GMB Corporation (7214) AI Stock Analysis

• Market Cap: ¥4.53B
• Dividend Yield: 4.69%
• Average Volume (3M): 12.76K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.91
• Revenue Growth: 4.74%
• EPS Growth: -193.39%
• Country: JP
• Employees: 2,543
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): -74.45
• Shares Outstanding: 5,328,444
• 10 Day Avg. Volume: 13,500
• 30 Day Avg. Volume: 12,760
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥847.00
• Price Target Upside: -0.35% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 48 Neutral
• Price Target: ¥847.00 ▼(-0.35% Downside)

The overall stock score for GMB Corporation is primarily impacted by its challenging financial performance, with declining revenues and negative cash flow being significant concerns. Technical analysis shows a neutral trend, while valuation is hindered by a negative P/E ratio, despite a high dividend yield. The absence of earnings call data and corporate events means these factors do not influence the score.

GMB Corporation Business Overview & Revenue Model

Company Description

GMB Corporation manufactures and sells automotive parts worldwide. It offers cooling systems, such as electronic water pumps, water pumps, and fan clutches; engine drive systems, including tensioner and idler bearings; and transmission parts comprising valve spools. The company also provides drive line components, which includes universal and tripod joints; and steering and suspension parts, such as ball joints, tie-rod and rack ends, control arms, inner shafts, cross and side rods, pitman and idler arms, stabilizer links, and steering joints. In addition, it offers axle parts, including wheel bearing parts; and bearings comprising single ball, water pump, and clutch release bearings. The company was founded in 1943 and is headquartered in Nara, Japan.

How the Company Makes Money

GMB Corporation generates revenue through multiple streams, primarily from the sale of its consumer goods, which include a range of household and personal care products. The company employs a direct-to-consumer model as well as wholesale distribution, allowing it to reach a wide customer base. Additionally, GMB Corporation has established strategic partnerships with retail chains and online marketplaces, enhancing its market presence and driving sales. The company's logistics and supply chain services also contribute to its revenue, offering efficiency and cost savings for clients in various industries. Key factors contributing to earnings include product innovation, effective marketing strategies, and the ability to adapt to changing consumer trends.

GMB Corporation Financial Statement Overview

Summary

GMB Corporation is facing a challenging financial environment with declining revenues and profitability. The income statement shows a significant revenue decline and negative net profit margin. The balance sheet is moderately leveraged, and cash flow analysis reveals negative free cash flow, indicating financial sustainability concerns.

Income Statement

GMB Corporation's income statement shows a challenging period with declining revenue and profitability. The TTM data indicates a significant revenue decline of 28.6%, and the net profit margin is negative, reflecting a net loss. Despite a stable gross profit margin, the EBIT and EBITDA margins have decreased, indicating pressure on operational efficiency. The company needs to address these challenges to improve its financial health.

Balance Sheet

The balance sheet reveals a moderately leveraged position with a debt-to-equity ratio of 1.39, which is relatively high. However, the company maintains a positive return on equity, albeit low, indicating some level of profitability. The equity ratio is stable, suggesting that the company has a reasonable proportion of equity financing its assets. Overall, the balance sheet shows stability but highlights the need for careful debt management.

Cash Flow

Cash flow analysis indicates significant challenges, with negative free cash flow growth and a low operating cash flow to net income ratio. The TTM data shows negative free cash flow, which raises concerns about the company's ability to generate cash from operations. Improving cash flow generation is crucial for the company's financial sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	103.42B	103.71B	96.29B	87.17B	71.41B	57.41B
Gross Profit	18.06B	18.11B	16.67B	14.26B	11.80B	9.41B
EBITDA	5.40B	6.94B	6.21B	7.34B	5.76B	3.08B
Net Income	-490.95M	592.37M	408.99M	1.21B	660.23M	-315.16M
Balance Sheet
Total Assets	88.15B	88.55B	85.11B	79.24B	70.42B	63.61B
Cash, Cash Equivalents and Short-Term Investments	5.42B	6.15B	4.79B	7.01B	5.92B	7.38B
Total Debt	33.90B	32.06B	30.19B	27.88B	25.05B	22.12B
Total Liabilities	56.01B	54.57B	51.83B	47.24B	40.64B	36.02B
Stockholders Equity	21.94B	23.11B	22.85B	22.07B	21.15B	19.99B
Cash Flow
Free Cash Flow	-2.76B	631.94M	-2.77B	-122.73M	-4.59B	161.88M
Operating Cash Flow	3.76B	6.83B	2.15B	3.42B	-958.82M	2.78B
Investing Cash Flow	-6.46B	-6.01B	-4.91B	-3.15B	-2.47B	-1.86B
Financing Cash Flow	1.84B	518.41M	379.69M	635.56M	1.81B	194.86M

GMB Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 850.00
• 50DMA: Negative
• 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:7214, the sentiment is Negative. The current price of 850 is below the 20-day moving average (MA) of 871.83, below the 50-day MA of 864.33, and below the 200-day MA of 863.66, indicating a bearish trend. The MACD of -3.18 indicates Positive momentum. The RSI at 41.96 is Neutral, neither overbought nor oversold. The STOCH value of 32.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7214.

GMB Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7208	81 Outperform	¥5.03B	7.60	―	3.10%	0.05%	9.31%
7217	75 Outperform	¥3.93B	18.16	―	8.52%	9.12%	-35.97%
7284	71 Outperform	¥4.16B	7.23	―	4.20%	4.93%	―
6699	63 Neutral	¥4.66B	8.84	―	6.76%	0.86%	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
7214	48 Neutral	¥4.53B	―	―	4.69%	4.74%	-193.39%
7256	39 Underperform	¥3.64B	―	―	―	2.09%	-544.36%