Financial Products Group Co., Ltd. (7148) AI Stock Analysis

• Market Cap: ¥178.63B
• Dividend Yield: 5.87%
• Average Volume (3M): 351.98K
• Price to Earnings (P/E): 10.3
• Beta (1Y): 1.24
• Revenue Growth: 20.40%
• EPS Growth: -9.96%
• Country: JP
• Employees: 355
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Conglomerates
• EPS (TTM): 52.59
• Shares Outstanding: 83,803,600
• 10 Day Avg. Volume: 272,250
• 30 Day Avg. Volume: 351,976
• PEG Ratio: 0.14
• Price to Book (P/B): 3.56
• Price to Sales (P/S): 1.76
• P/FCF Ratio: -6.24
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: ¥2,516.00 ▲(13.28% Upside)

The company's strong financial performance, particularly in revenue growth, is offset by challenges in cash flow and high leverage. Technical indicators show bearish momentum, while valuation metrics suggest potential undervaluation with a high dividend yield. The absence of earnings call and corporate events data limits further insights.

Financial Products Group Co., Ltd. Business Overview & Revenue Model

Company Description

Financial Products Group Co., Ltd. (7148) is a financial services company based in Japan, specializing in the development and distribution of a wide range of financial products. The company operates in various sectors, including asset management, insurance, and investment advisory services. Its core offerings include mutual funds, life insurance products, and financial planning services, aimed at both individual and institutional clients. Through innovative financial solutions and a commitment to client service, Financial Products Group seeks to enhance financial security and wealth management for its customers.

How the Company Makes Money

Financial Products Group Co., Ltd. generates revenue through several key streams. Primarily, the company earns money from management fees associated with its mutual funds and asset management services, which are charged based on the assets under management (AUM). Additionally, it generates income from premiums collected on its life insurance products. The company also earns advisory fees for providing financial planning and investment advisory services to clients. Significant partnerships with financial institutions and distribution channels enhance its reach and revenue potential. Furthermore, the company's performance-based fees may contribute to its earnings when investment products exceed benchmark returns, incentivizing the firm to maximize client investments.

Financial Products Group Co., Ltd. Financial Statement Overview

Summary

Strong revenue growth and operational performance are evident, but challenges in cash flow management and high leverage pose risks. The balance sheet is stable, yet the high debt level requires attention.

Income Statement

The company demonstrated strong revenue growth, increasing from ¥59.19 billion in 2022 to ¥107.78 billion in 2024, reflecting a robust growth trajectory. Gross profit margin and EBIT margin are healthy, indicating efficient cost management and operational effectiveness. However, the net profit margin slightly decreased from 19.0% in 2023 to 18.9% in 2024, suggesting a slight pressure on profitability.

Balance Sheet

The company maintains a strong equity base, with stockholders' equity increasing from ¥36.07 billion in 2022 to ¥53.21 billion in 2024. The debt-to-equity ratio is high, reflecting significant leverage which poses potential risks in a volatile market environment. However, the equity ratio is stable, indicating a solid capital structure.

Cash Flow

The company faces challenges in cash flow management, with negative free cash flow in recent periods. Operating cash flow was negative in 2024, which could impact liquidity if not addressed. The free cash flow to net income ratio is unfavorable, highlighting issues in translating earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	117.16B	107.78B	71.15B	59.19B	14.92B	12.71B
Gross Profit	35.09B	38.35B	26.31B	18.63B	11.68B	7.94B
EBITDA	26.47B	30.65B	19.24B	13.01B	5.84B	3.37B
Net Income	17.59B	20.46B	12.47B	8.47B	2.95B	1.14B
Balance Sheet
Total Assets	165.25B	230.62B	183.68B	158.05B	91.90B	132.85B
Cash, Cash Equivalents and Short-Term Investments	16.75B	18.45B	16.63B	13.61B	21.29B	27.79B
Total Debt	97.37B	149.62B	112.94B	99.85B	53.50B	96.03B
Total Liabilities	112.49B	177.29B	139.38B	121.89B	62.51B	105.37B
Stockholders Equity	52.63B	53.21B	44.19B	36.07B	29.24B	27.22B
Cash Flow
Free Cash Flow	0.00	-30.32B	-4.59B	-51.16B	26.53B	12.13B
Operating Cash Flow	0.00	-29.27B	4.77B	-50.87B	26.66B	12.20B
Investing Cash Flow	0.00	6.57B	-9.36B	-552.00M	-1.15B	-2.17B
Financing Cash Flow	0.00	24.23B	7.34B	43.65B	-31.92B	-891.04M

Financial Products Group Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2221.00
• 50DMA: Negative
• 100DMA: Negative
• 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:7148, the sentiment is Negative. The current price of 2221 is below the 20-day moving average (MA) of 2284.70, below the 50-day MA of 2338.28, and below the 200-day MA of 2300.38, indicating a bearish trend. The MACD of -32.47 indicates Positive momentum. The RSI at 42.28 is Neutral, neither overbought nor oversold. The STOCH value of 39.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7148.

Financial Products Group Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8609	78 Outperform	¥149.17B	12.13	―	4.42%	-2.39%	-4.56%
7148	69 Neutral	¥178.63B	10.31	―	5.87%	20.40%	-9.96%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
8511	67 Neutral	€150.79B	15.75	7.25%	4.16%	46.99%	6.83%
7157	67 Neutral	¥151.20B	23.69	―	―	22.42%	5.10%
8789	65 Neutral	¥22.15B	11.91	―	2.73%	21.87%	-19.19%
8698	43 Neutral	$173.96B	-31.50	-5.08%	5.86%	-2.56%	-118.00%

Financial Products Group Co., Ltd. Corporate Events

FPG Secures JPY 43 Billion in New Credit Line Agreements

Financial Partners Group Co., Ltd. has announced the renewal of its committed credit line agreements with major banks, securing a total funding facility of JPY 43 billion to support its business operations. This strategic move aims to enhance corporate value and business performance, with no expected changes to the company’s earnings forecast for the fiscal year ending September 30, 2025.

The most recent analyst rating on (JP:7148) stock is a Buy with a Yen2596.00 price target. To see the full list of analyst forecasts on Financial Products Group Co., Ltd. stock, see the JP:7148 Stock Forecast page.

Financial Products Group Co., Ltd. Reports Q3 2025 Financial Results

Financial Products Group Co., Ltd. reported its consolidated financial results for the third quarter ending June 30, 2025, showing an 11.5% increase in net sales compared to the previous year. However, the company’s operating income, ordinary income, and profit attributable to owners of the parent all declined by 16.5%, 14.0%, and 17.2% respectively. The company also announced a dividend forecast for the fiscal year ending September 30, 2025, with no revisions to the latest forecast. The financial results indicate a challenging period for the company despite increased sales, with implications for stakeholders regarding profitability and dividend expectations.