TRE Holdings Corp. () 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

Simplex Holdings, Inc.

Future Corp.

Systena Corp.

Comture Corp.

DTS Corp.

Daikoku Denki Co., Ltd.

Zuken, Inc.

TechMatrix Corp.

I'LL Inc.

TRE Holdings Corp.

Infocom Corp.

Why is TRE Holdings Corp. ?

High Debt Company with a Debt to Equity ratio (avg) at times

High Debt Company with a Debt to Equity ratio (avg) at times

Healthy long term growth as Net Sales has grown by an annual rate of 25.77% and Operating profit at 47.22%

The company has declared Positive results for the last 3 consecutive quarters

CASH AND EQV(HY) Highest at JPY 56,459 MM

With ROCE of 22.05%, it has a very attractive valuation with a 0.98 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 -6.68%, its profits have risen by 204.3% ; the PEG ratio of the company is 0

Below par performance in long term as well as near term

Along with generating -6.68% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to TRE Holdings Corp. should be less than 10%
Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)

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

Is TRE Holdings Corp. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

TRE Holdings Corp.

-6.68%

0.98

33.30%

Japan Nikkei 225

36.73%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

25.77%

EBIT Growth (5y)

47.22%

EBIT to Interest (avg)

28.47

Debt to EBITDA (avg)

2.12

Net Debt to Equity (avg)

0.41

Sales to Capital Employed (avg)

0.81

Tax Ratio

35.01%

Dividend Payout Ratio

18.61%

Pledged Shares

Institutional Holding

ROCE (avg)

10.60%

ROE (avg)

9.89%

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

0.97

EV to EBIT

4.44

EV to EBITDA

3.21

EV to Capital Employed

0.98

EV to Sales

0.85

PEG Ratio

0.02

Dividend Yield

ROCE (Latest)

22.05%

ROE (Latest)

19.40%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

Bullish

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

1What is working for the Company

CASH AND EQV(HY)

Highest at JPY 56,459 MM

-17What is not working for the Company

INTEREST(HY)

At JPY 425 MM has Grown at 21.78%

RAW MATERIAL COST(Y)

Grown by 13.21% (YoY

INVENTORY TURNOVER RATIO(HY)

Lowest at 23.6 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.93 times

NET SALES(Q)

Lowest at JPY 29,414 MM

OPERATING PROFIT(Q)

Lowest at JPY 7,952 MM

PRE-TAX PROFIT(Q)

Lowest at JPY 5,507 MM

Here's what is working for TRE Holdings Corp.

Cash and Eqv

Highest at JPY 56,459 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for TRE Holdings Corp.

Interest

At JPY 425 MM has Grown at 21.78%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

Lowest at JPY 29,414 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Net Sales

At JPY 29,414 MM has Fallen at -7.47%

over average net sales of the previous four periods of JPY 31,788 MM

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

Operating Profit

Lowest at JPY 7,952 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Pre-Tax Profit

Lowest at JPY 5,507 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Inventory Turnover Ratio

Lowest at 23.6 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 4.93 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 13.21% (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