Takakita Co., Ltd. (6325) 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

Naikai Zosen Corp.

Sakai Heavy Industries, Ltd.

The Kinki Sharyo Co., Ltd.

Maruyama Mfg Co., Inc.

Ahresty Corp.

KATO WORKS CO., LTD.

Terasaki Electric Co., Ltd.

Toyo Denki Seizo KK

Japan Engine Corp.

Alinco, Inc.

Takakita Co., Ltd.

Why is Takakita Co., Ltd. ?

Poor Management Efficiency with a low ROE of 6.73%

The company has been able to generate a Return on Equity (avg) of 6.73% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with a -4.32% CAGR growth in Operating Profits over the last 5 years

The company has been able to generate a Return on Equity (avg) of 6.73% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 0.84% and Operating profit at -4.32% over the last 5 years

The company has declared Negative results for the last 9 consecutive quarters

INTEREST(HY) At JPY 0.4 MM has Grown at 40.56%
NET SALES(Q) At JPY 1,297.17 MM has Fallen at -20.77%
PRE-TAX PROFIT(Q) At JPY 35.01 MM has Fallen at -64.97%

With ROE of 2.12%, it has a fair valuation with a 0.66 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 -4.95%, its profits have fallen by -76.2%
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Takakita Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Takakita Co., Ltd.

-2.18%

-0.65

21.97%

Japan Nikkei 225

59.79%

2.06

29.57%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

0.84%

EBIT Growth (5y)

-4.32%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.21

Sales to Capital Employed (avg)

0.91

Tax Ratio

39.88%

Dividend Payout Ratio

54.91%

Pledged Shares

Institutional Holding

ROCE (avg)

8.65%

ROE (avg)

6.73%

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

0.66

EV to EBIT

21.64

EV to EBITDA

9.66

EV to Capital Employed

0.62

EV to Sales

0.70

PEG Ratio

Dividend Yield

ROCE (Latest)

2.85%

ROE (Latest)

2.12%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Sideways

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

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

8What is working for the Company

NET PROFIT(HY)

At JPY 113.89 MM has Grown at 443.6%

RAW MATERIAL COST(Y)

Fallen by -28.18% (YoY

CASH AND EQV(HY)

Highest at JPY 3,898.87 MM

DEBT-EQUITY RATIO (HY)

Lowest at -25.34 %

DEBTORS TURNOVER RATIO(HY)

Highest at 3.24 times

-16What is not working for the Company

INTEREST(HY)

At JPY 0.4 MM has Grown at 40.56%

NET SALES(Q)

At JPY 1,297.17 MM has Fallen at -20.77%

PRE-TAX PROFIT(Q)

At JPY 35.01 MM has Fallen at -64.97%

NET PROFIT(Q)

At JPY 32.02 MM has Fallen at -45.65%

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

Cash and Eqv

Highest at JPY 3,898.87 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -25.34 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 3.24 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -28.18% (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 Takakita Co., Ltd.

Interest

At JPY 0.4 MM has Grown at 40.56%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

At JPY 1,297.17 MM has Fallen at -20.77%

over average net sales of the previous four periods of JPY 1,637.17 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 35.01 MM has Fallen at -64.97%

over average net sales of the previous four periods of JPY 99.94 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 32.02 MM has Fallen at -45.65%

over average net sales of the previous four periods of JPY 58.91 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Non Operating Income

Highest at JPY 0.57 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income