P.S. Mitsubishi Construction Co., Ltd. (1871) AI Stock Analysis

• Market Cap: ¥86.92B
• Dividend Yield: 3.87%
• Average Volume (3M): 86.60K
• Price to Earnings (P/E): 10.8
• Beta (1Y): 0.48
• Revenue Growth: 3.55%
• EPS Growth: 36.89%
• Country: JP
• Employees: 1,687
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 30.67
• Shares Outstanding: 47,486,027
• 10 Day Avg. Volume: 66,950
• 30 Day Avg. Volume: 86,596
• 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: ¥2,037.00
• Price Target Upside: 9.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 84 Outperform
• Price Target: ¥2,037.00 ▲(9.52% Upside)

P.S. Mitsubishi Construction Co., Ltd. exhibits strong financial and technical performance, supported by attractive valuation metrics. The robust financial health and upward price momentum make it a compelling investment, although potential overbought conditions warrant caution. The absence of notable corporate events or earnings call highlights does not detract from the overall positive outlook.

P.S. Mitsubishi Construction Co., Ltd. Business Overview & Revenue Model

Company Description

PS Construction Co., Ltd. engages in the civil engineering and architecture businesses in Japan and internationally. It undertakes works of precast segment, composite, corrugated steel web, composite truss, and long span arch bridges, as well as marine structures, as well as PC confined pier, and H-shaped PC pile works; and architectural section provides prestressed, precast, and precast prestressed Concrete. It also offers JIS girders and PC deck slab; and architectural members, such as beams, columns, and floors. In addition, it engages in the design, manufacture, sales, and leasing of machines, equipment, and apparatuses for prestressed concrete construction and other construction works; mineral mining and contracts; purchase, sales, leasing, brokerage, ownership, and management of real estate; freight and storage business; and agency of liability insurance, life insurance, and auto insurance. The company formerly known as P.S. Mitsubishi Construction Co., Ltd. and changed its name to PS Construction Co., Ltd. in June 2024. P.S. Mitsubishi Construction Co., Ltd. was incorporated in 1952 and is headquartered in Minato, Japan. P.S. Mitsubishi Construction Co., Ltd. is a subsidiary of Taisei Corporation.

How the Company Makes Money

P.S. Mitsubishi Construction Co., Ltd. generates revenue primarily through its construction and engineering services. The company's key revenue streams include infrastructure projects such as roads, bridges, and tunnels, as well as building construction for commercial, residential, and industrial purposes. Additionally, the company engages in real estate development and environmental engineering projects, which contribute to its earnings. Significant partnerships with government agencies and private corporations enhance its project portfolio and financial performance. The company's expertise in project management and its reputation for delivering high-quality construction solutions play a crucial role in securing contracts and driving revenue growth.

P.S. Mitsubishi Construction Co., Ltd. Financial Statement Overview

Summary

The company demonstrates strong financial performance with a 4.9% increase in revenue and improved profitability metrics. It has a stable balance sheet with moderate leverage and strong cash flow performance. Continued focus on cost control and cash management is essential for maintaining its competitive edge.

Income Statement

The company demonstrates strong revenue growth with a 4.9% increase from the previous year and a significant improvement in profitability metrics. Gross profit and net profit margins have increased, indicating better cost management. EBIT and EBITDA margins also show positive trends, highlighting operational efficiency. Despite the positive growth trajectory, potential risks could include maintaining these margins in a competitive industry.

Balance Sheet

The balance sheet reflects a solid equity base with an equity ratio of 44.2%, indicating financial stability. The debt-to-equity ratio shows moderate leverage at 0.32, which is reasonable for the industry. ROE improved to 14.2%, demonstrating efficient use of equity to generate profits. However, the company should monitor its debt levels to avoid potential risks from economic fluctuations.

Cash Flow

Cash flow performance is strong, with a robust free cash flow and positive cash flow ratios. The operating cash flow to net income ratio is favorable, indicating good cash conversion efficiency. The free cash flow growth rate is positive, reflecting effective capital management. Nonetheless, the company needs to ensure continued cash flow generation to support future growth initiatives and debt obligations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	135.63B	135.63B	129.29B	109.33B	109.64B	117.22B
Gross Profit	23.01B	23.01B	18.79B	15.53B	15.77B	17.63B
EBITDA	13.47B	13.59B	8.96B	6.75B	7.56B	9.09B
Net Income	8.22B	8.22B	5.05B	3.79B	4.54B	5.59B
Balance Sheet
Total Assets	130.84B	130.84B	122.12B	116.08B	93.10B	95.42B
Cash, Cash Equivalents and Short-Term Investments	22.10B	22.10B	11.16B	9.35B	9.95B	10.46B
Total Debt	18.56B	18.56B	20.24B	29.89B	10.01B	10.62B
Total Liabilities	72.95B	72.95B	69.95B	68.21B	47.57B	53.21B
Stockholders Equity	57.88B	57.88B	52.17B	47.87B	45.53B	42.21B
Cash Flow
Free Cash Flow	0.00	14.95B	13.83B	-18.31B	1.31B	-4.41B
Operating Cash Flow	0.00	15.95B	15.94B	-16.71B	2.60B	-3.68B
Investing Cash Flow	0.00	-807.00M	-1.92B	-1.96B	-1.15B	-675.00M
Financing Cash Flow	0.00	-4.21B	-12.22B	18.06B	-1.97B	-664.00M

P.S. Mitsubishi Construction Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1860.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1871, the sentiment is Positive. The current price of 1860 is above the 20-day moving average (MA) of 1845.20, above the 50-day MA of 1832.64, and above the 200-day MA of 1531.73, indicating a bullish trend. The MACD of 0.33 indicates Positive momentum. The RSI at 54.65 is Neutral, neither overbought nor oversold. The STOCH value of 45.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1871.

P.S. Mitsubishi Construction Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1871	84 Outperform	¥86.92B	10.77	―	3.87%	3.55%	36.89%
1870	77 Outperform	99.81B	13.09	8.20%	2.59%	27.51%	11.09%
1822	75 Outperform	77.25B	22.19	5.16%	3.39%	-10.85%	―
1890	75 Outperform	163.81B	18.34	10.78%	5.05%	0.57%	26.93%
1720	69 Neutral	120.60B	14.97	6.52%	3.30%	11.42%	26.72%
1762	69 Neutral	109.80B	17.53	4.69%	2.30%	6.90%	-25.24%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%