Japanese stock alert

JAP

CLOSING UPDATE: Daikin Industries decreases further 0.1% on robust volume 20 September 2018 16:35 JST

NEWS BITES - JAPAN

This is an end of day Alert, produced after today's Japan market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

Daikin Industries, the largest machinery/industrial goods company by market capitalisation in Japan's, traded on heavy volume of 1.8 times average today while the price dropped JPY400.0 (or 2.6%) to trade at JPY15,205.0. Compared with the Nikkei 225 Index which rose 2.4 points (or 0.01%) in the day, this represented a relative price change of -2.6%.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

+ Price/Earnings of 19.4 [16.3]

+ Price/Sales of 1.9 [1.1]

+ Price to Book of 5.5 [1.8]

+ Dividend yield of 0.9% [1.8%]

Note

Bullish Signals:

The positive 456.69 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

The stock has outperformed 92% of the Japan market over the past 6 months.

In the last three months the stock has hit a new 52-week high seven times, pointing to a significant uptrend.

Interest cover is less leveraged at 24.6 times.

Total Liabilities/EBITDA of 4.4 is less than the Joseph Piotroski benchmark of <5.

Tobin's Q Ratio is 1.8. Compared with the rest of the market the stock is undervalued.

Net profit margin has averaged 7.8% in the last 3 years. This is better than the sector average of 5.6% and suggests a high margin of safety.

As per the Du Pont analysis, Return on Equity of 15.2% is better than sector average of 9.8%.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

Return on Equity 15.2% [9.8%]

Return on Assets 7.8% [5.3%]

Return on Capital Employed 14.1% [9.4%]

TODAY'S ALERTS

Afternoon Alert: Daikin Industries drops 2.5%

20 September 2018 12:59 JST

Daikin Industries Ltd. (TO:6367) traded on volume of 0.8 times average so far today while the price dropped JPY390.0 (or 2.5%) to trade at JPY15,215.0.

Morning Alert: Daikin Industries drops 2.1%

20 September 2018 11:13 JST

Daikin Industries Ltd. (TO:6367) traded on volume of 0.8 times average so far today while the price dropped JPY325.0 (or 2.1%) to trade at JPY15,280.0.

RECENT ALERTS

CLOSING UPDATE: Daikin Industries increases further 0.4% - outperforming 92% of stocks

19 September 2018 16:34 JST

Daikin Industries, the largest machinery/industrial goods company by market capitalisation in Japan's, has lifted JPY480.0 (or 3.2%) today to trade at JPY15,605.0 and has outperformed 92% of the market in the past week. A price rise combined with a high relative strength is a bullish signal. Compared with the Nikkei 225 Index which rose 252.0 points (or 1.1%) in the day, this represented a relative price increase of 2.1%.

Morning Alert: Daikin Industries lifts 2.7% - outperforming 91% of stocks

19 September 2018 11:13 JST

Daikin Industries Ltd. (TO:6367) has lifted JPY415.0 (or 2.7%) today to trade at JPY15,540.0 and has outperformed 91% of the market in the past week. A price rise combined with a high relative strength is a bullish signal.

Daikin Industries Ltd. (TO:6367; TYO:6367; T:6367; JP:6367)

ISIN: JP3481800005

Source: www.BuySellSignals.com