Berg Earth Co., Ltd. (1383) AI Stock Analysis

• Market Cap: ¥4.82B
• Dividend Yield: 0.34%
• Average Volume (3M): 1.30K
• Price to Earnings (P/E): 130.0
• Beta (1Y): 0.08
• Revenue Growth: 3.08%
• EPS Growth: -111.11%
• Country: JP
• Employees: 299
• Sector: Consumer Defensive
• Sector Strength: 55
• Industry: Agricultural Farm Products
• EPS (TTM): 129.43
• Shares Outstanding: 1,613,580
• 10 Day Avg. Volume: 1,430
• 30 Day Avg. Volume: 1,296
• PEG Ratio: 2.51
• Price to Book (P/B): 2.67
• 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: 61 Neutral
• Price Target: ¥3,150.00 ▲(4.83%Upside)

Berg Earth Co., Ltd. has a moderate stock score driven primarily by positive technical indicators, despite poor valuation metrics. The company's financial performance shows modest revenue growth but faces challenges in profitability and cash flow. The stock's long-term resistance and negative earnings valuation pose significant concerns.

Berg Earth Co., Ltd. Business Overview & Revenue Model

Company Description

Berg Earth Co., Ltd. (1383) is a company engaged in the agriculture and horticulture sectors. The company specializes in the production and distribution of seedling plants, with a focus on high-quality vegetable seedlings. It serves agricultural businesses by providing them with robust and healthy seedlings to enhance crop yield and quality. Berg Earth is committed to innovation in agricultural practices and supports sustainable farming methods.

How the Company Makes Money

Berg Earth Co., Ltd. generates revenue primarily through the sale of its seedling plants to agricultural producers and distributors. The company operates greenhouses and utilizes advanced horticultural techniques to produce a wide variety of vegetable seedlings, which are then sold to farmers and agricultural businesses seeking to optimize their crop production. Key revenue streams include direct sales to commercial farms, partnerships with agricultural co-operatives, and collaborations with agricultural technology firms to enhance seedling quality and distribution efficiency. The company's earnings are bolstered by its focus on sustainable farming innovations, which attract environmentally conscious clients and partners.

Berg Earth Co., Ltd. Financial Statement Overview

Summary

Berg Earth Co., Ltd. shows modest revenue growth and a stable capital structure but faces challenges in profitability and cash flow management. The company's operational efficiency and cash flow generation need improvement to enhance financial performance and support future growth.

Income Statement

Berg Earth Co., Ltd. has shown a stable revenue growth of 0.48% from 2023 to 2024, with a gross profit margin of 24.54% and a net profit margin of 0.56% in 2024. Despite positive revenue growth, profitability remains a concern due to a sharp decline in EBIT and EBITDA margins compared to past years, indicating potential issues in operational efficiency.

Balance Sheet

The company maintains a reasonable debt-to-equity ratio of 1.05, suggesting moderate leverage. Return on equity is low at 1.93%, indicating underperformance in generating returns on shareholders' investments. The equity ratio is solid at 36.41%, showing a stable capital structure with a fair portion of assets financed by equity.

Cash Flow

Berg Earth Co.'s free cash flow deteriorated significantly from 2023 to 2024, reflecting a negative growth rate. The operating cash flow to net income ratio stands at 2.79, suggesting strong cash generation relative to net income, but the negative free cash flow to net income ratio highlights challenges in covering capital expenditures.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.09B	7.06B	6.39B	5.37B	5.20B
Gross Profit	1.74B	1.75B	1.51B	1.33B	1.22B
EBITDA	357.92M	427.97M	515.37M	454.60M	149.36M
Net Income	39.94M	78.03M	202.34M	122.20M	-214.42M
Balance Sheet
Total Assets	5.68B	5.67B	6.07B	5.09B	4.66B
Cash, Cash Equivalents and Short-Term Investments	924.36M	1.00B	1.10B	964.41M	728.77M
Total Debt	2.17B	2.10B	2.61B	2.30B	2.01B
Total Liabilities	3.56B	3.59B	4.41B	3.85B	3.52B
Stockholders Equity	2.07B	2.03B	1.62B	1.02B	908.01M
Cash Flow
Free Cash Flow	-134.25M	104.57M	-110.25M	-30.75M	-296.85M
Operating Cash Flow	111.46M	177.47M	344.56M	481.54M	311.44M
Investing Cash Flow	-241.49M	-83.26M	-467.49M	-523.09M	-605.58M
Financing Cash Flow	54.65M	-185.26M	49.34M	278.83M	533.96M

Berg Earth Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 3005.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1383, the sentiment is Neutral. The current price of 3005 is above the 20-day moving average (MA) of 2932.50, above the 50-day MA of 2925.64, and below the 200-day MA of 3104.79, indicating a neutral trend. The MACD of 12.40 indicates Negative momentum. The RSI at 68.93 is Neutral, neither overbought nor oversold. The STOCH value of 91.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:1383.

Berg Earth Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1384	79 Outperform	¥13.42B	6.17		4.44%	2.62%	31.70%
1381	76 Outperform	¥16.66B	11.33		3.32%	1.44%	4.93%
7555	64 Neutral	¥3.79B	17.07		1.61%	-6.93%	21.65%
1383	61 Neutral	¥4.82B	129.99		0.34%	3.08%	-111.11%
1382	58 Neutral	¥1.38B	54.17		2.83%	-5.15%	-47.23%
1380	57 Neutral	¥4.21B	150.13		0.99%	7.64%	-71.33%
Sector *	50 Neutral	AU$2.19B	0.04	-14.39%	10.53%	7.38%	-60.19%