Why is Terasaki Electric Co., Ltd. ?
1
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 56.99
2
Healthy long term growth as Operating profit has grown by an annual rate 18.43%
3
With ROE of 8.80%, it has a expensive valuation with a 0.82 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 101.93%, its profits have risen by 7.5% ; the PEG ratio of the company is 1.3
4
Consistent Returns over the last 3 years
- Along with generating 101.93% returns in the last 1 year, the stock has outperformed Japan Nikkei 225 in each of the last 3 annual periods
How much should you buy?
- Overall Portfolio exposure to Terasaki Electric Co., 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 Terasaki Electric Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Terasaki Electric Co., Ltd.
96.36%
1.82
58.55%
Japan Nikkei 225
28.54%
1.14
25.81%
Quality key factors
Factor
Value
Sales Growth (5y)
8.98%
EBIT Growth (5y)
18.43%
EBIT to Interest (avg)
56.99
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.28
Sales to Capital Employed (avg)
1.04
Tax Ratio
26.85%
Dividend Payout Ratio
11.71%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
10.54%
ROE (avg)
6.20%
Valuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
Price to Book Value
0.82
EV to EBIT
4.97
EV to EBITDA
3.86
EV to Capital Employed
0.75
EV to Sales
0.50
PEG Ratio
1.25
Dividend Yield
NA
ROCE (Latest)
15.15%
ROE (Latest)
8.80%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
No Trend
OBV
Bullish
Bullish
Technical Movement
4What is working for the Company
DEBTORS TURNOVER RATIO(HY)
Highest at 4.08%
CASH AND EQV(HY)
Highest at JPY 35,942.82 MM
DEBT-EQUITY RATIO
(HY)
Lowest at -28.93 %
-7What is not working for the Company
INTEREST(HY)
At JPY 47.66 MM has Grown at 15.54%
RAW MATERIAL COST(Y)
Grown by 6.28% (YoY
Here's what is working for Terasaki Electric Co., Ltd.
Debtors Turnover Ratio
Highest at 4.08% and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Cash and Eqv
Highest at JPY 35,942.82 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at -28.93 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Terasaki Electric Co., Ltd.
Interest
At JPY 47.66 MM has Grown at 15.54%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Raw Material Cost
Grown by 6.28% (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






