The Yokohama Rubber Co., Ltd. (5101) 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

Bridgestone Corp.

Sumitomo Rubber Industries, Ltd.

The Yokohama Rubber Co., Ltd.

Toyo Tire Corp.

JVCKenwood Corp.

TS TECH CO., LTD.

Why is The Yokohama Rubber Co., Ltd. ?

Healthy long term growth as Net Sales has grown by an annual rate of 12.14%

With a growth in Net Profit of 178.98%, the company declared Outstanding results in Dec 25

ROCE(HY) Highest at 10.95%
RAW MATERIAL COST(Y) Fallen by -6.7% (YoY)
DIVIDEND PER SHARE(HY) Highest at JPY 4.02

With ROCE of 9.94%, it has a very attractive valuation with a 0.81 Enterprise value to Capital Employed

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 68.66%, its profits have fallen by -12.1%
At the current price, the company has a high dividend yield of 0

Market Beating Performance

The stock has generated a return of 68.66% in the last 1 year, much higher than market (Japan Nikkei 225) returns of 36.73%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to The Yokohama Rubber Co., Ltd. should be less than 10%
Overall Portfolio exposure to Auto Components & Equipments should be less than 30%

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

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

Is The Yokohama Rubber Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

The Yokohama Rubber Co., Ltd.

68.66%

667.97

48.51%

Japan Nikkei 225

36.73%

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)

12.14%

EBIT Growth (5y)

23.70%

EBIT to Interest (avg)

10.20

Debt to EBITDA (avg)

2.01

Net Debt to Equity (avg)

0.58

Sales to Capital Employed (avg)

0.79

Tax Ratio

35.93%

Dividend Payout Ratio

20.95%

Pledged Shares

Institutional Holding

ROCE (avg)

8.82%

ROE (avg)

8.94%

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

0.70

EV to EBIT

8.14

EV to EBITDA

5.39

EV to Capital Employed

0.81

EV to Sales

0.97

PEG Ratio

Dividend Yield

0.03%

ROCE (Latest)

9.94%

ROE (Latest)

8.21%

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

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

18What is working for the Company

ROCE(HY)

Highest at 10.95%

RAW MATERIAL COST(Y)

Fallen by -6.7% (YoY

DIVIDEND PER SHARE(HY)

Highest at JPY 4.02

NET SALES(Q)

Highest at JPY 357,770 MM

OPERATING PROFIT(Q)

Highest at JPY 83,265 MM

OPERATING PROFIT MARGIN(Q)

Highest at 23.27 %

PRE-TAX PROFIT(Q)

Highest at JPY 68,827 MM

NET PROFIT(Q)

Highest at JPY 39,275 MM

EPS(Q)

Highest at JPY 248.7

-2What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.02 times

Here's what is working for The Yokohama Rubber Co., Ltd.

Net Sales

Highest at JPY 357,770 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 83,265 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 23.27 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 68,827 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 39,275 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Net Profit

At JPY 39,275 MM has Grown at 108.18%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 248.7

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Dividend per share

Highest at JPY 4.02

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Raw Material Cost

Fallen by -6.7% (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 The Yokohama Rubber Co., Ltd.

Debtors Turnover Ratio

Lowest at 4.02 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio