DB:MMK

Stock Analysis Report

Executive Summary

Relia, Inc. provides customer relationship management and business process outsourcing services in Japan.

Snowflake

Fundamentals

Flawless balance sheet with moderate growth potential.

Share Price & News

How has Relia's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.7%

MMK

0.3%

DE Commercial Services

1.4%

DE Market


1 Year Return

12.3%

MMK

-14.8%

DE Commercial Services

3.7%

DE Market

Return vs Industry: MMK exceeded the German Commercial Services industry which returned -14.8% over the past year.

Return vs Market: MMK exceeded the German Market which returned 3.7% over the past year.


Shareholder returns

MMKIndustryMarket
7 Day2.7%0.3%1.4%
30 Day3.2%-1.1%1.3%
90 Day13.0%0.5%3.4%
1 Year16.0%12.3%-11.7%-14.8%7.0%3.7%
3 Year46.5%34.3%3.1%-5.7%18.5%8.3%
5 Year75.9%52.8%-4.1%-17.6%42.2%22.9%

Price Volatility Vs. Market

How volatile is Relia's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Relia undervalued compared to its fair value and its price relative to the market?

27.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: MMK (€11.5) is trading below our estimate of fair value (€15.84)

Significantly Undervalued: MMK is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: MMK is unprofitable, so we can't compare its PE Ratio to the Commercial Services industry average.

PE vs Market: MMK is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate MMK's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: MMK is good value based on its PB Ratio (2.5x) compared to the DE Commercial Services industry average (2.7x).


Next Steps

Future Growth

How is Relia forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

18.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MMK is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: MMK is forecast to become profitable over the next 3 year, which is considered above average market growth.

High Growth Earnings: MMK's loss is forecast to worsen by 0% next year.

Revenue vs Market: MMK's revenue (4.2% per year) is forecast to grow slower than the German market (5% per year).

High Growth Revenue: MMK's revenue (4.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: MMK's Return on Equity is forecast to be low in 3 years time (13.1%).


Next Steps

Past Performance

How has Relia performed over the past 5 years?

-22.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: MMK is unprofitable, and losses have increased over the past 5 years at a rate of -22.4% per year.

Accelerating Growth: Unable to compare MMK's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: MMK is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (7.2%).


Return on Equity

High ROE: MMK has a negative Return on Equity (-17.15%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: MMK is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: MMK is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Relia's financial position?


Financial Position Analysis

Short Term Liabilities: MMK's short term assets (¥38.1B) exceeds its short term liabilities (¥15.6B)

Long Term Liabilities: MMK's short term assets (38.1B) exceeds its long term liabilities (3.1B)


Debt to Equity History and Analysis

Debt Level: MMK is debt free.

Reducing Debt: MMK had no debt 5 years ago.

Debt Coverage: MMK has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: MMK has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: MMK has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if MMK's debt is covered by short term assets.


Next Steps

Dividend

What is Relia's current dividend yield, its reliability and sustainability?

2.58%

Current Dividend Yield


Dividend Yield vs Market

company2.6%marketbottom25%1.5%markettop25%3.8%industryaverage3.7%forecastin3Years2.8%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: MMK's dividend (2.58%) is higher than the bottom 25% of dividend payers in the German market (1.47%).

High Dividend: MMK's dividend (2.58%) is low compared to the top 25% of dividend payers in the German market (3.83%).

Stable Dividend: MMK's dividend payments have been volatile in the past 10 years.

Growing Dividend: MMK's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: MMK is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Relia's salary, the management and board of directors tenure and is there insider trading?

0.8yrs

Average management tenure


CEO

Takashi Amino 0

0yrs

Tenure

0

Mr. Takashi Amino serves as President and Director at Relia, Inc., and its Chief Executive Officer since 2019. He served as an Auditor of Tokushu Tokai Paper Co., Ltd. 


Management Age and Tenure

0.8yrs

Average Tenure

Experienced Management: MMK's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Age and Tenure

2.3yrs

Average Tenure

Experienced Board: MMK's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Takashi Amino

    President

    • Tenure: 0yrs
  • Norihiko Koshida

    Managing Officer

    • Tenure: 0yrs
  • Toshiaki Nakajima

    Managing Officer

    • Tenure: 0yrs
  • Akihiko Nakamura

    MD & Director

    • Tenure: 2.3yrs
  • Yuhei Yokota

    Managing Officer

    • Tenure: 0yrs
  • Shoji Hagiwara

    Managing Officer

    • Tenure: 0yrs
  • Kazutaka Kiuchi

    Managing Officer

    • Tenure: 0.8yrs
  • Shinya Imai

    Managing Officer

    • Tenure: 0.8yrs

Board Members

  • Hirohisa Kondo

    Director

    • Tenure: 0yrs
  • Takashi Amino

    President

    • Tenure: 0yrs
  • Hitoshi Kurokawa

    Director

    • Tenure: 0yrs
  • Akihiko Nakamura

    MD & Director

    • Tenure: 2.3yrs
  • Junichi Kishigami (65yo)

    Director

    • Tenure: 4.3yrs
  • Shinichiro Kamada (66yo)

    Audit & Supervisory Board Member

    • Tenure: 2.3yrs
  • Takashi Kamikanda

    Audit & Supervisory Board Member

    • Tenure: 2.3yrs
  • Hiroyuki Koga

    Director

    • Tenure: 0.8yrs
  • Masahiro Moriyasu

    Director

    • Tenure: 0.8yrs
  • Mikako Yusa

    Director

    • Tenure: 0.8yrs

Company Information

Relia, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Relia, Inc.
  • Ticker: MMK
  • Exchange: DB
  • Founded: 1987
  • Industry: Office Services and Supplies
  • Sector: Commercial Services
  • Market Cap: JP¥96.007b
  • Listing Market Cap: JP¥794.217m
  • Shares outstanding: 68.92m
  • Website: https://www.relia-group.com

Number of Employees


Location

  • Relia, Inc.
  • 2-6-5 Yoyogi
  • Shibuya-ku
  • Tokyo
  • 151-0053
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
4708TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYOct 1998
MMKDB (Deutsche Boerse AG)YesCommon StockDEEUROct 1998

Biography

Relia, Inc. provides customer relationship management and business process outsourcing services in Japan. It offers call center operation services; customer services, and marketing or administrative servic ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 21:05
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.