Yakiniku Sakai Holdings Inc. (2694) AI Stock Analysis

• Market Cap: ¥16.44B
• Dividend Yield: 0.71%
• Average Volume (3M): 572.79K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.30
• Revenue Growth: 2.26%
• EPS Growth: -335.39%
• Country: JP
• Employees: 633
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): N/A
• Shares Outstanding: 239,866,170
• 10 Day Avg. Volume: 809,330
• 30 Day Avg. Volume: 572,793
• PEG Ratio: 0.08
• Price to Book (P/B): 2.48
• Price to Sales (P/S): 0.71
• P/FCF Ratio: 42.78
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: ¥70.00 ▲(0.00% Upside)

Yakiniku Sakai Holdings Inc. is facing significant financial challenges, with negative profitability metrics and high leverage being major concerns. The technical analysis indicates weak momentum, and the valuation metrics suggest the stock may be overvalued. These factors contribute to a low overall stock score, reflecting the company's current struggles and risks.

Positive Factors

Revenue Growth

Despite challenges, the slight increase in revenue indicates potential for recovery and growth, reflecting efforts to stabilize and expand market presence.

Operational Cash Flow

Positive operating cash flow suggests the company can cover its operating expenses and invest in growth opportunities, supporting long-term sustainability.

Stable Gross Profit Margin

A stable gross profit margin reflects effective cost control, which is crucial for maintaining profitability and competitive pricing in the restaurant industry.

Negative Factors

High Leverage

High leverage increases financial risk, potentially limiting the company's ability to invest in growth and manage economic downturns effectively.

Negative Profitability Metrics

Negative profitability metrics highlight operational inefficiencies and challenges in achieving sustainable profit, impacting long-term financial health.

Inconsistent Free Cash Flow

Inconsistent free cash flow can hinder the company's ability to fund operations and growth initiatives, posing a risk to financial stability and strategic planning.

Yakiniku Sakai Holdings Inc. Business Overview & Revenue Model

Company Description

Yakiniku Sakai Holdings Inc. (2694) is a Japanese company specializing in the operation of Yakiniku (grilled meat) restaurants. The company operates in the food and beverage sector, primarily focusing on providing high-quality grilled meat dining experiences. With a commitment to sourcing premium ingredients and delivering exceptional customer service, Yakiniku Sakai Holdings has established itself as a notable player in the Japanese dining industry, catering to both individual and group dining needs.

How the Company Makes Money

Yakiniku Sakai Holdings generates revenue primarily through its restaurant operations, which include dine-in services, take-out options, and catering for events. The company earns money by selling a variety of grilled meat dishes, along with complementary items such as side dishes, drinks, and desserts. Additional revenue streams may include merchandise sales related to the Yakiniku experience and potential partnerships with suppliers for exclusive meat products. By focusing on customer loyalty programs and special promotions, the company enhances repeat business, which is crucial for sustaining its earnings. Seasonal events and limited-time offerings also contribute to revenue spikes during specific periods.

Yakiniku Sakai Holdings Inc. Financial Statement Overview

Summary

Yakiniku Sakai Holdings Inc. faces significant financial challenges with profitability and cash flow fluctuations. While there are positive signs in revenue and operating cash flow, high leverage and negative profitability metrics need addressing. The company's ability to improve its financial health will depend on addressing operational inefficiencies and managing debt levels effectively.

Income Statement

Yakiniku Sakai Holdings Inc. shows a mixed performance with declining revenue and profitability challenges. While the revenue growth has been erratic, the latest annual report shows a slight increase in total revenue. The gross profit margin is stable, indicating efficient cost management. However, the net profit margin is negative, indicating a struggle to convert revenue into profit. Consistently negative EBIT and EBITDA margins point to operational inefficiencies.

Balance Sheet

The balance sheet reveals a moderate financial position with a reasonable equity base. The debt-to-equity ratio is relatively stable, but the company has high leverage, which could pose a risk if not managed well. The equity ratio is moderate, suggesting that the company is partially reliant on debt financing. Return on equity is negative, reflecting the financial challenges in generating returns for shareholders.

Cash Flow

The cash flow analysis indicates a mixed situation. The operating cash flow is generally positive, which is a good sign, but the free cash flow has been inconsistent, with recent improvements. The free cash flow to net income ratio shows potential for cash generation, but risks persist due to fluctuations in free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	23.76B	23.53B	22.82B	23.06B	18.30B	19.73B
Gross Profit	15.80B	15.60B	15.05B	15.40B	12.36B	13.23B
EBITDA	504.44M	-46.10M	621.74M	1.31B	1.35B	-1.22B
Net Income	-705.18M	-613.82M	235.77M	277.81M	460.85M	-2.02B
Balance Sheet
Total Assets	15.81B	16.61B	16.07B	15.52B	16.27B	17.63B
Cash, Cash Equivalents and Short-Term Investments	4.13B	4.94B	3.69B	3.41B	3.13B	3.65B
Total Debt	5.64B	6.11B	4.95B	4.47B	5.16B	6.78B
Total Liabilities	9.20B	9.86B	8.61B	8.19B	9.06B	10.86B
Stockholders Equity	6.61B	6.75B	7.46B	7.33B	7.22B	6.77B
Cash Flow
Free Cash Flow	0.00	390.60M	163.67M	375.53M	811.09M	-1.07B
Operating Cash Flow	0.00	825.12M	506.33M	667.30M	1.14B	-934.61M
Investing Cash Flow	0.00	-556.13M	-709.31M	435.38M	232.61M	417.01M
Financing Cash Flow	0.00	1.03B	349.34M	-775.02M	-1.69B	-87.76M

Yakiniku Sakai Holdings Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 70.00
• 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:2694, the sentiment is Negative. The current price of 70 is above the 20-day moving average (MA) of 69.90, below the 50-day MA of 70.58, and below the 200-day MA of 71.52, indicating a neutral trend. The MACD of -0.07 indicates Negative momentum. The RSI at 48.25 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2694.

Yakiniku Sakai Holdings Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7554	65 Neutral	¥19.70B	18.83	―	―	―	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
3329	61 Neutral	¥16.66B	22.79	―	0.97%	3.21%	1.96%
7621	60 Neutral	¥19.80B	3,542.00	―	0.43%	2.86%	-129.51%
7562	59 Neutral	¥16.68B	47.00	―	0.41%	0.55%	-62.17%
3068	54 Neutral	¥18.99B	119.48	―	0.56%	1.09%	-128.63%
2694	45 Neutral	¥16.44B	-23.36	―	0.71%	2.26%	-335.39%