Koatsu Kogyo Co., Ltd. (1743) AI Stock Analysis

• Market Cap: ¥3.50B
• Dividend Yield: 2.26%
• Average Volume (3M): 10.23K
• Price to Earnings (P/E): 5.3
• Beta (1Y): 0.51
• Revenue Growth: 22.30%
• EPS Growth: 19.46%
• Country: JP
• Employees: 284
• Sector: Industrials
• Sector Strength: 85
• Industry: Engineering & Construction
• EPS (TTM): 158.44
• Shares Outstanding: 2,280,000
• 10 Day Avg. Volume: 20,050
• 30 Day Avg. Volume: 10,230
• PEG Ratio: -0.42
• Price to Book (P/B): 0.37
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.72
• 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: 80 Outperform
• Price Target: ¥1,760.00 ▲(13.55%Upside)

Koatsu Kogyo Co., Ltd. receives a strong overall score driven primarily by its robust technical indicators and attractive valuation. While the company's financial performance is solid, improvements in cash flow management could enhance its financial standing further.

Koatsu Kogyo Co., Ltd. Business Overview & Revenue Model

Company Description

Koatsu Kogyo Co., Ltd. (1743) is a Japan-based company primarily engaged in the construction and engineering sector. The company specializes in the design, construction, and maintenance of infrastructure projects, including roads, bridges, and tunnels. Additionally, Koatsu Kogyo is involved in civil engineering works and provides related consulting services, leveraging its expertise in project management and construction technology to deliver high-quality solutions to both public and private sector clients.

How the Company Makes Money

Koatsu Kogyo Co., Ltd. generates revenue through its wide range of construction and engineering services. The company's primary revenue streams include contracts for infrastructure projects commissioned by government agencies and private sector entities. These projects typically involve long-term agreements where Koatsu Kogyo is responsible for the entire lifecycle of construction, from initial design and planning to execution and maintenance. The company may also earn income from consulting services related to civil engineering projects. Significant partnerships with other firms in the construction industry, as well as its reputation for delivering reliable and efficient engineering solutions, contribute to its financial performance.

Koatsu Kogyo Co., Ltd. Financial Statement Overview

Summary

Koatsu Kogyo Co., Ltd. shows strong revenue growth and a stable balance sheet with no debt, indicating solid financial health. However, challenges in cash flow management suggest a need for improvement in cash generation.

Income Statement

Koatsu Kogyo demonstrates strong revenue growth in the TTM period, with a 26.66% increase compared to the previous year. The company maintains solid gross and net profit margins at 12.62% and 3.75% respectively. However, there is a notable decline in net income from the previous year. The EBIT and EBITDA margins show healthy profitability levels, indicating efficient cost management.

Balance Sheet

The balance sheet reflects a robust financial position, with a debt-to-equity ratio of 0, indicating no reliance on debt financing. The equity ratio is strong at 59.37%, showcasing financial stability. The return on equity remains moderate at 5.10%, suggesting room for improvement in generating returns for shareholders.

Cash Flow

The cash flow statement reveals challenges, with a lack of positive operating cash flow in the TTM period. Historical data shows fluctuations, but the free cash flow to net income ratio was positive last year, indicating potential for cash generation. However, the absence of current free cash flow growth highlights a need for efficiency improvements in cash management.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
12.47B	12.06B	9.84B	10.08B	10.55B	11.05B
	Gross Profit
1.57B	1.42B	1.24B	1.75B	2.20B	1.75B
	EBIT
649.08M	530.69M	379.53M	873.27M	1.21B	817.09M
	EBITDA
1.03B	1.10B	860.83M	1.33B	1.43B	1.02B
	Net Income Common Stockholders
466.95M	593.04M	227.68M	561.60M	643.26M	619.49M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
834.00M	878.12M	777.93M	635.51M	1.71B	1.10B
	Total Assets
15.41B	14.98B	11.90B	12.70B	12.27B	12.09B
	Total Debt
0.00	246.94M	320.40M	1.07B	987.49M	1.42B
	Net Debt
-834.00M	-631.18M	-457.53M	433.08M	-723.59M	322.16M
	Total Liabilities
6.26B	6.03B	3.50B	4.59B	4.59B	5.03B
	Stockholders Equity
9.15B	8.95B	8.40B	8.11B	7.67B	7.06B
Cash Flow		Free Cash Flow
0.00	276.30M	961.79M	-1.10B	1.34B	1.18B
	Operating Cash Flow
0.00	501.22M	1.36B	-523.43M	1.89B	1.59B
	Investing Cash Flow
0.00	-182.96M	-400.12M	-572.64M	-568.15M	-316.33M
	Financing Cash Flow
0.00	-218.07M	-820.15M	20.50M	-708.67M	-579.68M

Koatsu Kogyo Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1550.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1743, the sentiment is Positive. The current price of 1550 is above the 20-day moving average (MA) of 1527.60, above the 50-day MA of 1389.52, and above the 200-day MA of 1297.07, indicating a bullish trend. The MACD of 47.47 indicates Positive momentum. The RSI at 59.18 is Neutral, neither overbought nor oversold. The STOCH value of 11.73 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1743.

Koatsu Kogyo Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1743	80 Outperform	¥3.50B	5.33		2.26%	22.30%	19.46%
1841	79 Outperform	¥4.25B	8.01		3.38%	-9.83%	33.02%
1764	78 Outperform	¥3.33B	8.84		3.42%	9.34%	174.40%
1758	72 Outperform	¥4.49B	16.72		2.59%	-7.48%	9.38%
1788	68 Neutral	¥2.47B	13.97		2.46%	4.18%	67.30%
1795	66 Neutral	¥3.54B	12.72		3.08%	8.39%	-35.48%
Sector *	66 Neutral	$4.50B	12.26	5.40%	3.65%	4.17%	-12.02%