Yonkyu Co., Ltd. (9955) 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

Chubushiryo Co., Ltd.

Nippon Beet Sugar Manufacturing Co., Ltd.

WELLNEO SUGAR Co. Ltd.

Feed One Co., Ltd.

Yonkyu Co., Ltd.

J-Oil Mills, Inc.

Yukiguni Maitake Co., Ltd.

Kadoya Sesame Mills Inc.

Fuji Nihon Seito Corp.

Hokuto Corp.

Sato Foods Co., Ltd. (Niigata)

Why is Yonkyu Co., Ltd. ?

Poor Management Efficiency with a low ROE of 5.26%

The company has been able to generate a Return on Equity (avg) of 5.26% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with a 3.99% CAGR growth in Net Sales over the last 5 years

The company has been able to generate a Return on Equity (avg) of 5.26% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of 3.99% over the last 5 years

With a growth in Net Profit of 99.8%, the company declared Very Positive results in Jun 26

The company has declared positive results for the last 4 consecutive quarters
ROCE(HY) Highest at 10.1%
RAW MATERIAL COST(Y) Fallen by -12.53% (YoY)
CASH AND EQV(HY) Highest at JPY 51,044.55 MM

With ROE of 9.05%, it has a fair valuation with a 0.79 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 15.22%, its profits have risen by 150.2% ; the PEG ratio of the company is 0.1
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Yonkyu Co., Ltd. should be less than 10%
Overall Portfolio exposure to Other Agricultural Products should be less than 30%

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

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

Is Yonkyu Co., Ltd. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Yonkyu Co., Ltd.

15.22%

1.19

23.24%

Japan Nikkei 225

59.79%

2.03

29.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.99%

EBIT Growth (5y)

0.20%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.34

Sales to Capital Employed (avg)

0.99

Tax Ratio

33.42%

Dividend Payout Ratio

8.09%

Pledged Shares

Institutional Holding

ROCE (avg)

10.41%

ROE (avg)

5.26%

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

0.79

EV to EBIT

7.68

EV to EBITDA

5.49

EV to Capital Employed

0.60

EV to Sales

0.29

PEG Ratio

0.06

Dividend Yield

ROCE (Latest)

7.86%

ROE (Latest)

9.05%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

Mildly Bullish

OBV

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

16What is working for the Company

ROCE(HY)

Highest at 10.1%

RAW MATERIAL COST(Y)

Fallen by -12.53% (YoY

CASH AND EQV(HY)

Highest at JPY 51,044.55 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 7.3 times

NET SALES(Q)

At JPY 12,383.91 MM has Grown at 23.28%

PRE-TAX PROFIT(Q)

At JPY 711.67 MM has Grown at 87.54%

NET PROFIT(Q)

At JPY 508.46 MM has Grown at 99.8%

-6What is not working for the Company

INTEREST(HY)

At JPY 8.96 MM has Grown at 12.52%

Here's what is working for Yonkyu Co., Ltd.

Net Sales

At JPY 12,383.91 MM has Grown at 23.28%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Pre-Tax Profit

At JPY 711.67 MM has Grown at 87.54%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 508.46 MM has Grown at 99.8%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Cash and Eqv

Highest at JPY 51,044.55 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 7.3 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -12.53% (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 Yonkyu Co., Ltd.

Interest

At JPY 8.96 MM has Grown at 12.52%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)