teno.Holdings Co., Ltd. (7037) AI Stock Analysis

• Market Cap: ¥2.42B
• Dividend Yield: 1.75%
• Average Volume (3M): 12.97K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.28
• Revenue Growth: 10.80%
• EPS Growth: -559.06%
• Country: JP
• Employees: 2,059
• Sector: Healthcare
• Sector Strength: 39
• Industry: Medical - Care Facilities
• EPS (TTM): 10.23
• Shares Outstanding: 4,701,300
• 10 Day Avg. Volume: 6,780
• 30 Day Avg. Volume: 12,970
• PEG Ratio: <0.01
• Price to Book (P/B): 1.24
• 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

• Rating: 54 Neutral
• Price Target: ―

The overall score is driven by strong revenue growth but is offset by significant profitability and leverage challenges. The financial performance is the primary concern, with a negative P/E ratio and deteriorating profit margins. Technical indicators show a neutral trend with potential bearish signals. Valuation is constrained by negative earnings, despite a modest dividend yield.

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

Company Description

Teno.Holdings Co., Ltd. (7037) operates primarily in the education and childcare sectors, providing a range of services designed to support early childhood education and development. The company is known for its childcare facilities and educational programs that cater to young children, aiming to foster a nurturing and enriching environment for early learners. Teno.Holdings also engages in related activities that support its core mission of delivering quality childcare and education.

How the Company Makes Money

Teno.Holdings Co., Ltd. generates revenue primarily through fees charged for its childcare and educational services. This includes tuition and enrollment fees from parents and guardians who use their childcare facilities and educational programs. The company also may receive government subsidies or grants, which support its operations and help maintain affordable pricing for its services. Additionally, Teno.Holdings might engage in partnerships with educational institutions or government bodies to enhance its offerings and expand its reach, thus contributing further to its revenue streams.

teno.Holdings Co., Ltd. Financial Statement Overview

Summary

teno.Holdings Co., Ltd. demonstrates strong revenue growth but faces profitability and leverage challenges. The negative net income and increased debt levels are concerns. However, improvements in operating and free cash flow provide a positive outlook for liquidity management. The company needs to address profitability issues and manage leverage to strengthen its financial position.

Income Statement

The company has shown consistent revenue growth over the years, with a notable increase from 2023 to 2024. However, the net profit margin has deteriorated, turning negative in 2024, indicating profitability concerns. The EBIT and EBITDA margins have declined slightly, reflecting pressure on operational efficiency.

Balance Sheet

The debt-to-equity ratio has increased, suggesting higher financial leverage and potential risk. The return on equity has turned negative, highlighting challenges in generating returns for shareholders. The equity ratio remains relatively low, indicating a higher reliance on debt financing.

Cash Flow

Operating cash flow has improved significantly from 2023 to 2024, indicating better cash generation from operations. Free cash flow has also turned positive, suggesting improved liquidity. However, the free cash flow to net income ratio is strained due to negative net income, indicating reliance on operating cash flow to cover financial obligations.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
16.02B	14.56B	12.13B	11.45B	10.78B
	Gross Profit
2.39B	2.18B	1.74B	1.80B	1.89B
	EBIT
196.00M	187.00M	154.00M	467.88M	612.32M
	EBITDA
275.00M	616.00M	491.00M	678.68M	792.27M
	Net Income Common Stockholders
-466.00M	100.00M	-28.00M	237.00M	339.10M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.17B	1.93B	2.17B	1.79B	1.90B
	Total Assets
9.74B	9.53B	9.32B	7.29B	7.42B
	Total Debt
5.37B	4.76B	4.93B	3.38B	3.51B
	Net Debt
3.19B	2.84B	2.75B	1.59B	1.61B
	Total Liabilities
8.01B	7.29B	7.14B	4.96B	5.29B
	Stockholders Equity
1.74B	2.24B	2.18B	2.33B	2.13B
Cash Flow		Free Cash Flow
413.00M	-114.00M	-145.00M	-674.05M	-689.91M
	Operating Cash Flow
691.00M	324.00M	297.00M	292.83M	508.61M
	Investing Cash Flow
-916.00M	-367.00M	-967.00M	-251.35M	-1.10B
	Financing Cash Flow
458.00M	-208.00M	1.04B	-161.45M	677.57M

teno.Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 510.00
• 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:7037, the sentiment is Positive. The current price of 510 is above the 20-day moving average (MA) of 491.55, above the 50-day MA of 469.56, and above the 200-day MA of 460.33, indicating a bullish trend. The MACD of 14.90 indicates Negative momentum. The RSI at 59.31 is Neutral, neither overbought nor oversold. The STOCH value of 70.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7037.

teno.Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9214	80 Outperform	¥2.00B	12.14		―	27.30%	34.86%
9220	76 Outperform	¥2.50B	6.53		3.33%	5.85%	-22.29%
7129	73 Outperform	¥3.03B	9.52		2.76%	4.85%	4759.88%
2425	72 Outperform	¥3.01B	8.04		2.52%	2.33%	-0.96%
2435	69 Neutral	¥2.40B	6.92		4.67%	3.03%	70.93%
7037	54 Neutral	¥2.42B	―		1.75%	10.80%	-559.06%
Sector *	53 Neutral	$5.23B	3.23	-44.27%	2.82%	16.82%	0.11%

teno.Holdings Co., Ltd. Corporate Events

teno. Holdings Co., Ltd. Reports Strong Q1 2025 Financial Results

teno. Holdings Co., Ltd. reported a significant increase in its financial performance for the first quarter of 2025, with net sales rising by 15.1% and profit attributable to owners of the parent surging by 283.8% compared to the same period last year. This robust growth in financial metrics indicates a strong operational performance and may enhance the company’s market positioning, potentially benefiting shareholders and other stakeholders.