Festaria Holdings Company Limited (2736) AI Stock Analysis

• Market Cap: ¥2.35B
• Dividend Yield: 1.02%
• Average Volume (3M): 10.65K
• Price to Earnings (P/E): 12.4
• Beta (1Y): 0.17
• Revenue Growth: 9.40%
• EPS Growth: -56.59%
• Country: JP
• Employees: 515
• Sector: Consumer Cyclical
• Sector Strength: 60
• Industry: Luxury Goods
• EPS (TTM): 52.46
• Shares Outstanding: 3,628,200
• 10 Day Avg. Volume: 6,960
• 30 Day Avg. Volume: 10,650
• PEG Ratio: 0.00
• Price to Book (P/B): 1.11
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -60.90
• 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: 66 Neutral
• Price Target: ¥656.00 ▲(0.77%Upside)

Festaria Holdings' overall score is primarily driven by its solid financial performance, with notable improvements in revenue and cash flow. Technical indicators suggest neutral momentum, while valuation remains moderate, supporting a balanced investment outlook.

Festaria Holdings Company Limited Business Overview & Revenue Model

Company Description

Festaria Holdings Company Limited (2736) is a Japan-based company primarily engaged in the retail sector with a focus on jewelry and related products. The company operates through its subsidiaries and offers a wide range of jewelry items, including engagement rings, wedding bands, and other fashion jewelry. Festaria Holdings emphasizes quality craftsmanship and unique designs to cater to various customer preferences. The company also engages in the planning, manufacture, and sale of its products, ensuring comprehensive control over the quality and design standards.

How the Company Makes Money

Festaria Holdings Company Limited generates revenue primarily through the sale of its jewelry products in retail stores and through online platforms. The company operates a network of physical retail locations, which serve as the primary touchpoints for customer engagement and sales. Additionally, Festaria Holdings benefits from its e-commerce platform, which expands its market reach and provides a convenient shopping experience for customers. The company also capitalizes on seasonal and special occasions like weddings and anniversaries, which drive higher sales volumes. Partnerships with designers and suppliers enable Festaria Holdings to offer exclusive and high-quality products, thereby enhancing its revenue potential. Furthermore, the company may engage in marketing and promotional activities to attract and retain customers, contributing to its overall sales revenue.

Festaria Holdings Company Limited Financial Statement Overview

Summary

Festaria Holdings demonstrates solid financial health with improving profitability and cash flow metrics. Despite high leverage, the company has shown resilience with substantial revenue and cash flow growth. Continued focus on debt reduction and operational efficiency could further strengthen its financial position.

Income Statement

Festaria Holdings has shown a positive revenue growth rate of 7.47% year-over-year. The gross profit margin stands at 62.92%, indicating strong profitability. Net profit margin improved to 1.49%, showing a turnaround from previous losses. Both EBIT margin (2.91%) and EBITDA margin (5.24%) have increased, reflecting operational efficiency improvements.

Balance Sheet

The debt-to-equity ratio is high at 2.24, indicating significant leverage. The return on equity has improved to 9.05%, showcasing better returns for shareholders. The equity ratio is 20.91%, suggesting moderate equity relative to total assets, pointing to a balanced, yet leveraged, financial structure.

Cash Flow

Free cash flow has grown significantly by 2409.17%, indicating strong cash generation capabilities. The operating cash flow to net income ratio is robust at 3.50, suggesting efficient cash conversion. The free cash flow to net income ratio is 2.49, highlighting strong cash flow relative to net income.

Breakdown	TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	9.48B	9.31B	8.66B	8.78B	8.72B	8.43B
Gross Profit	5.94B	5.86B	5.49B	5.58B	5.53B	5.15B
EBITDA	515.34M	487.86M	415.08M	680.80M	489.90M	-735.80M
Net Income	217.94M	139.05M	57.81M	259.08M	128.14M	-806.62M
Balance Sheet
Total Assets	7.54B	7.35B	6.72B	6.95B	7.10B	8.03B
Cash, Cash Equivalents and Short-Term Investments	1.22B	1.19B	966.46M	984.86M	1.04B	950.57M
Total Debt	3.76B	3.44B	3.51B	3.50B	4.00B	5.24B
Total Liabilities	6.13B	5.81B	5.31B	5.66B	6.09B	7.17B
Stockholders Equity	1.40B	1.54B	1.41B	1.29B	1.01B	860.81M
Cash Flow
Free Cash Flow	0.00	346.58M	10.16M	539.12M	1.19B	-185.31M
Operating Cash Flow	0.00	487.20M	245.96M	707.68M	1.34B	12.86M
Investing Cash Flow	0.00	-177.70M	-264.78M	-155.49M	-7.22M	-180.24M
Financing Cash Flow	0.00	-89.37M	-18.24M	-583.28M	-1.24B	417.26M

Festaria Holdings Company Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 651.00
• 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:2736, the sentiment is Positive. The current price of 651 is above the 20-day moving average (MA) of 633.40, above the 50-day MA of 615.60, and above the 200-day MA of 533.65, indicating a bullish trend. The MACD of 11.22 indicates Negative momentum. The RSI at 60.68 is Neutral, neither overbought nor oversold. The STOCH value of 74.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2736.

Festaria Holdings Company Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9904	76 Outperform	¥10.07B	17.69		5.65%	4.03%	13.35%
7638	68 Neutral	¥23.91B	11.88		0.66%	31.02%	76.65%
2736	66 Neutral	¥2.35B	12.41		1.02%	9.40%	-56.59%
7937	64 Neutral	$35.08B	17.66	2.90%	3.12%	23.18%	89.08%
Sector *	62 Neutral	$16.85B	11.50	-7.38%	2.96%	1.59%	-23.36%
7810	54 Neutral	¥2.90B	37.41		0.20%	7.20%	34.29%
7872	49 Neutral	¥6.09B	―		4.71%	-1.35%	64.68%