Yuki Gosei Kogyo Co., Ltd. (4531) 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

Nankai Chemical Co., Ltd.

DKS Co., Ltd.

MORESCO Corp.

Lonseal Corp.

Fukuvi Chemical Industry Co., Ltd.

Rasa Industries, Ltd.

Nicca Chemical Co., Ltd.

New Japan Chemical Co., Ltd.

Toho Acetylene Co., Ltd.

Green Earth Institute Co., Ltd.

Yuki Gosei Kogyo Co., Ltd.

Why is Yuki Gosei Kogyo Co., Ltd. ?

Poor Management Efficiency with a low ROCE of 4.45%

The company has been able to generate a Return on Capital Employed (avg) of 4.45% signifying low profitability per unit of total capital (equity and debt)

The company is Net-Debt Free

The company is Net-Debt Free
The company has been able to generate a Return on Equity (avg) of 4.53% signifying low profitability per unit of shareholders funds

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 4.45%

The company has declared Negative results for the last 7 consecutive quarters

NET PROFIT(HY) At JPY 230 MM has Grown at -55.85%
INTEREST(HY) At JPY 67 MM has Grown at 15.52%
ROCE(HY) Lowest at 3.16%

With ROCE of 4.57%, it has a attractive valuation with a 0.70 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 30.11%, its profits have fallen by -29.9%
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

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

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Yuki Gosei Kogyo Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Yuki Gosei Kogyo Co., Ltd.

31.11%

0.25

60.19%

Japan Nikkei 225

60.14%

2.04

29.37%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.63%

EBIT Growth (5y)

51.54%

EBIT to Interest (avg)

13.63

Debt to EBITDA (avg)

2.89

Net Debt to Equity (avg)

0.56

Sales to Capital Employed (avg)

0.72

Tax Ratio

13.30%

Dividend Payout Ratio

68.97%

Pledged Shares

Institutional Holding

ROCE (avg)

4.57%

ROE (avg)

4.53%

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

0.53

EV to EBIT

15.37

EV to EBITDA

6.53

EV to Capital Employed

0.70

EV to Sales

0.96

PEG Ratio

Dividend Yield

ROCE (Latest)

4.57%

ROE (Latest)

4.96%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bullish

Dow Theory

Mildly Bullish

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

8What is working for the Company

DEBT-EQUITY RATIO (HY)

Lowest at 37.11 %

DEBTORS TURNOVER RATIO(HY)

Highest at 4.92 times

PRE-TAX PROFIT(Q)

Highest at JPY 266 MM

NET PROFIT(Q)

Highest at JPY 200 MM

EPS(Q)

Highest at JPY 9.25

-16What is not working for the Company

NET PROFIT(HY)

At JPY 230 MM has Grown at -55.85%

INTEREST(HY)

At JPY 67 MM has Grown at 15.52%

ROCE(HY)

Lowest at 3.16%

RAW MATERIAL COST(Y)

Grown by 15.04% (YoY

Here's what is working for Yuki Gosei Kogyo Co., Ltd.

Pre-Tax Profit

At JPY 266 MM has Grown at 148.6%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Pre-Tax Profit

Highest at JPY 266 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (JPY MM)

Net Profit

Highest at JPY 200 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

Net Profit

At JPY 200 MM has Grown at 108.33%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (JPY MM)

EPS

Highest at JPY 9.25

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Lowest at 37.11 %

in the last five Semi-Annual periods

MOJO Watch

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

Debt-Equity Ratio

Debtors Turnover Ratio

Highest at 4.92 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Depreciation

At JPY 304 MM has Grown at 68.89%

period on period (QoQ)

MOJO Watch

The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales

Depreciation (JPY MM)

Here's what is not working for Yuki Gosei Kogyo Co., Ltd.

Interest

At JPY 67 MM has Grown at 15.52%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Raw Material Cost

Grown by 15.04% (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

Non Operating Income

Highest at JPY 0.96 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income