Central General Development Co., Ltd. (3238) AI Stock Analysis

• Market Cap: ¥4.42B
• Dividend Yield: 3.06%
• Average Volume (3M): 14.30K
• Price to Earnings (P/E): 8.8
• Beta (1Y): 0.40
• Revenue Growth: -3.26%
• EPS Growth: -45.14%
• Country: JP
• Employees: 172
• Sector: Real Estate
• Sector Strength: 69
• Industry: Real Estate - Services
• EPS (TTM): 190.99
• Shares Outstanding: 9,681,600
• 10 Day Avg. Volume: 12,280
• 30 Day Avg. Volume: 14,300
• PEG Ratio: 0.25
• Price to Book (P/B): 0.60
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 2.89
• 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: 64 Neutral
• Price Target: ¥492.00 ▲(7.66%Upside)

Central General Development Co., Ltd. shows robust revenue growth and attractive valuation metrics, indicating potential for appreciation. However, financial stability is challenged by high leverage and negative cash flows, which are risks to monitor. Short-term bullish momentum is evident, although the stock is technically overbought.

Central General Development Co., Ltd. Business Overview & Revenue Model

Company Description

Central General Development Co., Ltd. (3238) is a diversified real estate and construction company based in Japan. The company operates in various sectors, including residential and commercial real estate development, property management, and construction services. Its core offerings include the development and sale of residential and commercial properties, as well as providing comprehensive property management solutions.

How the Company Makes Money

Central General Development Co., Ltd. generates revenue through the sale and leasing of developed residential and commercial properties. The company also earns income from its property management services, which include maintenance, tenant management, and other related services. Additionally, Central General Development Co., Ltd. benefits from construction contracts, where it provides construction services for both its own projects and third-party clients. Strategic partnerships with other real estate developers and construction firms further enhance its ability to undertake larger projects and expand its market reach.

Central General Development Co., Ltd. Financial Statement Overview

Summary

The company exhibits solid revenue growth and operational efficiency. However, high leverage and negative cash flows present significant financial pressures, affecting long-term sustainability.

Income Statement

The company demonstrated stable revenue growth with a consistent increase from 2020 to 2024, peaking in 2024 before a slight dip in 2025. Gross profit margin remained relatively stable, suggesting good operational control. However, net profit margin showed volatility, particularly with a significant drop in 2025. EBIT and EBITDA margins were consistent, indicating operational efficiency. Overall, the company shows a solid growth trajectory but faces challenges in maintaining net profitability.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, indicating significant leverage. While total assets have grown, the equity ratio is moderate, reflecting a balanced asset financing mix. Return on equity shows improvement over time, but high leverage poses potential risks. The company's financial stability is decent, but high debt levels could affect long-term sustainability.

Cash Flow

Cash flow analysis highlights negative free cash flow in recent years, with operating cash flow consistently negative, indicating potential liquidity issues. The operating cash flow to net income ratio is unfavorable due to negative operating cash flow, suggesting reliance on external financing, as evidenced by positive financing cash flow. This reliance on external funding could pose a risk if access to capital markets becomes constrained.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
24.48B	30.88B	31.93B	30.39B	29.31B	26.03B
	Gross Profit
4.31B	5.76B	6.10B	5.18B	5.06B	4.53B
	EBIT
17.96M	1.25B	1.71B	1.54B	1.19B	1.16B
	EBITDA
124.51M	1.41B	1.84B	1.64B	1.25B	1.21B
	Net Income Common Stockholders
-353.00M	497.35M	904.57M	845.48M	630.07M	574.73M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.14B	978.25M	1.42B	2.53B	2.04B	1.30B
	Total Assets
48.15B	45.42B	36.59B	28.96B	29.24B	28.12B
	Total Debt
35.36B	30.70B	22.39B	15.27B	16.50B	17.43B
	Net Debt
34.22B	29.72B	20.97B	12.74B	14.46B	16.13B
	Total Liabilities
39.67B	35.16B	26.65B	19.88B	20.89B	20.96B
	Stockholders Equity
8.47B	10.26B	9.94B	9.09B	8.35B	7.16B
Cash Flow		Free Cash Flow
0.00	-8.60B	-8.09B	1.87B	1.11B	-2.95B
	Operating Cash Flow
0.00	-7.61B	-6.85B	2.66B	2.36B	-2.35B
	Investing Cash Flow
0.00	-969.22M	-1.25B	-789.67M	-1.25B	-606.22M
	Financing Cash Flow
0.00	8.14B	6.98B	-1.38B	-370.72M	2.59B

Central General Development Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 457.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3238, the sentiment is Positive. The current price of 457 is above the 20-day moving average (MA) of 436.35, above the 50-day MA of 437.70, and above the 200-day MA of 439.57, indicating a bullish trend. The MACD of 4.16 indicates Negative momentum. The RSI at 66.55 is Neutral, neither overbought nor oversold. The STOCH value of 85.37 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3238.

Central General Development Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3495	76 Outperform	¥5.79B	5.63		2.57%	10.18%	23.95%
3238	64 Neutral	¥4.42B	8.80		3.06%	-3.26%	-45.14%
Sector *	61 Neutral	$2.83B	10.72	0.40%	6.10%	5.80%	-21.26%
3297	61 Neutral	¥2.88B	10.26		3.64%	9.75%	22.99%
3474	53 Neutral	¥3.74B	―		―	8.81%	-174.00%
8944	51 Neutral	¥3.93B	―		3.03%	171.68%	-4626.45%
3237	38 Underperform	¥3.07B	―		―	-36.15%	-153.50%