Daiichi Cutter Kogyo K.K. (1716) AI Stock Analysis

• Market Cap: ¥15.65B
• Dividend Yield: 2.76%
• Average Volume (3M): 12.94K
• Price to Earnings (P/E): 9.3
• Beta (1Y): 0.53
• Revenue Growth: -2.16%
• EPS Growth: -8.63%
• Country: JP
• Employees: 629
• Sector: Industrials
• Sector Strength: 87
• Industry: Engineering & Construction
• EPS (TTM): 17.06
• Shares Outstanding: 12,000,000
• 10 Day Avg. Volume: 12,690
• 30 Day Avg. Volume: 12,943
• PEG Ratio: 0.35
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.39
• 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: 72 Outperform
• Price Target: ¥1,521.00 ▲(10.62%Upside)

Daiichi Cutter Kogyo's overall stock score is primarily driven by its strong financial performance and attractive valuation metrics. The technical analysis indicates mixed signals with some bearish momentum, slightly impacting the score. The absence of earnings call and corporate events data did not influence the final score.

Daiichi Cutter Kogyo K.K. Business Overview & Revenue Model

Company Description

Daiichi Cutter Kogyo K.K. is a Japan-based company primarily engaged in the construction industry. The company specializes in the cutting and drilling of concrete structures, providing services such as road cutting, building demolition, and other related construction activities. They utilize advanced technologies and machinery to offer precise and efficient cutting solutions, catering to various sectors including infrastructure development, urban redevelopment, and building renovations.

How the Company Makes Money

Daiichi Cutter Kogyo K.K. generates revenue primarily through its specialized concrete cutting and drilling services. The company charges fees for its services, which are typically contracted as part of larger construction or renovation projects. Key revenue streams include contracts with construction firms, government infrastructure projects, and private sector redevelopment initiatives. By leveraging advanced cutting techniques and equipment, the company is able to offer competitive and high-quality services, which contributes to its financial performance. Additionally, the company may engage in strategic partnerships or collaborations that enhance its service offerings or market reach, although specific partnerships are not detailed.

Daiichi Cutter Kogyo K.K. Financial Statement Overview

Summary

Daiichi Cutter Kogyo demonstrates excellent financial stability with strong profitability metrics and low leverage. The Income Statement and Balance Sheet are robust, but cash flow analysis is limited due to missing data, which slightly detracts from the overall score.

Income Statement

Daiichi Cutter Kogyo shows solid profitability with a healthy Gross Profit Margin of 30.86% and a Net Profit Margin of 9.51% for TTM. The revenue growth has been stable, though there is a slight decline in revenue over the past year (-6.65%). EBIT and EBITDA margins are strong at 10.92% and 14.82%, respectively, indicating efficient operational management.

Balance Sheet

The company maintains a robust financial position with a low Debt-to-Equity Ratio of 0.02, and a strong Equity Ratio of 84.19%, highlighting financial stability. Return on Equity is impressive at 10.62%, showcasing effective use of equity to generate profits.

Cash Flow

Cash flow metrics are limited due to unavailable data for TTM. However, historical data shows a positive Free Cash Flow, though with fluctuations. The Free Cash Flow to Net Income Ratio was healthy in previous years, suggesting decent cash generation relative to net income.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
20.69B	20.92B	22.16B	20.95B	19.34B	17.44B
	Gross Profit
6.39B	6.65B	7.05B	6.67B	6.31B	5.84B
	EBIT
2.26B	2.46B	2.63B	2.50B	2.76B	2.30B
	EBITDA
3.37B	3.26B	3.71B	3.27B	3.41B	2.95B
	Net Income Common Stockholders
1.97B	1.97B	1.95B	1.58B	1.74B	1.52B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
9.65B	9.48B	9.44B	7.77B	6.64B	6.35B
	Total Assets
22.03B	21.86B	21.57B	19.41B	17.99B	15.53B
	Total Debt
321.00M	338.38M	467.47M	285.43M	246.56M	101.19M
	Net Debt
-9.32B	-9.15B	-8.97B	-7.48B	-6.39B	-6.25B
	Total Liabilities
3.36B	3.57B	4.33B	3.55B	3.67B	2.99B
	Stockholders Equity
18.55B	18.16B	16.62B	15.02B	13.63B	11.98B
Cash Flow		Free Cash Flow
0.00	1.22B	1.92B	1.30B	104.07M	1.42B
	Operating Cash Flow
0.00	2.17B	2.74B	2.24B	1.96B	2.52B
	Investing Cash Flow
0.00	-1.65B	-561.38M	-847.24M	-1.59B	-1.70B
	Financing Cash Flow
0.00	-481.83M	-506.39M	-289.41M	-69.14M	-198.17M

Daiichi Cutter Kogyo K.K. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1375.00
• 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:1716, the sentiment is Neutral. The current price of 1375 is above the 20-day moving average (MA) of 1347.90, above the 50-day MA of 1362.12, and below the 200-day MA of 1416.04, indicating a neutral trend. The MACD of 3.56 indicates Negative momentum. The RSI at 52.77 is Neutral, neither overbought nor oversold. The STOCH value of 80.56 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:1716.

Daiichi Cutter Kogyo K.K. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1770	78 Outperform	¥13.54B	7.58		4.74%	1.16%	12.22%
1828	76 Outperform	¥23.12B	8.73		4.03%	-1.95%	37.70%
1826	75 Outperform	¥17.11B	27.34		5.44%	23.70%	713.54%
1716	72 Outperform	¥15.65B	9.28		2.76%	-2.16%	-8.63%
1914	70 Neutral	¥13.89B	8.89		3.67%	32.17%	298.59%
Sector *	66 Neutral	$4.47B	12.22	5.40%	3.65%	4.14%	-12.00%
1726	62 Neutral	¥14.77B	11.57		4.59%	1.27%	-5.17%