Medirom Healthcare Technologies Stock Piotroski F Score

MRM Stock  USD 2.64  0.06  2.22%   
This module uses fundamental data of Medirom Healthcare to approximate its Piotroski F score. Medirom Healthcare F Score is determined by combining nine binary scores representing 3 distinct fundamental categories of Medirom Healthcare Technologies. These three categories are profitability, efficiency, and funding. Some research analysts and sophisticated value traders use Piotroski F Score to find opportunities outside of the conventional market and financial statement analysis.They believe that some of the new information about Medirom Healthcare financial position does not get reflected in the current market share price suggesting a possibility of arbitrage. Check out Medirom Healthcare Altman Z Score, Medirom Healthcare Correlation, Medirom Healthcare Valuation, as well as analyze Medirom Healthcare Alpha and Beta and Medirom Healthcare Hype Analysis.
  
At this time, Medirom Healthcare's Short and Long Term Debt is very stable compared to the past year. As of the 17th of November 2024, Debt To Equity is likely to grow to 7.72, while Net Debt is likely to drop about 2.3 B. At this time, Medirom Healthcare's Days Payables Outstanding is very stable compared to the past year. As of the 17th of November 2024, ROE is likely to grow to 0.57, while Days Sales Outstanding is likely to drop 21.35.
At this time, it appears that Medirom Healthcare's Piotroski F Score is Poor. Although some professional money managers and academia have recently criticized Piotroski F-Score model, we still consider it an effective method of predicting the state of the financial strength of any organization that is not predisposed to accounting gimmicks and manipulations. Using this score on the criteria to originate an efficient long-term portfolio can help investors filter out the purely speculative stocks or equities playing fundamental games by manipulating their earnings..
4.0
Piotroski F Score - Poor
Current Return On Assets

Positive

Focus
Change in Return on Assets

Increased

Focus
Cash Flow Return on Assets

Negative

Focus
Current Quality of Earnings (accrual)

Decreasing

Focus
Asset Turnover Growth

Decrease

Focus
Current Ratio Change

Decrease

Focus
Long Term Debt Over Assets Change

Lower Leverage

Focus
Change In Outstending Shares

Increase

Focus
Change in Gross Margin

Increase

Focus

Medirom Healthcare Piotroski F Score Drivers

The critical factor to consider when applying the Piotroski F Score to Medirom Healthcare is to make sure Medirom is not a subject of accounting manipulations and runs a healthy internal audit department. So, if Medirom Healthcare's auditors report directly to the board (not management), the managers will be reluctant to manipulate simply due to the fear of punishment. On the other hand, the auditors will be free to investigate the ledgers properly because they know that the board has their back. Below are the main accounts that are used in the Piotroski F Score model. By analyzing the historical trends of the mains drivers, investors can determine if Medirom Healthcare's financial numbers are properly reported.
Current ValueLast YearChange From Last Year 10 Year Trend
Asset Turnover0.690.9969
Way Down
Slightly volatile
Gross Profit Margin0.260.2298
Moderately Up
Slightly volatile
Net Debt2.3 B3.5 B
Way Down
Pretty Stable
Total Current Liabilities3.2 B3.6 B
Significantly Down
Slightly volatile
Non Current Liabilities Total2.9 B3.1 B
Notably Down
Slightly volatile
Total Assets6.3 B6.8 B
Significantly Down
Slightly volatile
Total Current Assets1.8 B1.8 B
Sufficiently Up
Slightly volatile

Medirom Healthcare F Score Driver Matrix

One of the toughest challenges investors face today is learning how to quickly synthesize historical financial statements and information provided by the company, SEC reporting, and various external parties in order to project the various growth rates. Understanding the correlation between Medirom Healthcare's different financial indicators related to revenue, expenses, operating profit, and net earnings helps investors identify and prioritize their investing strategies towards Medirom Healthcare in a much-optimized way.

About Medirom Healthcare Piotroski F Score

F-Score is one of many stock grading techniques developed by Joseph Piotroski, a professor of accounting at the Stanford University Graduate School of Business. It was published in 2002 under the paper titled Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers. Piotroski F Score is based on binary analysis strategy in which stocks are given one point for passing 9 very simple fundamental tests, and zero point otherwise. According to Mr. Piotroski's analysis, his F-Score binary model can help to predict the performance of low price-to-book stocks.

Common Stock Shares Outstanding

5.35 Million

At this time, Medirom Healthcare's Common Stock Shares Outstanding is very stable compared to the past year.

Medirom Healthcare Current Valuation Drivers

We derive many important indicators used in calculating different scores of Medirom Healthcare from analyzing Medirom Healthcare's financial statements. These drivers represent accounts that assess Medirom Healthcare's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Medirom Healthcare's important valuation drivers and their relationship over time.
201920202021202220232024 (projected)
Market Cap7.0B6.0B3.4B3.2B4.2B5.8B
Enterprise Value8.2B6.4B5.1B5.1B7.7B7.7B

Medirom Healthcare ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Medirom Healthcare's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Medirom Healthcare's managers, analysts, and investors.
Environmental
Governance
Social

About Medirom Healthcare Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Medirom Healthcare Technologies's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Medirom Healthcare using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Medirom Healthcare Technologies based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.

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When determining whether Medirom Healthcare is a strong investment it is important to analyze Medirom Healthcare's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Medirom Healthcare's future performance. For an informed investment choice regarding Medirom Stock, refer to the following important reports:
Is Health Care Providers & Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Medirom Healthcare. If investors know Medirom will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Medirom Healthcare listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.582
Earnings Share
(0.15)
Revenue Per Share
1.4 K
Quarterly Revenue Growth
(0.06)
Return On Assets
(0.04)
The market value of Medirom Healthcare is measured differently than its book value, which is the value of Medirom that is recorded on the company's balance sheet. Investors also form their own opinion of Medirom Healthcare's value that differs from its market value or its book value, called intrinsic value, which is Medirom Healthcare's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Medirom Healthcare's market value can be influenced by many factors that don't directly affect Medirom Healthcare's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Medirom Healthcare's value and its price as these two are different measures arrived at by different means. Investors typically determine if Medirom Healthcare is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Medirom Healthcare's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.