USS Co (4732) AI Stock Analysis

• Market Cap: ¥790.94B
• Dividend Yield: 2.72%
• Average Volume (3M): 940.28K
• Price to Earnings (P/E): 20.5
• Beta (1Y): 0.36
• Revenue Growth: 7.58%
• EPS Growth: 15.12%
• Country: JP
• Employees: 1,130
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Dealerships
• EPS (TTM): 20.94
• Shares Outstanding: 474,000,000
• 10 Day Avg. Volume: 869,310
• 30 Day Avg. Volume: 940,283
• PEG Ratio: 1.16
• Price to Book (P/B): 3.26
• Price to Sales (P/S): 6.40
• P/FCF Ratio: 18.82
• 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): 86.03
• Revenue Forecast (FY): ¥111.93B

• Rating: 72 Outperform
• Price Target: ¥1,898.00 ▲(11.29% Upside)

USS Co's strong financial performance, characterized by high profitability and a solid balance sheet, is the primary driver of the stock's score. The technical indicators suggest a neutral to slightly positive outlook, while the valuation is reasonable with an attractive dividend yield. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

Balance Sheet Health

A low debt-to-equity ratio indicates minimal leverage, providing financial stability and flexibility to invest in growth opportunities.

Profitability

High profit margins reflect efficient operations and pricing power, supporting sustainable earnings and potential for reinvestment.

Cash Flow Management

Efficient cash flow management ensures liquidity and the ability to fund operations and growth without relying heavily on external financing.

Negative Factors

Revenue Growth Slowdown

Slowing revenue growth could indicate market saturation or increased competition, potentially impacting future earnings expansion.

Declining Free Cash Flow Growth

A significant decline in free cash flow growth may limit the company's ability to invest in new projects or return capital to shareholders.

Market Position

These trends could suggest challenges in maintaining competitive advantage and market share, affecting long-term strategic positioning.

USS Co Business Overview & Revenue Model

Company Description

USS Co (4732) is a prominent company in the metal recycling and waste management sector, specializing in the collection, processing, and recycling of ferrous and non-ferrous metals. The company operates in various segments, including scrap metal trading, environmental services, and resource recovery, providing sustainable solutions for industries and municipalities. USS Co is committed to promoting circular economy practices by transforming waste into valuable resources and offering innovative recycling solutions tailored to customer needs.

How the Company Makes Money

USS Co generates revenue primarily through the sale of processed scrap metals to manufacturing and industrial clients, who use these materials as raw inputs for their production processes. The company also earns income from its waste management services, which include collecting and disposing of industrial waste. Additionally, USS Co may have partnerships with local governments and businesses for waste recycling initiatives, providing a steady stream of contracts and agreements that contribute to its earnings. The effectiveness of its operations in sourcing, processing, and selling metal scrap, along with its ability to navigate fluctuating commodity prices, plays a critical role in the company's profitability.

USS Co Financial Statement Overview

Summary

USS Co exhibits strong financial health with robust profitability, a solid balance sheet, and stable cash flow generation. High margins and low leverage position it well in the industry, despite a slight slowdown in revenue growth.

Income Statement

USS Co demonstrates strong profitability with a gross profit margin of 62.46% and a net profit margin of 36.51% in the TTM period. The company has maintained consistent revenue growth, with a TTM revenue growth rate of 1.68%. EBIT and EBITDA margins are robust at 53.12% and 58.25%, respectively, indicating efficient operations. However, the slight decline in revenue growth compared to previous periods suggests potential market saturation or increased competition.

Balance Sheet

The balance sheet of USS Co is solid, with a low debt-to-equity ratio of 0.0126, indicating minimal leverage and financial risk. The return on equity is strong at 19.42%, reflecting effective use of equity capital. The equity ratio stands at 76.61%, showcasing a stable financial structure with significant equity backing. Overall, the company maintains a healthy balance sheet with low debt levels and strong equity returns.

Cash Flow

USS Co's cash flow performance is stable, with an operating cash flow to net income ratio of 0.82, indicating good cash generation relative to net income. The free cash flow to net income ratio is high at 0.91, reflecting strong free cash flow generation. However, the free cash flow growth rate shows a decline of 3.40% in the TTM period, suggesting potential challenges in maintaining cash flow growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	107.54B	104.02B	97.61B	88.78B	81.48B	74.87B
Gross Profit	67.49B	64.82B	59.03B	53.64B	50.77B	46.53B
EBITDA	62.95B	60.25B	53.91B	49.80B	49.52B	22.35B
Net Income	39.45B	37.64B	32.91B	30.01B	29.75B	4.02B
Balance Sheet
Total Assets	252.74B	267.35B	271.56B	242.35B	229.35B	210.70B
Cash, Cash Equivalents and Short-Term Investments	101.22B	116.22B	112.01B	95.69B	82.38B	70.77B
Total Debt	1.90B	2.28B	2.66B	2.42B	2.83B	3.17B
Total Liabilities	52.06B	59.99B	72.54B	48.20B	46.88B	37.18B
Stockholders Equity	197.65B	204.20B	196.00B	191.45B	180.34B	171.83B
Cash Flow
Free Cash Flow	33.84B	35.39B	44.48B	32.34B	34.59B	29.42B
Operating Cash Flow	38.21B	38.16B	47.15B	36.91B	36.63B	38.41B
Investing Cash Flow	-15.80B	-6.00B	-2.65B	-9.07B	-1.34B	-9.33B
Financing Cash Flow	-46.91B	-29.95B	-28.19B	-17.12B	-24.68B	-15.04B

USS Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1705.50
• 50DMA: Positive
• 100DMA: Negative
• 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:4732, the sentiment is Positive. The current price of 1705.5 is below the 20-day moving average (MA) of 1714.25, below the 50-day MA of 1706.16, and above the 200-day MA of 1585.55, indicating a neutral trend. The MACD of -0.83 indicates Positive momentum. The RSI at 50.76 is Neutral, neither overbought nor oversold. The STOCH value of 33.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4732.

USS Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8291	76 Outperform	¥25.78B	8.91	―	4.88%	-6.89%	-50.31%
7599	73 Outperform	¥123.00B	10.14	―	2.96%	11.66%	-7.47%
4732	72 Outperform	¥790.94B	20.50	19.13%	2.72%	7.58%	15.12%
7134	71 Outperform	¥9.39B	13.16	―	2.74%	6.55%	1.07%
3186	69 Neutral	¥208.35B	23.74	―	1.27%	21.79%	9.89%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
7593	61 Neutral	¥61.29B	10.83	―	4.64%	8.56%	-13.47%

USS Co Corporate Events

USS Co., Ltd. Revises Earnings and Dividend Forecasts Upward

USS Co., Ltd. has revised its consolidated earnings and dividend forecasts for the fiscal year ending March 31, 2026, due to favorable market conditions and successful sales activities. The revised forecasts indicate an increase in operating profit, ordinary profit, and profit attributable to owners of the parent, as well as a slight increase in the year-end dividend per share, reflecting the company’s commitment to shareholder returns.