SBI Leasing Services Co.,Ltd. (5834) AI Stock Analysis

• Market Cap: ¥41.18B
• Dividend Yield: 3.27%
• Average Volume (3M): 52.26K
• Price to Earnings (P/E): 7.8
• Beta (1Y): 1.26
• Revenue Growth: 14.18%
• EPS Growth: 45.35%
• Country: JP
• Employees: 53
• Sector: Industrials
• Sector Strength: 72
• Industry: Rental & Leasing Services
• EPS (TTM): 198.91
• Shares Outstanding: 7,918,800
• 10 Day Avg. Volume: 40,530
• 30 Day Avg. Volume: 52,256
• 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: ¥5,309.00
• Price Target Upside: 2.10% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 70 Outperform
• Price Target: ¥5,309.00 ▲(2.10% Upside)

The stock's strong technical indicators and attractive valuation are offset by financial performance challenges. While the stock shows bullish momentum and appears undervalued, liquidity issues and high leverage pose risks. Improving cash flow management and reducing debt are essential for sustainable growth.

SBI Leasing Services Co.,Ltd. Business Overview & Revenue Model

Company Description

SBI Leasing Services Co., Ltd. engages in the arrangement and selling of investment funds in the operating lease business primarily focused on aircraft and ships. It also provides investment opportunities in amortized assets, such as small aircraft and helicopters leased to lessees, including an airline or a ship operator. The company was incorporated in 2017 and is headquartered in Minato-ku, Japan. SBI Leasing Services Co., Ltd. operates as a subsidiary of SBI Holdings, Inc.

How the Company Makes Money

SBI Leasing Services Co., Ltd. generates revenue primarily through leasing agreements. These agreements involve providing clients with the use of equipment, vehicles, or real estate in exchange for periodic lease payments. The company may also engage in financial leasing, where it finances the purchase of assets for clients and retains ownership while leasing it to them. Key revenue streams include lease rentals, service fees, and interest income from financial leases. Additionally, the company may form strategic partnerships with manufacturers and financial institutions to facilitate leasing services, enhance its offerings, and expand its client base. Factors such as industry demand, interest rates, and economic conditions can significantly influence the company's earnings.

SBI Leasing Services Co.,Ltd. Financial Statement Overview

Summary

SBI Leasing Services Co., Ltd. has operational efficiency but struggles with net profitability consistency and cash flow issues. The balance sheet is heavily leveraged, which raises concerns about financial stability. Positive equity growth is a good sign, but the company needs to improve cash flow management and reduce leverage.

Income Statement

SBI Leasing Services Co., Ltd. has shown fluctuating revenue with a significant drop in the latest fiscal year. Despite the volatility, the company has maintained a positive gross profit margin and improved EBIT and EBITDA margins, indicating operational efficiency. However, the net profit margin has seen irregular patterns, reflecting occasional profitability challenges.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio, increasing over the years, which indicates a heavy reliance on debt financing. The equity ratio remains relatively low, posing potential financial risk. However, a gradual increase in stockholders' equity over the years is a positive sign, suggesting strengthening equity base.

Cash Flow

The cash flow statement shows persistent negative free cash flow, raising concerns about liquidity and cash management. Operating cash flow has been negative in most years, indicating cash flow difficulties from core business operations. The ratio of operating cash flow to net income suggests inefficiencies in converting income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	41.92B	41.92B	54.15B	39.57B	29.56B	12.00B
Gross Profit	10.44B	10.40B	8.31B	7.17B	5.54B	3.35B
EBITDA	7.70B	7.70B	6.12B	4.41B	11.47B	-4.64B
Net Income	4.39B	4.39B	3.45B	2.44B	10.36B	-7.65B
Balance Sheet
Total Assets	105.78B	105.78B	75.70B	48.35B	29.80B	40.85B
Cash, Cash Equivalents and Short-Term Investments	60.71B	60.71B	63.64B	35.58B	20.30B	9.12B
Total Debt	72.40B	72.40B	48.90B	23.21B	15.12B	37.33B
Total Liabilities	80.60B	80.60B	54.59B	30.58B	16.64B	38.47B
Stockholders Equity	25.17B	25.17B	21.11B	17.78B	13.16B	2.38B
Cash Flow
Free Cash Flow	0.00	-26.51B	-26.69B	-4.54B	-814.00M	2.74B
Operating Cash Flow	0.00	-26.51B	-26.65B	3.71B	-772.00M	2.75B
Investing Cash Flow	0.00	-123.00M	-189.00M	-8.43B	26.08B	7.79B
Financing Cash Flow	0.00	22.93B	25.62B	9.94B	-22.20B	-11.41B

SBI Leasing Services Co.,Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5200.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5834, the sentiment is Positive. The current price of 5200 is above the 20-day moving average (MA) of 5016.50, above the 50-day MA of 4901.00, and above the 200-day MA of 3623.22, indicating a bullish trend. The MACD of 28.84 indicates Negative momentum. The RSI at 60.09 is Neutral, neither overbought nor oversold. The STOCH value of 67.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5834.

SBI Leasing Services Co.,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8596	78 Outperform	31.91B	8.69	8.40%	3.63%	-19.27%	9.04%
9699	76 Outperform	122.11B	10.32	8.78%	2.57%	8.89%	-3.00%
8439	74 Outperform	964.15B	11.34	8.26%	3.16%	2.26%	9.98%
9763	71 Outperform	11.63B	8.79	7.24%	3.72%	9.16%	6.01%
5834	70 Outperform	¥41.18B	7.81		3.27%	14.18%	45.35%
8424	70 Outperform	404.61B	8.26	9.52%	6.75%	-3.25%	1.65%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%