Yutaka Giken Co., Ltd. (7229) AI Stock Analysis

• Market Cap: ¥45.12B
• Dividend Yield: 2.36%
• Average Volume (3M): 89.67K
• Price to Earnings (P/E): 11.5
• Beta (1Y): 0.81
• Revenue Growth: -18.46%
• EPS Growth: -48.08%
• Country: JP
• Employees: 5,190
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 42.07
• Shares Outstanding: 14,820,000
• 10 Day Avg. Volume: 25,770
• 30 Day Avg. Volume: 89,670
• 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: ¥3,191.00
• Price Target Upside: 4.79% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: ¥3,156.00 ▲(3.65% Upside)

Yutaka Giken Co., Ltd. has a solid overall stock score driven by strong technical indicators and a favorable valuation. However, financial performance is mixed, with operational and cash flow challenges that need addressing. The absence of earnings call and corporate events data means these factors do not influence the score.

Yutaka Giken Co., Ltd. Business Overview & Revenue Model

Company Description

Yutaka Giken Co., Ltd. (7229) is a Japanese company that specializes in the manufacturing and development of precision machinery and equipment for the automotive and industrial sectors. The company focuses on providing high-quality products that enhance productivity and efficiency in automotive production and other industrial applications. Its core offerings include various types of machinery, components, and automation systems designed to meet the evolving needs of its clients in a competitive market.

How the Company Makes Money

Yutaka Giken Co., Ltd. generates revenue primarily through the sale of its precision machinery and automation systems to automotive manufacturers and other industrial clients. The company's revenue model is based on both direct sales and long-term contracts, which often include maintenance and support services. Key revenue streams include new machinery sales, ongoing service agreements, and spare parts sales. Additionally, the company may benefit from partnerships with major automotive manufacturers, which can lead to consistent demand for its products and services, as well as collaborations on innovation and technology development that further enhance its market position.

Yutaka Giken Co., Ltd. Financial Statement Overview

Summary

Yutaka Giken Co., Ltd. shows a mixed financial performance. The company has a stable gross profit margin, but a low net profit margin and negative revenue growth indicate operational challenges. The balance sheet is strong with low leverage, but cash flow issues highlight the need for better cash management.

Income Statement

Yutaka Giken Co., Ltd. shows a mixed performance in its income statement. The company has a stable gross profit margin of around 13% in the TTM, indicating efficient production processes. However, the net profit margin is relatively low at 2.54%, reflecting challenges in controlling costs or pricing power. Revenue growth is negative, with a decline of 2.99% in the TTM, suggesting potential market or operational challenges. The EBIT and EBITDA margins are modest, indicating room for improvement in operational efficiency.

Balance Sheet

The balance sheet of Yutaka Giken Co., Ltd. is relatively strong, with a low debt-to-equity ratio, indicating conservative financial leverage. The return on equity (ROE) is modest at 4.45% in the TTM, suggesting moderate profitability relative to shareholder equity. The equity ratio is healthy, reflecting a solid capital structure. However, the company should focus on improving its ROE to enhance shareholder value.

Cash Flow

Cash flow analysis reveals some concerns for Yutaka Giken Co., Ltd. The free cash flow growth rate is significantly negative, indicating potential cash generation issues. The operating cash flow to net income ratio is low, suggesting that earnings are not fully translating into cash flow. Additionally, the free cash flow to net income ratio is negative, highlighting challenges in converting profits into free cash flow. The company needs to focus on improving cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	173.85B	179.21B	216.26B	218.00B	213.40B	191.33B
Gross Profit	23.62B	23.74B	26.84B	19.22B	22.67B	19.28B
EBITDA	15.08B	15.97B	21.09B	14.27B	19.86B	12.31B
Net Income	3.93B	4.55B	7.45B	1.44B	4.47B	-1.33B
Balance Sheet
Total Assets	161.32B	168.41B	185.61B	199.63B	208.33B	189.18B
Cash, Cash Equivalents and Short-Term Investments	42.16B	42.76B	49.16B	33.70B	42.07B	34.05B
Total Debt	1.97B	1.17B	3.56B	6.58B	10.44B	10.33B
Total Liabilities	51.16B	56.86B	75.79B	102.21B	113.36B	103.42B
Stockholders Equity	101.02B	102.16B	100.22B	88.18B	83.81B	76.03B
Cash Flow
Free Cash Flow	2.18B	-135.00M	18.79B	-354.00M	6.21B	8.17B
Operating Cash Flow	6.76B	3.82B	22.35B	4.06B	12.14B	16.15B
Investing Cash Flow	-3.91B	-3.48B	-3.10B	-2.81B	-3.95B	-8.69B
Financing Cash Flow	-5.97B	-6.49B	-6.63B	-7.68B	-2.79B	-625.00M

Yutaka Giken Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3045.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7229, the sentiment is Positive. The current price of 3045 is below the 20-day moving average (MA) of 3045.50, above the 50-day MA of 2850.40, and above the 200-day MA of 2367.98, indicating a bullish trend. The MACD of 53.87 indicates Positive momentum. The RSI at 66.28 is Neutral, neither overbought nor oversold. The STOCH value of 22.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7229.

Yutaka Giken Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7250	81 Outperform	¥163.99B	12.51	7.93%	2.14%	-1.29%	-26.66%
7296	81 Outperform	¥162.95B	10.29	8.79%	5.01%	2.11%	16.65%
7283	80 Outperform	¥122.39B	10.34	9.74%	3.52%	1.71%	-11.98%
7242	77 Outperform	¥202.81B	8.40	10.18%	2.85%	-0.17%	72.81%
7229	72 Outperform	¥45.12B	11.49	―	2.36%	-18.46%	-48.08%
7241	70 Outperform	¥88.22B	13.66	5.28%	3.86%	-11.96%	-46.82%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%