ScoreWhy is TADANO Ltd. ?
1
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 9.73
2
Negative results in Jun 25
- PRE-TAX PROFIT(Q) At JPY 2,291 MM has Fallen at -58.21%
- INTEREST COVERAGE RATIO(Q) Lowest at 857.48
- RAW MATERIAL COST(Y) Grown by 8.8% (YoY)
3
With ROE of 6.91%, it has a very attractive valuation with a 0.68 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 -6.41%, its profits have risen by 50.9% ; the PEG ratio of the company is 0.2
- At the current price, the company has a high dividend yield of 0.1
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -6.41% 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 ReportHow much should you hold?
- Overall Portfolio exposure to TADANO Ltd. should be less than 10%
- Overall Portfolio exposure to Automobiles should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is TADANO Ltd. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
TADANO Ltd.
-6.41%
-0.05
35.97%
Japan Nikkei 225
28.54%
1.11
25.75%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
9.80%
EBIT Growth (5y)
9.44%
EBIT to Interest (avg)
9.73
Debt to EBITDA (avg)
0.30
Net Debt to Equity (avg)
0.24
Sales to Capital Employed (avg)
0.99
Tax Ratio
52.65%
Dividend Payout Ratio
43.99%
Pledged Shares
0
Institutional Holding
2.15%
ROCE (avg)
7.35%
ROE (avg)
3.66%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
0.68
EV to EBIT
7.22
EV to EBITDA
5.46
EV to Capital Employed
0.74
EV to Sales
0.55
PEG Ratio
0.19
Dividend Yield
0.10%
ROCE (Latest)
10.23%
ROE (Latest)
6.91%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend2What is working for the Company
DEBTORS TURNOVER RATIO(HY)
Highest at 6.15%
NET SALES(Q)
Highest at JPY 84,296 MM
-25What is not working for the Company
PRE-TAX PROFIT(Q)
At JPY 2,291 MM has Fallen at -58.21%
INTEREST COVERAGE RATIO(Q)
Lowest at 857.48
RAW MATERIAL COST(Y)
Grown by 8.8% (YoY
DEBT-EQUITY RATIO
(HY)
Highest at 25.18 %
INTEREST(Q)
Highest at JPY 682 MM
OPERATING PROFIT(Q)
Lowest at JPY 5,848 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 6.94 %
NET PROFIT(Q)
Lowest at JPY 660.45 MM
Here's what is working for TADANO Ltd.
Net Sales
Highest at JPY 84,296 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
Debtors Turnover Ratio
Highest at 6.15%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Depreciation
Highest at JPY 2,384 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 TADANO Ltd.
Pre-Tax Profit
At JPY 2,291 MM has Fallen at -58.21%
over average net sales of the previous four periods of JPY 5,482.25 MMMOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (JPY MM)
Net Profit
At JPY 660.45 MM has Fallen at -79.45%
over average net sales of the previous four periods of JPY 3,213.93 MMMOJO Watch
Near term Net Profit trend is very negative
Net Profit (JPY MM)
Interest Coverage Ratio
Lowest at 857.48
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
Highest at JPY 682 MM
in the last five periods and Increased by 5.74% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Operating Profit
Lowest at JPY 5,848 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (JPY MM)
Operating Profit Margin
Lowest at 6.94 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at JPY 2,291 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (JPY MM)
Net Profit
Lowest at JPY 660.45 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (JPY MM)
Debt-Equity Ratio
Highest at 25.18 %
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
Raw Material Cost
Grown by 8.8% (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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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