Comparison
Why is The Nippon Signal Co., Ltd. ?
1
Company has very low debt and has enough cash to service the debt requirements
2
With a growth in Operating Profit of 186.5%, the company declared Very Positive results in Dec 25
- OPERATING CASH FLOW(Y) Highest at JPY 13,285 MM
- PRE-TAX PROFIT(Q) At JPY 3,749 MM has Grown at 282.94%
- NET PROFIT(Q) At JPY 2,619 MM has Grown at 339.8%
3
With ROE of 7.96%, it has a very attractive valuation with a 0.72 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 78.14%, its profits have risen by 48.4% ; the PEG ratio of the company is 0.2
- At the current price, the company has a high dividend yield of 0
4
Market Beating Performance
- The stock has generated a return of 78.14% in the last 1 year, much higher than market (Japan Nikkei 225) returns of 36.73%
How much should you buy?
- Overall Portfolio exposure to The Nippon Signal Co., Ltd. should be less than 10%
- Overall Portfolio exposure to IT - Hardware should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in IT - Hardware)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is The Nippon Signal Co., Ltd. for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
The Nippon Signal Co., Ltd.
-100.0%
1.90
31.44%
Japan Nikkei 225
38.94%
1.30
28.24%
Quality key factors
Factor
Value
Sales Growth (5y)
-0.88%
EBIT Growth (5y)
2.08%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0.75
Net Debt to Equity (avg)
0.08
Sales to Capital Employed (avg)
0.90
Tax Ratio
27.16%
Dividend Payout Ratio
31.54%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
6.59%
ROE (avg)
5.85%
Valuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
Price to Book Value
0.72
EV to EBIT
8.23
EV to EBITDA
6.50
EV to Capital Employed
0.74
EV to Sales
0.76
PEG Ratio
0.19
Dividend Yield
0.05%
ROCE (Latest)
8.94%
ROE (Latest)
7.96%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
No Trend
Bullish
Technical Movement
17What is working for the Company
OPERATING CASH FLOW(Y)
Highest at JPY 13,285 MM
PRE-TAX PROFIT(Q)
At JPY 3,749 MM has Grown at 282.94%
NET PROFIT(Q)
At JPY 2,619 MM has Grown at 339.8%
ROCE(HY)
Highest at 9.75%
RAW MATERIAL COST(Y)
Fallen by -41.06% (YoY
CASH AND EQV(HY)
Highest at JPY 23,035 MM
-9What is not working for the Company
INTEREST(Q)
At JPY 27 MM has Grown at 42.11%
Here's what is working for The Nippon Signal Co., Ltd.
Pre-Tax Profit
At JPY 3,749 MM has Grown at 282.94%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (JPY MM)
Net Profit
At JPY 2,619 MM has Grown at 339.8%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (JPY MM)
Operating Cash Flow
Highest at JPY 13,285 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (JPY MM)
Cash and Eqv
Highest at JPY 23,035 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by -41.06% (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
Depreciation
Highest at JPY 1,105 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 Nippon Signal Co., Ltd.
Interest
At JPY 27 MM has Grown at 42.11%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)






