ScoreWhy is The Japan Steel Works Ltd. ?
1
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 67.93
2
Poor long term growth as Net Sales has grown by an annual rate of 2.70% and Operating profit at 7.44% over the last 5 years
3
The company has declared Negative results for the last 4 consecutive quarters
- INTEREST(HY) At JPY 297 MM has Grown at 115.22%
- RAW MATERIAL COST(Y) Grown by 24.57% (YoY)
- DEBT-EQUITY RATIO (HY) Highest at -5.08 %
4
With ROE of 9.59%, it has a attractive valuation with a 2.84 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 60.22%, its profits have risen by 16.1% ; the PEG ratio of the company is 1.8
- At the current price, the company has a high dividend yield of 0
5
Market Beating performance in long term as well as near term
- Along with generating 60.22% returns in the last 1 year, the stock has outperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to The Japan Steel Works Ltd. should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is The Japan Steel Works Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
The Japan Steel Works Ltd.
60.22%
1.71
58.92%
Japan Nikkei 225
40.96%
1.44
28.42%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.70%
EBIT Growth (5y)
7.44%
EBIT to Interest (avg)
65.29
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.17
Sales to Capital Employed (avg)
1.13
Tax Ratio
22.11%
Dividend Payout Ratio
35.24%
Pledged Shares
0
Institutional Holding
0.02%
ROCE (avg)
13.17%
ROE (avg)
8.22%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
30
Industry P/E
Price to Book Value
2.84
EV to EBIT
19.45
EV to EBITDA
14.95
EV to Capital Employed
3.22
EV to Sales
2.07
PEG Ratio
1.83
Dividend Yield
0.01%
ROCE (Latest)
16.55%
ROE (Latest)
9.59%
TechnicalsTechnical 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
Mildly Bullish
Bullish
OBV
Mildly Bullish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend1What is working for the Company
DEBTORS TURNOVER RATIO(HY)
Highest at 5 times
-10What is not working for the Company
INTEREST(HY)
At JPY 297 MM has Grown at 115.22%
RAW MATERIAL COST(Y)
Grown by 24.57% (YoY
DEBT-EQUITY RATIO
(HY)
Highest at -5.08 %
Here's what is working for The Japan Steel Works Ltd.
Debtors Turnover Ratio
Highest at 5 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Depreciation
Highest at JPY 2,318 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 The Japan Steel Works Ltd.
Interest
At JPY 297 MM has Grown at 115.22%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Debt-Equity Ratio
Highest at -5.08 %
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 24.57% (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
Non Operating Income
Highest at JPY 0.23 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income
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