JALCO Holdings, Inc. (6625) AI Stock Analysis

• Market Cap: ¥40.47B
• Dividend Yield: 5.06%
• Average Volume (3M): 844.33K
• Price to Earnings (P/E): 531.5
• Beta (1Y): 0.89
• Revenue Growth: -61.35%
• EPS Growth: -104.58%
• Country: JP
• Employees: 10
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): -0.18
• Shares Outstanding: 117,218,620
• 10 Day Avg. Volume: 1,206,420
• 30 Day Avg. Volume: 844,330
• PEG Ratio: -5.18
• Price to Book (P/B): 1.76
• Price to Sales (P/S): 4.89
• P/FCF Ratio: -6.06
• 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: ¥397.00
• Price Target Upside: 9.37% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: ¥397.00 ▲(9.37% Upside)

The overall stock score is primarily influenced by the company's strong operational efficiency and positive technical indicators. However, significant concerns about profitability, cash flow management, and high leverage weigh down the score. The negative P/E ratio is a notable risk, despite the attractive dividend yield.

JALCO Holdings, Inc. Business Overview & Revenue Model

Company Description

JALCO Holdings, Inc. (6625) is a Japanese company that operates primarily in the manufacturing sector, focusing on producing functional components and systems for a variety of industries. The company is involved in the design, development, and production of electronic devices, precision machinery, and other related products. JALCO Holdings serves a diverse range of markets, including automotive, industrial, and consumer electronics, with an emphasis on innovation and quality.

How the Company Makes Money

JALCO Holdings, Inc. generates revenue through the sale of its manufactured components and systems to various industry sectors. The company's key revenue streams include the production and sale of electronic devices and precision machinery to automotive manufacturers, industrial clients, and consumer electronics companies. JALCO Holdings may also engage in partnerships and collaborations with other businesses to expand its market reach and enhance its product offerings. The company's earnings are influenced by its ability to maintain strong relationships with its clients and continuously innovate in its product development processes.

JALCO Holdings, Inc. Financial Statement Overview

Summary

JALCO Holdings, Inc. demonstrates strong operational efficiency with solid gross and EBIT margins. However, challenges with profitability and cash flow management, evidenced by declining net profit margins and negative free cash flow, along with high leverage, add financial risk.

Income Statement

The company shows a volatile revenue growth trend with significant fluctuations over the years. Gross profit margins have been strong, indicating efficient cost management. However, the net profit margin has seen a decline in the most recent year, reflecting challenges in maintaining profitability. EBIT and EBITDA margins are robust, suggesting operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, indicating significant leverage which could pose financial risks. However, the company maintains a reasonable return on equity, showcasing its ability to generate profits from shareholders' investments. The equity ratio is moderate, reflecting a balanced asset financing structure.

Cash Flow

Cash flow analysis indicates a negative free cash flow trend, which could impact future investments and liquidity. The operating cash flow to net income ratio is inconsistent, suggesting variability in cash generation relative to reported earnings. The free cash flow to net income ratio further highlights challenges in converting earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.54B	6.86B	12.74B	4.96B	2.78B	2.72B
Gross Profit	3.21B	3.48B	7.28B	3.92B	2.14B	2.04B
EBITDA	3.26B	3.50B	7.95B	4.27B	2.36B	1.96B
Net Income	-174.77M	65.78M	4.16B	1.82B	906.87M	1.06B
Balance Sheet
Total Assets	76.00B	77.65B	72.60B	56.12B	48.51B	36.50B
Cash, Cash Equivalents and Short-Term Investments	1.50B	3.96B	2.58B	3.12B	1.36B	1.98B
Total Debt	51.50B	50.88B	45.22B	34.49B	30.05B	19.47B
Total Liabilities	58.96B	58.61B	53.46B	40.50B	34.50B	22.62B
Stockholders Equity	17.03B	19.04B	19.15B	15.62B	14.01B	13.88B
Cash Flow
Free Cash Flow	0.00	-5.54B	-3.24B	-4.99B	-13.43B	-7.70B
Operating Cash Flow	0.00	684.52M	8.60B	3.48B	-2.43B	219.61M
Investing Cash Flow	0.00	-4.92B	-14.56B	-5.89B	-9.19B	-5.46B
Financing Cash Flow	0.00	5.49B	5.31B	4.23B	10.78B	6.63B

JALCO Holdings, Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 363.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6625, the sentiment is Neutral. The current price of 363 is below the 20-day moving average (MA) of 394.30, above the 50-day MA of 358.76, and above the 200-day MA of 319.51, indicating a neutral trend. The MACD of 0.30 indicates Positive momentum. The RSI at 44.44 is Neutral, neither overbought nor oversold. The STOCH value of 12.54 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6625.

JALCO Holdings, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7609	81 Outperform	¥46.63B	9.48	―	3.15%	7.19%	45.73%
6627	79 Outperform	¥48.67B	16.31	―	2.08%	-0.46%	-25.32%
6855	78 Outperform	¥47.25B	13.20	―	1.61%	32.53%	182.70%
7420	76 Outperform	¥27.21B	10.77	―	4.53%	5.49%	17.69%
7510	66 Neutral	¥31.01B	12.87	―	3.39%	2.04%	-11.59%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6625	58 Neutral	¥40.47B	531.48	―	5.06%	-61.35%	-104.58%