Beauty Kadan Holdings Co. Ltd. (3041) AI Stock Analysis

• Market Cap: ¥1.83B
• Dividend Yield: 1.14%
• Average Volume (3M): 6.14K
• Price to Earnings (P/E): 43.2
• Beta (1Y): 0.81
• Revenue Growth: 8.87%
• EPS Growth: 47.52%
• Country: JP
• Employees: 238
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Personal Products & Services
• EPS (TTM): 12.12
• Shares Outstanding: 5,076,000
• 10 Day Avg. Volume: 4,770
• 30 Day Avg. Volume: 6,136
• PEG Ratio: 1.00
• Price to Book (P/B): 3.18
• Price to Sales (P/S): 0.26
• P/FCF Ratio: -15.76
• 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: 53 Neutral
• Price Target: ¥462.00 ▲(1.54% Upside)

The overall score reflects strong revenue growth but is weighed down by significant financial instability, high leverage, and overvaluation concerns. The technical indicators suggest a neutral trend, lacking strong momentum. Improvements in profitability and cash flow are crucial for enhancing the company's financial health.

Beauty Kadan Holdings Co. Ltd. Business Overview & Revenue Model

Company Description

Beauty Kadan Holdings Co. Ltd. (3041) operates within the beauty and personal care industry, offering a range of products and services aimed at enhancing personal aesthetics and well-being. The company is involved in the development, manufacturing, and distribution of beauty products, as well as providing beauty-related services. Its core offerings include cosmetics, skincare products, and beauty treatment services, catering to a diverse clientele interested in enhancing their appearance and self-care routines.

How the Company Makes Money

Beauty Kadan Holdings Co. Ltd. generates revenue through the sale of its proprietary beauty and skincare products, which are distributed through various retail and online channels. The company also earns income from its beauty treatment services, which are provided in specialized salons and through partnerships with other beauty service providers. Key revenue streams include direct product sales, service fees from beauty treatments, and possibly licensing agreements for exclusive products. Strategic partnerships with retailers and beauty professionals, along with marketing and branding efforts, significantly contribute to the company's earnings by expanding its market reach and customer base.

Beauty Kadan Holdings Co. Ltd. Financial Statement Overview

Summary

Beauty Kadan Holdings Co. Ltd. shows strong revenue growth but faces significant challenges in profitability and cash flow management. The high leverage and declining return on equity indicate financial instability, necessitating improvements in operational efficiency and cash flow generation.

Income Statement

Beauty Kadan Holdings Co. Ltd. has shown consistent revenue growth over the years, with a notable increase in the latest year. However, the gross profit margin has slightly declined, and the EBIT margin turned negative in the most recent year, indicating operational challenges. The net profit margin remains low, suggesting limited profitability. Despite these challenges, the company has managed to maintain positive revenue growth, which is a positive indicator.

Balance Sheet

The company has a high debt-to-equity ratio, indicating significant leverage, which poses a risk in terms of financial stability. Return on equity has decreased over the years, reflecting reduced profitability for shareholders. The equity ratio is relatively low, suggesting a higher reliance on debt financing. These factors highlight potential financial risks, despite the company's ability to grow its revenue.

Cash Flow

The cash flow situation is concerning, with negative free cash flow in the latest year and a negative operating cash flow to net income ratio. The free cash flow to net income ratio is high due to negative free cash flow, indicating potential liquidity issues. The company needs to improve its cash generation capabilities to ensure long-term sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.60B	7.60B	6.98B	6.41B	5.86B	5.35B
Gross Profit	974.07M	975.00M	994.39M	941.02M	902.62M	785.16M
EBITDA	86.63M	55.00M	145.53M	179.44M	178.31M	161.54M
Net Income	42.27M	42.00M	28.54M	88.82M	86.32M	81.78M
Balance Sheet
Total Assets	2.90B	2.90B	2.72B	2.46B	2.44B	2.44B
Cash, Cash Equivalents and Short-Term Investments	1.22B	1.22B	1.07B	954.90M	950.45M	976.36M
Total Debt	1.59B	1.59B	1.48B	1.31B	1.31B	1.47B
Total Liabilities	2.29B	2.29B	2.17B	1.92B	1.91B	2.01B
Stockholders Equity	610.00M	610.00M	544.11M	545.46M	488.94M	402.62M
Cash Flow
Free Cash Flow	0.00	-123.00M	25.39M	91.42M	143.87M	44.93M
Operating Cash Flow	0.00	-32.00M	98.46M	105.99M	157.78M	57.82M
Investing Cash Flow	0.00	69.79M	-72.39M	-31.45M	-14.99M	-5.63M
Financing Cash Flow	0.00	111.00M	90.40M	-70.09M	-168.69M	145.25M

Beauty Kadan Holdings Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 455.00
• 50DMA: Negative
• 100DMA: Negative
• 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:3041, the sentiment is Negative. The current price of 455 is above the 20-day moving average (MA) of 454.60, below the 50-day MA of 457.54, and above the 200-day MA of 434.77, indicating a neutral trend. The MACD of -0.49 indicates Negative momentum. The RSI at 48.74 is Neutral, neither overbought nor oversold. The STOCH value of 38.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3041.

Beauty Kadan Holdings Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7372	74 Outperform	¥2.33B	10.95	―	―	5.26%	25.64%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
2196	57 Neutral	¥2.70B	21.34	―	―	-3.96%	-73.55%
6186	57 Neutral	¥2.15B	7.99	―	3.61%	-2.89%	-144.95%
3041	53 Neutral	¥1.83B	43.20	―	1.14%	8.87%	47.52%
4679	45 Neutral	¥1.40B	―	―	―	-7.04%	83.17%
7578	41 Neutral	¥2.17B	―	―	―	-18.74%	-1062.47%