WDB Holdings Co., Ltd. (2475) AI Stock Analysis

• Market Cap: ¥31.96B
• Dividend Yield: 3.86%
• Average Volume (3M): 19.75K
• Price to Earnings (P/E): 9.9
• Beta (1Y): 0.70
• Revenue Growth: 1.22%
• EPS Growth: -5.35%
• Country: JP
• Employees: 5,391
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 31.57
• Shares Outstanding: 20,060,000
• 10 Day Avg. Volume: 14,660
• 30 Day Avg. Volume: 19,746
• PEG Ratio: -0.85
• Price to Book (P/B): 1.14
• Price to Sales (P/S): 0.71
• P/FCF Ratio: 29.41
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: ¥1,941.00 ▲(21.16% Upside)

The overall stock score is driven by strong financial performance and attractive valuation. While technical indicators are neutral, the company's solid revenue growth and low leverage provide a strong foundation. The lack of earnings call data and corporate events does not impact the score.

Positive Factors

Revenue Growth

Strong revenue growth indicates effective market penetration and product demand, supporting long-term business expansion and stability.

Financial Stability

A low debt-to-equity ratio enhances financial flexibility, reducing risk and enabling the company to invest in growth opportunities.

Operational Efficiency

Consistent operational efficiency suggests effective cost management and resource utilization, supporting sustainable profitability.

Negative Factors

Declining Profit Margins

Declining profit margins can erode profitability, suggesting cost management challenges that may impact future earnings.

Inconsistent Free Cash Flow

Volatile free cash flow can hinder strategic investments and financial planning, affecting long-term business growth and stability.

Decreased Net Profit Margin

A declining net profit margin indicates reduced efficiency in converting revenue into profit, potentially impacting shareholder returns.

WDB Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

WDB Holdings Co., Ltd. provides human resource services in Japan. The company offers placement and dispatching services for research and development in the biopharma and chemical sectors; and specified dispatching services for research and development in the engineering sectors. It also provides safety information management support services; data management and statistical analysis for clinical trials/post marketing surveillance; and consulting services and dossier preparation for product-registrarion services. In addition, the company offers clinical trial services in pharmacovigilance and analytics; clinical monitoring, data management, statistical analysis, and safety information management support services; research and development services in drug discovery research; and custom synthetic services for drug discovery research. Further, it develops and manufactures an assortment of devices, including gas-assist injection molding machines, nitrogen generators, and bio-related devices. WDB Holdings Co., Ltd. was founded in 1985 and is headquartered in Himeji, Japan.

How the Company Makes Money

WDB Holdings generates revenue through the sale of its electrical and electronic components to a range of industries, including automotive manufacturers, telecommunications providers, and industrial automation firms. The company's revenue model is largely based on direct sales to businesses, as well as through strategic partnerships with key players in its sectors. Additionally, WDB may benefit from recurring revenue streams through long-term contracts and supply agreements, which provide a stable income base. The company's ability to innovate and adapt to market trends, along with its reputation for quality, also plays a significant role in attracting and retaining customers, contributing to its overall earnings.

WDB Holdings Co., Ltd. Financial Statement Overview

Summary

WDB Holdings Co., Ltd. shows strong revenue growth and operational efficiency, but faces challenges with declining profit margins and inconsistent free cash flow. The company's low leverage and strong equity position provide a solid foundation for future growth.

Income Statement

WDB Holdings Co., Ltd. has demonstrated robust revenue growth over the years, with a notable increase of 56.5% in the most recent year. However, the gross profit margin has been declining, indicating potential cost pressures. The net profit margin has also decreased, suggesting challenges in maintaining profitability. Despite these issues, the company maintains a solid EBIT and EBITDA margin, reflecting operational efficiency.

Balance Sheet

The company exhibits strong financial stability with a low debt-to-equity ratio, indicating minimal leverage risk. The return on equity has decreased slightly but remains healthy, showcasing effective use of equity to generate profits. The equity ratio is strong, highlighting a solid capital structure with a significant portion of assets financed by equity.

Cash Flow

Cash flow analysis reveals a mixed picture. The free cash flow growth rate is highly volatile, with significant fluctuations over the years. The operating cash flow to net income ratio is stable, suggesting consistent cash generation relative to net income. However, the free cash flow to net income ratio has decreased, indicating potential challenges in converting profits into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	51.21B	51.14B	49.30B	47.60B	46.88B	44.13B
Gross Profit	11.77B	11.74B	11.89B	11.93B	12.49B	11.53B
EBITDA	5.38B	5.35B	5.71B	5.78B	6.65B	5.45B
Net Income	3.36B	3.05B	3.55B	3.54B	4.17B	3.41B
Balance Sheet
Total Assets	41.77B	41.75B	39.83B	36.20B	33.83B	30.62B
Cash, Cash Equivalents and Short-Term Investments	19.21B	20.57B	20.94B	18.37B	16.43B	19.41B
Total Debt	275.51M	87.84M	70.68M	61.96M	72.92M	65.77M
Total Liabilities	8.44B	8.51B	8.68B	7.73B	8.03B	8.32B
Stockholders Equity	31.99B	31.89B	30.04B	27.61B	25.11B	21.81B
Cash Flow
Free Cash Flow	0.00	1.23B	3.72B	3.25B	-2.24B	4.08B
Operating Cash Flow	0.00	4.37B	4.49B	3.55B	4.03B	4.20B
Investing Cash Flow	0.00	-3.33B	-712.00M	-337.99M	-6.10B	-122.14M
Financing Cash Flow	0.00	-1.42B	-1.24B	-1.31B	-870.93M	-901.39M

WDB Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1602.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2475, the sentiment is Neutral. The current price of 1602 is above the 20-day moving average (MA) of 1587.55, below the 50-day MA of 1651.36, and below the 200-day MA of 1737.52, indicating a neutral trend. The MACD of -12.51 indicates Negative momentum. The RSI at 47.98 is Neutral, neither overbought nor oversold. The STOCH value of 77.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2475.

WDB Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6089	75 Outperform	¥23.36B	17.08	―	4.28%	1.18%	-5.05%
2475	74 Outperform	¥31.96B	9.91	―	3.86%	1.22%	-5.35%
4318	72 Outperform	¥15.32B	5.03	―	3.95%	8.08%	-19.45%
7059	72 Outperform	¥40.53B	20.22	―	3.66%	20.52%	11.81%
2429	66 Neutral	¥46.98B	6.31	―	3.18%	15.79%	113.14%
6070	64 Neutral	¥29.52B	12.59	―	4.94%	-1.06%	3.51%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

WDB Holdings Co., Ltd. Corporate Events

WDB Holdings Announces Head Office Relocation to Kobe

WDB Holdings Co., Ltd. has announced the relocation of its head office from Himeji City to Kobe City, effective October 1, 2025. This move, approved during the company’s 40th Ordinary General Meeting of Shareholders, is part of a strategic decision that has already been factored into the company’s financial forecasts for the fiscal year ending March 31, 2026, indicating a planned approach to its operational and financial strategies.

The most recent analyst rating on (JP:2475) stock is a Buy with a Yen1977.00 price target. To see the full list of analyst forecasts on WDB Holdings Co., Ltd. stock, see the JP:2475 Stock Forecast page.

WDB Holdings Co., Ltd. FY2025 1Q Financial Report and Strategic Insights

WDB Holdings Co., Ltd. reported its financial results for the first quarter of FY2025, highlighting its continued operations in human resources and CRO services. The company’s strategic focus on these sectors positions it well within its market, potentially impacting its financial performance and stakeholder interests positively.

WDB Holdings Reports Q1 2025 Financial Results with Notable Net Income Growth

WDB Holdings Co., Ltd. reported its consolidated financial results for the three months ended June 30, 2025, showing a slight increase in net sales and a significant rise in net income attributable to owners of the parent by 55.9% compared to the previous year. Despite a stable operating income, the company forecasts a decline in net income for the fiscal year ending March 31, 2026, indicating potential challenges in maintaining profitability, which could impact stakeholder expectations and market positioning.