Unitika Ltd. (3103) 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

Transaction Co., Ltd.

Sumitomo Seika Chemicals Co., Ltd.

KURABO INDUSTRIES LTD.

Fujibo Holdings, Inc.

KOMATSU MATERE Co., Ltd.

HAGIHARA INDUSTRIES, Inc.

GSI Creos Corp.

The Japan Wool Textile Co., Ltd.

Shikibo Ltd.

Sankyo Seiko Co., Ltd.

Unitika Ltd.

Why is Unitika Ltd. ?

High Debt company with Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of 1.12% and Operating profit at 1.37% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Capital Employed (avg) of 3.55% signifying low profitability per unit of total capital (equity and debt)

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 53.33%, its profits have risen by 907.1%
At the current price, the company has a high dividend yield of 0.6

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Unitika Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Unitika Ltd.

53.33%

-0.01

57.58%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.12%

EBIT Growth (5y)

1.37%

EBIT to Interest (avg)

2.67

Debt to EBITDA (avg)

11.00

Net Debt to Equity (avg)

5.08

Sales to Capital Employed (avg)

0.97

Tax Ratio

28.46%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

3.55%

ROE (avg)

22.74%

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

0.60

EV to EBIT

15.11

EV to EBITDA

7.97

EV to Capital Employed

0.93

EV to Sales

0.70

PEG Ratio

Dividend Yield

0.62%

ROCE (Latest)

6.18%

ROE (Latest)

92.57%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bearish

No Trend

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

16What is working for the Company

NET PROFIT(HY)

At JPY 8,427.09 MM has Grown at 157.52%

DEBTORS TURNOVER RATIO(HY)

Highest at 5.71%

RAW MATERIAL COST(Y)

Fallen by -26.9% (YoY

CASH AND EQV(HY)

Highest at JPY 48,661 MM

DEBT-EQUITY RATIO (HY)

Lowest at 152.52 %

INVENTORY TURNOVER RATIO(HY)

Highest at 2.89%

OPERATING PROFIT(Q)

Highest at JPY 3,658 MM

OPERATING PROFIT MARGIN(Q)

Highest at 11.83 %

-10What is not working for the Company

INTEREST(Q)

Highest at JPY 435 MM

PRE-TAX PROFIT(Q)

Fallen at -34.33%

Here's what is working for Unitika Ltd.

Net Profit

At JPY 8,427.09 MM has Grown at 157.52%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Debtors Turnover Ratio

Highest at 5.71% and Grown

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

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Operating Profit

Highest at JPY 3,658 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 11.83 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Cash and Eqv

Highest at JPY 48,661 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 152.52 %

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 2.89%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -26.9% (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 Unitika Ltd.

Interest

Highest at JPY 435 MM

in the last five periods and Increased by 6.88% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

Fallen at -34.33%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)