Placo Co., Ltd. (6347) AI Stock Analysis

• Market Cap: ¥3.87B
• Dividend Yield: 1.57%
• Average Volume (3M): 166.06K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.53
• Revenue Growth: -13.82%
• EPS Growth: 81.18%
• Country: JP
• Employees: 75
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): -2.04
• Shares Outstanding: 10,287,476
• 10 Day Avg. Volume: 238,100
• 30 Day Avg. Volume: 166,063
• PEG Ratio: 0.32
• Price to Book (P/B): 1.22
• Price to Sales (P/S): 0.87
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: ―

Placo Co., Ltd. is facing profitability issues with negative EBIT and net income, but improving cash flow indicates some recovery potential. Technically, the stock shows weak momentum and is trading near its moving averages, suggesting neutrality with a slight bearish tilt. Valuation is challenging with a negative P/E, although the dividend yield provides some support. Overall, the company needs to focus on operational improvements and leverage its stable financial structure to enhance growth prospects.

Positive Factors

Cash Flow Improvement

Improved cash flow indicates better liquidity and operational efficiency, providing a buffer against profitability challenges and supporting future investments.

Stable Financial Structure

A stable financial structure with manageable leverage allows the company to withstand short-term financial pressures and focus on long-term strategic goals.

Revenue Streams

Diverse revenue streams from sales and services provide resilience against market fluctuations and enhance the company's ability to capture value across different customer needs.

Negative Factors

Profitability Challenges

Negative profitability indicates operational inefficiencies and cost management issues, which could hinder the company's ability to reinvest in growth and innovation.

Declining Gross Profit Margin

A declining gross profit margin suggests challenges in maintaining pricing power or controlling costs, potentially impacting long-term profitability and competitiveness.

Revenue Growth Decline

Insufficient revenue growth relative to costs can strain financial resources and limit the company's ability to invest in new opportunities or expand market share.

Placo Co., Ltd. Business Overview & Revenue Model

Company Description

Placo Co., Ltd. (6347) is a Japanese company primarily engaged in the manufacture and sale of industrial machinery and equipment. The company operates in sectors such as construction, manufacturing, and logistics, providing specialized products including machinery for construction sites and material handling equipment.

How the Company Makes Money

Placo Co., Ltd. generates revenue through the sale of its industrial machinery and equipment to various industries such as construction and logistics. The company's revenue streams include direct sales of machinery, parts, and accessories, as well as maintenance and after-sales services offered to customers. Key factors contributing to its earnings include its established customer base in Japan and potential export opportunities. Any significant partnerships or collaborations with other companies or governmental bodies further enhance its market position and revenue potential.

Placo Co., Ltd. Financial Statement Overview

Summary

Placo Co., Ltd. faces profitability challenges, with negative EBIT and net income, but shows cash flow recovery. The balance sheet is moderately stable with manageable leverage, indicating a need to enhance operational efficiency for improved profitability.

Income Statement

The income statement shows a decline in profitability with a negative EBIT and net income for the most recent period. The gross profit margin decreased significantly from the previous year, indicating challenges in cost management or revenue generation. Revenue growth was present, but not enough to offset the costs, leading to negative profit margins.

Balance Sheet

The balance sheet reflects moderate financial health with a stable equity base. The debt-to-equity ratio indicates a manageable level of leverage, but the declining stockholders' equity suggests potential financial stress. Despite these challenges, the company's equity ratio is reasonable, showing a balanced capital structure.

Cash Flow

Cash flow analysis shows improvement in operating cash flow and free cash flow, which turned positive after a negative performance in the previous year. However, the free cash flow growth rate is not calculated due to the previous negative base. The positive trend in cash flow is a positive sign amidst income statement challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	697.76M	2.23B	3.41B	3.00B	2.72B	2.71B
Gross Profit	207.33M	575.61M	429.30M	794.44M	761.04M	938.20M
EBITDA	35.26M	-12.30M	-195.68M	266.98M	283.22M	263.89M
Net Income	38.55M	-95.80M	-251.34M	126.67M	148.97M	109.06M
Balance Sheet
Total Assets	3.05B	3.05B	3.49B	3.73B	3.20B	2.31B
Cash, Cash Equivalents and Short-Term Investments	1.14B	1.14B	1.40B	1.40B	1.30B	870.60M
Total Debt	1.15B	1.15B	1.50B	1.43B	722.88M	595.56M
Total Liabilities	1.47B	1.47B	1.89B	1.83B	1.45B	1.03B
Stockholders Equity	1.58B	1.58B	1.60B	1.90B	1.75B	1.28B
Cash Flow
Free Cash Flow	0.00	0.00	18.13M	-613.21M	-37.26M	97.75M
Operating Cash Flow	0.00	101.95M	22.26M	-579.82M	-28.20M	277.66M
Investing Cash Flow	0.00	53.63M	-19.93M	-41.92M	20.96M	-181.93M
Financing Cash Flow	0.00	-412.06M	-8.92M	716.38M	440.42M	-365.36M

Placo Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 395.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6347, the sentiment is Positive. The current price of 395 is above the 20-day moving average (MA) of 330.70, above the 50-day MA of 345.54, and above the 200-day MA of 250.16, indicating a bullish trend. The MACD of 11.32 indicates Negative momentum. The RSI at 60.93 is Neutral, neither overbought nor oversold. The STOCH value of 86.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6347.

Placo Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6400	78 Outperform	¥2.22B	8.33	7.95%	2.50%	3.64%	17.76%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6233	62 Neutral	¥2.19B	12.67	―	2.46%	-2.17%	126.99%
6147	57 Neutral	¥1.39B	-14.68	―	3.08%	-4.18%	-192.32%
7719	55 Neutral	¥1.93B	23.93	―	―	21.54%	―
6347	50 Neutral	¥3.87B	-122.32	―	1.57%	-13.82%	81.18%
6276	49 Neutral	¥1.39B	-2.25	―	2.94%	-20.33%	-1780.05%