World Holdings Co., Ltd. (2429) 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

UT Group Co., Ltd.

Open Up Group, Inc.

JAC Recruitment Co., Ltd.

dip Corp.

Altech Corp.

PERSOL Holdings Co., Ltd.

World Holdings Co., Ltd.

Pasona Group, Inc.

Fullcast Holdings Co., Ltd.

Link & Motivation, Inc.

en Japan, Inc.

Why is World Holdings Co., Ltd. ?

High Management Efficiency with a high ROCE of 13.38%

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

Poor long term growth as Operating profit has grown by an annual rate 12.03% of over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times

Healthy long term growth as Net Sales has grown by an annual rate of 12.03%

Flat results in Dec 25

RAW MATERIAL COST(Y) Grown by 12.28% (YoY)
INTEREST(Q) Highest at JPY 226 MM

With ROCE of 11.66%, it has a very attractive valuation with a 0.94 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 23.88%, its profits have risen by 20.7% ; the PEG ratio of the company is 0.3

Underperformed the market in the last 1 year

The stock has generated a return of 23.88% 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 hold?

Overall Portfolio exposure to World Holdings Co., Ltd. should be less than 10%
Overall Portfolio exposure to Diversified Commercial Services should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Diversified Commercial Services)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is World Holdings Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

World Holdings Co., Ltd.

-100.0%

0.79

29.48%

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)

12.03%

EBIT Growth (5y)

12.03%

EBIT to Interest (avg)

33.12

Debt to EBITDA (avg)

2.91

Net Debt to Equity (avg)

1.01

Sales to Capital Employed (avg)

1.87

Tax Ratio

37.65%

Dividend Payout Ratio

30.03%

Pledged Shares

Institutional Holding

ROCE (avg)

13.38%

ROE (avg)

16.07%

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

0.89

EV to EBIT

8.10

EV to EBITDA

6.74

EV to Capital Employed

0.94

EV to Sales

0.34

PEG Ratio

0.33

Dividend Yield

ROCE (Latest)

11.66%

ROE (Latest)

14.43%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

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

6What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 3.49 times

DIVIDEND PER SHARE(HY)

Highest at JPY 10.06

NET SALES(Q)

Highest at JPY 83,750 MM

-12What is not working for the Company

RAW MATERIAL COST(Y)

Grown by 12.28% (YoY

INTEREST(Q)

Highest at JPY 226 MM

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

Net Sales

Highest at JPY 83,750 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Net Sales

At JPY 83,750 MM has Grown at 18.47%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Inventory Turnover Ratio

Highest at 3.49 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Dividend per share

Highest at JPY 10.06

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (JPY)

Depreciation

Highest at JPY 650 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 World Holdings Co., Ltd.

Interest

At JPY 226 MM has Grown at 16.49%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Interest

Highest at JPY 226 MM

in the last five periods and Increased by 16.49% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Raw Material Cost

Grown by 12.28% (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