Why is TOHO GAS Co., Ltd. ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 5.35%
2
Negative results in Jun 25
- INTEREST(HY) At JPY 564 MM has Grown at 24.23%
3
With ROCE of 5.47%, it has a very attractive valuation with a 0.95 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 20.82%, its profits have fallen by -8.8%
- At the current price, the company has a high dividend yield of 0
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Gas)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is TOHO GAS Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
TOHO GAS Co., Ltd.
20.82%
0.71
22.96%
Japan Nikkei 225
28.54%
1.11
25.75%
Quality key factors
Factor
Value
Sales Growth (5y)
6.20%
EBIT Growth (5y)
7.39%
EBIT to Interest (avg)
31.46
Debt to EBITDA (avg)
1.56
Net Debt to Equity (avg)
0.24
Sales to Capital Employed (avg)
1.14
Tax Ratio
32.38%
Dividend Payout Ratio
31.77%
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
5.36%
ROE (avg)
5.78%
Valuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
Price to Book Value
0.94
EV to EBIT
17.34
EV to EBITDA
7.78
EV to Capital Employed
0.95
EV to Sales
0.81
PEG Ratio
NA
Dividend Yield
0.03%
ROCE (Latest)
5.47%
ROE (Latest)
5.96%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
8What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -2.57% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 15.15%
OPERATING PROFIT(Q)
Highest at JPY 29,108 MM
OPERATING PROFIT MARGIN(Q)
Highest at 18.03 %
PRE-TAX PROFIT(Q)
Highest at JPY 23,045 MM
NET PROFIT(Q)
Highest at JPY 16,614 MM
EPS(Q)
Highest at JPY 172.27
-8What is not working for the Company
INTEREST(HY)
At JPY 564 MM has Grown at 24.23%
Here's what is working for TOHO GAS Co., Ltd.
Operating Profit
Highest at JPY 29,108 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (JPY MM)
Operating Profit Margin
Highest at 18.03 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at JPY 23,045 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
Net Profit
Highest at JPY 16,614 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
EPS
Highest at JPY 172.27
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (JPY)
Inventory Turnover Ratio
Highest at 15.15%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by -2.57% (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 TOHO GAS Co., Ltd.
Interest
At JPY 564 MM has Grown at 24.23%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)






