ZETT CORP. (8135) AI Stock Analysis

• Market Cap: ¥8.34B
• Dividend Yield: 4.22%
• Average Volume (3M): 35.81K
• Price to Earnings (P/E): 2.8
• Beta (1Y): 0.42
• Revenue Growth: 6.45%
• EPS Growth: 269.38%
• Country: JP
• Employees: 584
• Sector: Consumer Cyclical
• Sector Strength: 73
• Industry: Leisure
• EPS (TTM): 21.67
• Shares Outstanding: 20,102,000
• 10 Day Avg. Volume: 33,440
• 30 Day Avg. Volume: 35,813
• PEG Ratio: 0.01
• Price to Book (P/B): 0.55
• 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: 84 Outperform
• Price Target: ¥488.00 ▲(14.02%Upside)

ZETT CORP. receives a strong stock score driven primarily by its robust financial performance and attractive valuation. The company's impressive growth and profitability metrics, coupled with a low P/E ratio and high dividend yield, make it an appealing investment. Technical analysis supports a positive outlook, although caution is advised due to high stochastic values indicating potential short-term corrections.

ZETT CORP. Business Overview & Revenue Model

Company Description

ZETT CORP. (8135) is a Japanese company primarily engaged in the manufacturing and distribution of sporting goods. The company operates in various sectors, including baseball, softball, soccer, and other sports, offering a wide range of products such as gloves, bats, balls, apparel, and related accessories. ZETT CORP. is known for its commitment to quality and innovation, catering to both amateur and professional athletes.

How the Company Makes Money

ZETT CORP. generates revenue through the sale of its sporting goods and equipment across different sports categories. The company makes money by designing, manufacturing, and selling a diverse array of products, including gloves, bats, balls, and sportswear, to retailers, sports teams, and individual consumers. A significant portion of its revenue comes from its strong presence in the baseball and softball markets, where it offers specialized and high-quality gear. Additionally, ZETT CORP. may engage in partnerships or sponsorships with sports teams and events, enhancing its brand visibility and sales. The company's earnings are also influenced by its ability to innovate and meet the evolving demands of the sports industry.

ZETT CORP. Financial Statement Overview

Summary

ZETT CORP. demonstrates strong revenue growth and profitability with a solid balance sheet, but faces cash flow challenges in the TTM period, indicating potential liquidity issues that need attention.

Income Statement

ZETT CORP. has shown consistent revenue growth with a 20.3% increase from 2023 to TTM (Trailing-Twelve-Months). Gross profit margins have remained stable, and the net profit margin in the TTM period is significantly higher at 5.3%, indicating improved profitability. EBIT and EBITDA margins are also solid, reflecting efficient operations. However, the previous year's net income was lower, highlighting some volatility in profitability.

Balance Sheet

The company's balance sheet is strong with a low debt-to-equity ratio of 0.007 in TTM, indicating financial stability and low leverage. The equity ratio stands at 44.6%, suggesting a well-capitalized company. Return on equity has improved significantly in the TTM period to 20.0%, showing effective use of equity to generate profits. However, the substantial increase in cash reserves suggests a conservative cash management approach.

Cash Flow

Cash flow metrics reveal challenges, as free cash flow growth is not calculable given zero TTM free cash flow. The operating cash flow was considerably higher in prior periods, but TTM data shows zero, indicating potential liquidity management issues. The previous year's free cash flow to net income ratio was positive at 0.69, yet the current cash flow performance highlights potential operational cash management concerns.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
53.91B	51.96B	49.89B	44.76B	37.61B	41.85B
	Gross Profit
9.18B	8.98B	9.16B	8.37B	6.86B	8.01B
	EBIT
927.00M	877.00M	997.00M	491.00M	-129.00M	334.97M
	EBITDA
1.15B	1.17B	1.35B	957.00M	296.01M	473.54M
	Net Income Common Stockholders
2.83B	810.00M	905.00M	723.00M	109.00M	209.97M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
12.30B	6.31B	6.23B	5.17B	5.14B	3.48B
	Total Assets
31.76B	29.54B	28.86B	25.31B	23.00B	21.28B
	Total Debt
99.00M	241.00M	325.00M	531.00M	738.00M	81.95M
	Net Debt
-12.20B	-6.07B	-5.91B	-4.64B	-4.40B	-3.39B
	Total Liabilities
17.59B	16.23B	15.93B	14.12B	13.08B	11.82B
	Stockholders Equity
14.17B	13.30B	12.93B	11.19B	9.92B	9.46B
Cash Flow		Free Cash Flow
0.00	555.00M	1.38B	313.00M	1.09B	-208.96M
	Operating Cash Flow
0.00	684.00M	1.47B	437.00M	1.24B	-39.93M
	Investing Cash Flow
0.00	-332.00M	-86.00M	-137.00M	-138.00M	-200.37M
	Financing Cash Flow
0.00	-277.00M	-336.00M	-281.00M	558.00M	-265.94M

ZETT CORP. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 428.00
• 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:8135, the sentiment is Positive. The current price of 428 is above the 20-day moving average (MA) of 414.35, above the 50-day MA of 409.78, and above the 200-day MA of 371.75, indicating a bullish trend. The MACD of 6.05 indicates Negative momentum. The RSI at 58.25 is Neutral, neither overbought nor oversold. The STOCH value of 63.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8135.

ZETT CORP. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8135	84 Outperform	¥8.34B	2.79		4.22%	6.45%	269.38%
7841	79 Outperform	¥9.89B	11.01		3.55%	9.49%	-3.05%
7809	73 Outperform	¥12.83B	11.07		2.27%	7.79%	22.67%
7847	73 Outperform	¥4.11B	10.93		4.72%	15.88%	115.04%
Sector *	62 Neutral	$6.93B	11.25	2.95%	3.88%	2.69%	-24.71%