ScoreWhy is Towa Corp. ?
1
Flat results in Jun 26
- DEBT-EQUITY RATIO (HY) Highest at -12.09 %
- INTEREST(Q) Highest at JPY 72.41 MM
2
With ROE of 7.64%, it has a very expensive valuation with a 3.32 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 44.60%, its profits have fallen by -39.3%
3
Majority shareholders : FIIs
4
Underperformed the market in the last 1 year
- The stock has generated a return of 44.60% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 59.79%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Towa Corp. should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Towa Corp. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Towa Corp.
44.6%
-0.41
80.68%
Japan Nikkei 225
59.79%
2.03
29.50%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
13.49%
EBIT Growth (5y)
15.43%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.19
Sales to Capital Employed (avg)
0.70
Tax Ratio
34.44%
Dividend Payout Ratio
32.67%
Pledged Shares
0
Institutional Holding
1.60%
ROCE (avg)
19.61%
ROE (avg)
13.57%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
44
Industry P/E
Price to Book Value
3.32
EV to EBIT
35.13
EV to EBITDA
23.22
EV to Capital Employed
3.84
EV to Sales
4.15
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
10.93%
ROE (Latest)
7.64%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend14What is working for the Company
NET PROFIT(HY)
At JPY 3,623.45 MM has Grown at 75.6%
RAW MATERIAL COST(Y)
Fallen by -27.36% (YoY
CASH AND EQV(HY)
Highest at JPY 58,156.54 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 2.1 times
NET SALES(Q)
At JPY 16,183.49 MM has Grown at 19.07%
-12What is not working for the Company
DEBT-EQUITY RATIO
(HY)
Highest at -12.09 %
INTEREST(Q)
Highest at JPY 72.41 MM
Here's what is working for Towa Corp.
Net Profit
At JPY 3,623.45 MM has Grown at 75.6%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
Net Sales
At JPY 16,183.49 MM has Grown at 19.07%
over average net sales of the previous four periods of JPY 13,591.31 MMMOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
Cash and Eqv
Highest at JPY 58,156.54 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Inventory Turnover Ratio
Highest at 2.1 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 -27.36% (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 Towa Corp.
Interest
At JPY 72.41 MM has Grown at 18.68%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest
Highest at JPY 72.41 MM
in the last five periods and Increased by 18.68% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Debt-Equity Ratio
Highest at -12.09 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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