United Super Markets Holdings, Inc. (3222) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Kobe Bussan Co., Ltd.

Arcs Co., Ltd.

United Super Markets Holdings, Inc.

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Yaoko Co., Ltd.

Life Corp.

Kusuri No Aoki Holdings Co., Ltd.

Belc Co., Ltd.

Fuji Co., Ltd.

AEON Co., Ltd.

Lawson, Inc.

Why is United Super Markets Holdings, Inc. ?

Poor Management Efficiency with a low ROE of 3.53%

The company has been able to generate a Return on Equity (avg) of 3.53% signifying low profitability per unit of shareholders funds

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 65.87

Poor long term growth as Net Sales has grown by an annual rate of 3.24% and Operating profit at -8.57% over the last 5 years

The company has declared positive results in Feb'2025 after 11 consecutive negative quarters

NET PROFIT(HY) Higher at JPY 5,370.14 MM
ROCE(HY) Highest at 1.03%
RAW MATERIAL COST(Y) Fallen by 0.31% (YoY)

With ROE of 1.32%, it has a very attractive valuation with a 0.89 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 11.76%, its profits have fallen by -8.5%

Underperformed the market in the last 1 year

The stock has generated a return of 11.76% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 29.35%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to United Super Markets Holdings, Inc. should be less than 10%
Overall Portfolio exposure to Retailing should be less than 30%

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

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

Is United Super Markets Holdings, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

United Super Markets Holdings, Inc.

10.73%

-0.08

21.06%

Japan Nikkei 225

28.54%

1.14

25.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.24%

EBIT Growth (5y)

-8.57%

EBIT to Interest (avg)

53.03

Debt to EBITDA (avg)

0.45

Net Debt to Equity (avg)

0.12

Sales to Capital Employed (avg)

3.49

Tax Ratio

75.85%

Dividend Payout Ratio

294.40%

Pledged Shares

Institutional Holding

ROCE (avg)

5.39%

ROE (avg)

3.53%

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

0.89

EV to EBIT

34.21

EV to EBITDA

8.79

EV to Capital Employed

0.90

EV to Sales

0.25

PEG Ratio

Dividend Yield

ROCE (Latest)

2.64%

ROE (Latest)

1.32%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Sideways

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

No Trend

Mildly Bearish

OBV

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

23What is working for the Company

NET PROFIT(HY)

Higher at JPY 5,370.14 MM

ROCE(HY)

Highest at 1.03%

RAW MATERIAL COST(Y)

Fallen by 0.31% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 7.56 %

INVENTORY TURNOVER RATIO(HY)

Highest at 29.19%

DEBTORS TURNOVER RATIO(HY)

Highest at 26.08%

NET SALES(Q)

At JPY 234,321 MM has Grown at 15.53%

-11What is not working for the Company

INTEREST(HY)

At JPY 242 MM has Grown at 146.94%

PRE-TAX PROFIT(Q)

At JPY 653 MM has Fallen at -75.45%

Here's what is working for United Super Markets Holdings, Inc.

Net Profit

At JPY 5,370.14 MM has Grown at 309.14%

Year on Year (YoY)

MOJO Watch

Net Profit trend is very positive

Net Profit (JPY MM)

Net Profit

Higher at JPY 5,370.14 MM

than preceding 12 month period ended May 2025

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (JPY MM)

Net Sales

At JPY 234,321 MM has Grown at 15.53%

over average net sales of the previous four periods of JPY 202,818 MM

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Debt-Equity Ratio

Lowest at 7.56 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 29.19%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 26.08%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by 0.31% (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 United Super Markets Holdings, Inc.

Interest

At JPY 242 MM has Grown at 146.94%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

At JPY 653 MM has Fallen at -75.45%

over average net sales of the previous four periods of JPY 2,660.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)