Tsuruya Co., Ltd. (5386) AI Stock Analysis

• Market Cap: ¥3.13B
• Dividend Yield: 2.93%
• Average Volume (3M): 12.97K
• Price to Earnings (P/E): 837.6
• Beta (1Y): 0.24
• Revenue Growth: -1.64%
• EPS Growth: -98.70%
• Country: JP
• Employees: 350
• Sector: Industrials
• Sector Strength: 72
• Industry: Construction Materials
• EPS (TTM): 8.91
• Shares Outstanding: 7,767,800
• 10 Day Avg. Volume: 21,420
• 30 Day Avg. Volume: 12,970
• 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: ¥437.00
• Price Target Upside: 5.05% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 60 Neutral
• Price Target: ¥437.00 ▲(5.05% Upside)

The overall stock score for Tsuruya Co., Ltd. is driven primarily by its stable balance sheet and positive technical indicators. However, significant challenges in financial performance, particularly in revenue growth and cash flow management, weigh down the score. Additionally, the high P/E ratio suggests overvaluation, which further impacts the overall assessment.

Tsuruya Co., Ltd. Business Overview & Revenue Model

Company Description

Tsuruya Co., Ltd. manufactures and sells clay roofing tiles in Japan. It is also involved in the contract and construction of roofing works; and manufacture and sale of ceramic wall and building materials. The company engages in the design, manufacture, processing, maintenance, and sales of molds. The company was founded in 1887 and is based in Handa, Japan.

How the Company Makes Money

Tsuruya Co., Ltd. generates revenue through the sale of its consumer goods. The company's key revenue streams include direct sales to consumers, partnerships with retailers and distributors, and potential licensing agreements for its product lines. Tsuruya Co., Ltd. benefits from a robust distribution network that allows its products to reach a wide customer base. Additionally, the company may engage in marketing and promotional activities to drive sales and enhance brand recognition. Strategic partnerships and collaborations can also play a significant role in expanding market reach and boosting revenue.

Tsuruya Co., Ltd. Financial Statement Overview

Summary

Tsuruya Co., Ltd. demonstrates a stable financial position with strong operational cash flow and low leverage. Despite a decline in net profit margins and reduced free cash flow, the company maintains financial health with strong equity backing and efficient cash flow management.

Income Statement

Tsuruya Co., Ltd. has shown an improvement in revenue from the previous year, with a 7% growth rate. Gross profit margin remains healthy at approximately 25.9% for the latest period. However, net profit margin has decreased to 1.8% from the previous year’s 2%, indicating slight profitability pressure. The EBIT margin improved to 2.7% from 1.6% in the prior year, showing operational efficiency improvements. EBITDA margin remains stable at 6%. Although revenue growth and operational efficiencies are positive, the decline in net profit margin suggests challenges in managing costs or increased competition.

Balance Sheet

The company's balance sheet is strong with a debt-to-equity ratio of 0.11, which indicates low leverage and financial stability. Return on equity is satisfactory at 1.02%, reflecting modest shareholder returns. The equity ratio is high at 76%, suggesting a strong capital structure with significant equity financing. Overall, the balance sheet indicates financial health and low financial risk.

Cash Flow

Operating cash flow to net income ratio is robust at 4.75, demonstrating the company's strong cash-generating ability relative to net income. Free cash flow has decreased compared to the previous year, impacting free cash flow growth negatively by approximately 23%. Despite this, the free cash flow to net income ratio remains strong at 3.23, indicating good cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.54B	6.82B	6.37B	7.14B	7.74B	7.29B
Gross Profit	1.69B	1.76B	1.62B	1.42B	1.82B	2.02B
EBITDA	195.54M	407.40M	415.55M	116.42M	420.80M	663.02M
Net Income	4.05M	121.42M	127.34M	-90.95M	128.90M	293.13M
Balance Sheet
Total Assets	15.54B	15.67B	15.84B	15.44B	15.73B	15.89B
Cash, Cash Equivalents and Short-Term Investments	1.72B	1.86B	1.65B	1.18B	1.63B	1.95B
Total Debt	1.30B	1.30B	1.50B	1.50B	1.50B	1.80B
Total Liabilities	3.59B	3.76B	3.95B	3.84B	4.00B	4.20B
Stockholders Equity	11.96B	11.91B	11.89B	11.60B	11.72B	11.69B
Cash Flow
Free Cash Flow	239.81M	391.77M	508.42M	-388.29M	72.81M	442.67M
Operating Cash Flow	526.69M	576.05M	661.42M	-52.29M	216.81M	494.67M
Investing Cash Flow	-541.74M	-439.91M	-156.24M	-335.73M	-144.51M	-52.53M
Financing Cash Flow	-338.27M	-334.36M	-38.37M	-55.57M	-390.61M	-101.64M

Tsuruya Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 416.00
• 50DMA: Negative
• 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:5386, the sentiment is Negative. The current price of 416 is above the 20-day moving average (MA) of 411.85, above the 50-day MA of 410.62, and above the 200-day MA of 385.34, indicating a neutral trend. The MACD of 0.73 indicates Positive momentum. The RSI at 43.70 is Neutral, neither overbought nor oversold. The STOCH value of 20.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5386.

Tsuruya Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5287	84 Outperform	3.78B	9.74	9.44%	1.58%	5.06%	245.18%
5380	64 Neutral	1.42B	17.12	2.14%	2.03%	2.34%	―
5268	62 Neutral	12.23B	33.86	3.40%	1.51%	-0.66%	-11.08%
5386	60 Neutral	¥3.13B	837.60	―	2.93%	-1.64%	-98.70%
5271	60 Neutral	3.04B	12.01	8.66%	3.83%	-12.84%	-57.15%
5269	55 Neutral	19.25B	-68.81	-0.57%	3.79%	-6.24%	-146.29%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%