TETSUJIN Holdings.Inc. (2404) AI Stock Analysis

• Market Cap: ¥7.31B
• Dividend Yield: N/A
• Average Volume (3M): 21.34K
• Price to Earnings (P/E): 22.6
• Beta (1Y): 0.18
• Revenue Growth: 11.57%
• EPS Growth: N/A
• Country: JP
• Employees: 384
• Sector: Consumer Cyclical
• Sector Strength: 64
• Industry: Travel Lodging
• EPS (TTM): 6.78
• Shares Outstanding: 13,717,362
• 10 Day Avg. Volume: 45,000
• 30 Day Avg. Volume: 21,336
• PEG Ratio: 0.11
• Price to Book (P/B): 17.29
• 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: 60 Neutral
• Price Target: ¥602.00 ▲(10.46%Upside)

TETSUJIN Holdings Inc. scores moderately due to strong cash flow performance and positive market momentum. However, high financial leverage and overbought technical indicators present potential risks. Valuation is neutral with a relatively high P/E ratio and no dividend yield.

TETSUJIN Holdings.Inc. Business Overview & Revenue Model

Company Description

TETSUJIN Holdings, Inc. (2404) is a diversified entertainment services company based in Japan. The company operates primarily in the leisure and amusement sectors, with a strong presence in karaoke entertainment and related services. TETSUJIN Holdings is known for its karaoke chain, providing customers with a comprehensive entertainment experience that combines music, food, and social interaction.

How the Company Makes Money

TETSUJIN Holdings, Inc. generates revenue primarily through its karaoke entertainment facilities spread across Japan. The company makes money by charging customers for time spent in private karaoke rooms, offering a range of pricing plans based on duration and room type. Additionally, TETSUJIN Holdings enhances its revenue through the sale of food and beverages in its karaoke establishments, which are often a significant part of the customer experience. The company may also derive income from related entertainment services and collaborations with other businesses in the leisure sector, although specific partnerships and their financial impact are not detailed.

TETSUJIN Holdings.Inc. Financial Statement Overview

Summary

TETSUJIN Holdings Inc. shows moderate improvement in its income statement, with promising revenue growth but low profitability margins and high financial leverage. Strong cash flow performance demonstrates effective cash management.

Income Statement

TETSUJIN Holdings Inc. shows moderate improvement in its income statement. The gross profit margin stands at 13.96% and the net profit margin at 0.06%. The revenue growth rate is 7.23%. EBIT and EBITDA margins improved to 0.98% and 3.59%, respectively, signaling a recovery from previous losses. However, margins remain relatively low, indicating room for improvement in profitability.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 11.83, indicating significant leverage and potential financial risk. Return on equity is low at 1.80%, while the equity ratio is a mere 5.17%, suggesting limited financial stability and a heavy reliance on debt financing.

Cash Flow

Cash flow analysis shows a strong performance with a free cash flow growth rate of 181.76% year-over-year. The operating cash flow to net income ratio is 105.94, and the free cash flow to net income ratio is 55.16, both indicating effective cash management despite low net income.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	7.07B	6.59B	5.88B	5.24B	5.53B
Gross Profit	987.53M	845.75M	663.39M	748.48M	340.17M
EBITDA	253.56M	303.17M	299.70M	-38.84M	-1.24B
Net Income	4.02M	5.55M	32.34M	-281.61M	-1.58B
Balance Sheet
Total Assets	4.33B	4.32B	4.50B	4.94B	5.79B
Cash, Cash Equivalents and Short-Term Investments	738.61M	880.36M	951.37M	1.44B	1.85B
Total Debt	2.65B	2.91B	3.09B	3.52B	4.00B
Total Liabilities	4.10B	4.10B	4.28B	4.75B	5.30B
Stockholders Equity	223.53M	220.23M	220.85M	190.16M	484.85M
Cash Flow
Free Cash Flow	221.69M	78.69M	127.06M	-182.41M	-1.05B
Operating Cash Flow	425.90M	217.42M	187.00M	-165.18M	-746.59M
Investing Cash Flow	-221.38M	-107.54M	-22.91M	228.46M	-445.43M
Financing Cash Flow	-346.08M	-182.01M	-616.72M	-473.91M	1.71B

TETSUJIN Holdings.Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 545.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2404, the sentiment is Positive. The current price of 545 is above the 20-day moving average (MA) of 538.05, above the 50-day MA of 506.64, and above the 200-day MA of 454.75, indicating a bullish trend. The MACD of 16.65 indicates Negative momentum. The RSI at 59.99 is Neutral, neither overbought nor oversold. The STOCH value of 46.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2404.

TETSUJIN Holdings.Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4691	72 Outperform	¥15.12B	7.50		1.59%	16.69%	141.13%
Sector *	67 Neutral	¥265.88B	13.58	6.45%	2.57%	5.21%	-11.92%
9713	61 Neutral	¥13.90B	8.33		0.55%	21.75%	92.79%
2404	60 Neutral	¥7.31B	22.65		―	11.57%	―
9723	60 Neutral	¥7.53B	10.29		0.48%	2.41%	-13.76%
9720	59 Neutral	¥7.51B	26.20		0.39%	9.47%	-57.17%
9704	49 Neutral	¥15.49B	233.45	1.65%	―	12.51%	―