ktk Inc. (3035) AI Stock Analysis

• Market Cap: ¥3.36B
• Dividend Yield: 2.72%
• Average Volume (3M): 38.44K
• Price to Earnings (P/E): 10.4
• Beta (1Y): 0.40
• Revenue Growth: 5.99%
• EPS Growth: -2.02%
• Country: JP
• Employees: 302
• Sector: Industrials
• Sector Strength: 72
• Industry: Business Equipment & Supplies
• EPS (TTM): 23.40
• Shares Outstanding: 5,725,000
• 10 Day Avg. Volume: 4,580
• 30 Day Avg. Volume: 38,440
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ¥697.00
• Price Target Upside: 11.34% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 70 Outperform
• Price Target: ¥697.00 ▲(11.34% Upside)

ktk Inc. has a strong financial foundation with consistent growth and a solid balance sheet, contributing significantly to its overall score. However, technical analysis indicates bearish momentum, which weighs down the score. The stock's valuation is attractive, with a low P/E ratio and a decent dividend yield, providing some support to the overall score.

ktk Inc. Business Overview & Revenue Model

Company Description

KTK Inc. (3035) is a prominent company operating in the industrial sector, primarily focusing on the manufacturing and distribution of railway components and systems. The company is well-known for its comprehensive range of products, including railway signaling equipment, track components, and maintenance solutions. KTK Inc. is committed to innovation and quality, ensuring that its products meet the high standards required by modern railway infrastructures.

How the Company Makes Money

KTK Inc. generates revenue through the sale of its railway components and systems to various clients within the transportation industry, including national rail operators, private railway companies, and urban transit systems. The company's revenue streams are primarily derived from product sales, maintenance contracts, and installation services. KTK Inc. also collaborates with strategic partners and suppliers to enhance its product offerings and expand its market reach. Additionally, the company invests in research and development to create innovative solutions, which helps to maintain its competitive edge and secure long-term contracts with key clients.

ktk Inc. Financial Statement Overview

Summary

ktk Inc. exhibits strong financial performance with consistent revenue and profit growth, stable margins, and a solid balance sheet. The company is well-positioned in the industry, although past fluctuations in cash flow suggest the need for careful monitoring.

Income Statement

ktk Inc. has demonstrated consistent revenue growth over the past years, with a notable increase from 2023 to 2024. The gross profit margin is healthy, indicating efficient cost management. The net profit margin has also improved, reflecting enhanced profitability. EBIT and EBITDA margins are stable, suggesting strong operational performance.

Balance Sheet

The company's balance sheet is robust with a favorable debt-to-equity ratio, indicating prudent financial leverage. The return on equity is strong, showcasing effective use of shareholder funds. The equity ratio is solid, reflecting a stable financial structure with a good proportion of equity financing.

Cash Flow

ktk Inc. has shown positive free cash flow growth, indicating strong cash generation capabilities. The operating cash flow to net income ratio is positive, suggesting efficient cash conversion from profits. However, fluctuations in free cash flow in previous years highlight potential volatility in cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	18.62B	18.11B	17.61B	17.20B	17.29B	16.66B
Gross Profit	4.34B	4.24B	3.98B	3.73B	3.67B	3.47B
EBITDA	636.54M	670.65M	638.67M	605.97M	589.85M	444.03M
Net Income	323.05M	345.33M	310.19M	315.33M	333.02M	233.56M
Balance Sheet
Total Assets	9.15B	8.87B	8.45B	8.38B	8.45B	8.45B
Cash, Cash Equivalents and Short-Term Investments	2.43B	2.26B	2.24B	2.22B	2.65B	2.72B
Total Debt	1.03B	897.09M	908.40M	1.14B	968.94M	1.32B
Total Liabilities	4.84B	4.66B	4.58B	4.76B	5.04B	5.32B
Stockholders Equity	4.30B	4.21B	3.88B	3.62B	3.41B	3.12B
Cash Flow
Free Cash Flow	0.00	222.00M	310.67M	-226.87M	315.52M	505.12M
Operating Cash Flow	0.00	282.79M	405.50M	-188.60M	400.04M	546.92M
Investing Cash Flow	0.00	-143.75M	-46.35M	-291.69M	-52.86M	107.03M
Financing Cash Flow	0.00	-132.30M	-345.40M	63.47M	-412.27M	-70.62M

ktk Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 626.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3035, the sentiment is Positive. The current price of 626 is above the 20-day moving average (MA) of 623.80, below the 50-day MA of 650.04, and above the 200-day MA of 598.31, indicating a neutral trend. The MACD of -8.08 indicates Negative momentum. The RSI at 45.31 is Neutral, neither overbought nor oversold. The STOCH value of 58.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3035.

ktk Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3035	70 Outperform	¥3.36B	10.36	―	2.72%	5.99%	-2.02%
7999	70 Outperform	¥12.17B	17.27	5.80%	4.57%	2.61%	-57.31%
7975	70 Neutral	¥4.15B	10.98	3.87%	2.05%	4.21%	―
7957	67 Neutral	¥2.34B	5.56	3.76%	5.10%	9.24%	―
7314	66 Neutral	¥4.06B	138.25	7.08%	2.21%	62.76%	-94.53%
7992	46 Neutral	¥3.50B	-3.39	-91.11%	―	4.61%	33.80%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%