VT Holdings Co., Ltd. (7593) AI Stock Analysis

• Market Cap: ¥58.33B
• Dividend Yield: 4.62%
• Average Volume (3M): 314.83K
• Price to Earnings (P/E): 11.6
• Beta (1Y): 0.45
• Revenue Growth: 8.56%
• EPS Growth: -13.47%
• Country: JP
• Employees: 4,067
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Dealerships
• EPS (TTM): 19.38
• Shares Outstanding: 122,581,030
• 10 Day Avg. Volume: 299,820
• 30 Day Avg. Volume: 314,830
• PEG Ratio: -0.50
• Price to Book (P/B): 0.85
• Price to Sales (P/S): 0.17
• P/FCF Ratio: 4.93
• 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: 61 Neutral
• Price Target: ¥514.00 ▼(-0.96% Downside)

The overall stock score of 61 reflects a combination of moderate financial performance and valuation attractiveness. The company's financials show growth but face profitability and cash flow challenges. Technical indicators suggest a lack of strong momentum, while the valuation is appealing due to a low P/E ratio and high dividend yield. The absence of earnings call data and notable corporate events limits further insights.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a stable demand for the company's products and services, supporting long-term business sustainability.

Diversified Revenue Streams

Diversified revenue streams from sales, services, and financing provide resilience against market fluctuations and enhance business stability.

Strategic Partnerships

Partnerships with manufacturers enhance product offerings and market reach, supporting long-term competitive positioning and growth.

Negative Factors

Profitability Margins

Low profitability margins indicate cost pressures and efficiency challenges, which could hinder long-term financial performance.

Cash Flow Management

Negative free cash flow growth suggests difficulties in cash conversion, potentially impacting the company's ability to invest and grow.

Leverage Concerns

A high debt-to-equity ratio can limit financial flexibility and increase risk, affecting long-term financial health and investment capacity.

VT Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

Vt Holdings Co.,Ltd. operates as an automobile dealer in Japan. The company imports premium cars; and exports used vehicles worldwide. It is also involved in the car rental business; and system development and website production for automobile dealers. In addition, it operates in housing-related business. The company was formerly known as Honda Verno Tokai Co., Ltd. and changed its name to Vt Holdings Co.,Ltd. in April 2003. Vt Holdings Co.,Ltd. was incorporated in 1978 and is headquartered in Nagoya, Japan.

How the Company Makes Money

VT Holdings generates revenue primarily through the sale of new and used automobiles, which constitutes its core revenue stream. The company benefits from a robust dealership network that facilitates vehicle sales and enhances customer reach. Additional revenue is derived from after-sales services, including maintenance and repair, which provide a steady income stream as vehicle owners return for services throughout the lifecycle of their vehicles. The company also earns from financial services related to vehicle financing and insurance solutions. Strategic partnerships with various automotive manufacturers further bolster its revenue potential, allowing VT Holdings to offer a diverse lineup of vehicles and capitalize on promotional opportunities.

VT Holdings Co., Ltd. Financial Statement Overview

Summary

VT Holdings Co., Ltd. presents a mixed financial picture. While there is revenue growth, profitability margins are under pressure. The balance sheet shows moderate leverage, but cash flow management appears to be a concern with declining free cash flow. The company needs to focus on improving profitability and cash flow efficiency to strengthen its financial position.

Income Statement

VT Holdings Co., Ltd. shows moderate revenue growth with a TTM increase of 1.66%. However, the gross profit margin has slightly decreased over time, indicating potential cost pressures. The net profit margin is relatively low at 1.51%, suggesting limited profitability. EBIT and EBITDA margins are stable but not particularly strong, reflecting average operational efficiency.

Balance Sheet

The company's debt-to-equity ratio is close to 1, indicating a balanced but slightly leveraged position. Return on equity has decreased over time, currently at 7.33%, which is moderate. The equity ratio is not explicitly provided, but the overall leverage suggests a cautious approach to financing.

Cash Flow

Operating cash flow is positive, but free cash flow has shown a negative growth rate recently, indicating potential cash management issues. The free cash flow to net income ratio is below 0.5, suggesting limited cash conversion efficiency. The operating cash flow to net income ratio is also low, highlighting potential challenges in converting income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	357.46B	351.63B	311.60B	266.33B	237.93B	199.53B
Gross Profit	54.25B	53.38B	49.60B	43.91B	39.89B	33.14B
EBITDA	26.33B	26.31B	25.27B	23.93B	28.03B	16.89B
Net Income	5.15B	5.30B	6.70B	7.18B	11.68B	4.71B
Balance Sheet
Total Assets	279.97B	277.90B	272.88B	229.83B	188.05B	174.01B
Cash, Cash Equivalents and Short-Term Investments	14.15B	14.64B	13.48B	12.77B	11.93B	9.33B
Total Debt	79.39B	70.88B	105.00B	85.20B	70.44B	68.27B
Total Liabilities	199.57B	197.49B	190.88B	157.09B	131.12B	128.69B
Stockholders Equity	71.02B	71.24B	72.85B	64.50B	51.34B	40.20B
Cash Flow
Free Cash Flow	11.15B	12.24B	-1.84B	-2.54B	7.86B	10.58B
Operating Cash Flow	25.57B	27.96B	12.06B	11.17B	16.82B	16.45B
Investing Cash Flow	-11.09B	-11.01B	-10.33B	-9.79B	-5.61B	-2.58B
Financing Cash Flow	-12.62B	-15.81B	-1.36B	-623.00M	-8.74B	-14.45B

VT Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 519.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7593, the sentiment is Positive. The current price of 519 is above the 20-day moving average (MA) of 504.75, above the 50-day MA of 496.30, and above the 200-day MA of 478.93, indicating a bullish trend. The MACD of 5.96 indicates Negative momentum. The RSI at 68.47 is Neutral, neither overbought nor oversold. The STOCH value of 86.01 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7593.

VT Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8291	76 Outperform	¥29.90B	7.72	―	4.83%	-6.89%	-50.31%
7599	73 Outperform	¥116.37B	9.60	―	2.92%	11.66%	-7.47%
7134	71 Outperform	¥8.66B	11.65	―	2.85%	6.55%	1.07%
3186	69 Neutral	¥181.83B	20.72	―	1.28%	21.79%	9.89%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
7593	61 Neutral	¥58.33B	11.58	―	4.62%	8.56%	-13.47%
9268	55 Neutral	¥22.73B	-9.95	―	5.13%	23.82%	-151.12%

VT Holdings Co., Ltd. Corporate Events

VT Holdings Completes Share Repurchase to Boost Capital Efficiency

VT Holdings Co., Ltd. has completed the acquisition of its own shares, repurchasing 4,766,500 common shares at a cost of ¥2,302,219,500 through the ToSTNeT-3 system of the Tokyo Stock Exchange. This move aims to enhance capital efficiency and provide flexibility in capital policies in response to changing business environments.

VT Holdings Announces Share Repurchase Plan

VT Holdings Co., Ltd. has announced a decision by its Board of Directors to repurchase up to 5 million of its own shares, representing 3.93% of the total issued shares, to enhance capital efficiency and adapt to changing business conditions. The repurchase will be conducted through the Tokyo Stock Exchange’s off-auction trading system at a cost of up to ¥2.5 billion, with the results to be announced shortly after the transaction.

VT Holdings Reports Revenue Growth Amid Profit Decline

VT Holdings reported a 6.9% increase in revenue for the three months ending June 30, 2025, despite a decline in operating profit and profit before tax. The company anticipates modest growth in revenue for the fiscal year ending March 31, 2026, with a projected 5.2% increase, while operating profit is expected to rise by 19.7%, indicating a positive outlook for stakeholders.