KI-Star Real Estate Co., Ltd. (3465) AI Stock Analysis

• Market Cap: ¥86.56B
• Dividend Yield: 2.82%
• Average Volume (3M): 87.99K
• Price to Earnings (P/E): 8.5
• Beta (1Y): 0.46
• Revenue Growth: 24.18%
• EPS Growth: 67.31%
• Country: JP
• Employees: 2,516
• Sector: Real Estate
• Sector Strength: 52
• Industry: Real Estate - Services
• EPS (TTM): 154.96
• Shares Outstanding: 15,866,400
• 10 Day Avg. Volume: 42,780
• 30 Day Avg. Volume: 87,990
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥5,386.00
• Price Target Upside: -1.54% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 76 Outperform
• Price Target: ¥5,386.00 ▼(-1.54% Downside)

KI-Star Real Estate's stock score is primarily supported by strong valuation metrics, suggesting the stock is undervalued with a solid dividend yield. Despite positive revenue growth, financial performance is constrained by high leverage and negative cash flow from operations, warranting caution. Technical indicators point to neutral market momentum, reinforcing a balanced investment stance.

KI-Star Real Estate Co., Ltd. Business Overview & Revenue Model

Company Description

KI-Star Real Estate Co., Ltd. (3465) is a Japanese company primarily engaged in the development, sale, and management of residential properties. The company's operations are diversified across various sectors of the real estate industry, including the planning and construction of detached houses, the sale of built-for-sale properties, and the provision of real estate brokerage services. KI-Star Real Estate focuses on delivering high-quality housing solutions tailored to the needs of its clients in Japan.

How the Company Makes Money

KI-Star Real Estate Co., Ltd. generates its revenue through several key streams. The primary source of income is the sale of newly built detached houses, where the company undertakes the entire process from land acquisition and architectural design to construction and sale. Additionally, the company earns from real estate brokerage services, helping clients buy, sell, or rent properties, which includes earning commissions on successful transactions. Another significant revenue stream is through property management services, where the company manages residential properties on behalf of owners, providing maintenance and tenant management. Finally, KI-Star Real Estate may also engage in strategic partnerships or joint ventures with other real estate firms to enhance its market presence and expand its portfolio, contributing to its overall earnings.

KI-Star Real Estate Co., Ltd. Financial Statement Overview

Summary

KI-Star Real Estate exhibits strong revenue growth, but high debt and negative cash flow from operations pose risks. The company shows healthy operational efficiency but needs to improve net earnings and convert income into cash effectively.

Income Statement

KI-Star Real Estate shows a robust revenue growth trend, with a significant increase over the past years. Gross profit margin has been stable, indicating consistent cost management. However, the net profit margin has experienced some volatility, reflecting fluctuating profitability. The EBIT and EBITDA margins demonstrate a healthy operational efficiency, though there is room for improvement in net earnings.

Balance Sheet

The company's balance sheet reflects a high debt-to-equity ratio, which could pose financial risks in a downturn. However, equity has grown, and the equity ratio is improving, indicating a strengthening capital base. Return on equity shows positive returns, albeit with a slight decline, which could be a concern if the trend continues.

Cash Flow

KI-Star Real Estate's cash flow from operations has been negative, indicating challenges in generating cash from core activities. However, free cash flow has shown improvement compared to previous periods. The operating cash flow to net income ratio suggests that the company is not effectively converting income into cash, which might affect liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	342.55B	342.55B	283.08B	241.88B	184.39B	155.75B
Gross Profit	41.99B	41.99B	32.58B	37.66B	40.04B	27.75B
EBITDA	15.96B	18.41B	12.52B	20.12B	24.22B	13.06B
Net Income	8.86B	8.86B	6.86B	11.85B	14.75B	7.62B
Balance Sheet
Total Assets	294.55B	294.55B	246.05B	199.46B	163.24B	110.13B
Cash, Cash Equivalents and Short-Term Investments	71.91B	71.91B	56.05B	47.86B	43.04B	30.30B
Total Debt	184.00B	184.00B	154.36B	113.67B	86.10B	60.71B
Total Liabilities	225.75B	225.75B	184.91B	142.93B	114.20B	80.91B
Stockholders Equity	60.14B	60.14B	54.51B	50.99B	44.04B	24.53B
Cash Flow
Free Cash Flow	0.00	-1.04B	-16.09B	-17.01B	-21.51B	11.52B
Operating Cash Flow	0.00	-626.00M	-15.28B	-16.39B	-20.71B	12.01B
Investing Cash Flow	0.00	-7.54B	-4.89B	-2.48B	-3.11B	-348.92M
Financing Cash Flow	0.00	22.21B	27.07B	22.39B	36.56B	4.48B

KI-Star Real Estate Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5470.00
• 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:3465, the sentiment is Positive. The current price of 5470 is above the 20-day moving average (MA) of 5301.00, above the 50-day MA of 4985.10, and above the 200-day MA of 4603.78, indicating a bullish trend. The MACD of 111.97 indicates Positive momentum. The RSI at 67.53 is Neutral, neither overbought nor oversold. The STOCH value of 71.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3465.

KI-Star Real Estate Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3465	76 Outperform	¥86.56B	8.49		2.82%	24.18%	67.31%
Sector *	63 Neutral	$7.09B	13.59	-0.50%	6.85%	4.08%	-25.24%
T3O	―	€444.11M	36.98	1.87%	―	―	―
8877	82 Outperform	¥80.39B	11.09		3.40%	-18.65%	-30.68%
8864	80 Outperform	¥53.19B	16.31		1.87%	28.90%	51.06%
8818	70 Outperform	¥74.56B	17.66		2.55%	3.73%	23.40%

KI-Star Real Estate Co., Ltd. Corporate Events

KI-Star Real Estate Reports Strong Financial Growth for FY 2025

KI-Star Real Estate Co., Ltd. reported a significant increase in its financial performance for the fiscal year ended March 31, 2025, with net sales up by 21% and operating profit rising by 51.9% compared to the previous year. This growth reflects the company’s strong market positioning and effective operational strategies, which have positively impacted its profitability and shareholder returns.