PLAZA HOLDINGS CO.,LTD. (7502) AI Stock Analysis

• Market Cap: ¥1.75B
• Dividend Yield: 2.68%
• Average Volume (3M): 623.00
• Price to Earnings (P/E): 14.7
• Beta (1Y): 0.13
• Revenue Growth: 11.55%
• EPS Growth: 28.89%
• Country: JP
• Employees: 559
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Personal Products & Services
• EPS (TTM): -11.64
• Shares Outstanding: 2,439,433
• 10 Day Avg. Volume: 350
• 30 Day Avg. Volume: 623
• PEG Ratio: 0.04
• Price to Book (P/B): 1.88
• Price to Sales (P/S): 0.22
• P/FCF Ratio: 7.29
• 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: 64 Neutral
• Price Target: ¥1,967.00 ▲(4.07% Upside)

PLAZA HOLDINGS CO.,LTD. shows strong cash flow metrics and a reasonable valuation, which are positive indicators. However, declining revenue and high leverage pose risks to financial stability. Technical indicators suggest potential short-term bearish sentiment, which could impact investor confidence.

Positive Factors

Cash Flow Generation

Strong cash flow generation indicates effective cash management and operational efficiency, providing financial flexibility for future investments and debt management.

Profitability Improvement

Improving profitability metrics suggest enhanced operational efficiency and cost management, contributing to better financial health and shareholder value.

Supply Chain Management

Efficient supply chain management supports cost optimization and margin improvement, strengthening the company's competitive position and long-term profitability.

Negative Factors

High Leverage

High leverage can strain financial stability, limiting the company's ability to invest in growth opportunities and increasing vulnerability to economic downturns.

Declining Revenue

Declining revenue suggests challenges in market demand or competitive positioning, which could impact long-term growth prospects and financial performance.

Low Equity Ratio

A low equity ratio indicates heavy reliance on debt, which can increase financial risk and limit the company's ability to withstand economic fluctuations.

PLAZA HOLDINGS CO.,LTD. Business Overview & Revenue Model

Company Description

PLAZA HOLDINGS CO.,LTD. (7502) is a diversified company primarily involved in retail and distribution. The company operates in various sectors, including consumer products, fashion, and lifestyle, offering a wide range of core products and services that cater to diverse market needs. With a strong presence in the Asian market, PLAZA HOLDINGS focuses on providing quality goods and a unique shopping experience, leveraging both physical and online channels to reach its customers.

How the Company Makes Money

PLAZA HOLDINGS generates revenue through multiple streams, primarily from the sale of consumer goods in its retail outlets and e-commerce platforms. The company has established key partnerships with various brands, allowing it to distribute popular products and expand its market reach. Additionally, PLAZA HOLDINGS benefits from a strong supply chain management system, which helps optimize costs and improve profit margins. Seasonal promotions and marketing strategies further drive sales, contributing to the company's overall earnings.

PLAZA HOLDINGS CO.,LTD. Financial Statement Overview

Summary

PLAZA HOLDINGS CO.,LTD. exhibits strengths in cash flow generation and improving profitability metrics, particularly in net income recovery. However, the company faces challenges with declining revenue and high leverage, which could impact long-term stability. While cash flows are strong, ensuring revenue growth and managing debt levels are critical for future financial health.

Income Statement

PLAZA HOLDINGS CO.,LTD. shows a moderate financial performance with a Gross Profit Margin of 36.5% for the latest annual report, indicating decent profitability. The Net Profit Margin improved significantly to 1.48% from previous year’s 0.33%, showing positive earnings recovery. However, Revenue Growth Rate is negative at -4.51% compared to the previous year, suggesting a decline in sales. The EBIT Margin is modest at 1.80%, showing operational challenges. Overall, profitability metrics are improving but revenue decline is a concern.

Balance Sheet

The balance sheet reveals a Debt-to-Equity Ratio of 2.95, indicating high leverage which poses potential risk. Return on Equity (ROE) improved to 12.43% from 2.62%, reflecting better profitability relative to shareholder equity. However, the Equity Ratio is low at 19.09%, suggesting reliance on debt financing. Despite improvement in ROE, high debt levels could be a concern for financial stability.

Cash Flow

Cash flow analysis shows strong Free Cash Flow Growth Rate of 72.61%, indicating better cash management and operational efficiency. The Operating Cash Flow to Net Income Ratio is healthy at 2.73, reflecting strong cash generation relative to earnings. Free Cash Flow to Net Income Ratio is also robust at 2.08, supporting good cash flow conversion. Overall, cash flow metrics display strong liquidity and operational efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	19.34B	18.64B	17.64B	19.13B	21.72B	20.67B
Gross Profit	7.14B	6.80B	6.29B	6.54B	7.04B	7.50B
EBITDA	659.73M	696.29M	453.03M	235.42M	534.08M	1.42B
Net Income	289.89M	275.86M	58.77M	-204.37M	120.75M	732.99M
Balance Sheet
Total Assets	10.61B	11.62B	11.03B	11.68B	12.13B	12.24B
Cash, Cash Equivalents and Short-Term Investments	1.53B	1.68B	1.24B	1.17B	1.41B	1.70B
Total Debt	6.20B	6.54B	6.19B	6.63B	6.73B	6.52B
Total Liabilities	8.48B	9.40B	8.78B	9.37B	9.45B	9.43B
Stockholders Equity	2.13B	2.22B	2.25B	2.31B	2.68B	2.81B
Cash Flow
Free Cash Flow	0.00	573.17M	332.04M	-150.07M	-300.63M	-480.88M
Operating Cash Flow	0.00	753.70M	525.87M	439.53M	9.99M	-68.12M
Investing Cash Flow	0.00	-184.44M	108.88M	-433.41M	-287.32M	560.78M
Financing Cash Flow	0.00	-122.43M	-573.41M	-242.12M	-17.33M	-436.57M

PLAZA HOLDINGS CO.,LTD. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1890.00
• 50DMA: Positive
• 100DMA: Positive
• 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:7502, the sentiment is Positive. The current price of 1890 is above the 20-day moving average (MA) of 1861.70, above the 50-day MA of 1855.04, and above the 200-day MA of 1805.91, indicating a bullish trend. The MACD of 6.06 indicates Negative momentum. The RSI at 53.27 is Neutral, neither overbought nor oversold. The STOCH value of 65.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7502.

PLAZA HOLDINGS CO.,LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2485	74 Outperform	¥11.21B	9.25	―	4.12%	14.46%	18.49%
7372	74 Outperform	¥2.42B	11.34	―	―	8.17%	36.84%
7523	73 Outperform	¥17.70B	15.33	―	2.55%	1.90%	7.25%
9160	70 Outperform	¥8.65B	9.58	―	―	12.19%	28.25%
7502	64 Neutral	¥1.75B	14.66	―	2.68%	11.55%	28.89%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
7578	44 Neutral	¥2.14B	4.27	―	―	-15.38%	―