Amagasa Co., Ltd. (3070) AI Stock Analysis

• Market Cap: ¥8.97B
• Dividend Yield: N/A
• Average Volume (3M): 2.63M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.28
• Revenue Growth: 80.23%
• EPS Growth: 63.77%
• Country: JP
• Employees: 30
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): -0.38
• Shares Outstanding: 79,444,000
• 10 Day Avg. Volume: 868,370
• 30 Day Avg. Volume: 2,630,266
• PEG Ratio: 0.09
• Price to Book (P/B): 9.01
• Price to Sales (P/S): 2.23
• P/FCF Ratio: -2.91
• 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: 47 Neutral
• Price Target: ¥111.00 ▲(52.05% Upside)
• Action: Reiterated Date: 02/28/26
• Date: Action: Reiterated 02/28/26

The score is held down primarily by poor financial performance (declining revenue, sustained losses, high leverage, and negative free cash flow). Technical indicators provide some near-term support, but valuation remains constrained by loss-making results and the lack of a stated dividend yield.

Positive Factors

Recent revenue and EPS acceleration

Reported strong recent revenue and EPS growth metrics indicate acceleration in sales and underlying profitability drivers. If sustained beyond short-term fluctuations, this trend can provide operating leverage, support margin recovery, and improve ability to execute a multi-month turnaround.

Diversified product lines and channels

A broad portfolio across household, personal care and health segments combined with retail and online distribution reduces single-market dependence. Structurally, multi-channel and multi-category exposure supports steadier demand, cross-selling, and resilience against specific channel shocks over quarters.

Some cash reserves and financing activity

Presence of cash reserves and evidence of financing inflows provide a liquidity buffer during loss-making periods. This durable advantage buys management time to implement cost controls or strategic shifts, reducing immediate solvency risk and enabling execution of a medium-term recovery plan.

Negative Factors

Deeply negative margins and declining profitability

Consistently negative gross, EBIT and net margins point to structural issues with cost structure or pricing power. Durable recovery requires sustained revenue growth and margin improvements; absent that, losses will continue to erode equity and hinder reinvestment for competitive recovery.

High leverage and weakening equity base

Elevated debt-to-equity and falling stockholders' equity reduce financial flexibility and increase refinancing and covenant risk. Over a multi-month horizon, high leverage constrains investment, forces prioritization of debt service, and magnifies downside if cash flow does not materially improve.

Consistently negative and worsening free cash flow

Worsening negative free cash flow and poor conversion of income to operating cash indicate chronic cash burn. This structural cash generation weakness necessitates repeated external funding or asset sales, undermining long-term investment and the company's ability to sustain a durable recovery.

Amagasa Co., Ltd. Business Overview & Revenue Model

Company Description

Amagasa Co., Ltd. plans, develops, wholesales, and retails non-leather women's footwear in Japan. The company offers its products primarily under the JELLY BEANS brand. It also imports and exports women's shoes. It sells its products to specialty shoe stores, department stores, and apparel customers. The company also operates online shops. Amagasa Co., Ltd. was founded in 1976 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Amagasa Co., Ltd. generates revenue through the direct sale of its consumer products across various distribution channels, including retail partnerships and online platforms. The company has established key revenue streams from its core product lines, which include household goods and personal care items. Additionally, Amagasa may engage in strategic partnerships with other manufacturers and retailers to expand its market reach and product offerings. By leveraging brand loyalty and investing in marketing strategies, the company enhances its sales and profitability.

Amagasa Co., Ltd. Financial Statement Overview

Summary

Weak fundamentals: declining revenue and shrinking gross margin, deeply negative net/EBIT/EBITDA margins, high leverage with declining equity, and consistently negative (worsening) free cash flow. These factors indicate ongoing operating and financial stress.

Income Statement

Amagasa Co., Ltd. has experienced a significant decline in revenue over the years, with a pronounced negative revenue growth rate. The gross profit margin is reducing, and the net profit margin is deeply negative, indicating continuous losses. Both EBIT and EBITDA margins are negative, reflecting operational inefficiencies. The company is struggling to maintain profitability and needs to address its revenue challenges to improve its income statement health.

Balance Sheet

The balance sheet shows a concerning debt-to-equity ratio, indicating high leverage and potential risk. The equity ratio is low, suggesting limited financial stability. The company has also experienced declining stockholders' equity over the years. While there is some cash reserve, the overall financial health is weakened by liabilities exceeding assets significantly, necessitating a strategic focus on reducing debt or increasing equity.

Cash Flow

Amagasa Co., Ltd. has consistently negative free cash flow, which is worsening, indicating poor cash generation from operations. The operating cash flow to net income ratio is negative, further highlighting cash constraints. Despite some positive cash from financing activities, the company struggles with operational cash flow, indicating a need for improved cash management and cost control.

Breakdown	TTM	Jan 2025	Jan 2024	Jan 2023	Jan 2022	Jan 2021
Income Statement
Total Revenue	1.22B	831.62M	919.75M	1.39B	1.57B	2.39B
Gross Profit	574.43M	409.49M	531.85M	834.47M	811.96M	1.03B
EBITDA	-527.86M	-513.94M	-589.57M	-684.92M	-832.21M	-752.68M
Net Income	-587.63M	-519.97M	-596.31M	-697.67M	-861.68M	-786.53M
Balance Sheet
Total Assets	2.09B	629.00M	596.43M	647.24M	948.97M	1.37B
Cash, Cash Equivalents and Short-Term Investments	521.32M	265.17M	310.06M	312.11M	476.62M	875.11M
Total Debt	856.57M	181.78M	215.63M	252.47M	294.91M	885.26M
Total Liabilities	1.18B	423.20M	482.96M	530.70M	626.55M	1.31B
Stockholders Equity	910.10M	205.80M	113.47M	116.54M	322.42M	66.05M
Cash Flow
Free Cash Flow	0.00	-636.94M	-615.34M	-633.96M	-910.83M	-653.72M
Operating Cash Flow	0.00	-621.29M	-610.82M	-606.53M	-886.06M	-638.51M
Investing Cash Flow	0.00	-1.16M	62.66M	-8.69M	-31.53M	1.14B
Financing Cash Flow	0.00	574.87M	554.33M	448.75M	513.99M	-154.99M

Amagasa Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 73.00
• 50DMA: Positive
• 100DMA: Positive
• 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:3070, the sentiment is Positive. The current price of 73 is below the 20-day moving average (MA) of 97.75, below the 50-day MA of 90.42, and below the 200-day MA of 144.70, indicating a neutral trend. The MACD of 2.14 indicates Negative momentum. The RSI at 65.08 is Neutral, neither overbought nor oversold. The STOCH value of 66.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3070.

Amagasa Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2792	72 Outperform	¥42.97B	12.56	―	3.62%	-0.98%	-29.86%
8227	68 Neutral	¥795.86B	18.28	8.78%	2.02%	―	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
7445	50 Neutral	¥11.82B	-17.84	-111.30%	―	-27.51%	96.20%
3070	47 Neutral	¥8.97B	-7.38	―	―	80.23%	63.77%
7603	47 Neutral	¥3.79B	-1.60	―	―	-7.88%	-11.22%
3189	40 Underperform	¥9.83B	-1.39	―	―	-34.49%	―