LIFULL Co (2120) AI Stock Analysis

• Market Cap: $23.48B
• Dividend Yield: 0.54%
• Average Volume (3M): 914.52K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.92
• Revenue Growth: -9.24%
• EPS Growth: N/A
• Country: JP
• Employees: 1,758
• Sector: Communication Services
• Sector Strength: 90
• Industry: Internet Content & Information
• EPS (TTM): 26.08
• Shares Outstanding: 134,380,700
• 10 Day Avg. Volume: 896,640
• 30 Day Avg. Volume: 914,520
• PEG Ratio: -0.15
• Price to Book (P/B): 0.68
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 10.52
• 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: 58 Neutral
• Price Target: ¥183.00 ▲(0.00%Upside)

The overall stock score for LIFULL Co is driven primarily by mixed financial health, with strong technical indicators suggesting bullish momentum. However, valuation concerns due to negative earnings and low dividend yield weigh down the score. Investors should be cautious of the overbought technical indicators and potential valuation risks.

LIFULL Co Business Overview & Revenue Model

Company Description

LIFULL Co., Ltd. is a Japan-based company primarily engaged in the real estate and housing information services. The company operates through two main segments: the Domestic Real Estate Information segment and the Overseas segment. It provides comprehensive real estate information services through its flagship website, LIFULL HOME'S, which offers a wide range of property listings, including rental, purchase, and investment properties. LIFULL also extends its services to international markets, leveraging its platform to connect users with real estate opportunities across various countries.

How the Company Makes Money

LIFULL Co., Ltd. generates revenue primarily through its real estate information services, where the company charges real estate agents and property developers listing fees to advertise their properties on its platform, LIFULL HOME'S. Additionally, the company earns revenue from subscription fees for premium services, advertising fees from third-party advertisers, and affiliate marketing. The company's international operations contribute to its earnings by replicating its domestic business model in overseas markets, enhancing its market reach and diversifying its revenue streams. Strategic partnerships with other real estate platforms and technology companies also play a significant role in boosting LIFULL's earnings by expanding its service offerings and user base.

LIFULL Co Financial Statement Overview

Summary

LIFULL Co shows strong gross profit margins and a stable balance sheet with low leverage, but declining revenue and negative net income are concerning. Positive operating cash flow is offset by negative Free Cash Flow, indicating potential capital expenditure inefficiencies.

Income Statement

LIFULL Co experienced a decline in revenue and profitability in the TTM period. The gross profit margin remains strong at approximately 93%, indicating effective cost management. However, negative net income and decreasing revenue signal challenges in profitability and growth. EBIT and EBITDA margins have improved since the last annual report but remain low, reflecting operational inefficiencies.

Balance Sheet

The balance sheet shows a solid equity base with a Debt-to-Equity ratio of around 0.33, indicating low leverage risk. The company has a high Equity Ratio of about 65%, signifying financial stability. However, cash reserves have decreased over time, which could affect liquidity if not managed properly.

Cash Flow

Cash flow analysis reveals positive operating cash flow, which is favorable. However, the Free Cash Flow is negative, suggesting high capital expenditures or inefficiencies. The Operating Cash Flow to Net Income Ratio is strong, demonstrating good cash conversion, but the Free Cash Flow decline raises concerns about cash sustainability.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
31.40B	34.47B	36.41B	35.73B	35.86B	35.40B
	Gross Profit
29.20B	32.21B	32.55B	31.67B	31.91B	31.31B
	EBIT
2.06B	-6.44B	1.84B	1.68B	-6.64B	2.50B
	EBITDA
2.56B	-4.83B	3.80B	3.60B	-4.64B	4.28B
	Net Income Common Stockholders
-4.86B	-8.46B	1.03B	1.18B	-5.90B	1.16B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
8.53B	16.47B	16.51B	17.59B	13.73B	16.59B
	Total Assets
37.44B	41.19B	51.17B	48.71B	45.89B	55.32B
	Total Debt
8.07B	5.54B	7.79B	11.29B	11.13B	13.95B
	Net Debt
-461.00M	-9.10B	-8.72B	-5.24B	-2.02B	-2.01B
	Total Liabilities
12.80B	16.99B	18.45B	17.58B	17.35B	21.67B
	Stockholders Equity
24.53B	24.11B	32.55B	31.00B	28.41B	33.50B
Cash Flow		Free Cash Flow
-3.63B	1.27B	5.71B	2.02B	509.81M	3.83B
	Operating Cash Flow
3.05B	1.67B	6.23B	2.70B	1.29B	4.88B
	Investing Cash Flow
-10.16B	-718.00M	-1.74B	388.87M	-1.07B	-1.73B
	Financing Cash Flow
1.34B	-2.98B	-5.08B	-54.08M	-3.29B	3.39B

LIFULL Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 183.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2120, the sentiment is Positive. The current price of 183 is above the 20-day moving average (MA) of 172.90, above the 50-day MA of 155.06, and above the 200-day MA of 164.24, indicating a bullish trend. The MACD of 7.20 indicates Positive momentum. The RSI at 73.50 is Negative, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2120.

LIFULL Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6037	83 Outperform	¥19.45B	21.20		1.09%	26.77%	18.01%
5139	75 Outperform	¥23.47B	24.74		―	21.20%	56.48%
2477	73 Outperform	¥20.67B	19.32		0.94%	8.97%	13.17%
7082	73 Outperform	¥9.61B	23.86		―	-0.79%	11.58%
3662	71 Outperform	¥22.14B	15.57		0.34%	-5.81%	1585.94%
Sector *	61 Neutral	$14.75B	5.86	-3.99%	6.11%	2.67%	-30.24%
2120	58 Neutral	$23.48B	―	-27.78%	0.54%	-9.24%	―

LIFULL Co Corporate Events

LIFULL Co. Revises Earnings Forecast Following Subsidiary Transfer

LIFULL Co., Ltd. announced a profit of ¥1.2 billion due to the loss of control over its overseas subsidiary, LIFULL CONNECT S.L., which has been excluded from consolidation. This change led to a revision of the FY 2025/9 full-year earnings forecast, with a notable increase in profit attributable to owners of the parent, despite a decrease in overall revenue due to the reclassification of the overseas segment as discontinued operations.

LIFULL’s President to Purchase Shares, Signaling Confidence in Growth

LIFULL Co., Ltd. announced that its Representative Director, ITO Yuji, will purchase up to 1,370,000 shares from the market, demonstrating his commitment to the company’s growth and enhancing corporate value. This move is part of a broader strategy to focus on core domestic businesses and improve profitability, with the company supporting the purchase through a loan to ITO, reflecting confidence in the company’s strategic direction and future prospects.

LIFULL Announces Commemorative Dividend for 30th Anniversary

LIFULL Co., Ltd. has announced a commemorative dividend to mark its 30th anniversary, reflecting its gratitude towards shareholders. The company plans to issue a dividend of ¥1.0 per share and increase the payout ratio to 30% of profit attributable to owners, indicating a commitment to shareholder returns while pursuing sustainable growth.

LIFULL Co. Announces Dividend Policy Revision and Commemorative Dividend

LIFULL Co., Ltd. has announced a revision to its dividend policy, aiming to distribute 30% of the net profit attributable to owners of the parent as dividends, up from the previous 25%. This change follows the exclusion of its overseas business from consolidation due to persistent losses, allowing the company to focus on its profitable domestic operations in Japan. Additionally, a commemorative dividend of ¥1.0 per share is planned to celebrate the company’s thirtieth anniversary, with these changes to take effect from the fiscal year ending September 30, 2025.

LIFULL Co. Reports Revenue Growth and Dividend Policy Update

LIFULL Co., Ltd. reported its consolidated financial results for the six-month period ending March 31, 2025, showing a revenue increase of 7.6% year-over-year. The company has reclassified its Overseas segment as discontinued operations, affecting the presentation of its financial results. The financial position of the company remains strong with a total equity ratio of 65.5%. The company has also announced changes to its dividend policy, with dividends expected to be calculated based on a payout ratio of 30%.