Muraki Corporation (7477) AI Stock Analysis

• Market Cap: ¥1.77B
• Dividend Yield: 2.44%
• Average Volume (3M): 2.45K
• Price to Earnings (P/E): 27.5
• Beta (1Y): 0.51
• Revenue Growth: 1.86%
• EPS Growth: -49.27%
• Country: JP
• Employees: 136
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): 11.74
• Shares Outstanding: 1,470,000
• 10 Day Avg. Volume: 4,890
• 30 Day Avg. Volume: 2,450
• 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: ¥1,300.00
• Price Target Upside: 5.95% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: ¥1,300.00 ▲(5.95% Upside)

Muraki Corporation's strong financial health and stable revenue growth are significant positives, but the stock faces challenges with bearish technical indicators and a high P/E ratio suggesting potential overvaluation. The dividend yield offers some compensation, but operational efficiency and cash management need improvement.

Muraki Corporation Business Overview & Revenue Model

Company Description

Muraki Corporation engages in the wholesale of car care, and automobile repair parts and related products in Japan. The company provides aftermarket parts, including oil and air elements, radiator valves, wiper blades, batteries, and brake pads; and auto chemical products, such as battery refill liquid, windshield washer liquid, oil related chemicals, air conditioner related chemicals, body waxes, body cleaners, and air fresheners. It also sells automotive maintenance equipment comprising engine oil changers, air conditioning gas refreshers, and ATF changers. In addition, it provides after-sales and maintenance services. The company offers its products to customers, such as service stations. Muraki Corporation was founded in 1946 and is headquartered in Tama, Japan.

How the Company Makes Money

Muraki Corporation generates revenue through the sale of its industrial tools and machinery. The company sources products from a variety of manufacturers and distributes them to industrial clients, ensuring a steady supply of high-quality equipment necessary for production processes. Significant revenue streams for Muraki Corporation include sales of cutting tools and precision instruments, which are essential for manufacturing operations across different industries. The company may also engage in partnerships with manufacturers to expand its product offerings and enhance its distribution network, contributing to its earnings.

Muraki Corporation Financial Statement Overview

Summary

Muraki Corporation maintains strong financial health with stable revenue growth and a solid balance sheet. The company exhibits low leverage and a robust equity position, offering financial resilience. However, declining net profit margins and fluctuating free cash flow suggest areas for improvement in operational efficiency and cash management.

Income Statement

Muraki Corporation has demonstrated consistent revenue growth over the years, with a noticeable increase in the latest year. The gross profit margin remains stable, indicating effective cost management. However, the net profit margin has declined, reflecting increased expenses or reduced efficiency. The EBIT and EBITDA margins are moderate, suggesting room for operational improvement.

Balance Sheet

The company's balance sheet is robust with a very low debt-to-equity ratio, highlighting minimal leverage and strong financial stability. The equity ratio is healthy, indicating a strong capital structure. Return on equity has decreased, which might suggest challenges in generating returns for shareholders.

Cash Flow

The cash flow statement shows fluctuating free cash flow, with a significant improvement in the latest period. Operating cash flow to net income ratio is favorable, indicating good cash generation from operations. However, the free cash flow to net income ratio shows variability, pointing to potential inconsistencies in cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.54B	7.54B	7.41B	7.33B	7.21B	7.32B
Gross Profit	1.78B	1.74B	1.76B	1.77B	1.73B	1.70B
EBITDA	210.52M	210.52M	233.45M	230.66M	171.10M	133.78M
Net Income	90.74M	90.95M	198.24M	125.12M	102.44M	67.58M
Balance Sheet
Total Assets	3.95B	3.95B	3.95B	3.86B	3.83B	4.00B
Cash, Cash Equivalents and Short-Term Investments	1.44B	1.44B	1.37B	1.48B	1.38B	1.53B
Total Debt	807.00K	807.00K	1.61M	63.65M	191.86M	435.46M
Total Liabilities	1.26B	1.26B	1.31B	1.42B	1.49B	1.73B
Stockholders Equity	2.69B	2.69B	2.64B	2.44B	2.34B	2.27B
Cash Flow
Free Cash Flow	0.00	116.81M	-15.65M	251.75M	109.78M	169.31M
Operating Cash Flow	0.00	127.07M	119.01M	252.09M	126.27M	170.72M
Investing Cash Flow	0.00	-23.92M	-132.78M	1.29M	-9.83M	-33.69M
Financing Cash Flow	0.00	-45.37M	-90.32M	-156.49M	-268.92M	-145.38M

Muraki Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1227.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7477, the sentiment is Negative. The current price of 1227 is below the 20-day moving average (MA) of 1313.75, below the 50-day MA of 1315.12, and below the 200-day MA of 1307.25, indicating a bearish trend. The MACD of -24.39 indicates Positive momentum. The RSI at 30.13 is Neutral, neither overbought nor oversold. The STOCH value of 17.87 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7477.

Muraki Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2674	81 Outperform	25.58B	11.69	12.67%	4.14%	8.63%	-3.75%
2666	71 Outperform	2.37B	8.08	6.49%	1.81%	9.21%	24.86%
2751	70 Outperform	40.90B	22.84	12.86%	0.26%	18.32%	-18.02%
3179	67 Neutral	24.24B	18.84	19.87%	3.20%	-0.24%	-45.59%
7477	58 Neutral	¥1.77B	27.50		2.44%	1.86%	-49.27%
9270	55 Neutral	12.70B	-23.65	-24.93%	1.07%	-0.79%	-107.47%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%