Advantage Risk Management Co., Ltd. (8769) AI Stock Analysis

• Market Cap: ¥9.82B
• Dividend Yield: 2.34%
• Average Volume (3M): 47.18K
• Price to Earnings (P/E): 12.1
• Beta (1Y): 0.23
• Revenue Growth: 29.34%
• EPS Growth: 68.31%
• Country: JP
• Employees: 439
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Care Facilities
• EPS (TTM): 6.20
• Shares Outstanding: 16,280,200
• 10 Day Avg. Volume: 63,720
• 30 Day Avg. Volume: 47,183
• PEG Ratio: 0.29
• Price to Book (P/B): 2.80
• Price to Sales (P/S): 1.30
• P/FCF Ratio: 6.56
• 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: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: ¥659.00 ▲(2.65% Upside)

The overall stock score of 74 reflects the company's strong financial performance and reasonable valuation. The financial health is robust, with effective cash management and low leverage. Technical analysis indicates neutral momentum, while the valuation is attractive with a reasonable P/E ratio and a solid dividend yield.

Advantage Risk Management Co., Ltd. Business Overview & Revenue Model

Company Description

Advantage Risk Management Co., Ltd. (8769) is a leading provider of risk management solutions in the financial sector, specializing in comprehensive risk assessment, mitigation strategies, and compliance services. The company operates primarily in the finance and insurance industries, offering a range of core services including risk consulting, insurance brokerage, and software solutions designed for effective risk management. With a focus on leveraging technology to enhance decision-making processes, Advantage Risk Management aims to empower businesses to navigate complex regulatory environments and manage their risk exposure effectively.

How the Company Makes Money

Advantage Risk Management generates revenue through multiple streams, primarily by offering consulting services and software solutions tailored to risk management. The company charges fees for its consulting services, which include risk assessments and strategy development. Additionally, it earns commissions from insurance brokerage activities, where it acts as an intermediary between clients and insurance providers. Furthermore, the company has established strategic partnerships with technology firms to enhance its software offerings, which not only provides additional revenue through licensing fees but also strengthens its market position. Key factors contributing to its earnings include a growing demand for compliance solutions in response to regulatory changes and a robust network of clients in the finance and insurance sectors.

Advantage Risk Management Co., Ltd. Financial Statement Overview

Summary

Advantage Risk Management Co., Ltd. exhibits a solid financial foundation with strong revenue growth, consistent profitability, and effective cash management. The company's low leverage and efficient use of equity underscore financial stability, though minor risks in equity management exist.

Income Statement

The company has shown robust revenue growth with a strong trajectory from 2020 to 2025. The gross profit margin has consistently remained high, indicating efficient cost management. Net profit margin has improved significantly, reflecting enhanced profitability. The EBIT and EBITDA margins are solid, pointing to strong operational performance.

Balance Sheet

The company's balance sheet is healthy with a low debt-to-equity ratio, indicating low leverage and financial stability. The return on equity has improved, showcasing effective utilization of shareholder funds. The equity ratio is strong, highlighting a substantial portion of assets funded by equity. However, the decline in stockholders' equity from 2021 to 2025 suggests some potential risks in equity management.

Cash Flow

The company demonstrates strong cash flow generation, with a significant increase in free cash flow over the years. The operating cash flow to net income ratio is stable, indicating efficient cash generation relative to profits. The free cash flow to net income ratio suggests a comfortable cash position. The improvement in free cash flow growth rate denotes excellent cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.15B	8.55B	7.00B	6.41B	5.79B	5.45B
Gross Profit	6.25B	5.89B	4.93B	4.60B	4.27B	4.26B
EBITDA	1.97B	1.63B	1.41B	1.08B	738.56M	1.01B
Net Income	804.23M	744.36M	505.58M	377.61M	201.81M	496.22M
Balance Sheet
Total Assets	9.00B	8.72B	6.55B	5.96B	5.68B	5.87B
Cash, Cash Equivalents and Short-Term Investments	2.01B	1.73B	1.43B	1.27B	717.93M	2.76B
Total Debt	1.92B	1.97B	344.66M	173.66M	170.00M	170.00M
Total Liabilities	5.02B	4.76B	2.56B	2.32B	2.25B	2.17B
Stockholders Equity	3.98B	3.96B	3.98B	3.64B	3.43B	3.69B
Cash Flow
Free Cash Flow	0.00	1.69B	415.84M	77.83M	-383.04M	-70.33M
Operating Cash Flow	0.00	1.71B	1.29B	931.58M	578.98M	712.63M
Investing Cash Flow	0.00	-2.26B	-948.01M	-219.35M	-2.15B	-772.88M
Financing Cash Flow	0.00	860.33M	-182.55M	-169.63M	-469.29M	-166.08M

Advantage Risk Management Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 642.00
• 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:8769, the sentiment is Positive. The current price of 642 is above the 20-day moving average (MA) of 587.35, above the 50-day MA of 591.74, and above the 200-day MA of 610.61, indicating a bullish trend. The MACD of 8.75 indicates Negative momentum. The RSI at 64.18 is Neutral, neither overbought nor oversold. The STOCH value of 79.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8769.

Advantage Risk Management Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7091	75 Outperform	¥4.47B	10.90	―	―	15.78%	120.80%
8769	74 Outperform	¥9.82B	12.11	―	2.34%	29.34%	68.31%
7133	74 Outperform	¥9.44B	13.24	―	1.51%	18.30%	37.13%
160A	73 Outperform	¥10.87B	5.45	―	1.81%	―	―
7061	71 Outperform	¥11.80B	20.92	―	1.09%	20.37%	-5.97%
6557	65 Neutral	¥9.24B	26.06	―	―	11.69%	-38.92%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%