LA Holdings Co.,Ltd (2986) AI Stock Analysis

• Market Cap: ¥49.04B
• Dividend Yield: 5.1%
• Average Volume (3M): 109.04K
• Price to Earnings (P/E): 8.2
• Beta (1Y): 0.56
• Revenue Growth: 29.46%
• EPS Growth: 32.52%
• Country: JP
• Employees: 102
• Sector: Real Estate
• Sector Strength: 55
• Industry: Real Estate - Services
• EPS (TTM): 109.04
• Shares Outstanding: 7,630,075
• 10 Day Avg. Volume: 95,490
• 30 Day Avg. Volume: 109,036
• PEG Ratio: 1.79
• Price to Book (P/B): 2.15
• 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: ¥7,117.00
• Price Target Upside: 15.72% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: ¥6,829.00 ▲(11.04%Upside)

The strong valuation metrics, particularly the low P/E ratio and high dividend yield, are significant strengths. However, risks from high leverage and negative cash flows, along with mixed technical indicators, create caution. The stock's attractiveness for value and income investors is balanced by operational and market risks.

LA Holdings Co.,Ltd Business Overview & Revenue Model

Company Description

LA Holdings Co., Ltd (2986) is a Japanese company primarily engaged in providing services within the real estate sector. The company focuses on the management, leasing, and sale of residential and commercial properties. Its core services include property development, real estate brokerage, and property management solutions, catering to a diverse clientele ranging from individual property owners to large corporations.

How the Company Makes Money

The company generates revenue through multiple streams related to its real estate operations. Firstly, LA Holdings Co., Ltd earns by leasing properties, collecting rent from tenants who occupy residential and commercial spaces. Secondly, it derives income from property management services, which include maintenance, tenant management, and facility operations for property owners. Additionally, the company earns commissions and fees from real estate brokerage activities, facilitating the sale and purchase of properties. The company may also engage in property development projects, creating new residential or commercial units for sale or lease, further contributing to its revenue. Strategic partnerships with construction firms, real estate agencies, and financial institutions may enhance its offerings and expand its market reach, thereby supporting its earnings growth.

LA Holdings Co.,Ltd Financial Statement Overview

Summary

LA Holdings Co., Ltd demonstrates strong revenue growth and improving profitability, which is a positive sign of operational performance. However, high leverage and negative cash flows present risks to financial stability if not properly managed.

Income Statement

LA Holdings Co., Ltd has shown strong revenue growth over recent years, with a notable increase from 2020 to 2024. Their gross profit margin has consistently improved, indicating efficient cost management. The net profit margin has also increased, demonstrating improved profitability. However, the EBIT and EBITDA margins indicate potential areas for operational improvements.

Balance Sheet

The company's debt-to-equity ratio is relatively high, suggesting a significant reliance on debt financing, which could pose risks during economic downturns. The return on equity has improved over time, indicating better returns on shareholders' investments. However, the equity ratio remains low, highlighting potential financial leverage concerns.

Cash Flow

The operating cash flow is negative, which is concerning as it implies that the company is not generating enough cash from its core operations. The free cash flow has been negative, but there has been an improvement in recent years. The operating cash flow to net income ratio is unfavorable, indicating inefficiencies in converting income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	45.17B	44.71B	31.50B	18.25B	14.68B	13.76B
Gross Profit	11.51B	11.39B	8.51B	6.02B	5.14B	2.60B
EBITDA	8.09B	7.67B	5.63B	5.19B	3.30B	1.39B
Net Income	4.91B	4.71B	3.29B	3.38B	1.96B	650.24M
Balance Sheet
Total Assets	78.42B	71.25B	61.21B	50.67B	36.33B	23.63B
Cash, Cash Equivalents and Short-Term Investments	9.73B	13.55B	12.78B	9.48B	6.81B	2.82B
Total Debt	56.31B	47.95B	42.76B	35.40B	25.75B	16.21B
Total Liabilities	60.80B	53.12B	46.00B	39.25B	28.99B	19.28B
Stockholders Equity	17.63B	18.13B	15.21B	11.42B	7.34B	4.35B
Cash Flow
Free Cash Flow	0.00	-2.36B	-4.27B	-4.76B	-6.75B	856.12M
Operating Cash Flow	0.00	-1.76B	-3.20B	-3.06B	-5.36B	1.73B
Investing Cash Flow	0.00	-708.53M	-1.40B	-1.48B	-1.17B	-637.30M
Financing Cash Flow	0.00	3.20B	7.77B	6.93B	10.50B	-1.29B

LA Holdings Co.,Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6150.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2986, the sentiment is Positive. The current price of 6150 is below the 20-day moving average (MA) of 6212.26, below the 50-day MA of 6349.60, and above the 200-day MA of 5840.45, indicating a bullish trend. The MACD of 6.99 indicates Negative momentum. The RSI at 59.91 is Neutral, neither overbought nor oversold. The STOCH value of 86.52 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2986.

LA Holdings Co.,Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3482	80 Outperform	¥46.60B	5.30		2.46%	14.08%	46.84%
3245	75 Outperform	¥52.40B	12.49		3.67%	57.21%	16.38%
8935	72 Outperform	¥39.35B	6.08		3.99%	11.98%	0.42%
2986	71 Outperform	¥49.04B	8.16		5.10%	29.46%	32.52%
3496	70 Outperform	¥51.80B	34.63		0.29%	28.02%	37.68%
Sector *	64 Neutral	$6.97B	18.61	-1.93%	6.82%	4.65%	-25.39%