MBS Co., Ltd. (1401) AI Stock Analysis

• Market Cap: ¥6.39B
• Dividend Yield: 1.56%
• Average Volume (3M): 12.87K
• Price to Earnings (P/E): 13.7
• Beta (1Y): 0.64
• Revenue Growth: 2.39%
• EPS Growth: 5.65%
• Country: JP
• Employees: 86
• Sector: Industrials
• Sector Strength: 90
• Industry: Engineering & Construction
• EPS (TTM): 60.84
• Shares Outstanding: 7,732,000
• 10 Day Avg. Volume: 8,690
• 30 Day Avg. Volume: 12,873
• PEG Ratio: 1.62
• Price to Book (P/B): 1.68
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 70 Outperform
• Price Target: ―

MBS Co., Ltd. achieves a solid overall score, driven by robust financial performance with strong revenue and profit growth, a stable balance sheet, and excellent cash flow management. However, technical analysis indicates a bearish trend, which dampens the overall score. The valuation remains reasonable, providing some support to the stock's attractiveness.

MBS Co., Ltd. Business Overview & Revenue Model

Company Description

MBS Co., Ltd. (1401) is a company that operates within the construction and engineering sector. The company specializes in providing a wide range of services, including planning, designing, and executing construction projects. It offers comprehensive solutions tailored to meet the diverse needs of its clients, ensuring high-quality and sustainable results.

How the Company Makes Money

MBS Co., Ltd. generates revenue primarily through its construction and engineering services. The company earns income by undertaking various construction projects, ranging from residential and commercial buildings to infrastructure developments. Key revenue streams include contract fees for project design and execution, consulting services, and project management. Additionally, the company may engage in strategic partnerships with suppliers and subcontractors to optimize costs and expand service offerings. Factors such as long-term contracts, reputation for quality, and client relationships significantly contribute to its earnings.

MBS Co., Ltd. Financial Statement Overview

Summary

MBS Co., Ltd. showcases a strong financial performance with significant revenue and profit growth. The company maintains a robust balance sheet with minimal leverage and demonstrates excellent cash flow management, indicating financial stability and growth.

Income Statement

MBS Co., Ltd. demonstrated strong revenue growth with a Revenue Growth Rate of 8.8% from 2023 to 2024, and a healthy Gross Profit Margin of 30.7%. The Net Profit Margin improved to 9.3% in 2024, indicating enhanced profitability. The EBIT Margin stands at 11.4%, while the EBITDA Margin is 14.5%, reflecting efficient operational management. Overall, the income statement reflects solid growth and profitability, supported by efficient cost management.

Balance Sheet

The company maintains a robust financial position with a low Debt-to-Equity Ratio of 0.004, indicating minimal leverage and strong capital structure. The Return on Equity (ROE) is a solid 11.6%, showing good returns on shareholder investment. The Equity Ratio is 78.8%, reflecting a strong equity base relative to total assets. The balance sheet highlights financial stability and low risk with minimal debt obligations.

Cash Flow

MBS Co., Ltd. exhibited substantial Free Cash Flow Growth of 139.7% from 2023 to 2024, indicating strong cash generation capabilities. The Operating Cash Flow to Net Income Ratio is 1.4, suggesting robust cash flow management. The Free Cash Flow to Net Income Ratio is also strong at 1.2. This indicates efficient conversion of income to cash, ensuring liquidity and operational flexibility.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
4.45B	4.36B	4.00B	4.03B	3.44B	3.35B
	Gross Profit
1.35B	1.34B	1.24B	1.20B	997.86M	1.00B
	EBIT
497.84M	495.02M	432.50M	440.38M	243.11M	283.86M
	EBITDA
542.95M	629.50M	507.82M	512.28M	457.09M	384.81M
	Net Income Common Stockholders
413.99M	403.88M	322.67M	325.96M	287.10M	227.41M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.26B	1.54B	1.42B	1.48B	1.40B	1.26B
	Total Assets
4.86B	4.41B	4.13B	3.84B	3.74B	3.32B
	Total Debt
0.00	12.86M	0.00	4.37M	6.05M	137.48M
	Net Debt
-1.26B	-1.52B	-1.42B	-1.48B	-1.40B	-1.13B
	Total Liabilities
1.34B	936.00M	907.08M	858.22M	1.00B	938.67M
	Stockholders Equity
3.51B	3.47B	3.22B	2.98B	2.74B	2.38B
Cash Flow		Free Cash Flow
0.00	476.85M	31.81M	165.55M	-12.02M	456.18M
	Operating Cash Flow
0.00	547.57M	54.04M	233.10M	-1.70M	474.23M
	Investing Cash Flow
0.00	-277.13M	-24.28M	-76.06M	227.20M	-38.36M
	Financing Cash Flow
0.00	-155.82M	-90.02M	-76.73M	-85.65M	42.00M

MBS Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 832.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1401, the sentiment is Positive. The current price of 832 is above the 20-day moving average (MA) of 825.44, above the 50-day MA of 764.93, and above the 200-day MA of 723.66, indicating a bullish trend. The MACD of 21.01 indicates Negative momentum. The RSI at 69.94 is Neutral, neither overbought nor oversold. The STOCH value of 90.20 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1401.

MBS Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1720	78 Outperform	¥99.45B	15.15		4.00%	2.61%	-9.10%
1721	78 Outperform	¥381.45B	12.95	8.05%	3.37%	7.61%	10.95%
1801	76 Outperform	¥1.49T	11.90	13.61%	2.49%	22.05%	215.16%
1928	74 Outperform	$2.00T	9.90	10.67%	4.07%	31.47%	-4.48%
1401	70 Outperform	¥6.39B	13.68		1.56%	2.39%	5.65%
1861	69 Neutral	€183.30B	19.54	5.23%	3.35%	12.50%	12.87%
Sector *	66 Neutral	$4.50B	12.29	5.40%	248.66%	4.13%	-12.33%