ScoreWhy is Tokuyama Corp. ?
1
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.91 times
2
Poor long term growth as Operating profit has grown by an annual rate -2.08% of over the last 5 years
3
Flat results in Mar 25
- INTEREST(Q) Highest at JPY 246 MM
4
With ROCE of 10.28%, it has a very attractive valuation with a 0.83 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 53.27%, its profits have risen by 25.8% ; the PEG ratio of the company is 0.4
- At the current price, the company has a high dividend yield of 0
5
Market Beating Performance
- The stock has generated a return of 53.27% in the last 1 year, much higher than market (Japan Nikkei 225) returns of 28.54%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Tokuyama Corp. should be less than 10%
- Overall Portfolio exposure to Specialty Chemicals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Specialty Chemicals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Tokuyama Corp. for you?
Low Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Tokuyama Corp.
53.27%
1.21
29.05%
Japan Nikkei 225
28.54%
1.11
25.75%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
1.65%
EBIT Growth (5y)
-2.08%
EBIT to Interest (avg)
19.70
Debt to EBITDA (avg)
0.91
Net Debt to Equity (avg)
0.11
Sales to Capital Employed (avg)
0.95
Tax Ratio
25.67%
Dividend Payout Ratio
30.76%
Pledged Shares
0
Institutional Holding
0.02%
ROCE (avg)
9.57%
ROE (avg)
8.94%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
0.81
EV to EBIT
8.03
EV to EBITDA
4.85
EV to Capital Employed
0.83
EV to Sales
0.70
PEG Ratio
0.37
Dividend Yield
0.03%
ROCE (Latest)
10.28%
ROE (Latest)
8.46%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
Bearish
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Bullish
Bullish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend8What is working for the Company
DEBT-EQUITY RATIO
(HY)
Lowest at 13.44 %
INTEREST COVERAGE RATIO(Q)
Highest at 5,700.81
RAW MATERIAL COST(Y)
Fallen by -8.97% (YoY
DIVIDEND PER SHARE(HY)
Highest at JPY 4.07
OPERATING PROFIT(Q)
Highest at JPY 14,024 MM
OPERATING PROFIT MARGIN(Q)
Highest at 15.64 %
-1What is not working for the Company
INTEREST(Q)
Highest at JPY 246 MM
Here's what is working for Tokuyama Corp.
Interest Coverage Ratio
Highest at 5,700.81
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Debt-Equity Ratio
Lowest at 13.44 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Operating Profit
Highest at JPY 14,024 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (JPY MM)
Operating Profit Margin
Highest at 15.64 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Dividend per share
Highest at JPY 4.07
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (JPY)
Raw Material Cost
Fallen by -8.97% (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 5,126 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 Tokuyama Corp.
Interest
Highest at JPY 246 MM
in the last five periods and Increased by 7.42% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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