Why is Yorozu Corp. ?
1
With a growth in Operating Profit of 35%, the company declared Outstanding results in Jun 26
- The company has declared positive results for the last 3 consecutive quarters
- NET PROFIT(Q) At JPY 856.02 MM has Grown at 438.13%
- ROCE(HY) Highest at 5.34%
- PRE-TAX PROFIT(Q) At JPY 1,034 MM has Grown at 149.76%
2
With ROCE of 2.70%, it has a very attractive valuation with a 0.55 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 -9.85%, its profits have fallen by -400.8%
- At the current price, the company has a high dividend yield of 0
How much should you buy?
- Overall Portfolio exposure to Yorozu Corp. should be less than 10%
- Overall Portfolio exposure to Auto Components & Equipments should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Yorozu Corp. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Yorozu Corp.
-5.89%
-0.70
28.26%
Japan Nikkei 225
60.14%
2.04
29.37%
Quality key factors
Factor
Value
Sales Growth (5y)
7.46%
EBIT Growth (5y)
25.46%
EBIT to Interest (avg)
3.44
Debt to EBITDA (avg)
0.85
Net Debt to Equity (avg)
0.21
Sales to Capital Employed (avg)
1.89
Tax Ratio
32.19%
Dividend Payout Ratio
36.36%
Pledged Shares
0
Institutional Holding
0.06%
ROCE (avg)
4.00%
ROE (avg)
1.62%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
0.43
EV to EBIT
20.57
EV to EBITDA
4.44
EV to Capital Employed
0.55
EV to Sales
0.21
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
2.70%
ROE (Latest)
-2.98%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Sideways
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Movement
20What is working for the Company
NET PROFIT(Q)
At JPY 856.02 MM has Grown at 438.13%
ROCE(HY)
Highest at 5.34%
PRE-TAX PROFIT(Q)
At JPY 1,034 MM has Grown at 149.76%
RAW MATERIAL COST(Y)
Fallen by -21.62% (YoY
INVENTORY TURNOVER RATIO(HY)
Highest at 9.26 times
-5What is not working for the Company
INTEREST(Q)
Highest at JPY 270 MM
Here's what is working for Yorozu Corp.
Net Profit
At JPY 856.02 MM has Grown at 438.13%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very positive
Net Profit (JPY MM)
Pre-Tax Profit
At JPY 1,034 MM has Grown at 149.76%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (JPY MM)
Inventory Turnover Ratio
Highest at 9.26 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by -21.62% (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 1,606 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
Here's what is not working for Yorozu Corp.
Interest
Highest at JPY 270 MM
in the last five periods and Increased by 8.87% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)






