OOTOYA Holdings Co., Ltd. (2705) AI Stock Analysis

• Market Cap: ¥37.89B
• Dividend Yield: 0.19%
• Average Volume (3M): 4.63K
• Price to Earnings (P/E): 31.0
• Beta (1Y): 0.31
• Revenue Growth: 12.87%
• EPS Growth: 34.37%
• Country: JP
• Employees: 629
• Sector: Consumer Cyclical
• Sector Strength: 75
• Industry: Restaurants
• EPS (TTM): 34.92
• Shares Outstanding: 7,257,300
• 10 Day Avg. Volume: 3,710
• 30 Day Avg. Volume: 4,633
• PEG Ratio: -3.98
• Price to Book (P/B): 9.31
• 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

OOTOYA Holdings shows strong financial performance with significant revenue growth and profitability improvements. However, the technical analysis suggests a bearish trend, and the valuation indicates a moderate pricing with low income attraction, resulting in a balanced but cautious outlook.

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

Company Description

OOTOYA Holdings Co., Ltd. is a Japanese company primarily engaged in the operation of a restaurant chain specializing in traditional Japanese home-style meals. The company is recognized for offering a variety of set meals that emphasize nutritional balance and quality ingredients. OOTOYA operates primarily in the restaurant sector, with a focus on casual dining experiences across its multiple locations in Japan and internationally.

How the Company Makes Money

OOTOYA Holdings Co., Ltd. generates revenue primarily through its restaurant operations. The company's primary source of income is the sale of meals and beverages at its various dining establishments. OOTOYA focuses on providing traditional Japanese meals, which attracts a loyal customer base seeking authentic and nutritious dining options. The company also explores franchising opportunities, allowing it to expand its brand presence and generate additional income through franchise fees and royalties. Partnerships with local suppliers ensure a steady supply of high-quality ingredients, contributing to the company's ability to maintain its standards and appeal to health-conscious consumers.

OOTOYA Holdings Co., Ltd. Financial Statement Overview

Summary

OOTOYA Holdings Co., Ltd. demonstrates strong recovery and growth in revenue and profitability, with robust margins and low financial leverage. The income statement and balance sheet are strong, but cash flow management remains a concern, requiring strategic focus to enhance liquidity.

Income Statement

OOTOYA Holdings Co., Ltd. has shown solid revenue growth in the TTM (Trailing-Twelve-Months) with an increase from 27.89 billion JPY to 30.47 billion JPY. The gross profit margin is strong at 59.38%, indicating efficient cost management. Net profit margin stands at 4.70%, a significant improvement from previous losses, highlighting a return to profitability. EBIT and EBITDA margins also reflect positive trends, emphasizing operational efficiency gains.

Balance Sheet

The company's balance sheet shows a healthy equity position with a debt-to-equity ratio of 0.17, reflecting low financial leverage. The return on equity (ROE) is 34.59%, showcasing effective use of shareholder capital. Furthermore, the equity ratio of 40.20% suggests a stable financial structure with a solid asset base. However, the decrease in stockholders' equity from the previous year requires attention.

Cash Flow

OOTOYA's cash flow statement reflects challenges in free cash flow generation, with zero free cash flow in the TTM period. The operating cash flow to net income ratio is impacted by zero operating cash flow, signaling potential liquidity issues. Historical trends showed positive free cash flow growth, but recent figures highlight a need for improved cash management strategies.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
30.48B	27.89B	23.85B	18.83B	16.14B	24.58B
	Gross Profit
18.09B	16.58B	13.47B	10.86B	8.87B	13.80B
	EBIT
1.81B	1.65B	271.00M	-594.00M	-3.34B	-649.00M
	EBITDA
2.16B	1.94B	572.00M	-242.00M	-3.91B	-128.89M
	Net Income Common Stockholders
1.43B	1.40B	276.00M	1.91B	-4.67B	-1.15B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.99B	4.54B	3.94B	4.33B	3.67B	2.16B
	Total Assets
10.29B	10.85B	9.60B	9.81B	9.11B	8.82B
	Total Debt
700.00M	1.00B	1.65B	2.31B	3.91B	1.65B
	Net Debt
-2.29B	-3.54B	-2.30B	-2.01B	238.00M	-358.00M
	Total Liabilities
5.94B	5.90B	5.89B	6.39B	7.63B	5.47B
	Stockholders Equity
4.14B	4.78B	3.59B	3.34B	1.40B	3.28B
Cash Flow		Free Cash Flow
0.00	1.43B	200.00M	2.17B	-3.21B	-509.00M
	Operating Cash Flow
0.00	2.23B	726.00M	2.35B	-2.70B	231.00M
	Investing Cash Flow
0.00	-787.00M	-478.00M	-160.00M	-496.00M	-756.00M
	Financing Cash Flow
0.00	-889.00M	-773.00M	-1.59B	4.98B	70.00M

OOTOYA Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5230.00
• 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:2705, the sentiment is Positive. The current price of 5230 is below the 20-day moving average (MA) of 5243.50, above the 50-day MA of 5216.11, and above the 200-day MA of 5116.51, indicating a bullish trend. The MACD of 24.35 indicates Positive momentum. The RSI at 54.06 is Neutral, neither overbought nor oversold. The STOCH value of 23.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2705.

OOTOYA Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9936	80 Outperform	¥237.23B	24.36		1.38%	7.86%	1.99%
7550	70 Outperform	€1.30T	34.43	17.11%	0.87%	21.84%	85.45%
7616	67 Neutral	¥197.37B	252.73		0.27%	10.45%	―
8179	67 Neutral	¥126.95B	24.42	10.78%	1.16%	8.35%	21.91%
3387	67 Neutral	¥300.94B	53.89		0.56%	7.27%	10.84%
Sector *	62 Neutral	$6.98B	11.38	2.86%	3.90%	2.64%	-22.07%
2705	60 Neutral	¥37.89B	30.98		0.19%	12.87%	34.37%