Tokyo Sangyo Co., Ltd. (8070) 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

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Tokyo Sangyo Co., Ltd.

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Why is Tokyo Sangyo Co., Ltd. ?

With a growth in Net Sales of 16.21%, the company declared Outstanding results in Mar 26

The company has declared positive results for the last 2 consecutive quarters
DEBT-EQUITY RATIO (HY) Lowest at -25.61 %
INTEREST COVERAGE RATIO(Q) Highest at 2,442.86
CASH AND EQV(HY) Highest at JPY 38,770 MM

With ROCE of 17.73%, it has a very attractive valuation with a 0.90 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 6.05%, its profits have risen by 120.2% ; the PEG ratio of the company is 0
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Tokyo Sangyo Co., Ltd. should be less than 10%
Overall Portfolio exposure to Trading & Distributors should be less than 30%

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

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

Is Tokyo Sangyo Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Tokyo Sangyo Co., Ltd.

6.05%

0.87

29.70%

Japan Nikkei 225

60.75%

2.10

28.98%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-10.87%

EBIT Growth (5y)

7.73%

EBIT to Interest (avg)

2.86

Debt to EBITDA (avg)

1.77

Net Debt to Equity (avg)

-0.13

Sales to Capital Employed (avg)

1.84

Tax Ratio

16.59%

Dividend Payout Ratio

39.45%

Pledged Shares

Institutional Holding

ROCE (avg)

8.06%

ROE (avg)

5.48%

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

0.92

EV to EBIT

5.07

EV to EBITDA

4.37

EV to Capital Employed

0.90

EV to Sales

0.28

PEG Ratio

0.04

Dividend Yield

ROCE (Latest)

17.73%

ROE (Latest)

19.14%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

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

22What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at -25.61 %

INTEREST COVERAGE RATIO(Q)

Highest at 2,442.86

CASH AND EQV(HY)

Highest at JPY 38,770 MM

DIVIDEND PER SHARE(HY)

Highest at JPY 1.58

NET SALES(Q)

Highest at JPY 17,179 MM

OPERATING PROFIT(Q)

Highest at JPY 1,539 MM

NET PROFIT(Q)

Highest at JPY 2,589 MM

-4What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 11.72% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.58 times

EPS(Q)

Lowest at JPY -20.64

Here's what is working for Tokyo Sangyo Co., Ltd.

Interest Coverage Ratio

Highest at 2,442.86

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Profit

At JPY 2,589 MM has Grown at 116.35%

over average net sales of the previous four periods of JPY 1,196.69 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Debt-Equity Ratio

Lowest at -25.61 % and Grown

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

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Net Sales

Highest at JPY 17,179 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 17,179 MM has Grown at 12.79%

over average net sales of the previous four periods of JPY 15,231.5 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 1,539 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Net Profit

Highest at JPY 2,589 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Cash and Eqv

Highest at JPY 38,770 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend per share

Highest at JPY 1.58

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Here's what is not working for Tokyo Sangyo Co., Ltd.

EPS

Lowest at JPY -20.64

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debtors Turnover Ratio

Lowest at 1.58 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 11.72% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales