O'Will Corporation (3143) AI Stock Analysis

• Market Cap: ¥6.68B
• Dividend Yield: 3.12%
• Average Volume (3M): 9.42K
• Price to Earnings (P/E): 6.4
• Beta (1Y): 0.63
• Revenue Growth: 12.52%
• EPS Growth: 17.04%
• Country: JP
• Employees: 101
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Distribution
• EPS (TTM): -19.34
• Shares Outstanding: 9,450,000
• 10 Day Avg. Volume: 7,700
• 30 Day Avg. Volume: 9,423
• PEG Ratio: -0.11
• Price to Book (P/B): 1.05
• Price to Sales (P/S): 0.14
• P/FCF Ratio: -6.24
• 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: ¥2,337.00 ▲(231.49% Upside)

O'Will Corporation's strong financial performance and attractive valuation are the primary drivers of its score. The stock's bullish technical indicators further support its positive outlook, though overbought conditions warrant caution. Cash flow challenges and increased leverage are areas to monitor.

Positive Factors

Revenue Growth

The robust revenue growth indicates strong demand for O'Will's products and services, suggesting successful market penetration and product acceptance, which is crucial for long-term business sustainability.

Profitability Improvement

Improved profit margins reflect enhanced operational efficiency and effective cost management, which can lead to better cash generation and reinvestment capacity, supporting sustained growth.

Return on Equity

A higher return on equity indicates efficient management and the ability to generate profits from shareholders' investments, which is a positive indicator of management quality and business health.

Negative Factors

Increased Leverage

Increased leverage can heighten financial risk, especially if interest rates rise, potentially impacting the company's ability to service debt and invest in growth opportunities.

Cash Flow Challenges

Negative free cash flow suggests potential liquidity issues, which could limit the company's ability to fund operations, invest in growth, and meet financial obligations, posing a risk to long-term stability.

Low Net Profit Margin

A low net profit margin indicates that despite revenue growth, the company may struggle with cost control, which could affect its ability to generate sufficient profits and reinvest in the business.

O'Will Corporation Business Overview & Revenue Model

Company Description

O'will Corporation engages in the import/export and sale of food and drink materials in Japan and internationally. The company provides vitamin, calcium, amino acid, emulsifier, stabilizer, nutritional fortifier, dietary fiber, flavoring, high-fructose corn syrup, granulated sugar, fruit sugar, liquid sucrose, refined white sugar, and other food additive products. It also offers pasteurized milk, concentrated milk, powdered milk, cream, fermented milk, butter, cheese, and other dairy products; and fruit and vegetable juices, puree, fresh fruits and vegetables, canned foods, frozen fruits and vegetables, powders, extracts, and other fruit and vegetable products. In addition, the company provides green, matcha green, oolong, black, rooibos, blended, cocoa, herb, and other tea products, as well as other beverages. Further, it offers wastewater treatment systems, smart ceiling fans, and nozzle type steam traps. O'will Corporation was incorporated in 1986 and is headquartered in Tokyo, Japan.

How the Company Makes Money

O'Will Corporation generates revenue through multiple streams, including the sale of electronic devices, smart home systems, and automation technologies. The company profits from direct sales to consumers via its online platforms and retail partnerships, as well as through B2B contracts with industrial clients seeking automation solutions. Additionally, O'Will has established strategic partnerships with major retailers and technology firms, allowing for expanded market reach and collaborative product offerings. Recurring revenue also comes from subscription services for software updates and customer support, enhancing long-term customer relationships and providing a steady income stream.

O'Will Corporation Financial Statement Overview

Summary

O'Will Corporation demonstrates robust revenue growth and improved profitability, with a strong income statement score. However, increased leverage and cash flow challenges present risks that need addressing.

Income Statement

O'Will Corporation shows strong revenue growth with a 23.2% increase from 2024 to 2025. Gross profit margin improved to 10.4%, and net profit margin increased to 2.3%, indicating enhanced profitability. EBIT and EBITDA margins also show positive trends, reflecting operational efficiency. However, the net profit margin remains relatively low, suggesting room for improvement in cost management.

Balance Sheet

The company's debt-to-equity ratio increased to 0.93, indicating higher leverage, which could pose a risk if interest rates rise. Return on equity improved to 17.9%, showcasing effective use of equity to generate profits. The equity ratio stands at 31.6%, suggesting a moderate level of financial stability. Overall, the balance sheet reflects a solid financial position with some leverage concerns.

Cash Flow

O'Will Corporation experienced a decline in free cash flow, turning negative in 2025, which could impact future investments and debt servicing. The operating cash flow to net income ratio is negative, indicating cash flow challenges. However, the company has managed to maintain a positive trend in financing activities, which may provide short-term liquidity support.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	40.46B	39.16B	31.78B	31.26B	28.31B	29.53B
Gross Profit	4.32B	4.06B	3.26B	3.17B	2.98B	2.66B
EBITDA	1.49B	1.46B	1.08B	935.10M	901.07M	599.75M
Net Income	1.07B	915.10M	681.51M	580.45M	575.49M	347.24M
Balance Sheet
Total Assets	17.95B	16.23B	13.63B	11.45B	10.52B	10.09B
Cash, Cash Equivalents and Short-Term Investments	2.27B	2.86B	1.85B	1.79B	1.78B	1.91B
Total Debt	5.44B	4.76B	2.27B	2.23B	2.14B	2.32B
Total Liabilities	12.40B	10.97B	9.08B	7.28B	6.76B	6.78B
Stockholders Equity	5.39B	5.12B	4.40B	4.05B	3.68B	3.25B
Cash Flow
Free Cash Flow	0.00	-864.75M	65.69M	144.32M	126.01M	774.88M
Operating Cash Flow	0.00	-829.43M	280.50M	184.88M	149.52M	801.02M
Investing Cash Flow	0.00	1.02B	28.28M	-31.76M	-21.27M	-192.94M
Financing Cash Flow	0.00	825.69M	-310.97M	-166.59M	-300.22M	-96.50M

O'Will Corporation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 705.00
• 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:3143, the sentiment is Neutral. The current price of 705 is below the 20-day moving average (MA) of 720.55, below the 50-day MA of 729.33, and above the 200-day MA of 641.64, indicating a neutral trend. The MACD of -7.87 indicates Positive momentum. The RSI at 42.52 is Neutral, neither overbought nor oversold. The STOCH value of 20.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3143.

O'Will Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2708	77 Outperform	¥8.49B	5.91	―	0.75%	7.40%	-5.83%
3143	72 Outperform	¥6.68B	6.38	―	3.12%	12.52%	17.04%
7698	72 Outperform	¥8.10B	16.62	―	0.93%	6.46%	80.02%
7538	69 Neutral	¥4.74B	4.37	―	1.71%	4.32%	24.60%
7114	67 Neutral	¥3.98B	42.27	―	―	10.69%	-59.77%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2683	47 Neutral	¥2.54B	113.98	―	1.01%	-1.44%	-61.28%