Zuiko Corp. (6279) 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

Nittoku Co., Ltd.

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Sodick Co., Ltd.

Teikoku Electric Manufacturing Co., Ltd.

Iwaki Co. Ltd.

Rheon Automatic Machinery Co., Ltd.

Nitto Kohki Co., Ltd.

Zuiko Corp.

Tazmo Co., Ltd.

Aval Data Corp.

Roland DG Corp.

Why is Zuiko Corp. ?

Poor Management Efficiency with a low ROE of 4.03%

The company has been able to generate a Return on Equity (avg) of 4.03% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -1.27% over the last 5 years

Negative results in May 26

INTEREST(HY) At JPY 35.97 MM has Grown at 37%
NET PROFIT(Q) At JPY -181.66 MM has Fallen at -331.19%
DEBT-EQUITY RATIO (HY) Highest at -12.55 %

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -9.29% returns in the last 1 year, the stock has also underperformed Japan Nikkei 225 in each of the last 3 annual periods

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 Industrial Manufacturing)

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

Is Zuiko Corp. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Zuiko Corp.

-9.29%

-0.59

25.74%

Japan Nikkei 225

85.83%

3.09

27.80%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.27%

EBIT Growth (5y)

-17.51%

EBIT to Interest (avg)

30.21

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.18

Sales to Capital Employed (avg)

0.52

Tax Ratio

13.23%

Dividend Payout Ratio

16.10%

Pledged Shares

Institutional Holding

ROCE (avg)

5.38%

ROE (avg)

4.03%

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

0.77

EV to EBIT

29.74

EV to EBITDA

12.70

EV to Capital Employed

0.71

EV to Sales

0.89

PEG Ratio

0.36

Dividend Yield

0.11%

ROCE (Latest)

2.39%

ROE (Latest)

1.11%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

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

6What is working for the Company

PRE-TAX PROFIT(Q)

At JPY 196.39 MM has Grown at 380.44%

ROCE(HY)

Highest at 5.31%

RAW MATERIAL COST(Y)

Fallen by -0.34% (YoY

-31What is not working for the Company

INTEREST(HY)

At JPY 35.97 MM has Grown at 37%

NET PROFIT(Q)

At JPY -181.66 MM has Fallen at -331.19%

DEBT-EQUITY RATIO (HY)

Highest at -12.55 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.15 times

NET SALES(Q)

Lowest at JPY 4,170.88 MM

EPS(Q)

Lowest at JPY -6.99

Here's what is working for Zuiko Corp.

Pre-Tax Profit

At JPY 196.39 MM has Grown at 380.44%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (JPY MM)

Raw Material Cost

Fallen by -0.34% (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 Zuiko Corp.

Interest

At JPY 35.97 MM has Grown at 37%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Net Sales

At JPY 4,170.88 MM has Fallen at -19.24%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely negative

Net Sales (JPY MM)

Net Profit

At JPY -181.66 MM has Fallen at -331.19%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (JPY MM)

Net Sales

Lowest at JPY 4,170.88 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (JPY MM)

EPS

Lowest at JPY -6.99

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (JPY)

Debt-Equity Ratio

Highest at -12.55 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 2.15 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio