Monotaro Co., Ltd. (OTCMKTS:MONOY) experienced a significant increase in its share price prior to the market opening on Tuesday, following a positive rating adjustment from Goldman Sachs. The stock, which had closed at $15.33, opened at $15.8650 and was last traded at $15.7940 with a trading volume of 99,615 shares.
Goldman Sachs Upgrades Monotaro’s Stock Rating
In a research note released on December 14, 2023, analysts at The Goldman Sachs Group upgraded Monotaro’s rating from a “strong sell” to a “hold.” This change reflects a more favorable outlook on the company’s performance, with two additional analysts also providing a “hold” rating, resulting in an average rating of “hold” according to data from MarketBeat.
The company’s last quarterly earnings report, which was disclosed on October 30, 2023, showed earnings per share (EPS) of $0.11. Monotaro reported a net margin of 9.57% and a return on equity of 33.81%, alongside revenues of $550.48 million for the quarter. Sell-side analysts forecast that Monotaro will achieve an EPS of $0.40 for the current fiscal year.
About Monotaro
Monotaro, established in 2000 as a subsidiary of IT Holdings Co., operates an e-commerce platform focused on maintenance, repair, and operations (MRO) supplies. The Japan-based company caters primarily to small and medium-sized enterprises, contractors, and facility managers, offering an extensive range of industrial products including tools, safety equipment, fasteners, electrical components, and consumables.
Through its online marketplaces in Japan and its regional subsidiary in Singapore, Monotaro boasts a selection of several million stock-keeping units (SKUs). The company emphasizes efficient procurement processes, competitive pricing, and logistics capabilities that enable same- or next-day shipments.
As the market continues to react to the upgraded ratings and the company’s solid financial performance, investors will be closely monitoring Monotaro’s stock movements and future earnings potential.
