First Baking Co., Ltd. (2215) AI Stock Analysis

• Market Cap: ¥3.75B
• Dividend Yield: N/A
• Average Volume (3M): 31.30K
• Price to Earnings (P/E): 2.0
• Beta (1Y): 0.68
• Revenue Growth: 1.52%
• EPS Growth: 118.65%
• Country: JP
• Employees: 868
• Sector: Consumer Defensive
• Sector Strength: 69
• Industry: Packaged Foods
• EPS (TTM): 5.63
• Shares Outstanding: 6,929,900
• 10 Day Avg. Volume: 49,680
• 30 Day Avg. Volume: 31,303
• PEG Ratio: -0.74
• Price to Book (P/B): 0.50
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: 67 Neutral
• Price Target: ¥582.00 ▲( 7.38% Upside)

First Baking Co., Ltd. shows strong financial recovery and attractive valuation, indicating potential for growth and stability. However, technical analysis suggests bearish momentum, which could pose short-term challenges. The substantial improvements in profitability and balance sheet strength are key positives, but market sentiment appears cautious, impacting the overall score.

First Baking Co., Ltd. Business Overview & Revenue Model

Company Description

First Baking Co., Ltd. (2215) is a Japanese company primarily engaged in the production and sale of baked goods. The company operates in the food processing sector, offering a wide range of bakery products including bread, pastries, and other confectionery items. With a commitment to quality and innovation, First Baking Co., Ltd. caters to both retail and wholesale markets, providing delicious and fresh products to consumers throughout Japan.

How the Company Makes Money

First Baking Co., Ltd. generates revenue through the sale of its bakery products. The company's key revenue streams include retail sales through supermarkets, convenience stores, and its own outlets, as well as wholesale distribution to various food service operators and institutional clients. The company may also engage in strategic partnerships with retailers and distributors to expand its market reach. Additional earnings could come from private label manufacturing for other brands and potential exports, although these details would need to be verified for specificity. The company's focus on maintaining high-quality standards and continuous product development plays a crucial role in sustaining its revenue.

First Baking Co., Ltd. Financial Statement Overview

Summary

First Baking Co., Ltd. shows a strong financial recovery with improved profitability and cash flow. Revenue growth is positive, and the balance sheet is strengthened by reduced debt and enhanced equity. Asset management requires monitoring.

Income Statement

First Baking Co., Ltd. has shown a positive revenue growth trend with a 2.8% increase from 2023 to 2024 and a more significant growth from 2022. The gross profit margin improved to 27.43% in 2024, indicating stronger cost management. The net profit margin saw a notable improvement from a loss in previous years to 7.56% in 2024, highlighting a return to profitability. EBIT and EBITDA margins also turned positive, reflecting operational improvements.

Balance Sheet

The company's debt-to-equity ratio drastically decreased due to the reduction in total debt and an increase in equity, now at 0.004, showcasing a stronger equity position. The return on equity improved significantly to 25.51% in 2024, indicating efficient use of equity to generate profits. The equity ratio is at 51.05%, showing a stable capital structure, though the decrease in total assets from previous years needs monitoring.

Cash Flow

First Baking Co., Ltd. experienced strong free cash flow growth, with an increase in free cash flow from ¥142 million in 2022 to ¥282 million in 2024. The operating cash flow to net income ratio of 0.46 reflects a healthy cash generation relative to reported income, and the free cash flow to net income ratio is 0.14, indicating potential for reinvestment and debt reduction.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
27.18B	26.44B	24.39B	23.86B	24.02B
	Gross Profit
7.46B	7.04B	5.73B	6.26B	6.45B
	EBIT
604.00M	597.00M	-669.00M	-464.00M	-299.00M
	EBITDA
2.37B	1.06B	-500.00M	-67.00M	385.00M
	Net Income Common Stockholders
2.06B	474.00M	-1.15B	-738.00M	-367.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.96B	3.06B	2.17B	1.45B	1.92B
	Total Assets
15.78B	17.73B	17.08B	18.01B	18.54B
	Total Debt
32.00M	3.89B	3.58B	4.44B	4.33B
	Net Debt
-3.92B	828.00M	1.41B	2.99B	2.42B
	Total Liabilities
7.73B	11.52B	11.23B	10.52B	10.36B
	Stockholders Equity
8.05B	6.21B	5.84B	7.49B	8.18B
Cash Flow		Free Cash Flow
114.00M	178.00M	142.00M	-530.00M	-360.00M
	Operating Cash Flow
952.00M	494.00M	473.00M	-10.00M	233.00M
	Investing Cash Flow
3.90B	-304.00M	788.00M	-646.00M	-537.00M
	Financing Cash Flow
-3.84B	698.00M	-543.00M	88.00M	287.00M

First Baking Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 542.00
• 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:2215, the sentiment is Negative. The current price of 542 is below the 20-day moving average (MA) of 576.70, below the 50-day MA of 569.18, and below the 200-day MA of 597.04, indicating a bearish trend. The MACD of -5.73 indicates Positive momentum. The RSI at 38.09 is Neutral, neither overbought nor oversold. The STOCH value of 11.27 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2215.

First Baking Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2212	77 Outperform	$674.60B	18.45	8.78%	1.45%	4.25%	4.06%
2204	70 Outperform	¥18.69B	20.55		2.25%	1.78%	99.94%
2264	68 Neutral	¥290.42B	50.69		2.75%	2.01%	-79.22%
2215	67 Neutral	¥3.75B	2.05		―	1.52%	118.65%
Sector *	64 Neutral	$8.88B	14.67	4.78%	173.89%	3.39%	2.18%
2224	64 Neutral	¥10.82B	253.84		0.23%	2.15%	―
2206	55 Neutral	€300.42B	54.10	2.04%	1.96%	-3.24%	-63.77%