Broadband Tower, Inc. (3776) AI Stock Analysis

• Market Cap: ¥9.22B
• Dividend Yield: 1.33%
• Average Volume (3M): 225.21K
• Price to Earnings (P/E): 24.2
• Beta (1Y): 0.94
• Revenue Growth: 4.70%
• EPS Growth: 35.62%
• Country: JP
• Employees: 243
• Sector: Communication Services
• Sector Strength: 84
• Industry: Telecommunications Services
• EPS (TTM): -1.24
• Shares Outstanding: 61,773,500
• 10 Day Avg. Volume: 192,590
• 30 Day Avg. Volume: 225,210
• PEG Ratio: >-0.01
• Price to Book (P/B): 1.21
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 19.79
• 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: 67 Neutral
• Price Target: ¥163.00 ▲(9.40%Upside)

The overall stock score of 67.4 reflects strong financial performance, particularly in profitability and cash flow improvements. Technical analysis suggests some potential for upward momentum, though short-term trends are mixed. The valuation is reasonable but does not offer a significant discount or premium. Earnings call and corporate events are not factored due to lack of data.

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
EBITDA	1.67B	1.08B	1.50B	1.12B	1.92B
Net Income	404.38M	99.78M	-391.99M	-3.89M	342.51M
Balance Sheet
Total Assets	19.79B	19.48B	20.52B	24.40B	23.36B
Cash, Cash Equivalents and Short-Term Investments	7.60B	6.16B	7.01B	5.54B	6.13B
Total Debt	2.94B	3.64B	4.52B	5.05B	6.42B
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: Neutral
• Last Price: 149.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3776, the sentiment is Neutral. The current price of 149 is below the 20-day moving average (MA) of 150.63, above the 50-day MA of 144.24, and below the 200-day MA of 168.92, indicating a neutral trend. The MACD of 1.49 indicates Positive momentum. The RSI at 50.50 is Neutral, neither overbought nor oversold. The STOCH value of 16.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral 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	¥18.99B	10.45		3.53%	6.35%	54.17%
3934	79 Outperform	¥10.40B	12.27		2.14%	-2.46%	13.80%
9428	78 Outperform	¥10.47B	11.06		1.73%	13.00%	-17.83%
9445	69 Neutral	¥8.66B	11.82		4.65%	3.93%	1.66%
3776	67 Neutral	¥9.22B	24.16		1.33%	4.70%	35.62%
9450	64 Neutral	¥14.45B	10.71		3.83%	-8.55%	-14.28%
Sector *	55 Neutral	AU$3.51B	16.92	-1.37%	3.18%	4.07%	-17.03%