Broadband Tower, Inc. (3776) AI Stock Analysis

• Market Cap: ¥9.16B
• Dividend Yield: 1.34%
• Average Volume (3M): 199.88K
• Price to Earnings (P/E): 24.0
• Beta (1Y): 0.97
• Revenue Growth: 4.70%
• EPS Growth: 35.62%
• Country: JP
• Employees: 243
• Sector: Communication Services
• Sector Strength: 86
• Industry: Telecommunications Services
• EPS (TTM): -1.24
• Shares Outstanding: 61,773,500
• 10 Day Avg. Volume: 290,210
• 30 Day Avg. Volume: 199,880
• PEG Ratio: -4.14
• Price to Book (P/B): 1.08
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: 68 Neutral
• Price Target: ¥154.00 ▲(3.36%Upside)

Broadband Tower, Inc. has demonstrated strong financial performance with improvements in profitability and operational efficiency. However, the stock's valuation appears high, and technical indicators suggest mixed market sentiment. The absence of earnings call insights and notable corporate events limits the assessment of future prospects.

Broadband Tower, Inc. Business Overview & Revenue Model

Company Description

Broadband Tower, Inc. (3776) is a Japanese company specializing in Internet infrastructure services. The company operates in sectors including data centers, cloud computing, and network services. It offers a range of services such as data center leasing, cloud solutions, content delivery networks, and network security, focusing on providing robust and scalable infrastructure solutions for businesses requiring high-performance and reliable connectivity.

How the Company Makes Money

Broadband Tower, Inc. generates revenue primarily through its data center services, where it provides space, power, and cooling for clients' server equipment, along with associated management services. Additionally, the company earns income from cloud computing services, offering virtual servers and storage, and from network services, including high-speed internet connectivity and content delivery networks. The company's earnings are also supported by partnerships with technology providers and telecommunications companies, which enhance its service offerings and expand its client base.

Broadband Tower, Inc. Financial Statement Overview

Summary

Broadband Tower, Inc. has shown solid financial performance with significant improvements in profitability and cash flow. The company has enhanced operational efficiency and maintains a stable balance sheet with low leverage and improving shareholder returns. However, revenue growth remains modest.

Income Statement

Broadband Tower, Inc. has shown a significant improvement in profitability over the past year, with a strong net profit margin of 3.01% in 2024 compared to 0.75% in 2023. The gross profit margin has also increased from 20.54% to 24.77%. Revenue growth was modest at 1.35%, but the company successfully turned around its EBIT from a loss to a positive margin of 4.98%. EBITDA margin improved to 13.64%, indicating enhanced operational efficiency.

Balance Sheet

The company's balance sheet reflects a healthy debt-to-equity ratio of 0.34, showcasing strong financial leverage management. Return on Equity (ROE) improved to 4.67% in 2024, up from 1.20% in 2023, indicating better profitability for shareholders. The equity ratio stands at 43.75%, offering a stable capital structure. However, total assets have slightly decreased, which may indicate a need for asset optimization.

Cash Flow

Broadband Tower, Inc. experienced a substantial increase in free cash flow from a negative position in 2023 to a positive 2,213 million JPY in 2024, indicating strong cash generation capabilities. The operating cash flow to net income ratio improved significantly, suggesting enhanced cash efficiency. The free cash flow to net income ratio is positive, reflecting strong cash conversion from earnings.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
13.42B	13.24B	14.13B	15.53B	16.08B
	Gross Profit
3.33B	2.72B	3.01B	3.61B	3.97B
	EBIT
668.31M	-84.69M	-361.73M	53.80M	524.88M
	EBITDA
1.67B	1.08B	1.50B	1.12B	1.92B
	Net Income Common Stockholders
404.38M	99.78M	-391.99M	-3.89M	342.51M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
7.60B	6.16B	7.01B	5.54B	6.13B
	Total Assets
19.79B	19.48B	20.52B	24.40B	23.36B
	Total Debt
2.94B	3.64B	4.52B	5.05B	6.42B
	Net Debt
-4.66B	-2.52B	-2.49B	-491.49M	295.62M
	Total Liabilities
7.79B	7.81B	8.73B	11.04B	11.29B
	Stockholders Equity
8.66B	8.31B	8.21B	9.49B	8.46B
Cash Flow		Free Cash Flow
2.21B	-100.14M	502.62M	406.48M	1.67B
	Operating Cash Flow
2.76B	737.38M	1.73B	1.60B	2.28B
	Investing Cash Flow
-585.00M	-595.00M	301.29M	-1.42B	-984.98M
	Financing Cash Flow
-737.46M	-996.94M	-562.11M	-763.69M	-1.08B

Broadband Tower, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 149.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3776, the sentiment is Positive. The current price of 149 is above the 20-day moving average (MA) of 142.65, above the 50-day MA of 139.80, and below the 200-day MA of 175.20, indicating a neutral trend. The MACD of 2.90 indicates Negative momentum. The RSI at 61.89 is Neutral, neither overbought nor oversold. The STOCH value of 78.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3776.

Broadband Tower, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3834	79 Outperform	¥18.65B	10.27		3.67%	6.35%	54.17%
9428	78 Outperform	¥10.36B	10.94		1.74%	13.00%	-17.83%
3934	76 Outperform	¥11.10B	13.10		2.48%	-2.46%	13.79%
9445	69 Neutral	¥8.35B	11.38		4.02%	3.93%	1.66%
3776	68 Neutral	¥9.16B	24.00		1.34%	4.70%	35.62%
9450	62 Neutral	¥15.37B	11.39		3.47%	-8.55%	-14.28%
Sector *	61 Neutral	$14.60B	5.88	-4.32%	3.68%	2.75%	-30.55%