WILLPLUS Holdings Corp. (3538) AI Stock Analysis

• Market Cap: ¥10.29B
• Dividend Yield: 3.31%
• Average Volume (3M): 14.96K
• Price to Earnings (P/E): 5.9
• Beta (1Y): 0.60
• Revenue Growth: 64.86%
• EPS Growth: 74.45%
• Country: JP
• Employees: 660
• Sector: Consumer Cyclical
• Sector Strength: 58
• Industry: Auto - Dealerships
• EPS (TTM): 51.63
• Shares Outstanding: 10,402,220
• 10 Day Avg. Volume: 11,480
• 30 Day Avg. Volume: 14,960
• PEG Ratio: -0.97
• Price to Book (P/B): 1.43
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.34
• 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: 70 Outperform
• Price Target: ¥1,122.00 ▲(9.25%Upside)

The stock is supported by strong financial performance, particularly in revenue growth, and a favorable valuation with a low P/E ratio and a high dividend yield. However, rising debt and cash flow variability are concerns. Positive technical indicators further bolster the stock's attractiveness.

WILLPLUS Holdings Corp. Business Overview & Revenue Model

Company Description

WILLPLUS Holdings Corp. (3538) operates within the automotive retail sector, primarily focusing on the importation and sale of foreign automobiles. The company manages a network of dealerships that offer a range of luxury and premium vehicle brands, alongside providing related services such as maintenance and repair. WILLPLUS Holdings is committed to delivering high-quality products and exceptional customer service to enhance the overall ownership experience for its clients.

How the Company Makes Money

WILLPLUS Holdings Corp. generates revenue primarily through the sale of imported foreign automobiles, focusing on luxury and premium brands. The company earns money by purchasing vehicles from manufacturers and selling them at a markup to customers through its dealership network. In addition to vehicle sales, WILLPLUS Holdings also offers after-sales services, including maintenance and repair, which contribute to recurring revenue. The company may also have partnerships with financing institutions to offer vehicle financing options, thereby earning additional income through commissions or service fees. These revenue streams are supported by the company's strategic focus on customer satisfaction and brand partnerships, which help maintain a loyal customer base and attract new buyers.

WILLPLUS Holdings Corp. Financial Statement Overview

Summary

WILLPLUS Holdings Corp. demonstrates strong revenue growth and stable margins. However, rising debt levels and fluctuating cash flows pose financial risks. The company must improve cost efficiency and cash flow stability.

Income Statement

The income statement reflects a strong performance with robust revenue growth. Revenue increased significantly in the TTM period compared to previous years, driven by a thriving auto dealership market. Gross profit margin is healthy, and both EBIT and EBITDA margins have shown stability. However, the net profit margin has slightly decreased due to increased expenses, suggesting potential cost management opportunities.

Balance Sheet

The balance sheet reveals a moderately leveraged position with a debt-to-equity ratio that has increased over time, indicating rising debt levels. The equity ratio remains stable, reflecting a solid asset base funded by equity. Return on equity has declined, reflecting challenges in maximizing shareholder returns despite growing revenues.

Cash Flow

Cash flow analysis indicates variability, with operating cash flow showing fluctuations. Free cash flow growth is difficult to evaluate due to missing data for the TTM period. Historically, free cash flow has been positive, but the recent absence of data raises concerns about cash generation sustainability. The company needs to improve its cash flow stability to support long-term operations and growth.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
65.92B	47.75B	44.12B	39.70B	40.78B	35.07B
	Gross Profit
10.77B	9.36B	8.62B	8.44B	8.26B	6.84B
	EBIT
1.57B	1.49B	1.87B	2.37B	2.29B	1.16B
	EBITDA
3.77B	3.31B	3.29B	3.58B	3.50B	2.37B
	Net Income Common Stockholders
1.36B	1.12B	1.30B	1.55B	1.53B	802.27M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
5.99B	7.51B	4.29B	5.54B	3.38B	2.52B
	Total Assets
34.90B	32.16B	23.64B	18.63B	16.97B	16.65B
	Total Debt
15.74B	13.18B	6.43B	4.62B	3.89B	5.13B
	Net Debt
9.74B	5.67B	2.14B	-921.54M	518.30M	2.60B
	Total Liabilities
23.34B	21.08B	13.90B	9.80B	9.44B	10.52B
	Stockholders Equity
10.26B	9.83B	9.75B	8.83B	7.53B	6.12B
Cash Flow		Free Cash Flow
0.00	2.06B	-2.62B	1.72B	2.18B	571.59M
	Operating Cash Flow
0.00	2.51B	-2.27B	1.91B	2.89B	1.72B
	Investing Cash Flow
0.00	-3.86B	-412.04M	-218.00M	-676.16M	-1.20B
	Financing Cash Flow
0.00	4.57B	1.43B	469.41M	-1.36B	594.33M

WILLPLUS Holdings Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1027.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3538, the sentiment is Positive. The current price of 1027 is above the 20-day moving average (MA) of 1016.65, above the 50-day MA of 993.42, and above the 200-day MA of 1026.32, indicating a bullish trend. The MACD of 5.77 indicates Negative momentum. The RSI at 56.34 is Neutral, neither overbought nor oversold. The STOCH value of 75.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3538.

WILLPLUS Holdings Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3184	79 Outperform	¥7.16B	5.62		2.05%	15.34%	36.91%
7134	76 Outperform	¥9.11B	11.58		2.82%	11.34%	22.75%
3538	70 Outperform	¥10.29B	5.91		3.31%	64.86%	74.45%
2788	67 Neutral	¥4.96B	5.38		4.19%	10.95%	-24.17%
Sector *	62 Neutral	$6.82B	11.05	2.80%	4.32%	2.67%	-24.92%
7602	44 Neutral	¥2.69B	139.38		1.54%	5.04%	-356.40%