A-tie Co.,Ltd. (369A) AI Stock Analysis

• Market Cap: ¥11.32B
• Dividend Yield: 1.45%
• Average Volume (3M): 37.20K
• Price to Earnings (P/E): 21.0
• Beta (1Y): 0.15
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: JP
• Employees: N/A
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 38.21
• Shares Outstanding: 4,238,300
• 10 Day Avg. Volume: 31,640
• 30 Day Avg. Volume: 37,200
• PEG Ratio: 0.58
• Price to Book (P/B): 4.46
• Price to Sales (P/S): 4.81
• P/FCF Ratio: 18.85
• 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: 72 Outperform
• Price Target: ¥2,966.00 ▼(-11.73% Downside)
• Action: Upgraded Date: 01/15/26
• Date: Action: Upgraded 01/15/26

The score is driven primarily by strong financial performance (high profitability, strong growth, and an exceptionally low-leverage balance sheet). This is tempered by weaker technical positioning (price below key moving averages) and a relatively higher P/E with only a modest dividend yield.

Positive Factors

Revenue Growth

Sustained 23.27% annual revenue growth indicates durable demand expansion and effective commercial execution. Over 2–6 months this supports scale benefits, strengthens retailer and wholesale relationships, funds product development and marketing, and reduces sensitivity to single-channel disruptions.

High Profitability

Very healthy gross and operating margins reflect strong unit economics and pricing power in core textile/accessory products. Margin resilience provides a cushion versus input cost swings, funds reinvestment and supports capital returns, making earnings more sustainable long term.

Low Leverage / Capital Strength

Exceptionally low leverage and a high equity ratio give the company financial flexibility to invest, withstand downturns, and pursue M&A or capex without stretching liquidity. Strong ROE shows efficient use of equity, enhancing long-term resilience and strategic optionality.

Negative Factors

Falling Free Cash Flow Growth

A 20.20% decline in free cash flow growth, despite solid operating cash generation, suggests increasing capex or working-capital demands. If sustained, reduced FCF growth can limit investments, dividend capacity and strategic actions, pressuring long-term cash flexibility.

Gross Margin Pressure

Noted declines in gross margin point to potential input cost inflation or pricing pressure. Persistent margin erosion would weaken profitability buffers, forcing either higher prices that may hurt demand or cost cuts that could impair product quality or growth initiatives.

Limited Forward Guidance

The lack of issued guidance and limited disclosure reduces visibility into management's medium-term plans. For investors and partners this increases forecasting uncertainty and makes it harder to assess capital allocation priorities and execution risks over the coming quarters.

A-tie Co.,Ltd. Business Overview & Revenue Model

Company Description

A-tie Co., Ltd. (369A) is a dynamic company specializing in the manufacturing and distribution of high-quality textile products, particularly focusing on ties, scarves, and other fashion accessories. Operating primarily in the fashion and apparel sector, A-tie Co., Ltd. serves both retail and wholesale markets, catering to a diverse clientele that includes individual consumers and corporate clients. The company prides itself on combining traditional craftsmanship with innovative design to create stylish and functional products.

How the Company Makes Money

A-tie Co., Ltd. generates revenue through multiple streams, primarily from the sale of its textile products, including ties and scarves, to both retail and wholesale customers. The company has established partnerships with various retailers, boutiques, and online platforms, which serve as key distribution channels for its products. Additionally, A-tie Co., Ltd. may engage in custom orders for corporate clients, providing tailored products that contribute significantly to its income. The company's focus on quality and design allows it to command premium pricing, further enhancing its profitability.

A-tie Co.,Ltd. Financial Statement Overview

Summary

Strong fundamentals overall: Income Statement score 85 on 23.27% revenue growth and solid margins (net margin 15.61%), Balance Sheet score 90 with minimal leverage (debt-to-equity 0.20%) and strong equity ratio (81.48%). Cash Flow is weaker at 75 due to a 20.20% decline in free cash flow growth despite good operating cash generation.

Income Statement

A-tie Co.,Ltd. shows strong revenue growth with a 23.27% increase in the latest year, indicating robust demand and effective business strategies. The company maintains healthy profitability with a gross profit margin of 67.45% and a net profit margin of 15.61%. EBIT and EBITDA margins are also solid at 21.99% and 33.17%, respectively, reflecting efficient operations. However, slight declines in gross profit margin compared to the previous year suggest potential cost pressures.

Balance Sheet

The balance sheet is exceptionally strong, with a very low debt-to-equity ratio of 0.20%, indicating minimal leverage and financial risk. The return on equity is impressive at 14.46%, showcasing effective use of shareholder funds. The equity ratio stands at 81.48%, highlighting a strong capital structure with significant equity backing.

Cash Flow

Operating cash flow remains robust with a coverage ratio of 1.30, indicating good cash generation relative to net income. However, free cash flow growth has declined by 20.20%, which could signal potential challenges in cash management or increased capital expenditures. The free cash flow to net income ratio is high at 98.05%, demonstrating efficient conversion of profits into cash.

Breakdown	Aug 2025	Aug 2024	Aug 2023
Income Statement
Total Revenue	2.93B	2.38B	1.93B
Gross Profit	1.98B	1.62B	1.31B
EBITDA	971.57M	461.92M	420.10M
Net Income	457.36M	297.37M	275.87M
Balance Sheet
Total Assets	3.88B	3.27B	2.66B
Cash, Cash Equivalents and Short-Term Investments	2.05B	1.97B	1.55B
Total Debt	6.40M	18.38M	30.35M
Total Liabilities	718.96M	735.81M	418.28M
Stockholders Equity	3.16B	2.54B	2.24B
Cash Flow
Free Cash Flow	747.56M	936.82M	295.94M
Operating Cash Flow	762.42M	961.65M	312.92M
Investing Cash Flow	-824.08M	-531.26M	-503.70M
Financing Cash Flow	145.26M	-11.97M	-10.99M

A-tie Co.,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1770	76 Outperform	¥17.46B	10.00	―	3.71%	-21.52%	-35.65%
1960	73 Outperform	¥23.10B	8.25	―	2.97%	22.32%	5024.88%
369A	72 Outperform	¥11.32B	20.97	―	1.45%	―	―
1914	67 Neutral	¥15.59B	4.49	―	3.68%	5.82%	-22.14%
1850	66 Neutral	¥15.05B	9.58	―	1.01%	17.09%	43.01%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1776	54 Neutral	¥14.93B	14.29	―	2.54%	5.89%	-30.27%