Techno Ryowa Ltd. (1965) 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

Techno Ryowa Ltd.

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Meiko Construction Co., Ltd.

Daiichi Kensetsu Corp.

Kawada Technologies, Inc.

Tekken Corp.

Why is Techno Ryowa Ltd. ?

Company has very low debt and has enough cash to service the debt requirements

Low Debt Company with Strong Long Term Fundamental Strength

With a growth in Net Profit of 60.11%, the company declared Outstanding results in Dec 25

ROCE(HY) Highest at 20.89%
INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
RAW MATERIAL COST(Y) Fallen by -22.15% (YoY)

With ROE of 13.65%, it has a very attractive valuation with a 1.33 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 116.96%, its profits have risen by 64% ; the PEG ratio of the company is 0.1
At the current price, the company has a high dividend yield of 0

Consistent Returns over the last 3 years

Along with generating 116.96% returns in the last 1 year, the stock has outperformed Japan Nikkei 225 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Techno Ryowa Ltd. should be less than 10%
Overall Portfolio exposure to Construction should be less than 30%

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

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

Is Techno Ryowa Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Techno Ryowa Ltd.

116.96%

4.54

53.00%

Japan Nikkei 225

38.94%

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)

6.68%

EBIT Growth (5y)

17.70%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.24

Sales to Capital Employed (avg)

1.54

Tax Ratio

28.28%

Dividend Payout Ratio

29.00%

Pledged Shares

Institutional Holding

ROCE (avg)

13.30%

ROE (avg)

7.29%

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

1.33

EV to EBIT

5.99

EV to EBITDA

5.74

EV to Capital Employed

1.43

EV to Sales

0.69

PEG Ratio

0.13

Dividend Yield

0.02%

ROCE (Latest)

23.93%

ROE (Latest)

13.65%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

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

22What is working for the Company

ROCE(HY)

Highest at 20.89%

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -22.15% (YoY

CASH AND EQV(HY)

Highest at JPY 40,927 MM

NET SALES(Q)

At JPY 26,265 MM has Grown at 19.13%

OPERATING PROFIT(Q)

Highest at JPY 5,072 MM

OPERATING PROFIT MARGIN(Q)

Highest at 19.31 %

PRE-TAX PROFIT(Q)

Highest at JPY 5,170 MM

NET PROFIT(Q)

Highest at JPY 3,548 MM

EPS(Q)

Highest at JPY 173.09

-1What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 128.58 times

Here's what is working for Techno Ryowa Ltd.

Net Sales

At JPY 26,265 MM has Grown at 19.13%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 5,072 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 19.31 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 5,170 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 3,548 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 173.09

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 40,927 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -22.15% (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 Techno Ryowa Ltd.

Inventory Turnover Ratio

Lowest at 128.58 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio