Hakuten Corporation (2173) AI Stock Analysis

• Market Cap: ¥8.16B
• Dividend Yield: 3.95%
• Average Volume (3M): 9.89K
• Price to Earnings (P/E): 7.9
• Beta (1Y): 0.97
• Revenue Growth: 5.82%
• EPS Growth: 14.22%
• Country: JP
• Employees: 545
• Sector: Communication Services
• Sector Strength: 84
• Industry: Advertising Agencies
• EPS (TTM): 20.50
• Shares Outstanding: 16,248,520
• 10 Day Avg. Volume: 12,730
• 30 Day Avg. Volume: 9,890
• PEG Ratio: -0.39
• Price to Book (P/B): 2.78
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -97.31
• 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: 75 Outperform
• Price Target: ¥567.00 ▲(12.06%Upside)

Hakuten Corporation achieves a solid overall stock score due to its strong financial performance and attractive valuation. While technical analysis indicates a bearish trend, the stock's low P/E ratio and high dividend yield provide substantial upside potential. The absence of recent earnings call data and corporate events limits additional insights.

Hakuten Corporation Business Overview & Revenue Model

Company Description

Hakuten Corporation (2173) is a Japanese company specializing in the planning, production, and management of events and promotions. The company operates within the marketing and communication sectors, offering services such as event planning, promotional campaigns, and digital content creation. Hakuten Corporation leverages its expertise in experiential marketing to help businesses enhance brand engagement and consumer interaction through innovative and immersive experiences.

How the Company Makes Money

Hakuten Corporation generates revenue primarily through providing comprehensive event planning and promotional services to corporate clients. The company's key revenue streams include fees charged for event management, creative services, and production support. By designing and executing large-scale events and promotional campaigns, Hakuten Corporation helps clients achieve their marketing objectives, which in turn drives its earnings. Additionally, partnerships with businesses in various industries contribute to its financial success by expanding its client base and service offerings. Factors such as a strong reputation in the marketing sector and a wide range of services enhance its ability to secure contracts and generate consistent revenue.

Hakuten Corporation Financial Statement Overview

Summary

Hakuten Corporation exhibits a strong financial standing with impressive revenue growth, healthy profit margins, and robust cash flow generation. The balance sheet is stable with moderate leverage, providing a solid foundation for future expansion.

Income Statement

Hakuten Corporation has shown strong revenue growth with a 8.4% increase in 2024 compared to 2023. The gross profit margin stands at 30.2% and the net profit margin is 5.3%, both indicating healthy profitability for the industry. The EBIT margin at 7.4% and EBITDA margin at 8.1% further reflect efficient operations. Steady growth and robust margins highlight a solid financial performance.

Balance Sheet

The company maintains a balanced financial structure with a debt-to-equity ratio of 0.52, indicating moderate leverage. The return on equity (ROE) is 29.8%, showcasing effective use of equity to generate profits. An equity ratio of 42.5% suggests a stable foundation, although there's room for improvement in reducing liabilities. Overall, the balance sheet reflects financial stability with manageable debt levels.

Cash Flow

Hakuten Corporation's cash flow position is strong, with a positive free cash flow growth rate of 5.9%. The operating cash flow to net income ratio of 1.10 highlights effective conversion of earnings to cash. Additionally, the free cash flow to net income ratio of 1.00 indicates efficient cash utilization. These metrics demonstrate a solid cash generation ability, supporting future investments and growth.

Breakdown	Dec 2024	Dec 2023	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	18.84B	17.39B	13.94B	10.63B	7.27B
Gross Profit	5.69B	5.13B	3.88B	3.13B	2.20B
EBITDA	1.53B	1.42B	845.81M	1.15B	-126.55M
Net Income	999.00M	866.00M	553.63M	760.81M	-189.85M
Balance Sheet
Total Assets	7.90B	7.67B	4.94B	4.78B	4.45B
Cash, Cash Equivalents and Short-Term Investments	2.64B	2.53B	1.03B	1.58B	2.01B
Total Debt	1.74B	2.21B	1.09B	1.05B	2.30B
Total Liabilities	4.54B	5.03B	2.95B	3.03B	3.47B
Stockholders Equity	3.35B	2.64B	1.99B	1.74B	973.66M
Cash Flow
Free Cash Flow	997.00M	941.33M	-56.88M	404.27M	88.06M
Operating Cash Flow	1.10B	1.45B	114.07M	487.78M	167.13M
Investing Cash Flow	-169.00M	-833.33M	-334.39M	513.70M	108.00M
Financing Cash Flow	-816.00M	1.03B	-328.90M	-1.44B	901.01M

Hakuten Corporation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 506.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2173, the sentiment is Neutral. The current price of 506 is below the 20-day moving average (MA) of 506.78, below the 50-day MA of 509.34, and below the 200-day MA of 545.66, indicating a neutral trend. The MACD of -0.35 indicates Positive momentum. The RSI at 49.70 is Neutral, neither overbought nor oversold. The STOCH value of 15.15 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2173.

Hakuten Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2173	75 Outperform	¥8.16B	7.86		3.95%	5.82%	14.22%
7368	72 Outperform	¥7.50B	10.33		3.77%	-1.20%	80.59%
7050	66 Neutral	¥9.70B	10.89		4.64%	10.20%	-26.87%
Sector *	61 Neutral	$40.69B	-0.79	-11.97%	3.78%	2.11%	-69.16%
6533	60 Neutral	¥7.07B	28.67		1.56%	15.81%	-52.13%
9235	45 Neutral	¥12.28B	―		―	54.82%	-495.66%