Japan Living Warranty, Inc. (7320) AI Stock Analysis

• Market Cap: ¥28.28B
• Dividend Yield: 0.61%
• Average Volume (3M): 72.27K
• Price to Earnings (P/E): 15.3
• Beta (1Y): 0.65
• Revenue Growth: 25.13%
• EPS Growth: -158.93%
• Country: JP
• Employees: 236
• Sector: Industrials
• Sector Strength: 72
• Industry: Software - Application
• EPS (TTM): -142.59
• Shares Outstanding: 11,997,254
• 10 Day Avg. Volume: 42,680
• 30 Day Avg. Volume: 72,266
• 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: ¥2,208.00
• Price Target Upside: -6.72% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 56 Neutral
• Price Target: ¥2,208.00 ▼(-6.72% Downside)

The overall stock score is primarily influenced by strong technical analysis indicators, suggesting positive market momentum. However, financial performance is hindered by profitability issues, and valuation is negatively impacted by the lack of earnings. The absence of earnings call and corporate events data means these factors do not influence the score.

Japan Living Warranty, Inc. Business Overview & Revenue Model

Company Description

Japan Living Warranty, Inc. (7320) is a Japanese company that operates in the warranty and insurance sector. The company primarily provides extended warranty services and insurance products for various consumer goods, including home appliances and electronics. Its services aim to enhance customer satisfaction by offering protection plans that cover repair costs and replacements beyond the manufacturer warranties. The company is known for its comprehensive support and quick service response, which are critical in building trust and retaining customers.

How the Company Makes Money

Japan Living Warranty, Inc. generates revenue through the sale of extended warranty plans and insurance products. These plans are typically offered to consumers at the point of sale of consumer goods or through partnerships with retailers and manufacturers. The primary revenue stream is the premiums paid by customers for these warranty and insurance plans. Additionally, the company may earn revenue from investment income generated from the reserves set aside to cover future claims. Significant partnerships with major electronics and appliance retailers contribute to a steady flow of new customers and enhance the company's market reach. Efficient claims management and cost control are crucial to maintaining profitability, as they directly impact the balance between premium income and payout obligations.

Japan Living Warranty, Inc. Financial Statement Overview

Summary

Japan Living Warranty, Inc. demonstrates strong revenue growth and cash flow generation, but faces challenges with profitability as indicated by the negative net income and EBITDA. The balance sheet shows improved leverage, but the return on equity has declined. Overall, while the company is growing, it needs to address profitability issues to enhance financial health.

Income Statement

The company has shown consistent revenue growth over the years, with a notable increase of 10.95% in the most recent year. However, the net profit margin has turned negative, indicating a significant decline in profitability. The gross profit margin remains strong, but the negative EBITDA in the latest period is concerning.

Balance Sheet

The company's debt-to-equity ratio has improved slightly, indicating better leverage management. However, the return on equity has decreased, reflecting reduced profitability. The equity ratio is stable, suggesting a balanced asset structure.

Cash Flow

Operating cash flow has increased significantly, which is a positive sign. The free cash flow growth rate is exceptionally high, but this is due to a low base effect. The operating cash flow to net income ratio is strong, indicating good cash generation relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.47B	6.71B	5.36B	3.92B	3.31B	2.62B
Gross Profit	4.70B	4.81B	4.00B	2.79B	2.19B	1.66B
EBITDA	1.90B	-604.05M	1.52B	1.18B	857.85M	460.03M
Net Income	1.24B	-628.14M	973.30M	751.28M	546.44M	243.22M
Balance Sheet
Total Assets	29.00B	29.62B	24.59B	21.59B	16.22B	14.47B
Cash, Cash Equivalents and Short-Term Investments	3.74B	3.30B	2.80B	4.30B	3.56B	5.67B
Total Debt	2.33B	2.28B	2.51B	2.57B	1.44B	652.88M
Total Liabilities	23.35B	25.43B	21.59B	19.28B	14.98B	13.69B
Stockholders Equity	5.63B	4.17B	3.01B	1.95B	1.24B	779.32M
Cash Flow
Free Cash Flow	0.00	2.09B	539.65M	1.63B	-482.37M	4.81B
Operating Cash Flow	0.00	2.10B	922.42M	1.86B	292.82M	5.12B
Investing Cash Flow	0.00	-1.34B	-2.09B	-1.90B	-3.17B	-1.63B
Financing Cash Flow	0.00	-549.55M	168.00M	783.35M	748.24M	420.13M

Japan Living Warranty, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2367.00
• 50DMA: Positive
• 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:7320, the sentiment is Positive. The current price of 2367 is above the 20-day moving average (MA) of 2247.55, above the 50-day MA of 2060.44, and above the 200-day MA of 1658.77, indicating a bullish trend. The MACD of 70.55 indicates Positive momentum. The RSI at 64.22 is Neutral, neither overbought nor oversold. The STOCH value of 73.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7320.

Japan Living Warranty, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7318	84 Outperform	22.99B	9.79	26.07%	―	48.34%	395.14%
6086	76 Outperform	24.84B	20.63	29.09%	1.36%	15.87%	25.64%
6083	74 Outperform	22.81B	17.20	20.40%	2.06%	9.67%	6.16%
5845	73 Outperform	23.78B	13.30	―	3.75%	4.03%	10.49%
7320	56 Neutral	¥28.28B	15.29	―	0.61%	25.13%	-158.93%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Japan Living Warranty, Inc. Corporate Events

SOLVVY INC. Announces Stock Split and Dividend Policy Revisions

SOLVVY INC., a company focused on enhancing shareholder value and expanding its investor base, has announced a series of strategic financial changes. These include a stock split to increase share accessibility, amendments to the Articles of Incorporation, a revised dividend policy emphasizing long-term stability, and an increased dividend forecast, all aimed at improving liquidity, attracting investors, and supporting business growth.

Japan Living Warranty, Inc. Announces Dividend Increase and Stock Split Amid Record Growth

Japan Living Warranty, Inc. has announced an increase in dividends and a stock split to enhance liquidity and attract a broader investor base, supported by a robust management foundation and stable profitability. The company has reported record-high sales and profits for the third quarter, driven by growth in its main businesses and successful integration with Media Seek, with expectations for continued growth in the fourth quarter.