Direct Marketing MiX Inc. (7354) AI Stock Analysis

• Market Cap: ¥12.14B
• Dividend Yield: 1.76%
• Average Volume (3M): 305.53K
• Price to Earnings (P/E): 14.0
• Beta (1Y): 1.10
• Revenue Growth: -12.93%
• EPS Growth: N/A
• Country: JP
• Employees: 711
• Sector: Communication Services
• Sector Strength: 90
• Industry: Advertising Agencies
• EPS (TTM): 10.00
• Shares Outstanding: 47,614,838
• 10 Day Avg. Volume: 130,200
• 30 Day Avg. Volume: 305,530
• PEG Ratio: 0.44
• Price to Book (P/B): 9.16
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 25.49
• 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: 71 Outperform
• Price Target: ¥285.00 ▲(11.76%Upside)

Direct Marketing MiX Inc. shows solid financial health with consistent profitability and efficient cash flow management. Technical analysis indicates positive momentum, although caution is advised as the stock approaches overbought levels. The valuation metrics suggest the stock is fairly valued with a moderate dividend yield. Overall, the company maintains a stable financial position with positive market sentiment.

Direct Marketing MiX Inc. Business Overview & Revenue Model

Company Description

Direct Marketing MiX Inc. (7354) is a company engaged in the direct marketing sector, focusing on delivering integrated marketing solutions. The company provides a range of services including direct mail, digital marketing, and data analytics to help businesses effectively reach and engage their target audiences. Through its innovative marketing strategies, Direct Marketing MiX Inc. aims to drive customer acquisition and retention for its clients across various industries.

How the Company Makes Money

Direct Marketing MiX Inc. generates revenue primarily through providing marketing services to its clients. The company charges fees for services such as campaign planning, execution, and analytics. Key revenue streams include fees for direct mail campaigns, digital marketing services such as email and social media marketing, and data analytics services that offer insights into consumer behavior and campaign performance. The company may also engage in partnerships with other marketing firms or technology providers to enhance its service offerings and expand its client base. Additionally, Direct Marketing MiX Inc. could earn revenue through subscription models or licensing fees for proprietary marketing tools or software. The company's ability to maintain strong relationships with its clients and deliver measurable results is a significant factor contributing to its earnings.

Direct Marketing MiX Inc. Financial Statement Overview

Summary

Direct Marketing MiX Inc. demonstrates steady financial health with consistent profitability and efficient cash flow management. The company maintains strong operational efficiency and a solid balance sheet with manageable leverage. However, revenue growth has been modest, which slightly tempers the overall financial performance score.

Income Statement

Direct Marketing MiX Inc. experienced a slight increase in revenue in the TTM period compared to the previous year, indicating stable growth. The gross profit margin stands at approximately 8.30%, and the net profit margin is around 4.01%, suggesting moderate profitability. Despite a decrease in total revenue over the last few years, the company has managed to maintain a consistent EBIT margin of about 6.69%, highlighting its operational efficiency.

Balance Sheet

The company's balance sheet is relatively strong, with a debt-to-equity ratio of approximately 0.46, indicating moderate leverage. The equity ratio is about 54.55%, reflecting a stable financial structure with a good portion of assets funded by equity. Return on equity (ROE) is around 6.01%, showing a reasonable return on shareholder investments.

Cash Flow

Cash flow analysis reveals a healthy free cash flow to net income ratio of about 3.15, indicating strong cash generation relative to earnings. The operating cash flow to net income ratio is approximately 3.30, suggesting robust operational cash flow. The free cash flow growth rate has shown a positive trend, underlining the company's efficient cash management.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
20.99B	20.95B	26.85B	34.67B	30.29B	22.46B
	Gross Profit
1.74B	1.76B	20.08B	26.67B	23.92B	18.00B
	EBIT
1.40B	1.43B	1.22B	5.77B	4.78B	3.59B
	EBITDA
2.75B	2.84B	2.84B	7.24B	5.89B	4.36B
	Net Income Common Stockholders
842.87M	834.30M	310.01M	3.80B	3.22B	2.42B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
5.05B	5.17B	4.46B	7.61B	5.07B	3.69B
	Total Assets
25.70B	24.97B	26.18B	30.53B	26.84B	21.25B
	Total Debt
6.49B	5.77B	5.73B	4.98B	5.74B	6.50B
	Net Debt
1.44B	603.26M	1.27B	-2.63B	674.22M	2.81B
	Total Liabilities
11.68B	11.21B	13.09B	14.95B	15.24B	13.25B
	Stockholders Equity
14.02B	13.76B	13.09B	15.59B	11.60B	8.00B
Cash Flow		Free Cash Flow
2.66B	1.88B	1.47B	4.68B	3.28B	3.75B
	Operating Cash Flow
2.78B	2.00B	1.61B	5.12B	4.14B	4.09B
	Investing Cash Flow
-216.16M	-101.50M	-1.23B	-768.59M	-1.43B	-451.86M
	Financing Cash Flow
-1.28B	-1.19B	-3.53B	-1.81B	-1.34B	-1.62B

Direct Marketing MiX Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 255.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7354, the sentiment is Positive. The current price of 255 is above the 20-day moving average (MA) of 239.85, above the 50-day MA of 235.98, and above the 200-day MA of 253.26, indicating a bullish trend. The MACD of 3.90 indicates Negative momentum. The RSI at 60.79 is Neutral, neither overbought nor oversold. The STOCH value of 76.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7354.

Direct Marketing MiX Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6045	77 Outperform	¥8.54B	12.75		2.12%	17.22%	96.65%
9554	77 Outperform	¥13.90B	33.86		―	17.41%	47.68%
7068	74 Outperform	¥12.59B	14.26		1.99%	2.79%	194.48%
7354	71 Outperform	¥12.14B	14.02		1.76%	-12.93%	―
Sector *	61 Neutral	$14.79B	5.90	-3.99%	6.20%	2.67%	-30.30%
9162	52 Neutral	¥8.88B	―		―	3.95%	-178.93%
6094	43 Neutral	¥8.69B	205.80		―	32.30%	―

Direct Marketing MiX Inc. Corporate Events

Direct Marketing MiX Inc. Reports Q1 2025 Financial Results and Positive Outlook

Direct Marketing MiX Inc. reported its consolidated financial results for the three months ended March 31, 2025, showing a slight increase in revenue by 0.7% compared to the previous year. Despite a decrease in operating profit by 4.7%, the company anticipates a positive outlook for the fiscal year ending December 31, 2025, with expected revenue growth of 5% and a significant increase in profit attributable to owners by 31.8%, reflecting a strong strategic positioning in the market.

Direct Marketing MiX Inc. Unveils Strategic Vision for 2030

Direct Marketing MiX Inc. has announced the establishment of its medium- to long-term management vision, termed ‘DmMiX Vision 500,’ which will guide the company from the current fiscal year through to 2030. This strategic plan is expected to impact the company’s operations and industry positioning, potentially influencing stakeholders by setting a clear direction for future growth and development.

Direct Marketing MiX Inc. Plans Compliance with Prime Market Criteria

Direct Marketing MiX Inc. has announced a plan to comply with the Tokyo Stock Exchange’s Prime Market listing maintenance criteria by December 2026. The company aims to increase its market capitalization and tradable shares ratio by enhancing corporate value and revising shareholder composition. The plan includes achieving financial growth in FY12/2025 and implementing a medium- to long-term management vision, Vision 500, to strengthen profitability and financial foundations.