Ota Floriculture Auction Co., Ltd. (7555) AI Stock Analysis

• Market Cap: ¥3.80B
• Dividend Yield: 1.6%
• Average Volume (3M): 1.17K
• Price to Earnings (P/E): 20.4
• Beta (1Y): 0.13
• Revenue Growth: -6.47%
• EPS Growth: 9.73%
• Country: JP
• Employees: 184
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Agricultural Farm Products
• EPS (TTM): -3.08
• Shares Outstanding: 5,500,000
• 10 Day Avg. Volume: 1,180
• 30 Day Avg. Volume: 1,173
• 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: ¥790.00
• Price Target Upside: 5.61% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 60 Neutral
• Price Target: ¥783.00 ▲(4.68% Upside)

Ota Floriculture Auction Co., Ltd. has a solid financial foundation with strong equity and low leverage, which is the most significant factor in its score. However, the company's valuation suggests it may be overvalued, and technical indicators present a mixed outlook. The absence of earnings call data and notable corporate events limits additional insights.

Ota Floriculture Auction Co., Ltd. Business Overview & Revenue Model

Company Description

Ota Floriculture Auction Co.,Ltd. engages in the wholesale floriculture products in Japan. The company offers floriculture products, such as cut flowers, potted plants, seedlings, turfs, other matting, and bonsai. The company was incorporated in 1975 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Ota Floriculture Auction Co., Ltd. generates revenue primarily through its auction operations. The company earns commissions on the sales conducted through its auction platform, which is a key revenue stream. By leveraging its extensive network of growers and buyers, the company ensures a steady flow of transactions, thus maximizing its earnings potential. Additionally, Ota Floriculture Auction may earn income from related services such as logistics, including the transportation and handling of floral products. The company's success is further supported by significant partnerships with growers and retailers, which enhance its market position and expand its reach within the floriculture industry.

Ota Floriculture Auction Co., Ltd. Financial Statement Overview

Summary

Ota Floriculture Auction Co., Ltd. demonstrates a solid financial foundation with strong equity and low leverage. Despite challenges in revenue growth and recent negative free cash flow, the company maintains healthy profit margins and operational cash flow, suggesting resilience in its core operations.

Income Statement

Ota Floriculture Auction Co., Ltd. has shown some volatility in its revenue with a decline from 2023 to 2025, yet it maintains a relatively strong gross profit margin above 70%. The net profit margin has improved over the last year, which indicates better cost management. However, the declining revenue growth and EBIT margin suggest some operational challenges.

Balance Sheet

The company exhibits a strong equity position with a stable equity ratio. The debt-to-equity ratio is low, indicating low leverage and financial stability. However, the return on equity has room for improvement as it reflects moderate profitability relative to shareholders' equity.

Cash Flow

The cash flow situation shows potential concerns with negative free cash flow in the latest year. However, the company has maintained a positive operating cash flow to net income ratio, indicating decent cash generation from operations despite recent difficulties in free cash flow growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.86B	3.86B	4.14B	4.29B	3.93B	23.92B
Gross Profit	3.00B	2.81B	2.98B	3.07B	2.75B	2.38B
EBITDA	591.81M	597.61M	550.37M	690.46M	513.60M	300.11M
Net Income	220.88M	221.68M	182.22M	306.13M	173.44M	-6.51M
Balance Sheet
Total Assets	8.39B	8.39B	9.24B	8.81B	8.81B	8.91B
Cash, Cash Equivalents and Short-Term Investments	1.75B	1.75B	2.20B	1.68B	1.59B	1.60B
Total Debt	440.97M	440.97M	716.70M	992.70M	1.32B	1.66B
Total Liabilities	3.19B	3.19B	4.20B	3.88B	4.12B	4.35B
Stockholders Equity	5.20B	5.20B	5.04B	4.93B	4.69B	4.57B
Cash Flow
Free Cash Flow	-115.81M	-115.90M	905.40M	515.14M	347.44M	157.61M
Operating Cash Flow	71.47M	71.55M	1.03B	641.11M	450.19M	214.74M
Investing Cash Flow	-250.45M	-250.47M	-122.16M	-61.90M	-66.84M	-29.08M
Financing Cash Flow	-376.57M	-376.88M	-366.72M	-400.66M	-391.58M	-391.80M

Ota Floriculture Auction Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 748.00
• 50DMA: Negative
• 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:7555, the sentiment is Negative. The current price of 748 is below the 20-day moving average (MA) of 760.20, below the 50-day MA of 753.24, and above the 200-day MA of 742.28, indicating a neutral trend. The MACD of 0.99 indicates Positive momentum. The RSI at 41.82 is Neutral, neither overbought nor oversold. The STOCH value of 37.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7555.

Ota Floriculture Auction Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7443	64 Neutral	¥3.84B	20.74	7.20%	0.98%	4.14%	10.54%
1382	63 Neutral	¥1.89B	76.35	3.27%	2.02%	-4.22%	23.48%
7555	60 Neutral	¥3.80B	20.43	―	1.60%	-6.47%	9.73%
1383	59 Neutral	¥4.86B	446.18	1.93%	0.33%	5.14%	-85.96%
1380	57 Neutral	¥4.30B	69.11	1.29%	0.97%	9.41%	453.87%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%