CANDEAL Co., Ltd. (1446) AI Stock Analysis

• Market Cap: ¥5.94B
• Dividend Yield: 1.43%
• Average Volume (3M): 4.91K
• Price to Earnings (P/E): 26.0
• Beta (1Y): 0.27
• Revenue Growth: 4.81%
• EPS Growth: 42.07%
• Country: JP
• Employees: 568
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 10.60
• Shares Outstanding: 10,734,200
• 10 Day Avg. Volume: 6,020
• 30 Day Avg. Volume: 4,906
• PEG Ratio: -0.91
• Price to Book (P/B): 1.74
• Price to Sales (P/S): 0.37
• P/FCF Ratio: 13.68
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 59 Neutral
• Price Target: ¥565.00 ▲(1.07% Upside)

The overall stock score is primarily influenced by strong financial performance, despite operational challenges. Technical analysis indicates a bearish trend with limited momentum, and valuation metrics suggest the stock is overvalued. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a robust business model and effective market penetration, supporting long-term financial health.

Cost Management

Effective cost management helps maintain profitability, allowing the company to reinvest in growth and innovation.

Balance Sheet Health

A strong balance sheet with improved leverage enhances financial stability and provides flexibility for future investments.

Negative Factors

Declining Profit Margins

Decreasing profit margins may indicate rising costs or pricing pressures, potentially impacting long-term profitability.

Cash Flow Challenges

Reduced cash flow from operations limits the company's ability to fund growth initiatives and manage financial obligations.

Profitability Concerns

Lower return on equity reflects challenges in generating profits from shareholder investments, which may affect investor confidence.

CANDEAL Co., Ltd. Business Overview & Revenue Model

Company Description

CANDEAL Co., Ltd. (1446) is a dynamic company engaged in the financial technology sector, specializing in providing innovative solutions for trading and investment. The company focuses on developing and operating a range of platforms that facilitate seamless trading experiences for individuals and institutions. With a commitment to leveraging advanced technology, CANDEAL offers services that include electronic trading systems, market data analytics, and financial advisory services, catering to a diverse clientele in the financial services industry.

How the Company Makes Money

CANDEAL Co., Ltd. generates revenue primarily through transaction fees charged on trades executed on its platforms. This includes a percentage of each trade made by users, which serves as a significant source of income. Additionally, the company earns revenue from subscription fees for premium services such as advanced market analytics and trading tools. Partnerships with financial institutions and market makers also contribute to its earnings by providing liquidity and enhancing the trading environment on its platforms. Moreover, CANDEAL may engage in revenue-sharing agreements with partners, further diversifying its income streams.

CANDEAL Co., Ltd. Financial Statement Overview

Summary

CANDEAL Co., Ltd. shows strong revenue growth and effective cost management. However, declining profit margins and cash flow metrics indicate potential operational challenges. The balance sheet is robust with improved leverage and stable equity ratios, but profitability and cash generation need enhancement.

Income Statement

CANDEAL Co., Ltd. has demonstrated consistent revenue growth over the years, with a notable increase from 2023 to 2024. The gross profit margin remains strong, indicating effective cost management. However, the net profit margin has decreased, suggesting challenges in controlling other expenses. The EBIT and EBITDA margins have also shown a decline, reflecting potential operational inefficiencies.

Balance Sheet

The company's debt-to-equity ratio has improved, indicating better leverage management. The return on equity has decreased, suggesting reduced profitability for shareholders. The equity ratio is stable, showing a balanced capital structure. Overall, the balance sheet reflects a solid financial position with room for improvement in profitability.

Cash Flow

Operating cash flow has decreased, impacting the company's ability to generate cash from operations. The free cash flow growth rate is negative, indicating a decline in available cash after capital expenditures. The operating cash flow to net income ratio has worsened, suggesting reduced cash conversion efficiency. Despite these challenges, the company maintains positive free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	13.76B	13.22B	12.31B	11.27B	11.22B	12.26B
Gross Profit	4.85B	4.69B	4.44B	4.10B	4.07B	4.44B
EBITDA	613.16M	616.78M	708.35M	571.06M	306.06M	683.51M
Net Income	102.22M	137.96M	224.55M	105.54M	-72.82M	191.70M
Balance Sheet
Total Assets	5.96B	6.13B	6.23B	6.48B	7.37B	8.40B
Cash, Cash Equivalents and Short-Term Investments	1.78B	1.62B	1.62B	1.89B	2.60B	3.46B
Total Debt	1.31B	1.50B	1.74B	2.52B	2.81B	3.48B
Total Liabilities	3.09B	3.33B	3.52B	3.96B	4.11B	5.01B
Stockholders Equity	2.87B	2.80B	2.71B	2.52B	3.26B	3.40B
Cash Flow
Free Cash Flow	0.00	355.85M	554.37M	425.45M	-129.88M	385.14M
Operating Cash Flow	0.00	377.87M	595.46M	467.77M	-35.52M	449.67M
Investing Cash Flow	0.00	-74.18M	-41.22M	-33.74M	-93.73M	-106.12M
Financing Cash Flow	0.00	-303.61M	-830.42M	-1.14B	-725.82M	1.52B

CANDEAL Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 559.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1446, the sentiment is Positive. The current price of 559 is above the 20-day moving average (MA) of 549.95, above the 50-day MA of 544.39, and above the 200-day MA of 551.31, indicating a bullish trend. The MACD of 3.83 indicates Negative momentum. The RSI at 70.99 is Negative, neither overbought nor oversold. The STOCH value of 73.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1446.

CANDEAL Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1718	77 Outperform	¥8.92B	6.64	―	3.00%	19.10%	78.61%
1434	76 Outperform	¥9.89B	9.16	―	2.86%	28.80%	5.92%
1897	71 Outperform	¥6.36B	33.69	―	1.71%	-28.06%	-43.82%
1438	69 Neutral	¥6.20B	16.50	―	1.95%	20.63%	11.92%
2311	68 Neutral	¥7.39B	13.78	―	3.86%	11.25%	26.01%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1446	59 Neutral	¥5.94B	26.05	―	1.43%	4.81%	42.07%