ScoreWhy is ZOZO, Inc. ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 53.84%
- Healthy long term growth as Net Sales has grown by an annual rate of 11.17% and Operating profit at 18.52%
- Company has very low debt and has enough cash to service the debt requirements
2
With ROE of 45.93%, it has a very attractive valuation with a 14.10 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 -16.60%, its profits have risen by 1.8%
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to ZOZO, Inc. should be less than 10%
- Overall Portfolio exposure to E-Retail/ E-Commerce should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in E-Retail/ E-Commerce)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is ZOZO, Inc. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
ZOZO, Inc.
-18.21%
0.06
73.39%
Japan Nikkei 225
28.54%
1.14
25.81%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
11.17%
EBIT Growth (5y)
18.52%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.72
Sales to Capital Employed (avg)
1.91
Tax Ratio
29.92%
Dividend Payout Ratio
70.07%
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
298.40%
ROE (avg)
53.84%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
31
Industry P/E
Price to Book Value
14.10
EV to EBIT
20.39
EV to EBITDA
19.00
EV to Capital Employed
48.48
EV to Sales
6.19
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
237.78%
ROE (Latest)
45.93%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend1What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -0.01% (YoY
-16What is not working for the Company
ROCE(HY)
Lowest at 54.28%
INTEREST COVERAGE RATIO(Q)
Lowest at 29,374.6
DEBT-EQUITY RATIO
(HY)
Highest at -18.23 %
INTEREST(Q)
Highest at JPY 63 MM
Here's what is working for ZOZO, Inc.
Raw Material Cost
Fallen by -0.01% (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 1,585 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 ZOZO, Inc.
Interest
At JPY 63 MM has Grown at 53.66%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Interest Coverage Ratio
Lowest at 29,374.6
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest
Highest at JPY 63 MM
in the last five periods and Increased by 53.66% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Debt-Equity Ratio
Highest at -18.23 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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