J Trust Co., Ltd. (8508) AI Stock Analysis

• Market Cap: ¥51.86B
• Dividend Yield: 3.46%
• Average Volume (3M): 329.83K
• Price to Earnings (P/E): 11.6
• Beta (1Y): 0.81
• Revenue Growth: -3.91%
• EPS Growth: 56.95%
• Country: JP
• Employees: 3,097
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Conglomerates
• EPS (TTM): 24.46
• Shares Outstanding: 137,658,310
• 10 Day Avg. Volume: 430,710
• 30 Day Avg. Volume: 329,830
• PEG Ratio: -0.17
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 0.51
• P/FCF Ratio: 4.65
• 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
• EPS Forecast (FY): 49
• Revenue Forecast (FY): ¥135.10B

• Rating: 63 Neutral
• Price Target: ¥460.00 ▲(7.98% Upside)

The overall stock score of 63 reflects a stable financial position with moderate leverage and efficient cost management. However, challenges such as declining revenue growth, profitability, and negative cash flows weigh on the score. The technical analysis indicates a bearish trend, while the valuation suggests the stock may be undervalued with an attractive dividend yield.

J Trust Co., Ltd. Business Overview & Revenue Model

Company Description

J Trust Co., Ltd., through its subsidiaries, provides various financial services in Japan, South Korea, and the Southeast Asia. The company provides credit guarantees; debt collection services; credit and consumer credit services; savings bank services; and investment services, as well as engages in entertainment business. It also offers technology-based services for various domestic and overseas financial transactions, such as cashless and digital banking; and deposit-type credit card services for domestic individuals and foreign residents. In addition, the company operates social lending platform. J Trust Co., Ltd. was founded in 1977 and is headquartered in Tokyo, Japan.

How the Company Makes Money

J Trust Co., Ltd. generates revenue through multiple streams. The primary source of income comes from interest and fees associated with consumer loans and credit card services, which contribute significantly to its earnings. Additionally, the company earns revenue from its banking operations, including deposits and loan products offered to both individual and corporate clients. The investment segment also plays a role in revenue generation through fees from asset management services and investment products. Strategic partnerships with financial institutions and technology firms enhance its service offerings and customer reach, thereby contributing to its overall profitability.

J Trust Co., Ltd. Financial Statement Overview

Summary

J Trust Co., Ltd. shows strong revenue growth and improving operational margins, but faces challenges in converting revenue to net income. High leverage and cash flow volatility pose financial stability risks, though past performance indicates potential for improvement.

Income Statement

The income statement shows strong gross profit margins and consistent revenue growth over the years, especially notable in the rise from 2020 to 2025. However, net income has not grown proportionately to revenue, indicating potential efficiency issues. The company improved its EBIT and EBITDA margins in the TTM, which is a positive sign of operational efficiency.

Balance Sheet

The balance sheet demonstrates a high level of total debt relative to equity, resulting in a high debt-to-equity ratio, which could pose financial risks. However, the company has maintained a stable equity base, and the equity ratio has shown moderate improvements, suggesting some resilience in asset management.

Cash Flow

Cash flow analysis reveals volatility, with significant fluctuations in operating cash flow, particularly a negative free cash flow in the TTM period. Despite this, the company managed positive free cash flow in previous years, which suggests potential for recovery. The operating cash flow to net income ratio indicates periods of weak cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	124.38B	128.17B	114.28B	82.42B	42.33B	32.65B
Gross Profit	45.17B	43.44B	33.13B	36.32B	19.31B	15.00B
EBITDA	11.84B	11.05B	2.09B	9.96B	11.42B	-259.00M
Net Income	4.67B	6.04B	16.31B	12.63B	1.12B	-5.34B
Balance Sheet
Total Assets	1.27T	1.27T	1.21T	1.12T	610.63B	530.46B
Cash, Cash Equivalents and Short-Term Investments	128.82B	127.89B	107.95B	159.39B	74.65B	60.59B
Total Debt	75.08B	69.31B	61.52B	39.75B	26.94B	67.80B
Total Liabilities	1.10T	1.09T	1.05T	983.58B	502.69B	428.00B
Stockholders Equity	151.77B	157.27B	151.59B	117.26B	95.67B	91.60B
Cash Flow
Free Cash Flow	-69.69B	14.09B	-47.89B	48.21B	12.48B	5.66B
Operating Cash Flow	-68.04B	17.12B	-47.08B	49.52B	15.41B	6.81B
Investing Cash Flow	20.07B	-7.40B	-501.00M	-9.12B	-10.00B	-8.42B
Financing Cash Flow	39.41B	2.23B	4.34B	7.29B	-6.13B	-8.64B

J Trust Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 426.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8508, the sentiment is Negative. The current price of 426 is above the 20-day moving average (MA) of 421.70, below the 50-day MA of 434.70, and below the 200-day MA of 432.31, indicating a bearish trend. The MACD of -8.72 indicates Positive momentum. The RSI at 35.89 is Neutral, neither overbought nor oversold. The STOCH value of 18.52 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:8508.

J Trust Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8707	80 Outperform	¥67.27B	8.24	―	6.65%	10.85%	30.77%
8393	78 Outperform	¥79.14B	7.79	―	2.38%	13.93%	54.44%
7148	69 Neutral	¥178.63B	10.31	―	5.83%	20.40%	-9.96%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
8789	65 Neutral	¥20.94B	11.26	―	2.73%	21.87%	-19.19%
8508	63 Neutral	¥51.86B	11.58	3.50%	3.46%	-3.91%	56.95%
6620	63 Neutral	¥36.25B	149.80	―	―	-19.44%	-55.35%