Yokota Manufacturing Co., Ltd. (6248) 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

Nomura Corp.

Placo Co., Ltd.

Yokota Manufacturing Co., Ltd.

Takeda Machinery Co., Ltd.

CONVUM Ltd.

Tokuden Co., Ltd.

Fuji Seiki Co., Ltd.

Nitcho Corp.

KLASS Corp.

Unozawa-Gumi Iron Works, Ltd.

TSUDAKOMA Corp.

Why is Yokota Manufacturing Co., Ltd. ?

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

Poor long term growth as Net Sales has grown by an annual rate of 5.60% and Operating profit at 12.99% over the last 5 years

Positive results in Dec 25

RAW MATERIAL COST(Y) Fallen by -4.55% (YoY)
CASH AND EQV(HY) Highest at JPY 3,736.59 MM
NET SALES(Q) At JPY 608.74 MM has Grown at 20.57%

With ROE of 10.88%, it has a very attractive valuation with a 1.01 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 24.97%, its profits have risen by 16.6% ; the PEG ratio of the company is 0.6

Underperformed the market in the last 1 year

The stock has generated a return of 24.97% 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 Yokota Manufacturing Co., Ltd. should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

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

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

Is Yokota Manufacturing Co., Ltd. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Yokota Manufacturing Co., Ltd.

24.97%

1.76

25.20%

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)

5.60%

EBIT Growth (5y)

12.99%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.72

Sales to Capital Employed (avg)

0.77

Tax Ratio

30.85%

Dividend Payout Ratio

31.94%

Pledged Shares

Institutional Holding

ROCE (avg)

39.28%

ROE (avg)

8.51%

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

1.01

EV to EBIT

1.87

EV to EBITDA

1.68

EV to Capital Employed

1.02

EV to Sales

0.37

PEG Ratio

0.56

Dividend Yield

ROCE (Latest)

54.87%

ROE (Latest)

10.88%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

No Trend

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

4What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -4.55% (YoY

CASH AND EQV(HY)

Highest at JPY 3,736.59 MM

NET SALES(Q)

At JPY 608.74 MM has Grown at 20.57%

OPERATING PROFIT MARGIN(Q)

Highest at 27.6 %

-2What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.92 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 8 times

Here's what is working for Yokota Manufacturing Co., Ltd.

Net Sales

At JPY 608.74 MM has Grown at 20.57%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit Margin

Highest at 27.6 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Cash and Eqv

Highest at JPY 3,736.59 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -4.55% (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 17.8 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 Yokota Manufacturing Co., Ltd.

Inventory Turnover Ratio

Lowest at 2.92 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio

Lowest at 8 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio