TETSUJIN, Inc. (2404) 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

Broadmedia Corp.

Nakanihon KOGYO Co., Ltd.

TOW Co., Ltd.

FinTech Global, Inc.

Izu Shaboten Resort Co., Ltd.

Misonoza Theatrical Corp.

TETSUJIN, Inc.

BSN Media Holdings, Inc.

Tokyo Theatres Co, Inc.

Greenland Resort Co., Ltd.

Souken Ace Co., Ltd.

Why is TETSUJIN, Inc. ?

Poor Management Efficiency with a low ROCE of 6.26%

The company has been able to generate a Return on Capital Employed (avg) of 6.26% signifying low profitability per unit of total capital (equity and debt)

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 0.97% and Operating profit at 27.40% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Capital Employed (avg) of 6.26% signifying low profitability per unit of total capital (equity and debt)

With a growth in Net Profit of 584.51%, the company declared Very Positive results in Nov 25

ROCE(HY) Highest at 118.14%
RAW MATERIAL COST(Y) Fallen by -42.69% (YoY)
DEBT-EQUITY RATIO (HY) Lowest at 122.15 %

With ROE of 34.82%, it has a expensive valuation with a 14.93 Price to Book Value

Over the past year, while the stock has generated a return of 12.83%, its profits have risen by 120.8% ; the PEG ratio of the company is 0.4

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to TETSUJIN, Inc. should be less than 10%
Overall Portfolio exposure to Media & Entertainment should be less than 30%

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

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

Is TETSUJIN, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

TETSUJIN, Inc.

-100.0%

0.83

26.53%

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)

0.97%

EBIT Growth (5y)

27.40%

EBIT to Interest (avg)

-2.78

Debt to EBITDA (avg)

4.36

Net Debt to Equity (avg)

4.28

Sales to Capital Employed (avg)

2.42

Tax Ratio

8.67%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

6.60%

ROE (avg)

31.21%

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

14.93

EV to EBIT

41.67

EV to EBITDA

21.02

EV to Capital Employed

3.64

EV to Sales

1.10

PEG Ratio

0.35

Dividend Yield

ROCE (Latest)

8.73%

ROE (Latest)

34.82%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

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 118.14%

RAW MATERIAL COST(Y)

Fallen by -42.69% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 122.15 %

INVENTORY TURNOVER RATIO(HY)

Highest at 60.72 times

PRE-TAX PROFIT(Q)

Highest at JPY 234.78 MM

NET PROFIT(Q)

At JPY 192.95 MM has Grown at 95.27%

-9What is not working for the Company

INTEREST(HY)

At JPY 22.68 MM has Grown at 21.25%

DEBTORS TURNOVER RATIO(HY)

Lowest at 16.87 times

Here's what is working for TETSUJIN, Inc.

Pre-Tax Profit

At JPY 234.78 MM has Grown at 224.26%

over average net sales of the previous four periods of JPY 72.4 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

Highest at JPY 234.78 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 192.95 MM has Grown at 95.27%

over average net sales of the previous four periods of JPY 98.81 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Debt-Equity Ratio

Lowest at 122.15 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 60.72 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -42.69% (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 TETSUJIN, Inc.

Interest

At JPY 22.68 MM has Grown at 21.25%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debtors Turnover Ratio

Lowest at 16.87 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Non Operating Income

Highest at JPY 0.86 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income