WADAKOHSAN CORPORATION (8931) AI Stock Analysis

• Market Cap: ¥18.21B
• Dividend Yield: 4.81%
• Average Volume (3M): 21.75K
• Price to Earnings (P/E): 5.1
• Beta (1Y): 0.48
• Revenue Growth: 10.42%
• EPS Growth: 48.21%
• Country: JP
• Employees: 122
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Diversified
• EPS (TTM): 49.15
• Shares Outstanding: 11,100,000
• 10 Day Avg. Volume: 20,550
• 30 Day Avg. Volume: 21,750
• PEG Ratio: 0.25
• Price to Book (P/B): 0.46
• Price to Sales (P/S): 0.38
• P/FCF Ratio: -3.80
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 78 Outperform
• Price Target: ¥1,758.00 ▲(9.60% Upside)

WADAKOHSAN CORPORATION scores highly due to its strong valuation metrics and positive technical indicators, despite some concerns over financial leverage and cash flow fluctuations. The real estate industry's cyclical nature and the company's reliance on debt pose risks, but the low P/E ratio and high dividend yield offer a compelling investment case.

WADAKOHSAN CORPORATION Business Overview & Revenue Model

Company Description

WADAKOHSAN CORPORATION (8931) is a Japan-based company primarily engaged in the real estate business. The company operates in several sectors, including real estate development, property sales, and leasing. Its core products and services include the development and sale of residential and commercial properties, as well as property management and leasing services.

How the Company Makes Money

WADAKOHSAN CORPORATION makes money through various revenue streams primarily centered around real estate activities. The company generates revenue from the development and sale of residential and commercial properties, where it earns profits by selling these properties at a higher price than their development costs. Additionally, the company engages in property leasing, earning rental income from leasing out residential and commercial spaces. Property management services, which include maintenance and operational management of properties, also contribute to its revenue. Key factors contributing to its earnings include the demand for real estate in the regions it operates, effective management of property development costs, and maintaining high occupancy rates in its leasing operations.

WADAKOHSAN CORPORATION Financial Statement Overview

Summary

WADAKOHSAN CORPORATION demonstrates strong profitability with improved margins and a growing equity base. However, there are concerns regarding leverage, with a relatively high debt-to-equity ratio and challenges in cash flow consistency.

Income Statement

WADAKOHSAN CORPORATION shows a strong performance in profitability metrics. The gross profit margin and net profit margin have improved significantly over the years. The revenue growth rate is positive, indicating an upward trajectory in sales. EBIT and EBITDA margins are also healthy, reflecting efficient cost management. However, the fluctuations in revenue and net income across years suggest some potential risks in maintaining consistent growth.

Balance Sheet

The company's balance sheet reflects a moderate level of financial stability. Although the debt-to-equity ratio is relatively high, indicative of leverage risk, the company has managed to maintain a growing stockholder equity base. The return on equity has been increasing, suggesting efficient use of equity to generate profits. However, the equity ratio indicates a dependency on debt financing, which could pose risks if interest rates rise.

Cash Flow

WADAKOHSAN's cash flow statement shows challenges in generating consistent free cash flow, with significant fluctuations over the years. The operating cash flow has been negative in recent periods, which is a concern for sustainability. The free cash flow to net income ratio is low, pointing towards potential issues in converting profits into cash. Despite a positive financing cash flow, the reliance on external financing could impact future flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	41.46B	40.13B	38.83B	42.71B	41.79B	39.81B
Gross Profit	10.19B	9.73B	8.49B	8.39B	7.99B	6.69B
EBITDA	6.49B	6.02B	5.22B	5.09B	4.62B	3.45B
Net Income	3.55B	3.12B	2.64B	2.38B	2.34B	1.27B
Balance Sheet
Total Assets	109.95B	110.66B	101.23B	86.14B	98.30B	92.34B
Cash, Cash Equivalents and Short-Term Investments	17.12B	17.20B	17.35B	11.76B	17.01B	11.84B
Total Debt	61.73B	57.37B	52.60B	44.54B	50.68B	53.20B
Total Liabilities	76.39B	77.73B	70.57B	57.56B	71.65B	67.45B
Stockholders Equity	33.56B	32.93B	30.66B	28.58B	26.66B	24.88B
Cash Flow
Free Cash Flow	0.00	-3.98B	-1.92B	881.56M	7.53B	2.86B
Operating Cash Flow	0.00	-1.94B	-1.18B	2.15B	8.22B	3.72B
Investing Cash Flow	0.00	-2.09B	-458.49M	-1.07B	190.59M	-1.05M
Financing Cash Flow	0.00	3.90B	7.47B	-6.64B	-3.12B	-587.37M

WADAKOHSAN CORPORATION Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1604.00
• 50DMA: Negative
• 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:8931, the sentiment is Neutral. The current price of 1604 is below the 20-day moving average (MA) of 1627.45, below the 50-day MA of 1621.79, and above the 200-day MA of 1465.32, indicating a neutral trend. The MACD of 5.78 indicates Positive momentum. The RSI at 44.64 is Neutral, neither overbought nor oversold. The STOCH value of 25.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:8931.

WADAKOHSAN CORPORATION Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8931	78 Outperform	¥18.21B	5.10	―	4.81%	10.42%	48.21%
3242	75 Outperform	¥21.00B	9.94	―	3.94%	21.34%	-3.15%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
8927	62 Neutral	¥14.79B	7.57	―	2.48%	44.91%	37.67%
1431	57 Neutral	¥17.08B	34.65	―	0.86%	3.69%	26.04%
8940	55 Neutral	¥8.56B	5.00	―	3.02%	18.96%	24.18%