Daishi Hokuetsu Financial Group, Inc. (7327) AI Stock Analysis

• Market Cap: ¥310.58B
• Dividend Yield: 3.92%
• Average Volume (3M): 188.03K
• Price to Earnings (P/E): 10.1
• Beta (1Y): 0.96
• Revenue Growth: 9.02%
• EPS Growth: 14.49%
• Country: JP
• Employees: 3,549
• Sector: Financial
• Sector Strength: 86
• Industry: Banks - Regional
• EPS (TTM): 93.13
• Shares Outstanding: 91,885,956
• 10 Day Avg. Volume: 148,480
• 30 Day Avg. Volume: 188,033
• PEG Ratio: -1.10
• Price to Book (P/B): 1.13
• 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: 73 Outperform
• Price Target: ―

Daishi Hokuetsu Financial Group, Inc. presents a strong financial foundation with significant revenue growth and robust balance sheet metrics. The low P/E ratio and high dividend yield enhance its attractiveness from a valuation perspective. However, inconsistent cash flow management and mixed technical indicators suggest areas for improvement.

Daishi Hokuetsu Financial Group, Inc. Business Overview & Revenue Model

Company Description

Daishi Hokuetsu Financial Group, Inc., through its subsidiaries, provides various banking products and services in Japan. The company offers deposit and loan products. It also provides securities, credit cards and credit guarantee, venture capital and consulting, general leasing, computer related, and HR consulting services, as well as survey research and information provision related to the economy and society. Daishi Hokuetsu Financial Group, Inc. was founded in 1873 and is headquartered in Niigata, Japan.

How the Company Makes Money

Daishi Hokuetsu Financial Group, Inc. generates revenue primarily through interest income earned on loans and advances provided to individuals and corporate clients. The Group also earns income via fees and commissions from various financial services, including asset management, securities trading, and foreign exchange dealings. Additionally, the company's earnings are supported by investment income from securities held in its portfolio. Strategic partnerships and collaborations may enhance the Group's service offerings and customer reach, contributing to revenue growth. The Group's focus on regional banking services in Japan allows it to cater to local financial needs, which plays a crucial role in its revenue generation.

Daishi Hokuetsu Financial Group, Inc. Financial Statement Overview

Summary

Daishi Hokuetsu Financial Group, Inc. shows a strong financial position with growing revenues and robust profitability margins. The balance sheet reflects sound financial health with low leverage and efficient equity usage. However, cash flow management appears to be an area needing attention, given the inconsistency in cash flow growth and variability in cash earnings.

Income Statement

Daishi Hokuetsu Financial Group, Inc. has demonstrated strong revenue growth over the past periods, with a notable increase in total revenue from the previous year. The TTM gross profit margin is robust, indicating efficient core operations. However, the net profit margin shows room for improvement, suggesting potential cost management issues. The EBIT margin is strong, reflecting solid operational efficiency.

Balance Sheet

The company maintains a healthy balance sheet with a low debt-to-equity ratio, indicating prudent financial leverage. The equity ratio is solid, highlighting strong capitalization. Return on equity is favorable, showcasing efficient use of shareholder funds to generate profits.

Cash Flow

The cash flow position presents mixed signals. While there is a significant free cash flow generation, the operating cash flow to net income ratio suggests variability in cash earnings. Historical free cash flow growth is inconsistent, indicating potential volatility in cash flow management.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
155.51B	136.42B	128.35B	125.22B	130.96B	139.65B
	Gross Profit
164.15B	135.79B	128.35B	125.22B	130.96B	139.65B
	EBIT
70.75B	32.37B	18.14B	16.00B	10.83B	13.48B
	EBITDA
17.10B	36.84B	31.91B	30.30B	23.96B	24.93B
	Net Income Common Stockholders
23.69B	21.20B	17.77B	15.14B	10.79B	12.88B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.08T	2.23T	2.03T	2.76T	2.06T	1.24T
	Total Assets
10.83T	11.14T	10.52T	10.67T	9.71T	8.97T
	Total Debt
1.42T	1.76T	911.18B	1.36T	663.80B	401.53B
	Net Debt
-663.91B	-2.23T	-1.12T	-1.40T	-1.39T	-834.76B
	Total Liabilities
10.34T	10.64T	1.22T	10.24T	9.25T	8.56T
	Stockholders Equity
492.88B	499.38B	415.42B	428.46B	435.36B	388.88B
Cash Flow		Free Cash Flow
0.00	289.30B	-343.80B	794.86B	895.20B	12.22B
	Operating Cash Flow
0.00	294.42B	-338.48B	797.68B	903.60B	22.88B
	Investing Cash Flow
0.00	-271.37B	-380.78B	-85.51B	-78.52B	111.07B
	Financing Cash Flow
0.00	114.16B	-8.05B	-8.94B	-5.50B	-5.35B

Daishi Hokuetsu Financial Group, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3400.00
• 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:7327, the sentiment is Positive. The current price of 3400 is above the 20-day moving average (MA) of 3280.00, above the 50-day MA of 3079.49, and above the 200-day MA of 2744.07, indicating a bullish trend. The MACD of 89.82 indicates Positive momentum. The RSI at 59.20 is Neutral, neither overbought nor oversold. The STOCH value of 58.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7327.

Daishi Hokuetsu Financial Group, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7327	73 Outperform	¥310.58B	10.12		3.92%	9.02%	14.49%
Sector *	64 Neutral	$12.79B	9.71	7.54%	16971.00%	12.07%	-7.53%
KYUNF		$2.25B	6.08	4.21%	4.96%	―	―
YFGSF		$2.11B	10.02	5.46%	3.67%	―	―
8377	71 Outperform	¥347.88B	9.10		1.76%	21.04%	20.47%
8366	70 Outperform	¥294.28B	15.69		1.45%	2.18%	-20.03%
5832	63 Neutral	¥328.43B	11.73		3.46%	12.82%	13.03%

Daishi Hokuetsu Financial Group, Inc. Corporate Events

Daishi Hokuetsu Financial Group Addresses Business Integration Reports

Daishi Hokuetsu Financial Group, Inc. is addressing media reports about a potential business integration with The Gunma Bank, Ltd., clarifying that such reports are not based on an official announcement from the company. The company is set to discuss and potentially resolve a Memorandum of Understanding regarding this integration at its board meeting, with further details to be shared once decisions are made.