BML (4694) AI Stock Analysis

• Market Cap: ¥141.54B
• Dividend Yield: 3.39%
• Average Volume (3M): 54.09K
• Price to Earnings (P/E): 20.8
• Beta (1Y): 0.41
• Revenue Growth: 5.90%
• EPS Growth: 16.30%
• Country: JP
• Employees: 4,513
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Diagnostics & Research
• EPS (TTM): 61.63
• Shares Outstanding: 40,749,428
• 10 Day Avg. Volume: 38,460
• 30 Day Avg. Volume: 54,093
• PEG Ratio: 4.96
• Price to Book (P/B): 0.91
• Price to Sales (P/S): 0.82
• P/FCF Ratio: 177.64
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: ¥4,095.00 ▲(8.19% Upside)

BML's strong financial performance and positive technical indicators are the primary drivers of its stock score. The company's robust balance sheet and profitability metrics provide a solid foundation, while technical analysis suggests a positive market trend. The valuation is reasonable, with a moderate P/E ratio and attractive dividend yield. However, declining revenue and fluctuating cash flow present potential risks.

Positive Factors

Business Model Strength

The subscription-based model ensures recurring revenue, providing financial stability and predictability, which supports long-term growth.

Partnerships and Collaborations

Strategic partnerships enhance market reach and service offerings, strengthening BML's competitive position and driving sustainable growth.

Balance Sheet Health

A strong balance sheet with low leverage provides financial stability and flexibility, enabling BML to invest in growth opportunities.

Negative Factors

Declining Revenue

Revenue decline poses a risk to future growth, potentially impacting BML's ability to invest in innovation and maintain competitive advantage.

Fluctuating Free Cash Flow

Volatility in free cash flow can hinder consistent capital allocation, affecting BML's capacity to fund strategic initiatives and manage financial obligations.

Decreased Operational Efficiency

Decreasing margins suggest challenges in maintaining operational efficiency, which could pressure profitability and limit reinvestment in business growth.

BML Business Overview & Revenue Model

Company Description

BML (4694) is a leading company operating in the technology sector, specializing in software solutions and IT services. The company focuses on providing innovative digital transformation services, data analytics, and cloud computing solutions to a diverse range of industries, including finance, healthcare, and retail. BML is recognized for its commitment to delivering high-quality products that enhance operational efficiency and drive business growth for its clients.

How the Company Makes Money

BML generates revenue primarily through a subscription-based model for its software solutions, which includes recurring fees for cloud services and maintenance. Additionally, the company earns income from consulting services that assist clients in implementing and optimizing technology solutions. Key revenue streams include licensing fees for proprietary software, project-based consulting contracts, and partnerships with other tech firms that facilitate joint offerings. Significant collaborations with major cloud service providers also contribute to BML's earnings by expanding its market reach and enhancing service offerings.

BML Financial Statement Overview

Summary

BML exhibits strong profitability indicators with a consistent gross profit margin and a healthy net profit margin. The company maintains a robust balance sheet with a strong equity base and low debt-to-equity ratio, indicating financial stability. However, declining revenue and fluctuating free cash flow could pose future challenges.

Income Statement

BML exhibits strong profitability indicators with a consistent gross profit margin and a healthy net profit margin, reflecting effective cost management and strong revenue generation. However, the company has experienced a decline in revenue over recent years, which could be a concern for future growth. The EBIT and EBITDA margins indicate efficient operations, although they have decreased from prior years, suggesting room for improving operational efficiency.

Balance Sheet

BML maintains a robust balance sheet with a strong equity base and a low debt-to-equity ratio, indicating financial stability and a low risk of financial distress. The equity ratio suggests strong capitalization, providing a solid buffer against liabilities. The return on equity has remained healthy, showcasing efficient use of shareholders' funds despite a decrease in net income in recent periods.

Cash Flow

BML's cash flow management appears stable, with positive operating cash flow supporting its operations. However, free cash flow has fluctuated significantly, pointing to potential volatility in capital expenditures and investment activities. The operating cash flow to net income ratio demonstrates the company's ability to convert income into cash, although the volatility in free cash flow indicates potential challenges in maintaining consistent cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	145.63B	143.19B	137.96B	159.46B	186.07B	138.57B
Gross Profit	46.42B	45.86B	45.63B	61.45B	86.95B	54.77B
EBITDA	18.27B	17.51B	16.42B	30.57B	56.26B	26.50B
Net Income	6.42B	6.26B	6.03B	15.58B	33.74B	13.71B
Balance Sheet
Total Assets	175.54B	177.51B	170.99B	168.94B	179.20B	139.17B
Cash, Cash Equivalents and Short-Term Investments	65.46B	67.56B	74.11B	86.52B	92.13B	63.48B
Total Debt	4.29B	5.29B	5.26B	4.15B	5.44B	5.39B
Total Liabilities	42.81B	43.73B	40.85B	42.20B	57.52B	46.05B
Stockholders Equity	128.46B	129.40B	125.86B	122.49B	116.20B	88.42B
Cash Flow
Free Cash Flow	0.00	663.00M	-6.48B	5.28B	38.52B	15.38B
Operating Cash Flow	0.00	15.81B	14.45B	11.74B	45.60B	19.57B
Investing Cash Flow	0.00	-16.79B	-21.14B	-7.63B	-7.30B	-4.58B
Financing Cash Flow	0.00	-5.43B	-5.73B	-9.71B	-9.83B	-3.38B

BML Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3785.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4694, the sentiment is Positive. The current price of 3785 is below the 20-day moving average (MA) of 3800.00, above the 50-day MA of 3702.20, and above the 200-day MA of 3292.14, indicating a bullish trend. The MACD of 44.93 indicates Positive momentum. The RSI at 57.90 is Neutral, neither overbought nor oversold. The STOCH value of 46.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4694.

BML Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4694	74 Outperform	¥141.54B	20.78	5.59%	3.39%	5.90%	16.30%
2395	74 Outperform	¥76.23B	16.38	―	2.70%	28.06%	19.48%
4671	73 Outperform	¥25.44B	13.82	―	4.85%	1.23%	9.96%
4886	67 Neutral	¥53.49B	11.96	―	2.55%	5.44%	-20.33%
4549	66 Neutral	¥79.32B	20.55	―	2.28%	4.36%	79.43%
4544	54 Neutral	¥182.74B	48.03	2.65%	3.84%	2.93%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

BML Corporate Events

BML, Inc. Reports Strong Financial Growth in First Half of Fiscal 2025

BML, Inc. reported a significant improvement in its financial performance for the first six months of fiscal 2025, with a 6% increase in net sales and a 23.1% rise in profit attributable to owners of the parent compared to the same period in the previous year. The company also announced a dividend increase, reflecting its robust financial health and commitment to shareholder returns.