West Holdings Corp. (1407) 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

Renova, Inc. (Japan)

EF-ON, Inc.

Tohoku Electric Power Co., Inc.

Renewable Japan Co., Ltd.

West Holdings Corp.

Hokkaido Electric Power Co., Inc.

Why is West Holdings Corp. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -6.16% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of -6.16% over the last 5 years

The company has declared negative results for the last 2 consecutive quarters

INTEREST(HY) At JPY 672 MM has Grown at 77.31%
INTEREST COVERAGE RATIO(Q) Lowest at 274.39
RAW MATERIAL COST(Y) Grown by 15.13% (YoY)

Underperformed the market in the last 1 year

The stock has generated a return of 6.29% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 36.73%

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 Power)

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

Is West Holdings Corp. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

West Holdings Corp.

6.29%

-0.90

45.43%

Japan Nikkei 225

38.94%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-6.16%

EBIT Growth (5y)

6.95%

EBIT to Interest (avg)

14.84

Debt to EBITDA (avg)

3.80

Net Debt to Equity (avg)

1.72

Sales to Capital Employed (avg)

0.40

Tax Ratio

34.13%

Dividend Payout Ratio

48.12%

Pledged Shares

Institutional Holding

ROCE (avg)

13.22%

ROE (avg)

21.23%

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

2.20

EV to EBIT

13.41

EV to EBITDA

10.56

EV to Capital Employed

1.44

EV to Sales

2.70

PEG Ratio

Dividend Yield

ROCE (Latest)

10.75%

ROE (Latest)

17.46%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

Mildly Bullish

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

3What is working for the Company

NET SALES(HY)

At JPY 31,096 MM has Grown at 19.84%

INVENTORY TURNOVER RATIO(HY)

Highest at 2.01 times

-22What is not working for the Company

INTEREST(HY)

At JPY 672 MM has Grown at 77.31%

INTEREST COVERAGE RATIO(Q)

Lowest at 274.39

RAW MATERIAL COST(Y)

Grown by 15.13% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.86 times

OPERATING PROFIT MARGIN(Q)

Lowest at 15.39 %

PRE-TAX PROFIT(Q)

Lowest at JPY -287 MM

NET PROFIT(Q)

Lowest at JPY -210 MM

EPS(Q)

Lowest at JPY -5.27

Here's what is working for West Holdings Corp.

Net Sales

At JPY 31,096 MM has Grown at 19.84%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Inventory Turnover Ratio

Highest at 2.01 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Depreciation

Highest at JPY 762 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 West Holdings Corp.

Interest

At JPY 672 MM has Grown at 77.31%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Pre-Tax Profit

At JPY -287 MM has Fallen at -7,075%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (JPY MM)

Net Profit

At JPY -210 MM has Fallen at -8,672.15%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Interest Coverage Ratio

Lowest at 274.39

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit Margin

Lowest at 15.39 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at JPY -287 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (JPY MM)

Net Profit

Lowest at JPY -210 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (JPY MM)

EPS

Lowest at JPY -5.27

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debtors Turnover Ratio

Lowest at 1.86 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 15.13% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales