Peers Co. Ltd. (7066) AI Stock Analysis

• Market Cap: ¥6.66B
• Dividend Yield: 2.39%
• Average Volume (3M): 51.00K
• Price to Earnings (P/E): 12.4
• Beta (1Y): 0.88
• Revenue Growth: 7.60%
• EPS Growth: 37.77%
• Country: JP
• Employees: 537
• Sector: Industrials
• Sector Strength: 91
• Industry: Conglomerates
• EPS (TTM): 16.77
• Shares Outstanding: 10,013,600
• 10 Day Avg. Volume: 35,120
• 30 Day Avg. Volume: 51,000
• PEG Ratio: -1.46
• Price to Book (P/B): 2.09
• 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: ¥752.00
• Price Target Upside: 13.08% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: ¥751.00 ▲(12.93%Upside)

Peers Co. Ltd. achieves a solid overall score due to its strong financial performance, particularly in revenue growth and profitability, and attractive valuation metrics. Technical analysis supports a moderately bullish outlook. However, cash flow management issues are a critical weakness that could impact liquidity.

Peers Co. Ltd. Business Overview & Revenue Model

Company Description

Peers Co.,Ltd. provides consulting solutions. It offers Onlinx, an online customer service system; video call center systems; mimik, a rope training AI system to analyze facial expressions and emotions; online customer service center management; NeoRadm, a new token economy mechanism that utilizes its own IP; and RemoteworkBOX, a service to reserve a private booth in the city with a smartphone. The company also provides education training; consulting services; sales promotion services, such as in-store events and operational improvements at sales sites; temporary staffing; and event management services.Peers Co.,Ltd. was incorporated in 2002 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Peers Co. Ltd. generates revenue through a multi-faceted approach that includes fees for IT consulting services, custom software development, and ongoing IT support and maintenance contracts. The company also earns income from licensing its proprietary software to businesses and offering subscription-based models for its cloud services. Additionally, Peers Co. Ltd. may engage in strategic partnerships and collaborations with other technology firms, contributing to its revenue through joint projects and shared ventures. The company's focus on innovation and adapting to emerging technologies also plays a crucial role in attracting new clients and retaining existing ones, thereby supporting its financial growth.

Peers Co. Ltd. Financial Statement Overview

Summary

Peers Co. Ltd. shows strong revenue growth and profitability with a solid balance sheet. However, cash flow management is weak, with zero operating and free cash flows, which could impact liquidity.

Income Statement

Peers Co. Ltd. has demonstrated strong revenue growth over the years, marked by a consistent increase in total revenue from historical data. Gross profit and net profit margins are robust, with recent improvements indicating operational efficiency. The TTM gross profit margin stands at approximately 26.5%, and the net profit margin is an impressive 9.0%. The company has maintained healthy EBIT and EBITDA margins, reflecting effective cost management and profitability.

Balance Sheet

The company's balance sheet shows a solid equity position with a debt-to-equity ratio of 0.38 in the TTM period, indicating a conservative approach to leveraging. The equity ratio is around 61.8%, signifying a strong capital structure. Return on equity (ROE) is commendable at approximately 21.1%, driven by significant net income growth, demonstrating effective utilization of shareholder funds.

Cash Flow

Peers Co. Ltd. faces challenges in cash flow management. The TTM cash flow data reflects zero operating cash flow, which may indicate issues in converting revenue into cash. Historical cash flows show volatility, with fluctuations in free cash flow growth rates. The lack of positive free cash flow and operating cash flow in recent periods is concerning and may impact liquidity.

Breakdown	TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	6.13B	6.21B	5.63B	3.79B	3.13B	3.48B
Gross Profit	1.62B	1.64B	1.54B	982.38M	918.44M	869.83M
EBITDA	545.68M	744.03M	392.37M	15.73M	173.96M	383.29M
Net Income	551.88M	585.17M	319.23M	-98.38M	52.13M	238.92M
Balance Sheet
Total Assets	4.24B	4.51B	4.75B	4.40B	3.02B	3.14B
Cash, Cash Equivalents and Short-Term Investments	1.76B	1.96B	2.77B	2.35B	1.87B	2.53B
Total Debt	1.00B	1.08B	1.68B	1.87B	500.00M	700.00M
Total Liabilities	1.62B	1.64B	2.39B	2.48B	832.26M	1.00B
Stockholders Equity	2.62B	2.87B	2.36B	1.92B	2.19B	2.13B
Cash Flow
Free Cash Flow	0.00	-230.78M	619.82M	-194.22M	-396.42M	294.74M
Operating Cash Flow	0.00	472.79M	773.31M	212.54M	-158.21M	330.48M
Investing Cash Flow	0.00	-115.45M	-272.99M	-1.28B	-305.03M	-93.13M
Financing Cash Flow	0.00	-670.80M	-75.23M	1.03B	-199.46M	731.02M

Peers Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 665.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7066, the sentiment is Positive. The current price of 665 is above the 20-day moving average (MA) of 640.30, above the 50-day MA of 615.46, and below the 200-day MA of 682.49, indicating a neutral trend. The MACD of 4.40 indicates Positive momentum. The RSI at 61.80 is Neutral, neither overbought nor oversold. The STOCH value of 50.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7066.

Peers Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7509	80 Outperform	¥5.31B	4.15		3.35%	4.56%	-6.52%
7066	76 Outperform	¥6.66B	12.36		2.39%	7.60%	37.77%
7670	73 Outperform	¥9.66B	5.44		3.70%	-2.30%	16.63%
8835	72 Outperform	¥5.50B	14.40		5.52%	2.36%	-38.98%
7490	70 Outperform	¥7.14B	11.61		2.99%	0.78%	106.93%
Sector *	61 Neutral	C$6.63B	7.56	3.42%	2.77%	6.63%	-23.02%
6838	54 Neutral	¥4.88B	―		0.80%	―	―