Hakuyosha Company,Ltd. (9731) AI Stock Analysis

• Market Cap: ¥11.98B
• Dividend Yield: 1.74%
• Average Volume (3M): 5.68K
• Price to Earnings (P/E): 5.8
• Beta (1Y): 0.48
• Revenue Growth: 0.30%
• EPS Growth: -14.49%
• Country: JP
• Employees: 1,742
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Personal Products & Services
• EPS (TTM): 218.68
• Shares Outstanding: 3,900,000
• 10 Day Avg. Volume: 5,680
• 30 Day Avg. Volume: 5,683
• PEG Ratio: 0.28
• Price to Book (P/B): 0.80
• Price to Sales (P/S): 0.19
• P/FCF Ratio: 3.85
• 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: Hold
• Number of Analyst Covering: 0

• Rating: 63 Neutral
• Price Target: ¥3,536.00 ▲(11.90% Upside)

The overall stock score is primarily influenced by the company's strong financial recovery and attractive valuation. However, the bearish technical indicators suggest caution, as the stock is currently experiencing weak momentum. Investors should consider the potential for continued financial improvement against the backdrop of current market trends.

Hakuyosha Company,Ltd. Business Overview & Revenue Model

Company Description

Hakuyosha Company, Ltd. engages in cleaning, rental, and other businesses in Japan. It provides cleaning services, including clothes cleaning, cleaning related, pick-up and delivery, easy courier, and house cleaning and remodeling services. The company also offers uniform and linen supply services. In addition, it provides office shop cleaning, leather sofa furniture, and blind cleaning services; stone cleaning/stone polishing services; stage curtain, tapestry, and theater chair cleaning services; office/shop interior construction services; and comprehensive building management services. Further, the company offers dust-free clothing/sterile clothing services. Hakuyosha Company, Ltd. was founded in 1897 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Hakuyosha makes money through a diversified revenue model centered around its cleaning and maintenance services. The company's key revenue streams include laundry services for individual customers, contract cleaning services for businesses, and specialized cleaning solutions for delicate fabrics and garments. Hakuyosha also generates income from partnerships with hotels and other institutions that require regular, high-quality cleaning services. Its focus on quality and reliability has helped maintain a steady client base, contributing significantly to its earnings.

Hakuyosha Company,Ltd. Financial Statement Overview

Summary

Hakuyosha Company, Ltd. has shown commendable recovery and growth in recent years, with strong improvements in revenue and profitability. The reduction in leverage and improved cash flow management are positive signs of financial health. However, maintaining these improvements and further strengthening its capital structure will be essential for long-term sustainability.

Income Statement

Hakuyosha Company, Ltd. has demonstrated consistent revenue growth over recent years with a notable increase from JPY 35,131 million in 2021 to JPY 43,580 million in 2024. Gross Profit Margin improved significantly from a low of 2.5% in 2020 to 15.3% in 2024, indicating enhanced operational efficiency. Net Profit Margin also improved from negative values in 2020 and 2021 to 5.1% in 2024. The company has successfully turned around from previous losses, but sustaining these margins will be crucial for future profitability.

Balance Sheet

The Debt-to-Equity Ratio has decreased from 2.68 in 2020 to 1.11 in 2024, reflecting reduced leverage and an improved capital structure. Return on Equity has improved from negative to 21.2% in 2024, indicating strong shareholder returns. However, the Equity Ratio remains moderate at 31.9%, suggesting the company still relies significantly on debt.

Cash Flow

Operating Cash Flow and Free Cash Flow have shown strong improvement, with the Operating Cash Flow to Net Income Ratio rising to 1.32 in 2024. The Free Cash Flow to Net Income Ratio is positive, reflecting a healthy cash generation relative to earnings. These improvements highlight enhanced cash flow management, although maintaining this trend will be key to future financial stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	43.90B	43.58B	43.27B	39.18B	35.13B	39.15B
Gross Profit	6.66B	6.66B	6.63B	5.07B	2.17B	890.00M
EBITDA	3.94B	3.50B	3.48B	3.89B	866.00M	-1.29B
Net Income	2.04B	2.21B	1.95B	1.69B	-1.25B	-3.16B
Balance Sheet
Total Assets	33.03B	32.75B	33.15B	31.37B	31.41B	34.86B
Cash, Cash Equivalents and Short-Term Investments	1.46B	1.31B	1.43B	1.11B	1.04B	1.07B
Total Debt	9.40B	11.65B	13.66B	13.48B	15.48B	17.17B
Total Liabilities	21.79B	22.21B	24.78B	25.23B	27.04B	28.80B
Stockholders Equity	11.12B	10.45B	8.32B	6.07B	4.22B	5.74B
Cash Flow
Free Cash Flow	0.00	2.16B	937.00M	870.00M	-517.00M	-1.93B
Operating Cash Flow	0.00	2.92B	1.57B	1.31B	-29.00M	-1.31B
Investing Cash Flow	0.00	-89.00M	-597.00M	815.00M	1.76B	932.00M
Financing Cash Flow	0.00	-2.88B	-657.00M	-2.12B	-1.77B	780.00M

Hakuyosha Company,Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3160.00
• 50DMA: Negative
• 100DMA: Negative
• 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:9731, the sentiment is Negative. The current price of 3160 is below the 20-day moving average (MA) of 3217.75, below the 50-day MA of 3367.60, and above the 200-day MA of 3020.32, indicating a neutral trend. The MACD of -67.96 indicates Negative momentum. The RSI at 38.36 is Neutral, neither overbought nor oversold. The STOCH value of 32.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9731.

Hakuyosha Company,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7523	81 Outperform	¥16.08B	13.38	―	2.53%	-1.20%	-8.71%
6571	77 Outperform	¥18.55B	17.75	―	2.49%	3.18%	-21.69%
7358	76 Outperform	¥14.36B	15.76	―	2.65%	7.89%	-12.90%
9262	75 Outperform	¥9.39B	13.41	―	1.83%	10.06%	4.96%
9251	73 Outperform	¥19.81B	18.27	―	2.14%	6.21%	―
9731	63 Neutral	¥11.98B	5.85	―	1.74%	0.30%	-14.49%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%