Shinozakiya, Inc. (2926) AI Stock Analysis

• Market Cap: ¥1.46B
• Dividend Yield: N/A
• Average Volume (3M): 435.07K
• Price to Earnings (P/E): 147.9
• Beta (1Y): 0.24
• Revenue Growth: 5.54%
• EPS Growth: N/A
• Country: JP
• Employees: 148
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): -1.58
• Shares Outstanding: 14,157,780
• 10 Day Avg. Volume: 220,080
• 30 Day Avg. Volume: 435,066
• PEG Ratio: -1.69
• Price to Book (P/B): 1.15
• Price to Sales (P/S): 0.42
• P/FCF Ratio: -9.04
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: ―

Shinozakiya, Inc. faces considerable financial and operational challenges, reflected in declining revenues and profitability, alongside negative cash flows. While the absence of debt supports its financial stability, the overall outlook is tempered by bearish technical indicators and unattractive valuation metrics. Strategic improvements are essential for enhancing performance and investor confidence.

Positive Factors

Debt-Free Balance Sheet

A debt-free balance sheet enhances financial stability and reduces risk, allowing the company to focus on strategic growth initiatives.

Strong Equity Position

A high equity ratio indicates financial robustness, providing a cushion against potential market fluctuations and supporting long-term sustainability.

Market Trends Favoring Authentic Foods

Growing consumer preference for authentic foods aligns with Shinozakiya's offerings, potentially boosting demand and supporting revenue growth.

Negative Factors

Declining Revenue

Consistent revenue decline indicates challenges in market competitiveness and product demand, potentially impacting long-term growth prospects.

Negative Cash Flow

Sustained negative cash flow suggests operational inefficiencies and financial strain, limiting the company's ability to invest in growth opportunities.

Profitability Concerns

Ongoing profitability issues highlight operational challenges, which may hinder the company's ability to sustain long-term financial health.

Shinozakiya, Inc. Business Overview & Revenue Model

Company Description

Shinozakiya, Inc. is a company engaged in the food and beverage industry, primarily focusing on the production and distribution of a variety of food products. The company's portfolio includes traditional Japanese foods and beverages, which are distributed both domestically and internationally. Shinozakiya, Inc. is committed to maintaining high-quality standards and caters to a diverse consumer base seeking authentic Japanese culinary experiences.

How the Company Makes Money

Shinozakiya, Inc. generates revenue through the sale of its food and beverage products. The company's primary revenue streams include domestic retail sales, international exports, and wholesale distribution to restaurants and specialty stores. It leverages its brand reputation for quality and authenticity to attract customers. Additionally, Shinozakiya, Inc. may engage in partnerships with other food industry players to expand its distribution network and enhance market penetration. The company also benefits from consumer trends favoring traditional and authentic food experiences, which support its sales growth.

Shinozakiya, Inc. Financial Statement Overview

Summary

Shinozakiya, Inc. faces significant financial challenges with declining revenue and profitability, along with negative cash flow since 2022. However, the company benefits from a strong balance sheet with no debt, which somewhat offsets these concerns.

Income Statement

Shinozakiya, Inc. has experienced declining revenue over the past years, with a decrease from 2019 to 2024. The gross profit margin has also decreased from 32.3% in 2019 to 28.3% in 2024. Additionally, the company has consistently recorded negative EBIT and net income, indicating operational challenges and profitability concerns.

Balance Sheet

The company maintains a strong equity position, as evidenced by an equity ratio of approximately 78.7% in 2024. Shinozakiya has effectively managed its debt, with no outstanding debt in 2024, reducing financial risk. However, declining total assets and equity pose a potential concern for long-term growth.

Cash Flow

Shinozakiya's free cash flow has been negative since 2022, indicating challenges in generating cash from operations. The operating cash flow to net income ratio is negative due to losses, highlighting cash flow inefficiencies. The company needs to improve cash generation to support operations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.79B	2.68B	2.79B	3.02B	2.88B
Gross Profit	789.33M	723.69M	895.31M	1.01B	985.68M
EBITDA	-5.84M	7.15M	-53.73M	62.68M	73.51M
Net Income	-28.38M	-22.81M	-94.39M	13.06M	16.58M
Balance Sheet
Total Assets	1.29B	1.44B	1.35B	1.49B	1.50B
Cash, Cash Equivalents and Short-Term Investments	518.52M	626.48M	465.91M	548.95M	533.82M
Total Debt	0.00	18.75M	36.65M	56.66M	76.66M
Total Liabilities	274.41M	401.71M	290.79M	335.60M	359.22M
Stockholders Equity	1.01B	1.04B	1.06B	1.16B	1.14B
Cash Flow
Free Cash Flow	-128.41M	43.51M	-85.31M	32.03M	40.99M
Operating Cash Flow	-117.88M	48.46M	-79.66M	49.31M	45.23M
Investing Cash Flow	28.68M	130.01M	16.61M	-14.17M	31.27M
Financing Cash Flow	-18.75M	-17.90M	-20.00M	-20.00M	-20.03M

Shinozakiya, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 100.00
• 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:2926, the sentiment is Negative. The current price of 100 is below the 20-day moving average (MA) of 101.70, below the 50-day MA of 106.02, and above the 200-day MA of 99.69, indicating a bearish trend. The MACD of -2.45 indicates Negative momentum. The RSI at 41.91 is Neutral, neither overbought nor oversold. The STOCH value of 75.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2926.

Shinozakiya, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2286	76 Outperform	¥6.37B	3.97	―	3.44%	-2.78%	331.41%
2911	68 Neutral	¥4.15B	16.26	―	1.54%	-1.00%	31.15%
2894	66 Neutral	¥5.30B	15.03	―	1.25%	1.52%	28.70%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2876	51 Neutral	¥3.86B	-5.60	―	3.53%	-15.71%	-293.44%
2926	48 Neutral	¥1.46B	147.91	―	―	5.54%	―
2293	47 Neutral	¥5.44B	―	―	―	-3.27%	-108.33%