Cedar. Co.,Ltd (2435) AI Stock Analysis

• Market Cap: ¥2.41B
• Dividend Yield: 2.79%
• Average Volume (3M): 711.67K
• Price to Earnings (P/E): 7.0
• Beta (1Y): 0.76
• Revenue Growth: 3.03%
• EPS Growth: 70.93%
• Country: JP
• Employees: 1,332
• Sector: Healthcare
• Sector Strength: 44
• Industry: Medical - Care Facilities
• EPS (TTM): -2.56
• Shares Outstanding: 11,476,000
• 10 Day Avg. Volume: 172,960
• 30 Day Avg. Volume: 711,670
• PEG Ratio: 0.53
• Price to Book (P/B): 2.16
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.87
• 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: 69 Neutral
• Price Target: ¥234.00 ▲(9.35%Upside)

Cedar Co., Ltd's stock is bolstered by strong valuation metrics, including an attractive P/E ratio and high dividend yield, making it appealing for value and income investors. Financial performance shows growth and improving profit margins, though high leverage and reliance on debt financing remain concerns. Technical indicators are mixed, with some bearish signals offset by positive MACD momentum. Overall, the stock presents opportunities but comes with notable financial stability risks.

Cedar. Co.,Ltd Business Overview & Revenue Model

Company Description

Cedar Co., Ltd (2435) operates primarily in the healthcare and wellness sector, focusing on providing comprehensive care services for the elderly. The company offers a range of services including in-home care, day services, and residential care facilities, aiming to improve the quality of life for seniors. Cedar Co., Ltd is committed to fostering a supportive environment for both its clients and employees, ensuring high standards of care and professionalism.

How the Company Makes Money

Cedar Co., Ltd generates revenue through the provision of its various eldercare services. The company's primary revenue streams include fees charged for in-home care services, enrollment and participation fees for day service programs, and payments for long-term residential care in its facilities. Additionally, Cedar Co., Ltd may receive government subsidies and insurance payments that support its operations. Strategic partnerships with medical professionals and healthcare organizations also contribute to its financial stability, enabling the company to offer comprehensive and integrated care solutions.

Cedar. Co.,Ltd Financial Statement Overview

Summary

Cedar Co., Ltd shows promising growth with improving revenue and profit margins. However, high leverage poses a risk, although effective capital utilization is evident with a strong ROE. Cash flow is strengthening, but reliance on debt financing could be concerning if not managed properly.

Income Statement

The company exhibits steady revenue growth over the past years, with a 2.9% growth in the latest period. Gross profit margin is healthy at 12.8%, and net profit margin has improved to 2.0%, indicating enhanced profitability. However, EBIT and EBITDA margins show modest improvement, which suggests room for operational efficiency enhancements.

Balance Sheet

The balance sheet reflects high leverage with a debt-to-equity ratio of 10.42, raising concerns about financial stability. Despite this, the return on equity improved to 25.1%, highlighting effective capital utilization. The equity ratio at 7.0% is low, suggesting that the company is heavily reliant on debt financing.

Cash Flow

Operating cash flow is positive and covers net income well with a ratio of 2.23. Free cash flow growth is volatile but has improved, showing a positive trajectory at 46.5% from the previous year. However, the free cash flow to net income ratio is relatively low, indicating that net income conversion to free cash is not optimal.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
17.76B	17.83B	17.30B	16.44B	15.75B	15.61B
	Gross Profit
2.34B	2.29B	2.21B	1.59B	1.55B	2.07B
	EBIT
887.00M	893.00M	767.00M	136.00M	193.00M	809.00M
	EBITDA
1.25B	1.66B	1.45B	935.00M	728.00M	1.47B
	Net Income Common Stockholders
224.00M	348.00M	203.00M	-276.00M	-319.00M	387.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.72B	1.48B	1.64B	1.03B	796.00M	825.00M
	Total Assets
20.13B	19.91B	20.33B	20.25B	20.46B	19.56B
	Total Debt
14.64B	14.47B	15.22B	15.63B	15.84B	14.76B
	Net Debt
12.92B	12.99B	13.58B	14.61B	15.04B	13.93B
	Total Liabilities
18.70B	18.50B	19.24B	19.36B	19.30B	17.95B
	Stockholders Equity
1.42B	1.39B	1.08B	889.00M	1.16B	1.61B
Cash Flow		Free Cash Flow
0.00	295.00M	995.00M	394.00M	-984.00M	-876.00M
	Operating Cash Flow
0.00	777.00M	1.47B	797.00M	513.00M	1.14B
	Investing Cash Flow
0.00	-142.00M	-446.00M	-358.00M	-1.47B	-2.06B
	Financing Cash Flow
0.00	-791.00M	-418.00M	-207.00M	928.00M	881.00M

Cedar. Co.,Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 214.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2435, the sentiment is Negative. The current price of 214 is below the 20-day moving average (MA) of 224.90, below the 50-day MA of 216.70, and below the 200-day MA of 215.25, indicating a bearish trend. The MACD of -2.39 indicates Positive momentum. The RSI at 48.05 is Neutral, neither overbought nor oversold. The STOCH value of 28.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2435.

Cedar. Co.,Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9220	76 Outperform	¥2.52B	6.58		4.00%	5.85%	-22.29%
7129	75 Outperform	¥3.05B	9.58		3.11%	4.85%	4759.88%
2425	72 Outperform	¥3.02B	8.08		2.51%	2.33%	-0.96%
2435	69 Neutral	¥2.41B	6.95		2.79%	3.03%	70.93%
6059	64 Neutral	¥5.93B	2.90		3.26%	0.91%	857.08%
2373	58 Neutral	¥5.34B	12.20		3.53%	10.13%	―
Sector *	54 Neutral	$5.38B	3.40	-45.06%	3.28%	16.75%	-0.02%