ScoreWhy is Tohoku Steel Co., Ltd. ?
1
Company has very low debt and has enough cash to service the debt requirements
2
Poor long term growth as Net Sales has grown by an annual rate of 1.63% and Operating profit at -8.40% over the last 5 years
3
With a growth in Net Profit of 101.8%, the company declared Very Positive results in Dec 25
- ROCE(HY) Highest at 4.09%
- RAW MATERIAL COST(Y) Fallen by -17.76% (YoY)
- CASH AND EQV(HY) Highest at JPY 20,240.37 MM
4
With ROE of 3.61%, it has a very attractive valuation with a 0.54 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 5.60%, its profits have fallen by -34.9%
- At the current price, the company has a high dividend yield of 0
5
Underperformed the market in the last 1 year
- The stock has generated a return of 5.60% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Tohoku Steel Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Ferrous Metals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Ferrous Metals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Tohoku Steel Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Tohoku Steel Co., Ltd.
5.6%
0.36
24.81%
Japan Nikkei 225
36.73%
1.30
28.24%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
1.63%
EBIT Growth (5y)
-8.40%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.32
Sales to Capital Employed (avg)
0.77
Tax Ratio
26.55%
Dividend Payout Ratio
29.81%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.51%
ROE (avg)
4.94%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
15
Industry P/E
Price to Book Value
0.54
EV to EBIT
4.91
EV to EBITDA
2.90
EV to Capital Employed
0.32
EV to Sales
0.29
PEG Ratio
NA
Dividend Yield
0.03%
ROCE (Latest)
6.59%
ROE (Latest)
3.61%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend11What is working for the Company
ROCE(HY)
Highest at 4.09%
RAW MATERIAL COST(Y)
Fallen by -17.76% (YoY
CASH AND EQV(HY)
Highest at JPY 20,240.37 MM
DEBT-EQUITY RATIO
(HY)
Lowest at -35.88 %
INVENTORY TURNOVER RATIO(HY)
Highest at 4.84 times
PRE-TAX PROFIT(Q)
Highest at JPY 515.41 MM
NET PROFIT(Q)
Highest at JPY 373.42 MM
EPS(Q)
Highest at JPY 50.27
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for Tohoku Steel Co., Ltd.
Pre-Tax Profit
Highest at JPY 515.41 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
Pre-Tax Profit
At JPY 515.41 MM has Grown at 81.08%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
Net Profit
Highest at JPY 373.42 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
Net Profit
At JPY 373.42 MM has Grown at 101.8%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
EPS
Highest at JPY 50.27
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (JPY)
Cash and Eqv
Highest at JPY 20,240.37 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at -35.88 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Inventory Turnover Ratio
Highest at 4.84 times
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 -17.76% (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 239.55 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
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