Pola Orbis Holdings (4927) AI Stock Analysis

• Market Cap: $297.77B
• Dividend Yield: 3.88%
• Average Volume (3M): 410.39K
• Price to Earnings (P/E): 46.3
• Beta (1Y): 0.28
• Revenue Growth: -0.89%
• EPS Growth: -34.14%
• Country: JP
• Employees: 4,021
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Household & Personal Products
• EPS (TTM): 15.07
• Shares Outstanding: 229,136,150
• 10 Day Avg. Volume: 406,970
• 30 Day Avg. Volume: 410,393
• PEG Ratio: -8.45
• Price to Book (P/B): 1.92
• Price to Sales (P/S): 1.86
• P/FCF Ratio: 17.55
• Enterprise Value/Market Cap: 0.75
• Enterprise Value/Revenue: 1.31
• Enterprise Value/Gross Profit: 1.62
• Enterprise Value/Ebitda: 12.42
• 1Y Price Target: $1,352.64
• Price Target Upside: 0.94% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: ¥1,444.00 ▲(7.76% Upside)

Pola Orbis Holdings has a stable financial position with strong gross margins and a robust balance sheet, but faces challenges in revenue growth and profitability. Technical indicators suggest a neutral trend with no strong momentum. The stock appears overvalued based on its P/E ratio, though the dividend yield provides some compensation. Overall, the company is in a stable position but should focus on enhancing profitability and growth.

Pola Orbis Holdings Business Overview & Revenue Model

Company Description

Pola Orbis Holdings (4927) is a Japan-based company primarily engaged in the cosmetics and beauty industry. The company operates through various segments, including the manufacture and sale of skincare, makeup, and fragrance products. Pola Orbis Holdings encompasses well-known brands such as Pola, Orbis, and Jurlique, catering to diverse consumer preferences and beauty trends both domestically and internationally.

How the Company Makes Money

Pola Orbis Holdings generates revenue mainly through the sale of its beauty and personal care products across multiple channels, including direct sales, retail outlets, and online platforms. The company has a strong presence in Asia, leveraging both its established brands and innovative product lines to attract a wide customer base. Key revenue streams include sales from skincare and cosmetics, as well as premium products targeted at the luxury segment. Additionally, Pola Orbis Holdings benefits from strategic partnerships and collaborations that enhance brand visibility and distribution, contributing to its overall earnings growth.

Pola Orbis Holdings Financial Statement Overview

Summary

Pola Orbis Holdings demonstrates a solid financial foundation with strong gross margins and a robust balance sheet characterized by low leverage and high equity. However, the company faces challenges in revenue growth and profitability, as evidenced by declining net profit margins and negative revenue growth. Cash flow improvements are notable, but managing capital expenditures and financing strategies will be crucial for sustained financial health.

Income Statement

The income statement shows a mixed performance. Gross profit margin remains strong at approximately 81.3% for 2024, indicating effective cost control and pricing strategy. However, the net profit margin for 2024 is relatively low at around 5.5%, down from 5.6% in 2023, suggesting potential challenges in converting revenue into profit. Revenue growth is negative at -1.7% in 2024, compared to a decline of -1.1% in 2023, reflecting a potential slowdown in sales growth. EBIT and EBITDA margins have also declined slightly, indicating a decrease in operational efficiency.

Balance Sheet

The balance sheet remains robust with a low debt-to-equity ratio of approximately 0.01, highlighting minimal leverage and financial risk. The equity ratio is high at about 82.3%, showcasing a strong capital base. Return on equity for 2024 is modest at 5.6%, reflecting a need for improved profitability. Overall, the company's financial position is stable with ample cash reserves, although profitability could be enhanced.

Cash Flow

Cash flow analysis indicates improvement in free cash flow, rising significantly in 2024 from a deficit in 2023. The operating cash flow to net income ratio is strong at 2.82, suggesting effective cash generation relative to reported profits. The free cash flow to net income ratio is favorable at 1.94, indicating strong cash conversion. However, fluctuations in capital expenditures and financing activities highlight potential areas of concern for long-term cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	169.78B	170.36B	173.30B	166.31B	178.64B	176.31B
Gross Profit	137.78B	138.51B	142.08B	135.27B	149.92B	146.33B
EBITDA	17.96B	22.17B	23.18B	21.27B	25.09B	16.51B
Net Income	6.43B	9.29B	9.66B	11.45B	11.73B	4.63B
Balance Sheet
Total Assets	195.94B	200.32B	201.21B	205.94B	208.04B	203.74B
Cash, Cash Equivalents and Short-Term Investments	60.75B	64.08B	65.14B	81.31B	92.57B	85.10B
Total Debt	41.00M	2.12B	1.69B	1.88B	2.28B	2.44B
Total Liabilities	32.24B	35.41B	32.81B	34.48B	34.77B	33.89B
Stockholders Equity	163.68B	164.89B	168.05B	171.17B	173.05B	169.71B
Cash Flow
Free Cash Flow	0.00	18.01B	-1.81B	4.15B	16.63B	15.94B
Operating Cash Flow	0.00	26.18B	14.42B	15.55B	23.83B	23.39B
Investing Cash Flow	0.00	-12.10B	-18.73B	-12.37B	-2.17B	-3.34B
Financing Cash Flow	0.00	-13.38B	-12.38B	-12.67B	-9.10B	-27.13B

Pola Orbis Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1340.00
• 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:4927, the sentiment is Positive. The current price of 1340 is above the 20-day moving average (MA) of 1331.17, above the 50-day MA of 1322.49, and above the 200-day MA of 1299.00, indicating a bullish trend. The MACD of 2.85 indicates Negative momentum. The RSI at 53.05 is Neutral, neither overbought nor oversold. The STOCH value of 62.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4927.

Pola Orbis Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4928	71 Outperform	¥151.48B	19.92	―	5.10%	-1.63%	1.81%
4927	68 Neutral	$297.77B	46.33	3.99%	3.88%	-0.89%	-34.14%
4912	66 Neutral	$419.99B	20.49	7.29%	1.87%	1.29%	4.72%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
4922	60 Neutral	$345.44B	115.34	1.11%	2.38%	2.82%	-79.45%
4967	57 Neutral	$387.13B	32.89	5.72%	1.95%	-6.64%	-13.78%
4911	56 Neutral	¥1.05T	-808.82	―	1.97%	-3.60%	-112.93%

Pola Orbis Holdings Corporate Events

Pola Orbis Holdings Reports Mixed Financial Results for First Half of 2025

Pola Orbis Holdings reported a slight decline in net sales for the first half of fiscal 2025, with a 0.7% decrease compared to the previous year. Despite this, the company saw a 12.3% increase in operating income, although ordinary income and profit attributable to owners of the parent decreased significantly by 43.5% and 38.1%, respectively. The company’s performance forecast for the full fiscal year 2025 anticipates a modest growth in net sales and operating income, but a decline in ordinary income and profit attributable to owners. The equity ratio improved slightly, indicating a stable financial position, while the dividend forecast remains unchanged, reflecting a cautious yet optimistic outlook for stakeholders.

The most recent analyst rating on (JP:4927) stock is a Hold with a Yen1450.00 price target. To see the full list of analyst forecasts on Pola Orbis Holdings stock, see the JP:4927 Stock Forecast page.