Flying Garden Co., Ltd. (3317) AI Stock Analysis

• Market Cap: ¥4.64B
• Dividend Yield: 0.95%
• Average Volume (3M): 3.51K
• Price to Earnings (P/E): 11.6
• Beta (1Y): 0.41
• Revenue Growth: 10.67%
• EPS Growth: 36.51%
• Country: JP
• Employees: 168
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): 44.63
• Shares Outstanding: 2,898,336
• 10 Day Avg. Volume: 2,380
• 30 Day Avg. Volume: 3,513
• PEG Ratio: -0.19
• Price to Book (P/B): 1.16
• Price to Sales (P/S): 0.46
• P/FCF Ratio: 278.72
• 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: 76 Outperform
• Price Target: ¥1,776.00 ▲(15.10% Upside)

Overall score is supported primarily by a very strong, low-risk balance sheet and solid operating performance, offset by weak/volatile free cash flow in FY2025. Technicals are favorable with an established uptrend, while valuation appears reasonable with a modest dividend yield.

Positive Factors

Strong Balance Sheet

A strong balance sheet with minimal debt enhances financial flexibility and resilience, allowing the company to navigate industry cycles effectively.

Revenue Growth

Consistent revenue growth indicates successful market positioning and product demand, supporting long-term business sustainability and expansion.

Healthy Gross Margin

A strong gross margin reflects efficient cost management and pricing power, contributing to sustainable profitability and competitive advantage.

Negative Factors

Free Cash Flow Volatility

Volatile free cash flow can limit reinvestment and financial planning, posing risks to long-term growth and operational stability.

Profitability Softening

Declining profitability indicates cost pressures and challenges in converting sales into profit, potentially impacting future earnings growth.

Operating Cash Flow Below Net Income

Operating cash flow lagging behind net income suggests potential issues in cash generation efficiency, which may affect liquidity and investment capacity.

Flying Garden Co., Ltd. Business Overview & Revenue Model

Company Description

Flying Garden Co., Ltd. operates a chain of restaurants under the Flying Garden name in Japan. It primarily offers bomb hamburgers. The company was founded in 1976 and is headquartered in Oyama, Japan.

How the Company Makes Money

Flying Garden Co., Ltd. generates revenue primarily through the operation of its restaurant chain. The company earns money by serving meals to customers who dine in at their various locations. Additionally, revenue can be supplemented by offering takeout and delivery services, catering to the growing demand for convenience. The company may also engage in promotional partnerships or collaborations with food suppliers and beverage brands to enhance its offerings and attract more customers. Other potential revenue streams could include loyalty programs and gift card sales, though specific details are not available.

Flying Garden Co., Ltd. Financial Statement Overview

Summary

Flying Garden Co., Ltd. is performing well with strong revenue growth and effective cost management. The balance sheet is robust with no debt, and the company is financially stable. However, cash flow management needs improvement, especially in maintaining positive Free Cash Flow.

Income Statement

Flying Garden Co., Ltd. shows strong financial performance with consistent revenue growth and healthy profit margins. The Gross Profit Margin for TTM (Trailing-Twelve-Months) is 67.3%, indicating effective cost management. The Net Profit Margin stands at 3.6% for TTM, which is modest but stable. Revenue grew by 10.8% from 2023 to 2024, showcasing robust growth. EBIT and EBITDA margins are solid at 5.7% and 7.2% respectively, reflecting efficient operations.

Balance Sheet

The company maintains a strong balance sheet with zero debt, indicating low financial risk. The Debt-to-Equity Ratio is zero, which is excellent. Return on Equity (ROE) for TTM is 9.1%, showing decent profitability relative to equity. The Equity Ratio is strong at 67.5%, suggesting a solid capital structure. However, the growth in Stockholders' Equity has been moderate, which could be an area for improvement.

Cash Flow

Flying Garden Co., Ltd. shows mixed cash flow results. The Free Cash Flow growth has been inconsistent, with a decline from 2023 to 2024. The Operating Cash Flow to Net Income Ratio is unavailable for TTM, limiting comprehensive analysis. The company has maintained a stable cash position, but the absence of positive Free Cash Flow in TTM is a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.49B	8.27B	7.79B	7.24B	6.49B	5.99B
Gross Profit	5.62B	5.35B	5.39B	5.11B	4.65B	4.24B
EBITDA	803.51M	814.12M	752.14M	642.92M	702.69M	375.87M
Net Income	367.59M	352.14M	396.46M	291.72M	345.03M	111.72M
Balance Sheet
Total Assets	4.87B	4.81B	4.45B	3.98B	3.92B	3.22B
Cash, Cash Equivalents and Short-Term Investments	1.54B	1.55B	1.60B	1.35B	1.34B	705.41M
Total Debt	0.00	0.00	0.00	0.00	0.00	4.36M
Total Liabilities	1.57B	1.55B	1.50B	1.39B	1.58B	1.19B
Stockholders Equity	3.30B	3.26B	2.95B	2.59B	2.34B	2.03B
Cash Flow
Free Cash Flow	0.00	13.56M	280.35M	19.81M	653.73M	220.63M
Operating Cash Flow	0.00	681.34M	644.85M	416.64M	750.81M	307.64M
Investing Cash Flow	0.00	-806.79M	-355.67M	-366.76M	-83.03M	-62.78M
Financing Cash Flow	0.00	-43.38M	-36.30M	-43.28M	-33.35M	-64.70M

Flying Garden Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1543.00
• 50DMA: Positive
• 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:3317, the sentiment is Positive. The current price of 1543 is below the 20-day moving average (MA) of 1577.15, above the 50-day MA of 1506.78, and above the 200-day MA of 1370.37, indicating a bullish trend. The MACD of 29.69 indicates Positive momentum. The RSI at 65.12 is Neutral, neither overbought nor oversold. The STOCH value of 56.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3317.

Flying Garden Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3317	76 Outperform	¥4.64B	11.61	―	0.95%	10.67%	36.51%
2789	70 Neutral	¥2.96B	9.59	―	1.01%	5.70%	-12.36%
3372	66 Neutral	¥3.07B	9.36	―	―	4.50%	11.40%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
3358	57 Neutral	¥3.37B	360.63	―	―	3.85%	-59.79%
9973	50 Neutral	¥9.13B	-10.63	―	―	8.93%	-10.94%
2762	46 Neutral	¥3.90B	-3.78	―	―	3.26%	4.62%