Paraca Inc. (4809) AI Stock Analysis

• Market Cap: ¥18.41B
• Dividend Yield: 3.52%
• Average Volume (3M): 16.39K
• Price to Earnings (P/E): 9.5
• Beta (1Y): 0.55
• Revenue Growth: 10.86%
• EPS Growth: 8.23%
• Country: JP
• Employees: 55
• Sector: Industrials
• Sector Strength: 90
• Industry: Specialty Business Services
• EPS (TTM): 42.06
• Shares Outstanding: 10,440,600
• 10 Day Avg. Volume: 10,400
• 30 Day Avg. Volume: 16,390
• PEG Ratio: 3.10
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 71.99
• 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: 69 Neutral
• Price Target: ¥1,994.00 ▲(9.74%Upside)

Paraca Inc. demonstrates strong financial performance with growth in revenue and profit, complemented by an attractive valuation. However, technical analysis points to neutral momentum, which tempers the overall outlook. Despite cash flow challenges, the stock's low P/E ratio and good dividend yield are significant positives, making it an appealing option for value-focused investors.

Paraca Inc. Business Overview & Revenue Model

Company Description

Paraca Inc. (4809) is a Japan-based company primarily engaged in the parking business. The company specializes in the operation and management of parking lots and related facilities across Japan. Its core services include providing parking spaces for vehicles, implementing parking management systems, and offering consulting services for parking facility operations. Paraca Inc. aims to enhance the efficiency of parking infrastructure by leveraging technology and strategic location planning.

How the Company Makes Money

Paraca Inc. generates revenue primarily through the operation and management of parking facilities. The company earns money by charging parking fees to vehicle owners who use its parking spaces. These fees can be hourly, daily, or monthly, depending on the location and type of parking facility. Additionally, Paraca Inc. may earn revenue through long-term leasing agreements with commercial clients who require dedicated parking spaces for their businesses. The company also benefits from consulting fees by providing expertise in parking facility operations and management to other businesses and municipalities. Key factors contributing to its earnings include the strategic location of its parking facilities, the implementation of efficient parking management systems, and partnerships with local governments and businesses to ensure optimal utilization of parking spaces.

Paraca Inc. Financial Statement Overview

Summary

Paraca Inc. shows strong revenue and profit growth with stable margins, indicating robust operational performance. The balance sheet reflects manageable leverage and effective equity utilization, though a lower equity ratio suggests potential risks. Cash flow challenges, particularly negative free cash flow, highlight areas for improvement. Overall, the company is financially sound but should address cash management issues to enhance financial stability.

Income Statement

Paraca Inc. has demonstrated strong revenue growth with a 10.85% increase from 2023 to 2024 and a consistent upward trajectory over the years. The gross profit margin has remained stable at around 30%, and the net profit margin is robust at 11.09% for 2024. The EBIT margin improved slightly to 18.44%, indicating efficient cost management. However, the EBITDA margin decreased to 20.67%, suggesting some pressure on operational profitability.

Balance Sheet

The balance sheet reveals a moderate debt-to-equity ratio of 1.19, suggesting manageable leverage. The return on equity (ROE) stands strong at 9.37%, reflecting effective use of equity to generate profit. However, the equity ratio is relatively low at 43.60%, indicating a heavy reliance on liabilities. This could pose a risk in volatile markets.

Cash Flow

The cash flow analysis shows a concerning decline in free cash flow, turning negative in 2024. The free cash flow to net income ratio is negative, indicating issues in converting net income to free cash flow. While operating cash flow remains positive, the operating cash flow to net income ratio of 1.20 indicates a healthy conversion rate, showing resilience in core operations despite high capital expenditures.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
15.11B	16.38B	14.77B	12.97B	11.76B	12.47B
	Gross Profit
4.72B	4.93B	4.66B	3.80B	3.28B	2.88B
	EBIT
2.94B	3.02B	2.93B	2.25B	1.79B	1.39B
	EBITDA
3.27B	3.39B	3.41B	2.83B	2.26B	2.01B
	Net Income Common Stockholders
1.81B	1.82B	1.82B	1.40B	977.00M	748.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.84B	3.54B	3.74B	3.96B	4.18B	4.50B
	Total Assets
40.45B	44.46B	39.82B	37.67B	35.78B	35.61B
	Total Debt
20.51B	23.12B	19.70B	19.11B	18.17B	19.06B
	Net Debt
16.66B	19.57B	15.96B	15.15B	13.98B	14.56B
	Total Liabilities
22.51B	25.07B	21.72B	20.79B	19.78B	20.11B
	Stockholders Equity
17.94B	19.39B	18.11B	16.88B	16.00B	15.50B
Cash Flow		Free Cash Flow
1.05B	-2.18B	122.00M	-829.00M	1.13B	-2.51B
	Operating Cash Flow
1.05B	2.18B	2.67B	1.98B	2.44B	644.00M
	Investing Cash Flow
0.00	-4.47B	-2.56B	-2.45B	-1.31B	-2.86B
	Financing Cash Flow
0.00	2.09B	-326.00M	255.00M	-1.45B	1.46B

Paraca Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1817.00
• 50DMA: Positive
• 100DMA: Negative
• 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:4809, the sentiment is Negative. The current price of 1817 is below the 20-day moving average (MA) of 1833.35, above the 50-day MA of 1808.52, and above the 200-day MA of 1800.82, indicating a neutral trend. The MACD of 0.49 indicates Positive momentum. The RSI at 46.71 is Neutral, neither overbought nor oversold. The STOCH value of 31.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4809.

Paraca Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9322	81 Outperform	¥8.70B	11.66		2.46%	2.20%	-6.32%
9325	80 Outperform	¥12.59B	13.72		2.21%	14.84%	7.57%
7811	78 Outperform	¥15.53B	7.72		3.79%	10.75%	287.84%
9307	76 Outperform	¥13.18B	14.36		1.86%	3.54%	6.14%
9319	71 Outperform	¥26.14B	16.31		2.61%	5.01%	-5.51%
4809	69 Neutral	¥18.41B	9.51		3.52%	10.86%	8.23%
Sector *	66 Neutral	$4.50B	12.29	5.40%	248.66%	4.13%	-12.33%

Paraca Inc. Corporate Events

Paraca Inc. Reports Strong Interim Financial Results and Positive Outlook

Paraca Inc. reported a positive financial performance for the six months ending March 31, 2025, with notable increases in net sales, operating profit, ordinary profit, and overall profit compared to the previous year. The company anticipates continued growth for the fiscal year ending September 30, 2025, with projected increases in net sales and profits, indicating strong operational momentum and potential positive implications for stakeholders.