EV to Capital Employed

0.66

EV to Sales

0.16

PEG Ratio

0.14

Dividend Yield

ROCE (Latest)

15.97%

ROE (Latest)

12.91%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

No Trend

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

9What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at -37.44 %

DIVIDEND PER SHARE(HY)

Highest at JPY 6.1

RAW MATERIAL COST(Y)

Fallen by -29.34% (YoY

CASH AND EQV(HY)

Highest at JPY 90,924 MM

NET SALES(Q)

Highest at JPY 74,255 MM

OPERATING PROFIT(Q)

Highest at JPY 7,629 MM

OPERATING PROFIT MARGIN(Q)

Highest at 10.27 %

-8What is not working for the Company

INTEREST(HY)

At JPY 170 MM has Grown at 27.82%

DEBTORS TURNOVER RATIO(HY)

Lowest at 6.1 times

NET PROFIT(Q)

Fallen at -36.35%

Here's what is working for Tachi-S Co., Ltd.

Debt-Equity Ratio

Lowest at -37.44 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Dividend per share

Highest at JPY 6.1 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Net Sales

Highest at JPY 74,255 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 7,629 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 10.27 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Cash and Eqv

Highest at JPY 90,924 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -29.34% (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 1,595 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)

Depreciation

At JPY 1,595 MM has Grown at 36.44%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (JPY MM)

Here's what is not working for Tachi-S Co., Ltd.

Interest

At JPY 170 MM has Grown at 27.82%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Profit

Fallen at -36.35%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

Debtors Turnover Ratio

Lowest at 6.1 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio