West Holdings Corporation (1407) AI Stock Analysis

• Market Cap: ¥61.83B
• Dividend Yield: 4.36%
• Average Volume (3M): 151.97K
• Price to Earnings (P/E): 11.1
• Beta (1Y): 0.65
• Revenue Growth: -7.18%
• EPS Growth: -18.58%
• Country: JP
• Employees: 369
• Sector: Utilities
• Sector Strength: 77
• Industry: Renewable Utilities
• EPS (TTM): 16.87
• Shares Outstanding: 46,027,490
• 10 Day Avg. Volume: 149,710
• 30 Day Avg. Volume: 151,970
• PEG Ratio: 0.46
• Price to Book (P/B): 3.67
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 33.61
• 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: 65 Neutral
• Price Target: ¥1,651.00 ▲(10.81%Upside)

The overall score reflects strong financial performance driven by revenue growth and profitability, offset by concerns over rising debt and cash flow issues. Technical indicators suggest caution due to a lack of strong momentum, while the valuation remains attractive due to low P/E and high dividend yield. The absence of earnings call and corporate events data limits further insights.

West Holdings Corporation Business Overview & Revenue Model

Company Description

West Holdings Corporation engages in the renewable energy business. It is involved in the installation of residential and industrial solar power generation systems; ground-based and roof-based installations for factories; construction and sales of public and industrial photovoltaic power generation systems; solar power generation and sales activities; management and maintenance business for photovoltaic power generation systems and related equipment; and energy saving services. The company was founded in 1981 and is headquartered in Tokyo, Japan.

How the Company Makes Money

West Holdings Corporation makes money through the development and management of solar power generation projects. The company earns revenue by constructing and selling solar power systems and facilities, as well as through the ongoing operation and maintenance services it provides for these systems. Additionally, West Holdings benefits from selling the electricity generated by its solar power plants to utility companies and other purchasers. Key revenue streams include project development fees, construction contracts, and long-term service agreements. The company's financial performance is also supported by strategic partnerships with other firms in the renewable energy sector, as well as government incentives for clean energy production in Japan.

West Holdings Corporation Financial Statement Overview

Summary

West Holdings Corporation exhibits strong revenue growth and improved profitability. However, increased debt levels and negative cash flow trends pose financial risks, indicating caution despite potential.

Income Statement

West Holdings Corporation has demonstrated consistent revenue growth with a notable increase of 15.2% from 2023 to 2024. Gross profit and EBIT margins have improved, indicating enhanced operational efficiency. The net profit margin also saw a positive trend, reflecting increased profitability. However, fluctuations in revenue growth in past years and a decrease in total revenue from 2022 to 2023 reflect potential instability.

Balance Sheet

The company's debt-to-equity ratio has increased, indicating higher financial leverage which poses a potential risk. However, stockholders' equity has grown, which is a positive indicator. The equity ratio remains relatively stable, suggesting balanced asset financing. Despite this, the rising total debt and a decline in cash reserves may impact future financial flexibility.

Cash Flow

A significant decline in operating cash flow from 2023 to 2024 is concerning. The free cash flow has turned negative, indicating potential liquidity challenges. The free cash flow to net income ratio is unfavorable, showing cash generation issues. Improvement in free cash flow growth in 2023 offers some relief, but recent negative trends require attention.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
46.79B	50.39B	43.73B	67.17B	67.94B	61.95B
	Gross Profit
17.19B	18.52B	15.36B	14.44B	16.66B	13.69B
	EBIT
9.51B	10.60B	8.50B	7.77B	10.15B	7.18B
	EBITDA
10.56B	12.94B	10.67B	9.20B	11.60B	8.75B
	Net Income Common Stockholders
5.96B	6.76B	6.02B	4.26B	6.50B	4.42B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
28.51B	27.68B	46.15B	27.60B	35.94B	31.00B
	Total Assets
124.88B	125.90B	123.80B	101.42B	97.28B	82.30B
	Total Debt
81.17B	75.33B	78.25B	59.06B	53.77B	48.64B
	Net Debt
52.66B	47.66B	32.10B	31.47B	17.84B	17.64B
	Total Liabilities
94.18B	92.50B	92.40B	73.87B	71.95B	61.94B
	Stockholders Equity
30.52B	33.23B	31.39B	27.54B	25.32B	20.34B
Cash Flow		Free Cash Flow
0.00	-6.55B	3.42B	-10.36B	1.73B	541.00M
	Operating Cash Flow
0.00	495.00M	7.34B	-4.86B	5.13B	1.33B
	Investing Cash Flow
0.00	-10.42B	-5.38B	-4.67B	-4.04B	-669.00M
	Financing Cash Flow
0.00	-8.56B	16.55B	2.91B	3.31B	-3.41B

West Holdings Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1490.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1407, the sentiment is Negative. The current price of 1490 is below the 20-day moving average (MA) of 1536.05, below the 50-day MA of 1527.46, and below the 200-day MA of 1894.08, indicating a bearish trend. The MACD of -14.66 indicates Positive momentum. The RSI at 47.54 is Neutral, neither overbought nor oversold. The STOCH value of 33.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:1407.

West Holdings Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1407	65 Neutral	¥61.83B	11.12		4.36%	-7.18%	-18.58%
Sector *	64 Neutral	$8.57B	10.35	4.24%	4.64%	4.07%	-13.04%
OKEPF		$329.13M	11.71	3.78%	0.01%	―	―
REOVF		$397.94M	17.34	3.36%	―	―	―
9514	65 Neutral	¥7.25B	12.29		2.41%	1.41%	522.92%
5074	56 Neutral	¥23.10B	25.51		4.88%	4.05%	-112.10%
9517	55 Neutral	¥59.61B	26.70		1.42%	-30.11%	―