ScoreWhy is Wakita & Co., Ltd. ?
1
Poor Management Efficiency with a low ROE of 3.83%
- The company has been able to generate a Return on Equity (avg) of 3.83% signifying low profitability per unit of shareholders funds
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 39.98
3
Poor long term growth as Operating profit has grown by an annual rate -1.14% of over the last 5 years
4
Flat results in Feb 26
- INTEREST(9M) At JPY 167 MM has Grown at 7.74%
- INTEREST COVERAGE RATIO(Q) Lowest at 5,364.91
- OPERATING PROFIT MARGIN(Q) Lowest at 12.64 %
5
With ROE of 3.42%, it has a very attractive valuation with a 1.03 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 2.14%, its profits have fallen by -18.6%
- At the current price, the company has a high dividend yield of 0.1
6
Underperformed the market in the last 1 year
- The stock has generated a return of 2.14% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 75.22%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Wakita & 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 Wakita & Co., Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Wakita & Co., Ltd.
-100.0%
0.01
17.05%
Japan Nikkei 225
75.22%
2.67
28.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.61%
EBIT Growth (5y)
-1.14%
EBIT to Interest (avg)
39.98
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.07
Sales to Capital Employed (avg)
0.81
Tax Ratio
36.47%
Dividend Payout Ratio
143.37%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
7.05%
ROE (avg)
3.83%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
30
Industry P/E
Price to Book Value
1.03
EV to EBIT
17.49
EV to EBITDA
6.73
EV to Capital Employed
1.04
EV to Sales
1.00
PEG Ratio
NA
Dividend Yield
0.05%
ROCE (Latest)
5.93%
ROE (Latest)
3.42%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend2What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -4.68% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 13.55 times
-6What is not working for the Company
INTEREST(9M)
At JPY 167 MM has Grown at 7.74%
INTEREST COVERAGE RATIO(Q)
Lowest at 5,364.91
OPERATING PROFIT MARGIN(Q)
Lowest at 12.64 %
PRE-TAX PROFIT(Q)
At JPY 1,010 MM has Fallen at -26.68%
Here's what is working for Wakita & Co., Ltd.
Inventory Turnover Ratio
Highest at 13.55 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 -4.68% (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 Wakita & Co., Ltd.
Interest Coverage Ratio
Lowest at 5,364.91
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
At JPY 167 MM has Grown at 7.74%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Operating Profit Margin
Lowest at 12.64 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
At JPY 1,010 MM has Fallen at -26.68%
over average net sales of the previous four periods of JPY 1,377.5 MMMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (JPY MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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