Is there Intrinsic Value in For These Shares? Katakura Industries Co.,Ltd. (TSE:3001), World Holdings Co., Ltd. (TSE:2429)

The ERP5 Rank is an investment resource that analysts use to uncloak undervalued companies.  The ERP5 looks at the Price to Book ratio, Earnings Yield, ROIC and 5 year average ROIC.  The ERP5 of Katakura Industries Co.,Ltd. (TSE:3001) is 10029.  The lower the ERP5 rank, the more undervalued a firm is thought to be.

At some point in time, traders may have to deal with the overconfidence issue when dealing with the market. Traders may have times when they go on runs where everything works out. This may cause the individual to become overconfident in their ability and possibly lead to uninformed decisions late on. When the good times are rolling, it can be easy to think that the winners are a direct result of skill. This may be true, but if this is incorrect, it can lead to portfolio damage in the future. Having is long string of winning trades is a great thing, but markets can be cruel and have the ability to turn very quickly. Approaching every trade with the same research and examination may assist the trader to make better decisions when a string of trades eventually go the wrong way.

The Q.i. Value of Katakura Industries Co.,Ltd. (TSE:3001) is 47.00000. The Q.i. Value is another useful resource in determining if a firm is undervalued or not. The Q.i. Value is determined using the following ratios: EBITDA Yield, Earnings Yield, FCF Yield, and Liquidity. The lower the Q.i. value, the more undervalued the firm is thought to be.

Technicals
The EBITDA Yield is a great way to determine a firm’s profitability. This number is determined by dividing a firm’s earnings before interest, taxes, depreciation and amortization by the firm’s enterprise value. Enterprise Value is determined by taking the market cap plus debt, minority interest and preferred shares, minus total cash and cash equivalents. The EBITDA Yield for Katakura Industries Co.,Ltd. (TSE:3001) is 0.057270.

The Earnings to Price yield of Katakura Industries Co.,Ltd. (TSE:3001) is 0.033886.  This is determined by taking the EPS and dividing it by the last closing stock price.  This is one of the most trendy formulas investors use to grade a firm’s financial performance.  Earnings Yield is determined by taking the operating income or earnings before interest and taxes (EBIT) and dividing it by the Enterprise Value of the firm.  The Earnings Yield for Katakura Industries Co.,Ltd. (TSE:3001) is 0.018692.  Earnings Yield helps investors quantify the return on investment for a given firm.  Similarly, the Earnings Yield Five Year Average is the five year average operating income or EBIT divided by the current enterprise value.  The Earnings Yield Five Year average for Katakura Industries Co.,Ltd. is 0.013374.

The FCF Yield 5yr Average is determined by taking the five year average free cash flow of a firm, and dividing it by the current enterprise value. Enterprise Value is determined by taking the market cap plus debt, minority interest and preferred shares, minus total cash and cash equivalents. The average FCF of a firm is determined by considering at the cash generated by operations of the firm. The Free Cash Flow Yield 5 Year Average of Katakura Industries Co.,Ltd. (TSE:3001) is -0.011763.

Ratios

The Current Ratio of Katakura Industries Co.,Ltd. (TSE:3001) is 2.42. The Current Ratio is used by investors to determine whether a firm can pay short term and long term debts. The current ratio looks at all the liquid and non-liquid assets compared to the firm’s total current liabilities. A high current ratio reveals that the firm might have trouble managing their working capital. A low current ratio (when the current liabilities are higher than the current assets) reveals that the firm may have trouble paying their short term obligations.

The Leverage Ratio of Katakura Industries Co.,Ltd. (TSE:3001) is 0.139059.  Leverage ratio is the total debt of a firm divided by total assets of the current and past year divided by two.  Companies take on debt to finance their day to day operations.  The leverage ratio can quantify how much of a firm’s capital comes from debt.  With this ratio, investors can better estimate how well a firm will be able to pay their long and short term financial obligations.

The price to book ratio or market to book ratio for Katakura Industries Co.,Ltd. (TSE:3001) currently stands at 0.676645.  The ratio is determined by dividing the stock price per share by the book value per share.  This ratio is used to determine how the market values the equity.  A ratio of under 1 typically reveals that the shares are undervalued.  A ratio over 1 reveals that the market is willing to pay more for the shares.  There are often many underlying factors that come into play with the Price to Book ratio so all additional metrics should be considered as well. 

Adding it All Up

The Piotroski F-Score is a scoring system between 1-9 that determines a firm’s financial strength.  The score helps determine if a firm’s stock is valuable or not.  The Piotroski F-Score of Katakura Industries Co.,Ltd. (TSE:3001) is 6.  A score of nine reveals a high value stock, while a score of one reveals a low value stock.  The score is determined by the return on assets (ROA), Cash flow return on assets (CFROA), change in return of assets, and quality of earnings.  It is also determined by a change in gearing or leverage, liquidity, and change in shares in issue.  The score is also determined by change in gross margin and change in asset turnover.

The Gross Margin Score is determined by considering at the Gross Margin and the overall stability of the firm over the course of 8 years. The score is a number between one and one hundred (1 being best and 100 being the worst). The Gross Margin Score of Katakura Industries Co.,Ltd. (TSE:3001) is 26.00000. The more stable the firm, the lower the score. If a firm is less stable over the course of time, they will have a higher score.

Investors will be closely tracking the equity market as we charge through the last couple of months of the year. They may be doing a review of the portfolio to see what moves have worked and which ones haven’t. Reviewing specific holdings and past entry and exit points may assist the investor develop new ideas to trade on in the future. Staying on top of market happenings and the economic landscape can be a challenge. Investors will be closely following the action over the next quarter to assist gauge whether the bulls will remain out front, or if the bears will take the lead. 

World Holdings Co., Ltd. (TSE:2429) has an ERP5 rank of 2892. The ERP5 Rank is an investment resource that analysts use to uncloak undervalued companies.  The ERP5 looks at the Price to Book ratio, Earnings Yield, ROIC and 5 year average ROIC.  The lower the ERP5 rank, the more undervalued a firm is thought to be.

Investors may be considering for the next positive catalyst to create a solid breakout. Some may be wondering when the party will end, and it remains to be seen if excess and profit-taking rotation may create any pullbacks in the upcoming quarter. Investors may have to make a decision whether to ease-up or remain aggressive. Investors may also be closely watching winners and losers, especially in the technology sector. Understanding and researching the space may be highly imperative when managing the investment portfolio. The key for investors will be to try and find the winners in the space and find the companies that are either creating new technology or adapting to it rapidly.

The Q.i. Value of World Holdings Co., Ltd. (TSE:2429) is 28.00000. The Q.i. Value is another useful resource in determining if a firm is undervalued or not. The Q.i. Value is determined using the following ratios: EBITDA Yield, Earnings Yield, FCF Yield, and Liquidity. The lower the Q.i. value, the more undervalued the firm is thought to be.

The EBITDA Yield is a great way to determine a firm’s profitability. This number is determined by dividing a firm’s earnings before interest, taxes, depreciation and amortization by the firm’s enterprise value. Enterprise Value is determined by taking the market cap plus debt, minority interest and preferred shares, minus total cash and cash equivalents. The EBITDA Yield for World Holdings Co., Ltd. (TSE:2429) is 0.112750.

The Earnings to Price yield of World Holdings Co., Ltd. (TSE:2429) is 0.123307.  This is determined by taking the EPS and dividing it by the last closing stock price.  This is one of the most trendy formulas investors use to grade a firm’s financial performance.  Earnings Yield is determined by taking the operating income or earnings before interest and taxes (EBIT) and dividing it by the Enterprise Value of the firm.  The Earnings Yield for World Holdings Co., Ltd. (TSE:2429) is 0.096275.  Earnings Yield helps investors quantify the return on investment for a given firm.  Similarly, the Earnings Yield Five Year Average is the five year average operating income or EBIT divided by the current enterprise value.  The Earnings Yield Five Year average for World Holdings Co., Ltd. is 0.060908.

The FCF Yield 5yr Average is determined by taking the five year average free cash flow of a firm, and dividing it by the current enterprise value. Enterprise Value is determined by taking the market cap plus debt, minority interest and preferred shares, minus total cash and cash equivalents. The average FCF of a firm is determined by considering at the cash generated by operations of the firm. The Free Cash Flow Yield 5 Year Average of World Holdings Co., Ltd. (TSE:2429) is -0.006577.

Price Index

We can now take a quick glance at some historical stock price index data. World Holdings Co., Ltd. (TSE:2429) right now has a 10 month price index of 0.54200. The price index is determined by dividing the current stock price by the stock price ten months ago. A ratio over one reveals an increase in stock price over the timeframe. A ratio lower than one shows that the price has decreased over that time timeframe. Gazing at some nonstandard time periods, the 12 month price index is 0.71695, the 24 month is 1.21940, and the 36 month is 2.16337. Narrowing in a bit closer, the 5 month price index is 0.66341, the 3 month is 0.83176, and the 1 month is currently 0.98177.

Returns

Gazing at some ROIC (Return on Invested Capital) numbers, World Holdings Co., Ltd. (TSE:2429)’s ROIC is 0.266151. The ROIC 5 year average is 0.248312 and the ROIC Quality ratio is 6.778554. ROIC is a profitability ratio that measures the return that an investment generates for those providing capital. ROIC helps show how efficient a firm is at turning capital into profits.

World Holdings Co., Ltd. (TSE:2429) has a Price to Book ratio of 2.108115. This ratio is determined by dividing the current stock price by the book value per share. Investors may use Price to Book to display how the market portrays the value of a stock. Checking in on some other ratios, the firm has a Price to Cash Flow ratio of , and a current Price to Earnings ratio of 8.109827. The P/E ratio is one of the most common ratios used for figuring out whether a firm is overvalued or undervalued.

World Holdings Co., Ltd. (TSE:2429) right now has a current ratio of 1.45. The current ratio, also known as the working capital ratio, is a liquidity ratio that displays the proportion of current assets of a business relative to the current liabilities. The ratio is simply determined by dividing current liabilities by current assets. The ratio may be used to provide an idea of the ability of a certain firm to pay back its liabilities with assets. Typically, the higher the current ratio the better, as the firm may be more capable of paying back its obligations.

The Price to book ratio is the current stock price of a firm divided by the book value per share.  The Price to Book ratio for World Holdings Co., Ltd. TSE:2429 is 2.108115.  A lower price to book ratio reveals that the stock might be undervalued.  Similarly, Price to cash flow ratio is another useful ratio in determining a firm’s value.  The Price to Cash Flow for World Holdings Co., Ltd. (TSE:2429) is .  This ratio is determined by dividing the market value of a firm by cash from operating activities.  Additionally, the price to earnings ratio is another trendy way for analysts and investors to determine a firm’s profitability.  The price to earnings ratio for World Holdings Co., Ltd. (TSE:2429) is 8.109827. This ratio is found by taking the current stock price and dividing by EPS.

Market watchers diligently track the companies they think can do well to grow earnings. The goal is typically to uncloak stocks that are most likely to outperform in the future. Many investors like to keep tabs on sell-side broker views. Following the direction estimates are trending may provide a deeper glimpse into the health of a firm. Investors may need to keep track of a disciplined system which may assist keep emotions in check when making investment decisions. On the other end, it may be required to craft a new strategy if the old system isn’t providing the types of expected returns. It can also become very time-consuming to keep up with shorter-term trends and events. Managing the short-term plan with the long-term plan can be difficult given the existing economic climate.

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