Wavelock Holdings Co., Ltd. (7940) 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

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Asahipen Corp.

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Wavelock Holdings Co., Ltd.

Teraoka Seisakusho Co., Ltd.

Why is Wavelock Holdings Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -2.66% and Operating profit at -24.22% over the last 5 years

Negative results in Jun 25

INTEREST(HY) At JPY 27.67 MM has Grown at 31.58%

With ROCE of 2.16%, it has a very attractive valuation with a 0.46 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 85.27%, its profits have risen by 12.5% ; the PEG ratio of the company is 1

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 Other Industrial Products)

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

Is Wavelock Holdings Co., Ltd. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Wavelock Holdings Co., Ltd.

85.08%

1.93

45.04%

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)

-2.66%

EBIT Growth (5y)

-24.22%

EBIT to Interest (avg)

15.35

Debt to EBITDA (avg)

1.39

Net Debt to Equity (avg)

0.13

Sales to Capital Employed (avg)

1.13

Tax Ratio

23.41%

Dividend Payout Ratio

48.62%

Pledged Shares

Institutional Holding

ROCE (avg)

4.14%

ROE (avg)

8.47%

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

0.39

EV to EBIT

21.43

EV to EBITDA

7.16

EV to Capital Employed

0.46

EV to Sales

0.34

PEG Ratio

0.98

Dividend Yield

ROCE (Latest)

2.16%

ROE (Latest)

3.21%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

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

22What is working for the Company

ROCE(HY)

Highest at 3.5%

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

PRE-TAX PROFIT(Q)

At JPY 489.34 MM has Grown at 181.2%

RAW MATERIAL COST(Y)

Fallen by -10.58% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 2.52%

NET SALES(Q)

Highest at JPY 7,090.36 MM

OPERATING PROFIT(Q)

Highest at JPY 748.18 MM

OPERATING PROFIT MARGIN(Q)

Highest at 10.55 %

NET PROFIT(Q)

Highest at JPY 341.1 MM

EPS(Q)

Highest at JPY 41.06

-8What is not working for the Company

INTEREST(HY)

At JPY 27.67 MM has Grown at 31.58%

Here's what is working for Wavelock Holdings Co., Ltd.

Pre-Tax Profit

At JPY 489.34 MM has Grown at 181.2%

over average net sales of the previous four periods of JPY 174.02 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 341.1 MM has Grown at 162.43%

over average net sales of the previous four periods of JPY 129.98 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Net Sales

Highest at JPY 7,090.36 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 748.18 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 10.55 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at JPY 489.34 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 341.1 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 41.06

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Inventory Turnover Ratio

Highest at 2.52%

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 -10.58% (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 Wavelock Holdings Co., Ltd.

Interest

At JPY 27.67 MM has Grown at 31.58%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)