FRONTIER INTERNATIONAL INC. (7050) AI Stock Analysis

• Market Cap: ¥10.23B
• Dividend Yield: 4.39%
• Average Volume (3M): 5.43K
• Price to Earnings (P/E): 11.5
• Beta (1Y): 0.20
• Revenue Growth: 10.20%
• EPS Growth: -26.87%
• Country: JP
• Employees: 340
• Sector: Communication Services
• Sector Strength: 75
• Industry: Advertising Agencies
• EPS (TTM): 65.13
• Shares Outstanding: 4,619,000
• 10 Day Avg. Volume: 4,320
• 30 Day Avg. Volume: 5,430
• PEG Ratio: 0.15
• Price to Book (P/B): 1.14
• Price to Sales (P/S): 0.00
• 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

• Rating: 66 Neutral
• Price Target: ―

FRONTIER INTERNATIONAL INC. exhibits a strong financial base with excellent cash flow management and low leverage, but faces challenges with declining revenue and profitability. Technical indicators point to a bearish trend, although the stock's valuation is reasonable with a moderate P/E ratio and decent dividend yield. The company should focus on improving growth and efficiency to enhance investor confidence.

FRONTIER INTERNATIONAL INC. Business Overview & Revenue Model

Company Description

Frontier International Inc. plans, produces, and manages various sales promotions, events, and campaigns. The company also plans, develops, and produces various sales promotion tools, as well as content for TV programs, PV, radio programs, and other soft content; designs and fabricates exteriors of various facilities, space design, and event stages; and plans, develops, produces, and manages interactive communication, including websites and ASP business. It also provides temporary employee placement and management for various sales support and sales promotions. The company was founded in 1990 and is headquartered in Tokyo, Japan.

How the Company Makes Money

FRONTIER INTERNATIONAL INC. Financial Statement Overview

Summary

FRONTIER INTERNATIONAL INC. presents a mixed financial picture. While the income statement shows declining revenue and profit margins, the balance sheet is strong with low leverage and a high equity ratio. The cash flow statements highlight excellent cash generation and management. The company should focus on improving revenue growth and operational efficiencies to enhance overall financial performance.

Income Statement

The company's revenue showed a decline from the previous year, with the most recent annual revenue at 16,944.76 million. The gross profit margin is at 20.47%, and the net profit margin is 2.88%. Both EBIT and EBITDA margins have decreased from the previous year, indicating pressure on operational efficiencies. Despite these challenges, the company maintains a positive net income, showcasing some profitability.

Balance Sheet

The company portrays a strong equity base with an equity ratio of 70.95%. The debt-to-equity ratio is low at 0.04, indicating minimal leverage risk. The return on equity is 5.92%, which suggests moderate profitability relative to the equity employed. Overall, the balance sheet is robust with substantial stockholders' equity and low debt levels.

Cash Flow

The company has demonstrated substantial improvement in its free cash flow, which has grown significantly. The operating cash flow to net income ratio is positive at 3.16, indicating efficient cash generation from operations. Additionally, the free cash flow to net income ratio is 3.14, signifying strong cash flow relative to net income, pointing to excellent cash management practices.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	16.94B	17.05B	25.14B	15.72B	13.12B
Gross Profit	3.47B	4.11B	5.28B	2.87B	3.18B
EBITDA	857.61M	2.00B	3.20B	769.29M	1.29B
Net Income	488.13M	1.30B	2.12B	519.39M	825.37M
Balance Sheet
Total Assets	11.62B	11.11B	12.70B	7.83B	7.23B
Cash, Cash Equivalents and Short-Term Investments	6.43B	5.10B	6.97B	4.09B	3.69B
Total Debt	368.68M	0.00	0.00	0.00	0.00
Total Liabilities	3.38B	3.12B	5.38B	2.53B	2.26B
Stockholders Equity	8.25B	8.00B	7.32B	5.30B	4.98B
Cash Flow
Free Cash Flow	1.53B	-595.94M	3.12B	551.60M	591.04M
Operating Cash Flow	1.54B	-578.70M	3.12B	625.62M	592.63M
Investing Cash Flow	-42.31M	-803.55M	-223.87M	-69.50M	-190.79M
Financing Cash Flow	-312.21M	-575.19M	-108.56M	-235.50M	-268.83M

FRONTIER INTERNATIONAL INC. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2262.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7050, the sentiment is Positive. The current price of 2262 is above the 20-day moving average (MA) of 2200.05, above the 50-day MA of 2075.84, and above the 200-day MA of 1755.19, indicating a bullish trend. The MACD of 49.12 indicates Positive momentum. The RSI at 83.63 is Negative, neither overbought nor oversold. The STOCH value of 92.36 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7050.

FRONTIER INTERNATIONAL INC. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2173	81 Outperform	¥8.64B	8.32		3.75%	5.82%	14.22%
6045	77 Outperform	¥10.09B	15.06		1.80%	17.22%	96.65%
2139	73 Outperform	¥3.16B	19.27		2.53%	10.70%	-15.05%
7050	66 Neutral	¥10.23B	11.49		4.39%	10.20%	-26.87%
Sector *	61 Neutral	$42.21B	-3.57	-11.12%	4.05%	2.99%	-33.83%
6533	60 Neutral	¥7.24B	29.37		1.55%	15.81%	-52.13%
9235	39 Underperform	¥10.70B	―		―	54.82%	-495.66%