FUSO DENTSU CO., LTD. (7505) AI Stock Analysis

• Market Cap: ¥19.19B
• Dividend Yield: 2.85%
• Average Volume (3M): 8.47K
• Price to Earnings (P/E): 10.2
• Beta (1Y): 0.44
• Revenue Growth: 12.77%
• EPS Growth: 37.78%
• Country: JP
• Employees: 969
• Sector: Technology
• Sector Strength: 83
• Industry: Information Technology Services
• EPS (TTM): 22.05
• Shares Outstanding: 6,960,980
• 10 Day Avg. Volume: 11,170
• 30 Day Avg. Volume: 8,473
• 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: ¥3,331.00
• Price Target Upside: -1.16% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: ¥3,331.00 ▼(-1.16% Downside)

FUSO DENTSU CO., LTD. scores well due to its strong financial performance and attractive valuation. However, technical analysis indicates potential risk of a pullback due to overbought conditions. The absence of recent earnings call data or notable corporate events limits further insights.

FUSO DENTSU CO., LTD. Business Overview & Revenue Model

Company Description

FUSO DENTSU CO., LTD. (7505) is a Japanese company primarily engaged in the wholesale of electrical equipment. The company operates within the sectors of electrical and electronic components, providing a wide range of products that include electronic components, industrial equipment, and communication devices. FUSO DENTSU serves various industries by supplying essential parts and equipment necessary for manufacturing and operational processes.

How the Company Makes Money

FUSO DENTSU CO., LTD. generates revenue through the wholesale distribution of electrical and electronic components. The company's key revenue streams include the sale of electronic components and industrial equipment to manufacturers and businesses across different sectors. By maintaining a diverse product range and leveraging a robust supply chain, FUSO DENTSU ensures a steady flow of products to meet the demands of its clients. Additionally, the company may engage in strategic partnerships with manufacturers and suppliers, enhancing its product offerings and expanding its market reach, which contributes to its earnings.

FUSO DENTSU CO., LTD. Financial Statement Overview

Summary

FUSO DENTSU CO., LTD. shows strong financial health with consistent revenue growth and stable profitability. The balance sheet is robust with minimal leverage, and the company efficiently converts earnings into cash. Despite some operational inefficiencies, the financials indicate a healthy trajectory.

Income Statement

FUSO DENTSU CO., LTD. shows a solid financial performance with a consistent increase in revenue over the years. The TTM gross profit margin is 18.28%, and the net profit margin is 3.04%, indicating stable profitability. However, EBIT and EBITDA margins show room for improvement, suggesting potential inefficiencies in operational management. The revenue growth rate of 13.64% from 2022 to 2023 highlights strong top-line growth.

Balance Sheet

The company maintains a healthy balance sheet with a low debt-to-equity ratio of 0.08, indicating conservative leverage. The return on equity is 11.30%, reflecting efficient use of shareholders' equity. The equity ratio stands at 41.91%, showing a strong equity position relative to total assets, contributing to financial stability.

Cash Flow

FUSO DENTSU CO., LTD. exhibits positive free cash flow, although the free cash flow growth rate is sluggish. The operating cash flow to net income ratio of 0.82 suggests reasonable cash generation from operations. While free cash flow to net income ratio stands at 0.72, indicating that the company is effectively translating profits into cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	50.83B	46.78B	41.14B	36.47B	43.39B	40.36B
Gross Profit	9.41B	8.45B	7.49B	6.41B	7.56B	7.07B
EBITDA	2.82B	2.28B	1.67B	722.02M	1.82B	1.25B
Net Income	1.87B	1.43B	971.71M	327.49M	1.11B	706.20M
Balance Sheet
Total Assets	36.51B	29.67B	27.23B	24.47B	25.86B	24.54B
Cash, Cash Equivalents and Short-Term Investments	11.79B	7.37B	7.86B	6.65B	9.11B	8.17B
Total Debt	1.17B	1.59B	1.66B	1.81B	1.35B	1.25B
Total Liabilities	22.39B	17.15B	16.14B	14.90B	15.85B	15.75B
Stockholders Equity	14.12B	12.53B	11.09B	9.57B	10.02B	8.79B
Cash Flow
Free Cash Flow	4.16B	1.08B	1.49B	-1.93B	2.22B	1.32B
Operating Cash Flow	4.24B	1.31B	1.69B	-1.78B	2.48B	1.53B
Investing Cash Flow	-600.46M	-839.92M	-111.17M	-959.52M	-2.24B	27.39M
Financing Cash Flow	-678.83M	-469.43M	-379.67M	-216.69M	-343.41M	-286.28M

FUSO DENTSU CO., LTD. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3370.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7505, the sentiment is Positive. The current price of 3370 is above the 20-day moving average (MA) of 3154.35, above the 50-day MA of 2878.62, and above the 200-day MA of 2054.33, indicating a bullish trend. The MACD of 133.64 indicates Negative momentum. The RSI at 74.19 is Negative, neither overbought nor oversold. The STOCH value of 71.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7505.

FUSO DENTSU CO., LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7505	76 Outperform	¥19.19B	10.25		2.85%	12.77%	37.78%
Sector *	61 Neutral	$35.83B	9.00	-10.39%	1.87%	8.46%	-7.85%
2354	―	¥12.44B	11.66		2.98%	―	―
3683	77 Outperform	¥17.28B	14.94		1.04%	9.81%	81.48%
3924	69 Neutral	¥17.07B	16.06		3.77%	-3.54%	-7.78%
3968	68 Neutral	¥21.41B	44.02		1.83%	20.91%	-26.43%
3657	54 Neutral	¥13.26B	―		4.26%	10.47%	63.47%