WDB Holdings Co., Ltd. (2475) AI Stock Analysis

• Market Cap: ¥36.79B
• Dividend Yield: 3.35%
• Average Volume (3M): 30.96K
• Price to Earnings (P/E): 12.0
• Beta (1Y): 0.73
• Revenue Growth: 3.45%
• EPS Growth: -10.57%
• Country: JP
• Employees: 5,391
• Sector: Industrials
• Sector Strength: 93
• Industry: Staffing & Employment Services
• EPS (TTM): 40.45
• Shares Outstanding: 20,060,000
• 10 Day Avg. Volume: 23,030
• 30 Day Avg. Volume: 30,956
• PEG Ratio: -1.88
• Price to Book (P/B): 1.07
• 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: 67 Neutral
• Price Target: ―

WDB Holdings Co., Ltd. has a strong financial foundation with consistent revenue growth and robust profitability margins. A zero-debt balance sheet underscores its financial stability. However, the stock faces pressure from bearish technical indicators, trading below significant moving averages, which highlights caution in market sentiment. Its valuation is attractive due to a low P/E ratio and high dividend yield. Maintaining cash flow consistency remains a strategic focus.

WDB Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

WDB Holdings Co., Ltd. is a Japanese company primarily engaged in providing staffing and human resource services. The company specializes in staffing solutions for scientific and research sectors, offering a range of services including temporary staffing, dispatching, and employment placement. Its core services are aimed at supporting clients in the pharmaceutical, chemical, and biotechnology industries, among others.

How the Company Makes Money

WDB Holdings Co., Ltd. generates revenue primarily through its staffing services, where it provides temporary and permanent placements for skilled professionals in specialized industries like pharmaceuticals and biotechnology. The company charges clients for the staffing services it provides, which includes fees for temporary staffing placements and commissions for successful permanent placements. Additionally, WDB Holdings may have partnerships with various companies in need of specialized staffing, further enhancing its revenue streams. The demand for specialized labor in scientific fields is a key factor contributing to its earnings.

WDB Holdings Co., Ltd. Financial Statement Overview

Summary

WDB Holdings Co., Ltd. displays strong financial performance with consistent revenue growth and robust profitability margins. The balance sheet is particularly strong with zero debt and high equity ratios, demonstrating financial stability. However, cash flow metrics present concerns due to historical volatility and incomplete current data. The company is well-positioned in terms of profitability and financial health, but maintaining consistent cash flow remains a key area for improvement.

Income Statement

The company has shown consistent revenue growth, with a 3.1% increase in revenue from the previous year. Gross profit margins remain robust at 23.5% TTM, though slightly decreased compared to past years. The net profit margin stands at 6.3% TTM, reflecting solid profitability but a decline from the previous annual figure. EBIT and EBITDA margins are healthy at 10.4% and 10.9% TTM, respectively, indicating efficient operations. Overall, profitability is strong, but there is a slight decline in some margins.

Balance Sheet

The company maintains a strong balance sheet with zero total debt as of TTM, resulting in a debt-to-equity ratio of 0. The equity ratio is high at 76.4% TTM, showcasing financial stability and low leverage. Return on Equity (ROE) is healthy at 10.3% TTM, though slightly down from the previous year's 11.8%. The company has ample cash reserves, enhancing its financial robustness. Overall, the balance sheet reflects a stable financial position with low risk.

Cash Flow

Cash flow metrics are difficult to assess due to missing data in the TTM period. However, historically, the company has shown variability in free cash flow, which was negative two years ago but turned positive in subsequent years. The operating cash flow to net income ratio was 1.27 last year, indicating decent cash generation from operations. Overall, cash flow stability is a concern due to fluctuating free cash flow.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
50.85B	49.30B	47.60B	46.88B	44.13B	43.11B
	Gross Profit
11.93B	11.89B	11.93B	12.49B	11.53B	11.38B
	EBIT
5.30B	5.47B	5.51B	6.31B	5.11B	4.96B
	EBITDA
5.53B	5.71B	5.78B	6.65B	5.45B	5.26B
	Net Income Common Stockholders
3.20B	3.55B	3.54B	4.17B	3.41B	3.11B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.23B	20.94B	18.37B	16.43B	19.41B	16.27B
	Total Assets
7.31B	39.83B	36.20B	33.83B	30.62B	26.55B
	Total Debt
1.73B	70.68M	61.96M	72.92M	65.77M	45.41M
	Net Debt
496.44M	-20.87B	-18.31B	-16.35B	-19.34B	-16.23B
	Total Liabilities
4.18B	8.68B	7.73B	8.03B	8.32B	6.86B
	Stockholders Equity
3.13B	30.04B	27.61B	25.11B	21.81B	19.33B
Cash Flow		Free Cash Flow
0.00	3.72B	3.25B	-2.24B	4.08B	2.71B
	Operating Cash Flow
0.00	4.49B	3.55B	4.03B	4.20B	3.04B
	Investing Cash Flow
0.00	-712.00M	-337.99M	-6.10B	-122.14M	-531.09M
	Financing Cash Flow
0.00	-1.24B	-1.31B	-870.93M	-901.39M	428.03M

WDB Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1888.00
• 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:2475, the sentiment is Positive. The current price of 1888 is below the 20-day moving average (MA) of 1912.00, above the 50-day MA of 1841.97, and above the 200-day MA of 1729.35, indicating a neutral trend. The MACD of 3.73 indicates Positive momentum. The RSI at 50.78 is Neutral, neither overbought nor oversold. The STOCH value of 24.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2475.

WDB Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2168	79 Outperform	€88.88B	1.02	90.72%	0.66%	-11.30%	6369.78%
2181	78 Outperform	$619.88B	16.87	18.49%	3.27%	9.35%	21.50%
2124	76 Outperform	¥160.42B	24.05		2.67%	17.37%	7.93%
6098	73 Outperform	$11.80T	30.00	22.31%	0.28%	4.13%	20.34%
2475	67 Neutral	¥36.79B	12.00		3.35%	3.45%	-10.57%
Sector *	66 Neutral	$4.48B	12.26	5.32%	248.53%	4.10%	-12.36%
6070	64 Neutral	¥24.83B	13.63		5.71%	-7.75%	-16.92%

WDB Holdings Co., Ltd. Corporate Events

WDB Coco Revises Financial Forecasts with Optimistic Outlook

WDB Coco Co., Ltd., a subsidiary of WDB Holdings Co., Ltd., has revised its financial forecasts for the fiscal year ending March 31, 2025, with increased expectations for sales and profits due to improved operational efficiency. The revision shows a minimal impact on the parent company’s consolidated financial results, reflecting the subsidiary’s steady performance in both existing and new projects.

WDB Holdings Co., Ltd. Reports Strong FY2024 3Q Financial Results

WDB Holdings Co., Ltd. reported its FY2024 3Q financial results, highlighting robust performance with sales reaching ¥49.2 billion and an ordinary income of ¥5.5 billion for FY2023. The company’s strong financial results underline its strategic focus on enhancing its market presence in the staffing and CRO sectors, potentially benefiting stakeholders by solidifying its position in the industry.

WDB Holdings Reports Mixed Financial Results Amidst Market Challenges

WDB Holdings Co., Ltd. reported its consolidated financial results for the nine months ending December 31, 2024, showing a slight increase in net sales by 4.2% compared to the previous year. However, the company experienced declines in operating income, ordinary income, and net income attributable to owners, indicating challenges in maintaining profit margins amidst a competitive market environment. Despite these challenges, the company’s equity ratio improved slightly, reflecting a stable financial position. The company forecasts a modest increase in net sales and a more significant drop in net income for the fiscal year ending March 31, 2025, suggesting cautious optimism but highlighting the need for strategic adjustments to enhance profitability.