GEO Holdings Corporation (2681) AI Stock Analysis

• Market Cap: ¥68.47B
• Dividend Yield: 1.98%
• Average Volume (3M): 150.17K
• Price to Earnings (P/E): 19.9
• Beta (1Y): 0.55
• Revenue Growth: 1.10%
• EPS Growth: -64.41%
• Country: JP
• Employees: 5,912
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): 61.39
• Shares Outstanding: 39,783,550
• 10 Day Avg. Volume: 103,190
• 30 Day Avg. Volume: 150,173
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥1,768.00
• Price Target Upside: 2.73% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 63 Neutral
• Price Target: ¥1,768.00 ▲(2.73% Upside)

The overall stock score of 63 reflects a company with stable but modest financial performance, reasonable valuation, and moderate technical indicators. The lack of strong cash flow generation and absence of significant earnings call insights or corporate events contribute to a cautious outlook.

GEO Holdings Corporation Business Overview & Revenue Model

Company Description

Geo Holdings Corporation engages in the amusement businesses in Japan. The company operates GEO shops, which offer a range of in-home amusement software products, including DVDs, CDs, game titles, and books through rental, resale of previously owned items, and sell-through formats; 2nd STREET that handles various reuse items related to daily life, such as clothing, furniture, electronic devices, household electric appliances, and hobby and other lifestyle items; and JUMBLE STORE, which specializes in used clothing and fashion items. It also sells pre-owned mobile devices through GEO MOBILE stores; and engages in the store management support, wholesale of rental music packages, import and wholesale of bags and fashion accessories, video-gram package and titles, production and distribution of digital publication, EC, online-gaming, and management consulting services, as well as develops and operates websites and software. In addition, the company sells its products online. It operates 1,958 outlets. Geo Holdings Corporation was incorporated in 1989 and is headquartered in Nagoya, Japan.

How the Company Makes Money

GEO Holdings Corporation generates revenue through multiple streams, primarily focusing on the rental and retail sectors. The Video and CD Rental segment earns income from customers renting entertainment media, such as DVDs and CDs, for a specified period. The company's Bookstore segment contributes to its revenue by selling new and second-hand books and magazines. Additionally, GEO Holdings is involved in the purchase and sale of used goods, which includes electronics, video games, and other leisure items, providing a significant income source by capitalizing on the demand for affordable second-hand products. The company also benefits from strategic partnerships and collaborations that enhance its product offerings and expand its customer base, thereby boosting overall sales and rental income.

GEO Holdings Corporation Financial Statement Overview

Summary

The company shows moderate financial performance with stable gross profit margins but declining net profit margins. Revenue growth is inconsistent, and cash flow management is a concern due to negative free cash flow and operational inefficiencies. The balance sheet is relatively strong, with a balanced debt-to-equity ratio and stable equity ratio.

Income Statement

The company has shown moderate performance with fluctuating revenue and profit margins. The Gross Profit Margin has been stable, but the Net Profit Margin has seen a decline recently due to lower net income. Revenue Growth Rate has been inconsistent, with periods of growth followed by declines, indicating a volatile growth trajectory. EBIT and EBITDA margins are relatively stable but show some decline, reflecting potential operational challenges.

Balance Sheet

The company maintains a balanced Debt-to-Equity Ratio, suggesting reasonable leverage levels. Return on Equity (ROE) has seen a decline, indicating reduced efficiency in generating returns on equity. The Equity Ratio shows a stable financial structure with a healthy proportion of assets financed by equity, contributing to financial stability.

Cash Flow

Cash flow generation shows significant variability, with Free Cash Flow turning negative in recent periods. The Operating Cash Flow to Net Income Ratio reflects challenges in translating profits into cash flow, potentially pointing to operational inefficiencies. Free Cash Flow to Net Income Ratio is unfavorable, indicating cash flow management issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	427.67B	427.67B	433.85B	377.30B	334.79B	328.36B
Gross Profit	170.67B	170.67B	159.82B	142.48B	130.80B	125.22B
EBITDA	16.76B	17.98B	26.28B	18.85B	17.02B	12.43B
Net Income	4.54B	4.54B	10.90B	5.68B	5.99B	-752.00M
Balance Sheet
Total Assets	252.81B	252.81B	231.13B	201.80B	174.38B	169.74B
Cash, Cash Equivalents and Short-Term Investments	60.09B	60.09B	54.98B	44.29B	45.60B	51.87B
Total Debt	118.05B	118.05B	98.79B	80.21B	59.07B	52.13B
Total Liabilities	162.34B	162.34B	143.78B	124.59B	97.18B	96.76B
Stockholders Equity	90.40B	90.40B	87.31B	77.21B	77.19B	72.98B
Cash Flow
Free Cash Flow	0.00	-3.11B	151.00M	-3.38B	-12.25B	5.25B
Operating Cash Flow	0.00	8.01B	9.30B	4.28B	-5.73B	12.43B
Investing Cash Flow	0.00	-12.49B	-10.40B	-9.59B	-6.69B	-8.22B
Financing Cash Flow	0.00	10.78B	12.40B	3.94B	5.59B	14.68B

GEO Holdings Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1721.00
• 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:2681, the sentiment is Positive. The current price of 1721 is above the 20-day moving average (MA) of 1683.65, above the 50-day MA of 1662.92, and above the 200-day MA of 1695.43, indicating a bullish trend. The MACD of 14.14 indicates Negative momentum. The RSI at 60.56 is Neutral, neither overbought nor oversold. The STOCH value of 79.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2681.

GEO Holdings Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2674	81 Outperform	¥26.07B	11.91	12.67%	4.05%	8.63%	-3.75%
7636	73 Outperform	¥11.90B	11.24	5.67%	3.59%	2.27%	33.92%
3093	72 Outperform	¥48.26B	16.95	26.02%	1.79%	19.76%	11.62%
2681	63 Neutral	¥68.47B	19.94	―	1.98%	1.10%	-64.41%
9270	55 Neutral	¥13.61B	-25.15	-24.93%	1.00%	-0.79%	-107.47%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%