Daiho Corporation (1822) AI Stock Analysis

• Market Cap: ¥70.93B
• Dividend Yield: 3.69%
• Average Volume (3M): 189.77K
• Price to Earnings (P/E): 20.4
• Beta (1Y): 0.29
• Revenue Growth: -10.85%
• EPS Growth: N/A
• Country: JP
• Employees: 1,690
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): -3.44
• Shares Outstanding: 90,415,820
• 10 Day Avg. Volume: 133,920
• 30 Day Avg. Volume: 189,773
• PEG Ratio: -0.06
• Price to Book (P/B): 0.87
• Price to Sales (P/S): 0.43
• P/FCF Ratio: 5.50
• 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: ¥832.00
• Price Target Upside: 4.39% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 56 Neutral
• Price Target: ¥832.00 ▲(4.39% Upside)

The overall stock score of 56 reflects a combination of stable financial performance with low leverage and a solid equity base, but offset by bearish technical indicators and moderate valuation. The lack of earnings call data and corporate events means these factors did not influence the score.

Daiho Corporation Business Overview & Revenue Model

Company Description

Daiho Corporation (1822) is a Japanese company primarily engaged in the construction and civil engineering sector. The company specializes in the development of infrastructure projects, including roads, bridges, and various public works. Daiho Corporation also offers services in the field of real estate and environmental management, contributing to sustainable urban development through its innovative engineering solutions.

How the Company Makes Money

Daiho Corporation generates revenue primarily through its contracting services for construction and civil engineering projects. The company bids on public and private sector projects, securing contracts that include a variety of infrastructure developments. Key revenue streams include project management fees, construction services, and maintenance contracts. Additionally, partnerships with government agencies and collaborations with other construction firms enhance its project portfolio and financial stability. The company may also earn income from real estate development and environmental consulting services, further diversifying its revenue sources.

Daiho Corporation Financial Statement Overview

Summary

Daiho Corporation's financial health shows a balanced yet fluctuating performance across income, balance sheet, and cash flow statements. The company maintains stability with low leverage and a solid equity base, though profitability and revenue growth have been inconsistent. Cash flow management exhibits both strengths and weaknesses, impacting liquidity. Overall, while there are strengths in financial stability, opportunities exist to enhance profitability and cash generation.

Income Statement

Daiho Corporation's income statement shows a mixed performance. The gross profit margin for the latest period is approximately 9.16%, indicating moderate efficiency in managing production costs. However, the net profit margin is relatively low at 2.57%, reflecting challenges in profitability, potentially due to high operating expenses or other costs. The revenue growth rate shows volatility, with a decline in recent years. EBIT and EBITDA margins are also low, suggesting room for improvement in operational efficiency.

Balance Sheet

The balance sheet of Daiho Corporation reflects a stable financial position with a debt-to-equity ratio of 0.10, indicating conservative leverage. The equity ratio stands at 47.74%, highlighting a strong capital structure with significant equity backing. Return on equity is modest at 5.16%, showing reasonable returns for shareholders but with potential for enhancement. Overall, the balance sheet suggests stability with low financial risk.

Cash Flow

The cash flow statement reveals mixed performance in liquidity and cash management. While there is a significant positive free cash flow, the growth rate has been inconsistent, indicating fluctuations in cash-generating capabilities. The operating cash flow to net income ratio is healthy at 3.19, suggesting efficient conversion of profits to cash. However, the free cash flow to net income ratio shows variability, reflecting potential challenges in maintaining a steady cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	142.34B	143.39B	163.22B	156.05B	156.52B	161.70B
Gross Profit	13.72B	13.14B	7.61B	11.99B	15.19B	15.10B
EBITDA	6.56B	6.71B	97.00M	6.27B	10.88B	10.62B
Net Income	3.45B	3.69B	-2.07B	2.91B	5.99B	6.26B
Balance Sheet
Total Assets	142.09B	149.84B	165.08B	170.36B	169.62B	170.90B
Cash, Cash Equivalents and Short-Term Investments	27.48B	21.67B	17.53B	28.07B	19.78B	28.21B
Total Debt	6.87B	6.87B	12.97B	6.98B	7.56B	14.30B
Total Liabilities	71.91B	76.78B	96.16B	97.18B	95.13B	96.77B
Stockholders Equity	68.61B	71.54B	67.66B	72.15B	73.65B	73.48B
Cash Flow
Free Cash Flow	6.21B	11.30B	-13.32B	11.49B	3.35B	-11.77B
Operating Cash Flow	6.29B	11.78B	-11.54B	12.86B	5.54B	-4.36B
Investing Cash Flow	-493.00M	-876.00M	-996.00M	758.00M	-2.19B	-8.89B
Financing Cash Flow	-3.25B	-6.62B	1.73B	-5.43B	-11.97B	11.05B

Daiho Corporation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 797.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1822, the sentiment is Neutral. The current price of 797 is below the 20-day moving average (MA) of 817.75, below the 50-day MA of 840.78, and above the 200-day MA of 766.84, indicating a neutral trend. The MACD of -12.78 indicates Positive momentum. The RSI at 42.77 is Neutral, neither overbought nor oversold. The STOCH value of 52.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:1822.

Daiho Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1871	77 Outperform	¥83.69B	10.37	―	4.93%	3.55%	36.89%
1870	77 Outperform	¥93.35B	12.24	―	3.69%	27.51%	11.09%
1898	72 Outperform	¥53.08B	12.88	―	5.42%	9.19%	45.78%
1882	70 Outperform	¥75.85B	15.73	―	8.91%	6.09%	21.09%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1888	58 Neutral	¥61.08B	16.18	―	2.63%	1.00%	-6.09%
1822	56 Neutral	¥70.93B	20.38	―	3.69%	-10.85%	―

Daiho Corporation Corporate Events

Daiho Corporation Reports Strong Financial Performance and Announces Share Split

Daiho Corporation reported a significant improvement in its financial performance for the fiscal year ending March 31, 2025, with a notable increase in ordinary profit by 313.2% compared to the previous year. The company also announced a 5-for-1 share split effective April 1, 2025, impacting dividend payouts and earnings per share forecasts, indicating a strategic move to enhance shareholder value.