A.D.Works Group Co.Ltd (2982) AI Stock Analysis

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A.D.Works Group Co.Ltd

(TSE/TYO:2982)

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Rating:54.5Neutral

Price Target:JPY 427.00▲(4.66% Upside)

Action:reiterated

Date:11/13/26

The overall score is constrained by significant financial risks: high leverage and deeply negative cash flows undermine otherwise solid revenue growth and profitability. Technicals are bearish, with the stock in a downtrend. A very low P/E and high dividend yield provide a valuation cushion, but the primary driver remains the company's weak cash conversion and balance sheet strain.

Positive Factors

Revenue scalingThe substantial expansion in revenue demonstrates that the company has materially increased its operating scale over several years. Continued growth in 2025 supports broader business activity and can improve fixed-cost absorption, helping sustain earnings potential if execution remains consistent.

Negative Factors

Elevated leverageRising leverage increases the company’s sensitivity to funding costs, refinancing conditions, and changes in asset values. It also reduces financial flexibility, making it harder to fund expansion or withstand weaker operating performance without greater dependence on external capital.

A.D.Works Group Co.Ltd (2982) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 20.20B
Dividend Yield: 4.90%
Average Volume (3M): 284.27K
Price to Earnings (P/E): 4.9
Beta (1Y): 1.08
Revenue Growth: -26.67%
EPS Growth: 8.48%
Country: Japan
Employees: 255
Sector: Real Estate
Sector Strength: 65
Industry: Real Estate - Development

A.D.Works Group Co.Ltd Business Overview & Revenue Model

Company Description

A.D. Works Group Co., Ltd. operates as a comprehensive enterprise within the real estate sector. Its core activities involve both the sale and leasing of properties. Additionally, the company extends its services to include property management and sp...

A.D.Works Group Co.Ltd Financial Statement Overview

Summary

The income statement is healthy with consistent revenue growth and improving margins, but the balance sheet carries high leverage (debt-to-equity 2.2x) and cash flows are deeply negative, indicating earnings are not converting to cash. The overall financial picture is mixed, with profitability offset by solvency and liquidity risks.

Income Statement

75Positive

Balance Sheet

55Neutral

Cash Flow

35Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	63.57B	67.53B	49.91B	41.34B	27.86B	24.96B
Gross Profit	11.52B	11.84B	8.64B	7.02B	5.39B	4.73B
EBITDA	7.52B	6.29B	3.40B	2.59B	1.51B	1.09B
Net Income	4.07B	3.32B	1.61B	1.42B	527.19M	312.28M
Balance Sheet
Total Assets	86.41B	72.06B	59.81B	58.85B	53.36B	42.05B
Cash, Cash Equivalents and Short-Term Investments	9.74B	11.91B	10.13B	9.81B	7.43B	9.49B
Total Debt	58.84B	45.76B	35.66B	34.81B	32.52B	23.08B
Total Liabilities	64.02B	51.49B	41.05B	41.69B	37.50B	27.23B
Stockholders Equity	22.40B	20.58B	18.74B	17.14B	15.81B	14.79B
Cash Flow
Free Cash Flow	0	-7.19B	1.27B	-1.12B	-11.52B	-4.45B
Operating Cash Flow	0	-5.95B	1.73B	-683.62M	-11.45B	-4.44B
Investing Cash Flow	0	-1.34B	-329.79M	-146.84M	142.11M	-123.59M
Financing Cash Flow	0	8.90B	-1.20B	3.01B	10.07B	5.26B

A.D.Works Group Co.Ltd Technical Analysis

Technical Analysis SentimentPositive

Last Price408.00

Price Trends

50DMA403.88Positive

100DMA406.42Positive

200DMA408.42Negative

Market Momentum

MACD-4.38Negative

RSI58.97Neutral

STOCH76.70Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2982, the sentiment is Positive. The current price of 408.00 is above the 20-day moving average (MA) of 382.55, above the 50-day MA of 403.88, and below the 200-day MA of 408.42, indicating a neutral trend. The MACD of -4.38 indicates Negative momentum. The RSI at 58.97 is Neutral, neither overbought nor oversold. The STOCH value of 76.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2982.

A.D.Works Group Co.Ltd Peers Comparison

Overall Rating

UnderperformOutperform

Sector (65)

Financial Indicators

JP:2982 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:3276	77Outperform	JPY 36.75B	16.52	―	2.81%	0.63%	-4.64%
JP:3484	76Outperform	JPY 21.97B	16.86	―	2.74%	19.59%	1.12%
Sector *	65Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
JP:2991	59Neutral	JPY 11.46B	4.83	―	2.32%	14.54%	-0.80%
JP:2982	55Neutral	JPY 20.18B	4.91	―	4.90%	-26.67%	8.48%
JP:3457	53Neutral	JPY 14.65B	10.09	―	6.27%	-23.35%	-38.29%
JP:2980	51Neutral	JPY 31.26B	10.79	―	0.94%	56.17%	170.50%

* Real Estate Sector Average

Performance Comparison

JP:2982 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:2982	A.D.Works Group Co.Ltd	408.00	-28.22	-6.47%
JP:2980	SRE Holdings Corp.	1921.00	-1049.33	-35.33%
JP:2991	LANDNET, Inc.	478.00	-192.61	-28.72%
JP:3276	Japan Property Management Center Co.Ltd.	2245.00	1045.02	87.09%
JP:3457	&Do Holdings Co.Ltd.	734.00	-261.37	-26.26%
JP:3484	Tenpo Innovation CO.,LTD.	1243.00	176.95	16.60%

A.D.Works Group Co.Ltd Corporate Events

A.D.Works Reports Nine-Month 2026 Consolidated Results

Nov 12, 2026

A.D.Works Group Co., Ltd. reported consolidated net sales of ¥34,895 million for the first nine months ended Sept. 30, 2026, down 33.3% year on year, while operating income fell 37.3% to ¥2,609 million and net income attributable to owners of the par...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Nov 12, 2026

A.D.Works Group Co.Ltd AI Stock Analysis