Apple International Co., Ltd. (2788) AI Stock Analysis

• Market Cap: ¥4.78B
• Dividend Yield: 4.37%
• Average Volume (3M): 60.18K
• Price to Earnings (P/E): 5.2
• Beta (1Y): 0.74
• Revenue Growth: 10.95%
• EPS Growth: -24.17%
• Country: JP
• Employees: 88
• Sector: Consumer Cyclical
• Sector Strength: 72
• Industry: Auto - Dealerships
• EPS (TTM): 6.26
• Shares Outstanding: 13,861,400
• 10 Day Avg. Volume: 94,960
• 30 Day Avg. Volume: 60,183
• PEG Ratio: -0.18
• Price to Book (P/B): 0.46
• 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: 66 Neutral
• Price Target: ¥371.00 ▲(9.76%Upside)

The stock of Apple International Co., Ltd. is primarily influenced by its strong valuation, with a low P/E ratio and high dividend yield indicating potential undervaluation. However, financial performance is mixed, with strong revenue growth but challenges in cash flow and operational efficiency. Technical analysis suggests a bearish trend, which could pose short-term risks.

Apple International Co., Ltd. Business Overview & Revenue Model

Company Description

Apple International Co., Ltd. (2788) is a diversified company engaged in various sectors including technology, electronics, and telecommunications. The company specializes in the design, manufacturing, and distribution of innovative consumer electronics and software solutions. Its core products include smartphones, tablets, computers, and related accessories, as well as software applications and services that enhance user experiences.

How the Company Makes Money

Apple International Co., Ltd. generates revenue through multiple streams including direct sales of its consumer electronics, software licensing, and services. The bulk of its revenue comes from the sale of flagship products such as smartphones and laptops, complemented by revenue from accessories and peripherals. The company also earns income through service-based offerings, including cloud storage, app subscriptions, and software updates. Strategic partnerships with telecommunications providers for bundled service offerings further enhance its revenue. Additionally, the company focuses on research and development to innovate new products and services that drive future sales.

Apple International Co., Ltd. Financial Statement Overview

Summary

Apple International Co., Ltd. shows robust revenue growth and profitability, supported by an effective operational model. However, increasing leverage and persistent negative cash flows pose potential risks to financial stability. Continued focus on cash flow management and debt levels will be crucial for maintaining financial health.

Income Statement

Apple International has demonstrated strong revenue growth, with a notable increase from 2023 to 2024 by 41.7%. The company maintains healthy profitability metrics, with a gross profit margin of 8.7% and a net profit margin of 2.7% in 2024. Positive EBIT and EBITDA margins reflect operational efficiency. However, there is a downward trend in net income since 2022, which could indicate tightening margins.

Balance Sheet

The company's balance sheet shows stability with a steady equity base. The debt-to-equity ratio has increased to 0.82 in 2024, indicating higher leverage, which may increase financial risk if not managed carefully. The equity ratio remains stable at 48.5%, reflecting a balanced approach towards financing assets through equity.

Cash Flow

Cash flow analysis points to challenges, with negative operating cash flow and free cash flow since 2020. The free cash flow has decreased significantly year-over-year, impacting the company's liquidity. The operating cash flow to net income ratio is negative, highlighting cash flow management issues that need addressing.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	43.80B	30.91B	29.22B	18.66B	19.56B
Gross Profit	3.82B	3.45B	3.55B	1.96B	2.08B
EBITDA	1.67B	1.38B	1.80B	675.36M	610.53M
Net Income	1.20B	1.01B	1.33B	403.36M	328.34M
Balance Sheet
Total Assets	19.76B	16.87B	15.96B	14.20B	13.37B
Cash, Cash Equivalents and Short-Term Investments	4.38B	4.50B	4.46B	4.58B	2.38B
Total Debt	7.91B	6.61B	6.63B	5.86B	5.92B
Total Liabilities	9.58B	7.90B	8.01B	7.36B	6.91B
Stockholders Equity	9.59B	8.43B	7.47B	6.40B	6.06B
Cash Flow
Free Cash Flow	-1.23B	-290.00M	-626.08M	2.72B	-1.88B
Operating Cash Flow	-1.21B	-275.00M	-608.65M	2.75B	-1.73B
Investing Cash Flow	-25.63M	449.62M	-24.68M	-437.46M	-320.92M
Financing Cash Flow	1.10B	-138.00M	491.05M	-135.20M	2.21B

Apple International Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 338.00
• 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:2788, the sentiment is Neutral. The current price of 338 is below the 20-day moving average (MA) of 338.35, below the 50-day MA of 351.04, and below the 200-day MA of 391.68, indicating a neutral trend. The MACD of -1.68 indicates Negative momentum. The RSI at 48.99 is Neutral, neither overbought nor oversold. The STOCH value of 68.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2788.

Apple International Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3184	81 Outperform	¥9.34B	7.56		1.68%	9.36%	17.92%
3011	74 Outperform	¥2.30B	8.70		3.55%	19.56%	36.08%
3377	74 Outperform	¥5.85B	11.30		2.64%	12.55%	―
7623	71 Outperform	¥2.60B	11.53		2.28%	10.42%	109.09%
2788	66 Neutral	¥4.78B	5.19		4.37%	10.95%	-24.17%
Sector *	62 Neutral	$17.27B	9.93	-8.46%	3.20%	1.63%	-26.06%
7602	50 Neutral	¥2.79B	139.38		1.48%	5.04%	-356.40%