Nihonwasou Holdings, Inc. (2499) AI Stock Analysis

• Market Cap: ¥2.96B
• Dividend Yield: 4.28%
• Average Volume (3M): 3.58K
• Price to Earnings (P/E): 10.3
• Beta (1Y): 0.16
• Revenue Growth: 1.98%
• EPS Growth: 25.49%
• Country: JP
• Employees: 155
• Sector: Industrials
• Sector Strength: 86
• Industry: Specialty Business Services
• EPS (TTM): -5.77
• Shares Outstanding: 9,134,000
• 10 Day Avg. Volume: 2,990
• 30 Day Avg. Volume: 3,580
• PEG Ratio: -3.44
• Price to Book (P/B): 0.83
• 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: 74 Outperform
• Price Target: ―

Nihonwasou Holdings, Inc. scores well due to its strong financial performance with improved profitability and cash flow management. The technical analysis supports a positive outlook with upward price trends and balanced momentum indicators. The valuation is attractive, highlighted by a reasonable P/E ratio and solid dividend yield. The absence of notable earnings call data or corporate events did not impact the overall assessment.

Nihonwasou Holdings, Inc. Business Overview & Revenue Model

Company Description

Nihonwasou Holdings, Inc. (2499) is a Japanese company operating primarily in the traditional kimono industry. It engages in the planning, manufacturing, and sales of kimono-related products and services. The company also provides educational services related to kimono culture and offers kimono dressing and fitting services. Additionally, Nihonwasou Holdings seeks to preserve and promote traditional Japanese culture through its various offerings.

How the Company Makes Money

Nihonwasou Holdings, Inc. generates revenue through multiple streams primarily centered around the kimono industry. The company earns money from the sale of kimono garments and accessories, which includes both traditional and modern styles. It also provides services such as kimono rental, dressing assistance, and cultural education workshops, which cater to both domestic and international clients interested in traditional Japanese culture. Furthermore, Nihonwasou Holdings may engage in partnerships with cultural institutions or participate in promotional events to enhance its revenue streams and market presence.

Nihonwasou Holdings, Inc. Financial Statement Overview

Summary

Nihonwasou Holdings, Inc. demonstrates a robust financial performance with notable improvements in profitability and cash flow. While revenue growth is moderate, the company has enhanced its margins and cash generation capabilities. The balance sheet remains stable, though high debt levels warrant monitoring.

Income Statement

The company's income statement shows a solid gross profit margin of approximately 91.3% in 2024, indicating effective cost management. The net profit margin improved significantly from 3.8% in 2023 to 6.3% in 2024, reflecting better profitability. Revenue growth from 2023 to 2024 was 4.4%, showing a positive trajectory despite a decline from 2022 levels. EBIT and EBITDA margins increased to 10.2% and 10.7%, respectively, suggesting improved operational efficiency.

Balance Sheet

The balance sheet presents a stable financial position with a debt-to-equity ratio of 1.26 in 2024, indicating moderate leverage. Return on equity improved to 8.2%, reflecting better utilization of equity capital. The equity ratio of 38.9% suggests a balanced capital structure. However, the company's debt levels remain relatively high, posing a potential risk.

Cash Flow

Cash flow analysis reveals a strong recovery in free cash flow, moving from negative in 2023 to positive in 2024, indicating better liquidity management. The operating cash flow to net income ratio improved significantly, showing enhanced cash generation relative to profits. Free cash flow to net income also became positive, underscoring improved cash flow management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.70B	4.50B	4.77B	5.06B	4.55B
Gross Profit	4.30B	4.10B	4.38B	4.54B	3.95B
EBITDA	484.61M	421.00M	445.57M	485.29M	205.64M
Net Income	296.47M	172.00M	236.71M	270.88M	94.37M
Balance Sheet
Total Assets	9.34B	9.21B	8.80B	8.96B	8.91B
Cash, Cash Equivalents and Short-Term Investments	2.75B	2.67B	2.81B	2.87B	2.63B
Total Debt	4.58B	4.70B	4.51B	4.44B	4.82B
Total Liabilities	5.71B	5.75B	5.41B	5.66B	5.78B
Stockholders Equity	3.63B	3.46B	3.40B	3.30B	3.13B
Cash Flow
Free Cash Flow	327.71M	-185.00M	12.14M	726.64M	417.80M
Operating Cash Flow	343.06M	-179.00M	27.24M	751.69M	419.79M
Investing Cash Flow	-46.20M	-25.00M	-26.18M	-47.97M	40.68M
Financing Cash Flow	-245.74M	65.00M	-76.25M	-482.49M	-167.43M

Nihonwasou Holdings, Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 326.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2499, the sentiment is Neutral. The current price of 326 is below the 20-day moving average (MA) of 326.50, below the 50-day MA of 326.49, and above the 200-day MA of 306.70, indicating a neutral trend. The MACD of -0.59 indicates Positive momentum. The RSI at 45.16 is Neutral, neither overbought nor oversold. The STOCH value of 60.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2499.

Nihonwasou Holdings, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7863	77 Outperform	¥3.05B	9.73		3.79%	-1.64%	-44.72%
9165	76 Outperform	¥3.69B	16.47		2.35%	8.97%	-8.13%
7793	76 Outperform	¥3.28B	13.51		2.17%	―	―
2499	74 Outperform	¥2.96B	10.27		4.28%	1.98%	25.49%
5587	68 Neutral	¥3.20B	18.60		―	15.67%	-18.07%
Sector *	61 Neutral	C$6.51B	7.64	2.76%	2.72%	6.06%	-10.89%
7831	42 Neutral	¥2.98B	―		1.65%	-2.55%	-131.40%