Festaria Holdings Company Limited (2736) AI Stock Analysis

• Market Cap: ¥2.55B
• Dividend Yield: 0.95%
• Average Volume (3M): 12.54K
• Price to Earnings (P/E): 13.4
• Beta (1Y): 0.16
• Revenue Growth: 5.68%
• EPS Growth: -60.91%
• Country: JP
• Employees: 515
• Sector: Consumer Cyclical
• Sector Strength: 64
• Industry: Luxury Goods
• EPS (TTM): 9.74
• Shares Outstanding: 3,628,200
• 10 Day Avg. Volume: 8,130
• 30 Day Avg. Volume: 12,536
• PEG Ratio: -0.25
• Price to Book (P/B): 1.51
• 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: ¥656.00
• Price Target Upside: -9.39% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: ¥757.00 ▲(4.56%Upside)

The overall stock score for Festaria Holdings is driven primarily by its strong technical indicators and solid financial performance. The stock's bullish momentum is supported by prices above key moving averages and positive MACD, although caution is warranted due to a high RSI. Financially, the company shows robust cash flow and profit margins despite high leverage. Valuation is fair with a reasonable P/E ratio and modest dividend yield.

Festaria Holdings Company Limited Business Overview & Revenue Model

Company Description

Festaria Holdings Company Limited (2736) is a Japan-based company primarily engaged in the operation of jewelry retail stores. The company specializes in the design, manufacture, and sale of high-quality jewelry products, including engagement rings, wedding bands, and other luxury accessories. With a focus on elegance and craftsmanship, Festaria Holdings caters to a diverse clientele seeking premium jewelry items for special occasions and daily wear.

How the Company Makes Money

Festaria Holdings Company Limited generates revenue through the sale of its jewelry products across its network of retail stores. The company offers a wide range of products, from diamond rings to bespoke jewelry pieces, attracting a broad customer base. Additionally, Festaria Holdings benefits from strategic partnerships with suppliers and manufacturers that enable it to maintain high-quality standards while optimizing production costs. The company may also leverage its brand reputation and marketing strategies to enhance customer loyalty and drive sales growth.

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: 724.00
• 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 724 is above the 20-day moving average (MA) of 678.10, above the 50-day MA of 643.26, and above the 200-day MA of 548.96, indicating a bullish trend. The MACD of 21.54 indicates Negative momentum. The RSI at 65.39 is Neutral, neither overbought nor oversold. The STOCH value of 62.04 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
2736	76 Outperform	¥2.55B	13.40		0.95%	5.68%	-60.91%
9904	76 Outperform	¥9.99B	17.55		5.36%	4.03%	13.35%
7638	68 Neutral	¥24.63B	12.24		0.65%	31.02%	76.65%
Sector *	67 Neutral	¥265.52B	13.57	6.45%	2.58%	5.22%	-11.96%
7937	64 Neutral	¥34.86B	17.55	2.90%	3.14%	23.18%	89.08%
7810	54 Neutral	¥2.74B	37.41		0.22%	7.20%	34.29%
7872	47 Neutral	¥6.13B	―		4.68%	-1.35%	64.68%