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.

WELLNEO SUGAR Co. Ltd.

Yonkyu Co., Ltd.

Feed One Co., Ltd.

Fuji Nihon Seito Corp.

Kadoya Sesame Mills Inc.

Sato Foods Co., Ltd. (Niigata)

Hokuto Corp.

J-Oil Mills, Inc.

Yukiguni Maitake Co., Ltd.

Nippon Beet Sugar Manufacturing Co., Ltd.

Why is Yonkyu 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 2.10% over the last 5 years

With a growth in Net Profit of 93.38%, the company declared Very Positive results in Dec 25

The company has declared positive results in Jan 70 after 10 consecutive negative quarters
ROCE(HY) Highest at 9.37%
INTEREST COVERAGE RATIO(Q) Highest at 21,667.3
RAW MATERIAL COST(Y) Fallen by -30.86% (YoY)

With ROE of 3.64%, it has a expensive valuation with a 0.70 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 38.49%, its profits have fallen by -13.4%
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, Medium Return

Absolute

Risk Adjusted

Volatility

Yonkyu Co., Ltd.

38.49%

2.13

17.94%

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)

2.10%

EBIT Growth (5y)

1.92%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.34

Sales to Capital Employed (avg)

1.00

Tax Ratio

33.22%

Dividend Payout Ratio

17.29%

Pledged Shares

Institutional Holding

ROCE (avg)

11.20%

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

0.70

EV to EBIT

8.95

EV to EBITDA

6.28

EV to Capital Employed

0.54

EV to Sales

0.31

PEG Ratio

Dividend Yield

0.02%

ROCE (Latest)

6.08%

ROE (Latest)

3.64%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

Bearish

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

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

22What is working for the Company

ROCE(HY)

Highest at 9.37%

INTEREST COVERAGE RATIO(Q)

Highest at 21,667.3

RAW MATERIAL COST(Y)

Fallen by -30.86% (YoY

CASH AND EQV(HY)

Highest at JPY 52,519.92 MM

DEBT-EQUITY RATIO (HY)

Lowest at -46.72 %

NET SALES(Q)

Highest at JPY 13,183.82 MM

OPERATING PROFIT(Q)

Highest at JPY 977.41 MM

OPERATING PROFIT MARGIN(Q)

Highest at 7.41 %

PRE-TAX PROFIT(Q)

At JPY 921.34 MM has Grown at 94.53%

NET PROFIT(Q)

At JPY 597.86 MM has Grown at 93.38%

-8What is not working for the Company

INTEREST(HY)

At JPY 8.86 MM has Grown at 11.22%

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.16 times

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

Interest Coverage Ratio

Highest at 21,667.3

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales

Highest at JPY 13,183.82 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (JPY MM)

Operating Profit

Highest at JPY 977.41 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (JPY MM)

Operating Profit Margin

Highest at 7.41 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

At JPY 921.34 MM has Grown at 94.53%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

At JPY 597.86 MM has Grown at 93.38%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Cash and Eqv

Highest at JPY 52,519.92 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -46.72 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -30.86% (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 172.41 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 Yonkyu Co., Ltd.

Interest

At JPY 8.86 MM has Grown at 11.22%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Debtors Turnover Ratio

Lowest at 4.16 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio