Saibo Co., Ltd. (3123) AI Stock Analysis

• Market Cap: ¥7.38B
• Dividend Yield: 2.63%
• Average Volume (3M): 5.57K
• Price to Earnings (P/E): 9.7
• Beta (1Y): 0.38
• Revenue Growth: -4.76%
• EPS Growth: 8.43%
• Country: JP
• Employees: 115
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): 38.70
• Shares Outstanding: 13,600,000
• 10 Day Avg. Volume: 4,210
• 30 Day Avg. Volume: 5,566
• PEG Ratio: -0.87
• Price to Book (P/B): 0.35
• Price to Sales (P/S): 0.60
• P/FCF Ratio: 3.18
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: ¥648.00 ▲(8.00% Upside)

Saibo Co., Ltd. is supported by strong technical indicators and attractive valuation metrics, despite modest revenue growth and declining free cash flow. The stock's bullish momentum and undervaluation are significant positives.

Positive Factors

Strong Margins

The stable gross profit margin indicates efficient production processes, which can sustain profitability even with modest revenue growth.

Balanced Capital Structure

A balanced capital structure reduces financial risk, providing the company with stability and flexibility for future investments or downturns.

Efficient Cash Generation

Efficient cash generation relative to profits ensures the company can fund operations and growth initiatives without relying heavily on external financing.

Negative Factors

Decline in Free Cash Flow

A significant decline in free cash flow could limit the company's ability to invest in growth opportunities or weather financial challenges.

Limited Revenue Growth

Limited revenue growth suggests challenges in expanding market share or product adoption, which may impact long-term competitiveness and profitability.

Decline in EPS Growth

A decline in EPS growth indicates potential issues in maintaining profitability, which could affect investor confidence and future earnings potential.

Saibo Co., Ltd. Business Overview & Revenue Model

Company Description

Saibo Co., Ltd. (3123) is a prominent player in the biotechnology and pharmaceuticals sector, specializing in the development and manufacturing of innovative medical solutions and health-related products. The company focuses on research and development of advanced therapeutics, particularly in areas such as oncology, immunology, and regenerative medicine. Saibo also engages in providing contract research and manufacturing services to other biotech firms, enhancing its portfolio with a diverse range of offerings aimed at improving patient outcomes.

How the Company Makes Money

Saibo Co., Ltd. generates revenue primarily through the sale of its proprietary pharmaceutical products, which include both prescription medications and over-the-counter health solutions. The company also derives income from its contract manufacturing services, providing production capabilities to other companies in the biotech sector. Additionally, Saibo engages in strategic partnerships with research institutions and pharmaceutical companies, allowing it to share development costs and access broader markets. These collaborations often result in milestone payments and royalties, contributing significantly to the company's earnings. Furthermore, Saibo invests in research and development to innovate new products, which can lead to licensing agreements and further revenue opportunities.

Saibo Co., Ltd. Financial Statement Overview

Summary

Saibo Co., Ltd. demonstrates solid profitability with healthy margins and a balanced capital structure. However, modest revenue growth and a decline in free cash flow are concerns.

Income Statement

Saibo Co., Ltd. shows a stable gross profit margin of around 26% in TTM, indicating efficient production. The net profit margin is healthy at 8.34%, reflecting good cost management. However, revenue growth is modest at 1.81% TTM, suggesting limited expansion. EBIT and EBITDA margins are strong, supporting profitability.

Balance Sheet

The debt-to-equity ratio of 0.73 in TTM indicates a balanced capital structure, reducing financial risk. Return on equity is moderate at 4.89%, suggesting average returns for shareholders. The equity ratio is stable, indicating a solid financial foundation.

Cash Flow

Operating cash flow is robust, covering net income effectively. However, free cash flow has declined by 40.49% TTM, which could impact future investments. The free cash flow to net income ratio is strong at 0.82, indicating efficient cash generation relative to profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.48B	10.30B	11.42B	10.18B	8.96B	6.73B
Gross Profit	2.68B	2.70B	2.64B	2.40B	1.86B	1.96B
EBITDA	2.56B	2.71B	2.92B	2.61B	2.20B	1.52B
Net Income	774.26M	859.55M	945.72M	733.21M	499.59M	587.76M
Balance Sheet
Total Assets	42.23B	41.95B	43.53B	41.85B	42.90B	39.13B
Cash, Cash Equivalents and Short-Term Investments	3.71B	3.95B	3.64B	2.99B	2.59B	1.82B
Total Debt	12.72B	12.88B	14.00B	15.07B	16.75B	14.80B
Total Liabilities	21.69B	21.82B	23.97B	23.67B	25.41B	22.52B
Stockholders Equity	18.13B	17.74B	17.20B	15.97B	15.33B	14.51B
Cash Flow
Free Cash Flow	1.16B	1.95B	1.94B	1.93B	-1.06B	-10.07B
Operating Cash Flow	1.87B	2.37B	2.27B	2.30B	2.04B	2.14B
Investing Cash Flow	-961.24M	-627.31M	-165.85M	-147.64M	-2.98B	-12.14B
Financing Cash Flow	-1.40B	-1.48B	-1.37B	-1.90B	1.74B	10.07B

Saibo Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 600.00
• 50DMA: Negative
• 100DMA: Positive
• 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:3123, the sentiment is Neutral. The current price of 600 is below the 20-day moving average (MA) of 610.10, below the 50-day MA of 604.04, and above the 200-day MA of 522.95, indicating a neutral trend. The MACD of 0.04 indicates Positive momentum. The RSI at 48.13 is Neutral, neither overbought nor oversold. The STOCH value of 48.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3123.

Saibo Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3580	79 Outperform	¥35.20B	22.27	―	3.24%	6.98%	-42.05%
3104	78 Outperform	¥82.31B	16.43	―	1.88%	10.76%	54.82%
3123	77 Outperform	¥7.38B	9.66	―	2.63%	-4.76%	8.43%
3109	72 Outperform	¥12.71B	13.64	―	4.88%	4.49%	26.84%
3201	72 Outperform	¥103.64B	14.41	―	2.70%	7.56%	-17.12%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
3409	44 Neutral	¥3.98B	-44.89	―	―	16.33%	75.48%