Artnature Inc. (7823) AI Stock Analysis

• Market Cap: ¥26.30B
• Dividend Yield: 3.42%
• Average Volume (3M): 74.01K
• Price to Earnings (P/E): 36.0
• Beta (1Y): 0.47
• Revenue Growth: 1.74%
• EPS Growth: -23.83%
• Country: JP
• Employees: 3,909
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Household & Personal Products
• EPS (TTM): 3.71
• Shares Outstanding: 34,393,200
• 10 Day Avg. Volume: 99,380
• 30 Day Avg. Volume: 74,013
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 61 Neutral
• Price Target: ―

Artnature Inc. scores moderately due to strong financial health and profitability, highlighted by a debt-free balance sheet and stable growth. However, the current technical indicators suggest potential downward momentum, and the high P/E ratio indicates possible overvaluation. The dividend yield provides some investor return, yet the absence of current cash flow data and technical momentum indicators adds uncertainty to the stock's outlook.

Artnature Inc. Business Overview & Revenue Model

Company Description

Artnature Inc. is a leading Japanese company specializing in the production and sale of custom wigs, hairpieces, and related hair care products. The company serves a diverse customer base, including individuals experiencing hair loss and those seeking fashion wigs. Artnature operates through a network of retail locations, providing personalized fitting services and consultations to ensure customer satisfaction.

How the Company Makes Money

Artnature Inc. generates revenue primarily through the sale of its custom-made wigs and hairpieces. The company operates an extensive retail network where customers can receive personalized consultations and fittings, which enhances the customer experience and encourages sales. Additionally, Artnature offers a range of hair care products, adding to its revenue streams. The company's earnings are further supported by its presence in various international markets and partnerships with healthcare providers, which help reach customers with medical hair loss needs. Overall, Artnature's revenue model is centered around product sales, personalized services, and strategic partnerships that support market expansion.

Artnature Inc. Financial Statement Overview

Summary

Artnature Inc. presents a solid financial standing with strong profitability and a debt-free balance sheet. The income statement shows efficient operations, but the lack of current cash flow data poses a risk to comprehensive evaluation. The company maintains a stable growth trajectory, supported by a strong equity foundation, though cash flow monitoring is advisable.

Income Statement

Artnature Inc. exhibits strong profitability with a consistent gross profit margin averaging around 66% over the years. The net profit margin has shown improvements, reaching 1.74% in TTM, though it remains modest. Revenue growth has been stable, but with slight fluctuations. The EBIT and EBITDA margins demonstrate good operational efficiency with TTM values at 4.17% and 4.64% respectively, indicating a healthy capacity to generate earnings before interest and taxes.

Balance Sheet

The balance sheet of Artnature Inc. is robust, characterized by a zero-debt position, resulting in an optimal debt-to-equity ratio. The company has a strong equity base, with an equity ratio of 54.47% in TTM, suggesting financial stability and a solid asset base. Return on Equity is moderate, reflecting stable but not exceptional returns on shareholder investments.

Cash Flow

Cash flow metrics are mixed, with the absence of TTM operating cash flow data limiting full evaluation. Historical data shows a decreasing trend in free cash flow, which could be a concern. The free cash flow to net income ratio previously was strong, indicating effective conversion of earnings into cash. However, the latest data gap necessitates cautious interpretation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	43.34B	43.34B	42.85B	43.21B	40.44B	35.87B
Gross Profit	28.69B	28.69B	28.72B	29.16B	27.74B	23.91B
EBITDA	2.67B	2.67B	2.92B	4.17B	4.10B	2.76B
Net Income	823.00M	822.00M	1.46B	1.87B	1.20B	840.00M
Balance Sheet
Total Assets	49.68B	49.68B	49.85B	47.96B	46.51B	44.92B
Cash, Cash Equivalents and Short-Term Investments	18.20B	18.20B	19.34B	20.20B	19.57B	19.09B
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	22.62B	22.62B	22.98B	22.03B	21.92B	19.66B
Stockholders Equity	27.04B	27.04B	26.86B	25.91B	24.58B	25.25B
Cash Flow
Free Cash Flow	0.00	812.00M	148.00M	1.71B	1.62B	3.38B
Operating Cash Flow	0.00	2.58B	2.14B	2.93B	2.50B	4.23B
Investing Cash Flow	0.00	-2.91B	-2.17B	-1.42B	-1.18B	-885.00M
Financing Cash Flow	0.00	-911.00M	-919.00M	-924.00M	-924.00M	-1.11B

Artnature Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 819.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7823, the sentiment is Positive. The current price of 819 is above the 20-day moving average (MA) of 810.75, above the 50-day MA of 811.06, and above the 200-day MA of 776.99, indicating a bullish trend. The MACD of 1.62 indicates Negative momentum. The RSI at 60.35 is Neutral, neither overbought nor oversold. The STOCH value of 80.28 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7823.

Artnature Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8219	84 Outperform	126.74B	13.39	5.29%	4.99%	-0.46%	-1.91%
8237	72 Outperform	77.95B	41.04	8.44%	0.82%	9.88%	-37.53%
8233	71 Outperform	511.02B	15.40	7.14%	1.46%	2.11%	-4.24%
9831	68 Neutral	415.75B	13.14	4.21%	2.61%	1.26%	12.77%
3591	63 Neutral	297.89B	17.06	3.64%	1.75%	-6.76%	―
7823	61 Neutral	¥26.30B	36.02	―	3.42%	1.74%	-23.83%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%