Universal Engeisha Co., Ltd. (6061) 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

Seika Corp.

Meiwa Corp.

Universal Engeisha Co., Ltd.

Yashima Denki Co., Ltd.

Takebishi Corp.

Sumiseki Holdings, Inc.

Sugimoto & Co., Ltd.

H-One Co., Ltd.

GL Sciences Inc.

Watahan & Co., Ltd.

Kyokuto Boeki Kaisha Ltd.

Why is Universal Engeisha Co., Ltd. ?

High Management Efficiency with a high ROE of 12.88%

Company has very low debt and has enough cash to service the debt requirements

Healthy long term growth as Net Sales has grown by an annual rate of 19.01% and Operating profit at 19.70%

Positive results in Mar 26

INTEREST COVERAGE RATIO(Q) Highest at 82,243.7
RAW MATERIAL COST(Y) Fallen by -0.08% (YoY)
CASH AND EQV(HY) Highest at JPY 11,395.88 MM

With ROE of 14.83%, it has a fair valuation with a 2.11 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 -40.94%, its profits have risen by 10.9%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Universal Engeisha 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 Universal Engeisha Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Universal Engeisha Co., Ltd.

-41.77%

-0.30

62.43%

Japan Nikkei 225

71.75%

2.62

26.55%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

19.01%

EBIT Growth (5y)

19.70%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.33

Sales to Capital Employed (avg)

1.42

Tax Ratio

30.40%

Dividend Payout Ratio

6.70%

Pledged Shares

Institutional Holding

ROCE (avg)

32.26%

ROE (avg)

12.88%

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

2.11

EV to EBIT

8.52

EV to EBITDA

6.80

EV to Capital Employed

2.72

EV to Sales

1.16

PEG Ratio

Dividend Yield

ROCE (Latest)

31.99%

ROE (Latest)

14.83%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

No Trend

OBV

No Trend

Mildly Bearish

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

10What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 82,243.7

RAW MATERIAL COST(Y)

Fallen by -0.08% (YoY

CASH AND EQV(HY)

Highest at JPY 11,395.88 MM

NET SALES(Q)

Highest at JPY 6,017.62 MM

OPERATING PROFIT(Q)

Highest at JPY 1,364.42 MM

OPERATING PROFIT MARGIN(Q)

Highest at 22.67 %

PRE-TAX PROFIT(Q)

Highest at JPY 1,199.74 MM

NET PROFIT(Q)

Highest at JPY 924.76 MM

EPS(Q)

Highest at JPY 100.41

-6What is not working for the Company

INTEREST(Q)

At JPY 1.66 MM has Grown at 23.53%

Here's what is working for Universal Engeisha Co., Ltd.

Interest Coverage Ratio

Highest at 82,243.7

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at JPY 6,017.62 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 1,364.42 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 22.67 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 1,199.74 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 924.76 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 100.41

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Cash and Eqv

Highest at JPY 11,395.88 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -0.08% (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

Depreciation

Highest at JPY 224.98 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (JPY MM)

Here's what is not working for Universal Engeisha Co., Ltd.

Interest

At JPY 1.66 MM has Grown at 23.53%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)