WILLPLUS Holdings Corp. (3538) AI Stock Analysis

• Market Cap: ¥9.88B
• Dividend Yield: 5.7%
• Average Volume (3M): 25.51K
• Price to Earnings (P/E): 5.7
• Beta (1Y): 0.58
• Revenue Growth: 64.86%
• EPS Growth: 74.45%
• Country: JP
• Employees: 660
• Sector: Consumer Cyclical
• Sector Strength: 64
• Industry: Auto - Dealerships
• EPS (TTM): 51.63
• Shares Outstanding: 10,412,300
• 10 Day Avg. Volume: 39,679
• 30 Day Avg. Volume: 25,513
• 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: ¥1,122.00
• Price Target Upside: 15.79% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 68 Neutral
• Price Target: ¥1,074.00 ▲(10.84%Upside)

WILLPLUS Holdings Corp. demonstrates solid financial performance with strong revenue growth and attractive valuation metrics, such as a low P/E ratio and high dividend yield. However, rising debt levels and fluctuating cash flows pose challenges that need addressing. Technical indicators suggest stability but weak momentum.

WILLPLUS Holdings Corp. Business Overview & Revenue Model

Company Description

WILLPLUS Holdings Corp. (3538) is a Japanese company that primarily operates in the automotive sector. The company engages in the import, sale, and maintenance of foreign automobiles. It manages a network of dealerships offering a variety of premium and luxury car brands, catering to customers seeking high-quality vehicles and exceptional after-sales services.

How the Company Makes Money

WILLPLUS Holdings Corp. makes money through its network of dealerships by selling imported automobiles and providing related maintenance services. The company generates revenue from the sales of luxury and premium vehicles, as well as from offering repair and maintenance services, which are crucial for customer retention and satisfaction. Additionally, the company may benefit from partnerships with international automobile manufacturers that supply the vehicles, and these relationships can influence pricing and inventory availability. Revenue is also supported by financial services related to vehicle purchases, such as financing and insurance options offered to customers.

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
EBITDA	3.77B	3.31B	3.29B	3.58B	3.50B	2.37B
Net Income	1.36B	1.12B	1.30B	1.55B	1.53B	802.27M
Balance Sheet
Total Assets	34.90B	32.16B	23.64B	18.63B	16.97B	16.65B
Cash, Cash Equivalents and Short-Term Investments	5.99B	7.51B	4.29B	5.54B	3.38B	2.52B
Total Debt	15.74B	13.18B	6.43B	4.62B	3.89B	5.13B
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: 969.00
• 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 969 is below the 20-day moving average (MA) of 983.43, below the 50-day MA of 986.17, and below the 200-day MA of 984.07, indicating a bullish trend. The MACD of -2.33 indicates Negative momentum. The RSI at 52.80 is Neutral, neither overbought nor oversold. The STOCH value of 71.24 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
7134	76 Outperform	¥8.90B	11.32		2.89%	11.34%	22.75%
3538	68 Neutral	¥9.88B	5.67		5.70%	64.86%	74.45%
3184	66 Neutral	¥8.44B	6.62		1.74%	15.34%	―
2788	64 Neutral	¥4.74B	5.14		4.38%	10.95%	-24.17%
Sector *	57 Neutral	HK$24.54B	3.87	-2.03%	6.53%	-0.31%	-67.70%
7602	50 Neutral	¥2.79B	139.38		1.48%	5.04%	-356.40%