Environment Friendly Holdings Corp. (3777) AI Stock Analysis

• Market Cap: ¥20.08B
• Dividend Yield: N/A
• Average Volume (3M): 18.25M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.75
• Revenue Growth: -36.38%
• EPS Growth: -159.04%
• Country: JP
• Employees: 33
• Sector: Technology
• Sector Strength: 91
• Industry: Software - Application
• EPS (TTM): 0.01
• Shares Outstanding: 299,757,000
• 10 Day Avg. Volume: 49,012,810
• 30 Day Avg. Volume: 18,249,850
• PEG Ratio: 33.21
• Price to Book (P/B): 3.08
• 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: ¥37.00
• Price Target Upside: -44.78% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 63 Neutral
• Price Target: ¥79.00 ▲(17.91%Upside)

The overall stock score is driven primarily by strong technical indicators showing positive momentum, which boosts the score significantly. However, this is offset by weak financial performance, primarily due to profitability and cash flow issues, and a negative valuation perspective, resulting in a moderate overall score.

Environment Friendly Holdings Corp. Business Overview & Revenue Model

Company Description

Environment Friendly Holdings Corp. (3777) is a company focused on sustainable and environmentally conscious business practices. Operating within the green technology and renewable energy sectors, the company offers a range of products and services designed to reduce environmental impact and promote sustainability. Its core offerings include renewable energy solutions, waste management systems, and eco-friendly product innovations, aimed at both corporate and individual clients seeking to minimize their carbon footprint.

How the Company Makes Money

Environment Friendly Holdings Corp. generates revenue through multiple streams aligned with its commitment to sustainability. Key revenue streams include the sale and installation of renewable energy systems, such as solar panels and wind turbines, as well as ongoing maintenance and support services for these systems. The company also earns income from its waste management division, which provides recycling and waste reduction services to businesses and municipalities. Additionally, the company collaborates with partners in the eco-friendly products sector, earning revenue through the sale and distribution of sustainable consumer goods. Strategic partnerships with governments and private enterprises further enhance its revenue capabilities by integrating its solutions into larger sustainable development projects.

Environment Friendly Holdings Corp. Financial Statement Overview

Summary

Moderate revenue growth with significant profitability and operational efficiency challenges. The balance sheet is strong, but cash flow issues need addressing to improve overall financial health.

Income Statement

The company experienced a slight increase in revenue from $16.999 billion to $17.237 billion, translating to a modest revenue growth rate of 1.41%. However, profitability metrics such as gross profit margin (3.06%) and net profit margin (-0.89%) are below industry standards, indicating challenges in maintaining efficient operations and cost management. Negative EBIT margin (-0.31%) and EBITDA margin (-0.10%) highlight ongoing operational inefficiencies.

Balance Sheet

The balance sheet reflects a strong equity position with a low debt-to-equity ratio of 0.01 and an equity ratio of 91.18%. The company's return on equity is negative at -4.81%, driven by net losses. Overall, the company's balance sheet is stable with strong asset coverage, but profitability remains a concern.

Cash Flow

The company's free cash flow decreased significantly from -$72 million to -$121 million, indicating deteriorating cash-generating ability from operations. The operating cash flow to net income ratio is negative, reflecting challenges in converting income into cash. The company needs to improve operational cash flows to enhance financial stability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	17.24B	17.00B	754.09M	263.72M	354.31M
Gross Profit	526.86M	1.05B	184.91M	62.36M	72.48M
EBITDA	-114.42M	231.00M	-149.91M	261.52M	-109.00M
Net Income	-154.89M	153.00M	-171.31M	260.93M	-1.76B
Balance Sheet
Total Assets	3.51B	3.38B	1.83B	1.64B	610.67M
Cash, Cash Equivalents and Short-Term Investments	1.04B	1.13B	934.58M	897.34M	120.81M
Total Debt	32.79M	17.00M	24.60M	33.28M	0.00
Total Liabilities	309.45M	251.00M	159.61M	120.88M	501.53M
Stockholders Equity	3.20B	3.12B	1.67B	1.52B	109.14M
Cash Flow
Free Cash Flow	-121.00M	-72.00M	-277.22M	-566.34M	-144.99M
Operating Cash Flow	-93.00M	-66.00M	-275.82M	-566.34M	-144.99M
Investing Cash Flow	-31.00M	65.90M	-2.45M	186.55M	600.00K
Financing Cash Flow	23.19M	196.47M	315.51M	1.16B	9.63M

Environment Friendly Holdings Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 67.00
• 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:3777, the sentiment is Positive. The current price of 67 is above the 20-day moving average (MA) of 47.05, above the 50-day MA of 38.46, and above the 200-day MA of 33.68, indicating a bullish trend. The MACD of 8.71 indicates Negative momentum. The RSI at 67.20 is Neutral, neither overbought nor oversold. The STOCH value of 66.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3777.

Environment Friendly Holdings Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4495	78 Outperform	¥9.79B	16.26		1.84%	16.72%	18.48%
4389	77 Outperform	¥11.42B	17.47		1.23%	31.93%	110.92%
4168	66 Neutral	¥10.53B	17.10		0.74%	11.74%	158.89%
9553	65 Neutral	¥14.04B	70.58		―	16.04%	-104.99%
Sector *	63 Neutral	$34.16B	5.78	-11.85%	1.82%	5.31%	-18.32%
3777	63 Neutral	¥20.08B	―		―	-36.38%	-159.04%
4412	55 Neutral	¥9.55B	―		―	34.58%	93.03%