Create Corporation (3024) AI Stock Analysis

• Market Cap: ¥4.72B
• Dividend Yield: 2.81%
• Average Volume (3M): 6.41K
• Price to Earnings (P/E): 5.9
• Beta (1Y): 0.44
• Revenue Growth: 3.58%
• EPS Growth: 146.91%
• Country: JP
• Employees: 589
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 52.05
• Shares Outstanding: 3,969,000
• 10 Day Avg. Volume: 3,590
• 30 Day Avg. Volume: 6,406
• PEG Ratio: 0.03
• Price to Book (P/B): 0.75
• Price to Sales (P/S): 0.11
• P/FCF Ratio: 4.77
• 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: 72 Outperform
• Price Target: ¥1,380.00 ▲(12.01% Upside)
• Action: Reiterated Date: 10/31/25
• Date: Action: Reiterated 10/31/25

Create Corporation's strong financial performance is the primary driver of its stock score, supported by solid revenue and profit growth, and excellent cash flow generation. The valuation is attractive with a low P/E ratio and a good dividend yield. However, technical indicators suggest potential short-term weakness, which slightly offsets the overall positive outlook.

Positive Factors

Free Cash Flow Generation

Sustained free cash flow growth and strong operating cash conversion point to durable internal funding. This supports recurring dividends, debt reduction, targeted capex or selective M&A without reliance on external financing, improving resilience through industry cycles.

Improving Profitability and Margins

Consistent margin expansion and improving profitability reflect effective cost control and operational efficiency. Higher margins create a buffer versus input-cost swings, enable reinvestment in the business, and make earnings less dependent on top-line volatility over the medium term.

Strong Industry Positioning and Operations

Established positioning in metal fabrication and demonstrated operational efficiency confer competitive advantages in bidding, execution and cost structure. Consistent operational execution supports steady cash flows and makes the business less exposed to transient market noise.

Negative Factors

Modest Revenue Growth

Single-digit revenue growth implies limited top-line expansion and constrained market share gains. Over the medium term this forces reliance on margin improvement for earnings growth, and limits scalability benefits versus faster-growing peers in adjacent markets.

Limited Scale

A relatively small employee base suggests constrained operational scale and potentially less capacity to pursue very large contracts or rapid geographic expansion. Scale limits can reduce bargaining power with suppliers and slow product or process innovation versus larger competitors.

Cyclical Industry Exposure

Being in metal fabrication ties revenues to industrial capex and commodity cycles; demand and metal-price swings are structural risks. Even with operational efficiency, prolonged downturns or raw-material inflation can depress margins and cash flows over multi-quarter periods.

Create Corporation Business Overview & Revenue Model

Company Description

Create Corporation, together with its subsidiaries, engages in the wholesale of plumbing materials under the TORO brand in Japan. It operates through Plumbing Equipment and Construction Related segments. The company offers plumbing fittings and water taps, water supply pipe equipment, and drainage pipe equipment; and housing equipment, such as air-conditioners. It is also involved in the import of iron castings; sale of drainage pipe fittings and drainage implements; construction and package of drainage implements; processing and production of resinous plumbing systems; construction; and interior finishing works. The company was formerly known as Fukui Kazuo Shoten Co., Ltd. and changed its name to Create Corporation in April 1993. Create Corporation was founded in 1916 and is headquartered in Osaka, Japan.

How the Company Makes Money

Create Corporation generates revenue through multiple channels, primarily by selling software licenses and subscription-based services to businesses. Its core revenue streams include direct sales of proprietary software products, ongoing subscription fees for cloud services, and consulting fees for custom software development and integration projects. Additionally, the company has established significant partnerships with leading technology firms, allowing it to expand its market reach and enhance its service offerings. These collaborations not only drive sales through joint solutions but also provide access to a broader customer base, ultimately contributing to its earnings.

Create Corporation Financial Statement Overview

Summary

Create Corporation exhibits strong financial performance with significant revenue and profit growth, stable balance sheet metrics, and excellent cash flow generation. The company is well-positioned in the metal fabrication industry, with efficient operations and effective financial management.

Income Statement

Create Corporation has demonstrated strong revenue growth with a consistent upward trend over the past few years. The gross profit margin has remained healthy, indicating efficient cost management. The net profit margin has improved significantly, reflecting enhanced profitability. EBIT and EBITDA margins have also shown positive trends, suggesting operational efficiency improvements.

Balance Sheet

The company's balance sheet shows a stable financial position with a reasonable debt-to-equity ratio, indicating manageable leverage. Return on equity has improved, highlighting better utilization of shareholder funds. The equity ratio is solid, suggesting a strong asset base supported by equity.

Cash Flow

Create Corporation has shown impressive growth in free cash flow, indicating strong cash generation capabilities. The operating cash flow to net income ratio is robust, suggesting efficient conversion of earnings into cash. The free cash flow to net income ratio further supports the company's ability to generate cash relative to its profitability.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	36.95B	36.55B	35.86B	34.88B	31.53B	29.63B
Gross Profit	6.44B	6.31B	5.81B	6.41B	5.51B	4.98B
EBITDA	940.16M	884.66M	520.47M	774.10M	374.18M	52.14M
Net Income	526.34M	486.46M	143.32M	419.94M	180.79M	-107.47M
Balance Sheet
Total Assets	18.35B	17.41B	17.04B	17.18B	15.58B	15.26B
Cash, Cash Equivalents and Short-Term Investments	1.70B	1.42B	1.38B	1.75B	1.24B	1.11B
Total Debt	2.18B	1.12B	1.53B	1.84B	1.72B	1.76B
Total Liabilities	13.06B	12.09B	12.13B	12.35B	11.21B	11.08B
Stockholders Equity	5.28B	5.33B	4.92B	4.83B	4.37B	4.18B
Cash Flow
Free Cash Flow	0.00	832.80M	-50.81M	725.64M	136.60M	240.44M
Operating Cash Flow	0.00	902.06M	4.33M	772.33M	166.21M	291.82M
Investing Cash Flow	0.00	-65.27M	50.91M	-207.06M	12.47M	-98.99M
Financing Cash Flow	0.00	-793.20M	-421.91M	-60.12M	-42.13M	-246.75M

Create Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1232.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3024, the sentiment is Negative. The current price of 1232 is above the 20-day moving average (MA) of 1220.90, below the 50-day MA of 1238.72, and above the 200-day MA of 1147.96, indicating a neutral trend. The MACD of -9.72 indicates Positive momentum. The RSI at 40.85 is Neutral, neither overbought nor oversold. The STOCH value of 26.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3024.

Create Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3441	74 Outperform	¥11.24B	2.40	―	1.97%	26.69%	142.65%
3447	73 Outperform	¥14.18B	3.92	―	3.58%	29.20%	122.98%
3449	73 Outperform	¥49.84B	13.09	―	2.40%	14.37%	93.86%
3024	72 Outperform	¥4.72B	5.92	―	2.81%	3.58%	146.91%
3435	70 Neutral	¥11.02B	10.19	―	2.89%	1.82%	-24.39%
3440	65 Neutral	¥5.69B	10.73	―	4.35%	30.19%	-15.63%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%