Hoshi Iryosanki Co., Ltd. (7634) AI Stock Analysis

• Market Cap: ¥15.14B
• Dividend Yield: 1.43%
• Average Volume (3M): 1.44K
• Price to Earnings (P/E): 10.1
• Beta (1Y): 0.40
• Revenue Growth: 1.39%
• EPS Growth: 13.34%
• Country: JP
• Employees: 486
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Equipment & Services
• EPS (TTM): 86.42
• Shares Outstanding: 3,420,000
• 10 Day Avg. Volume: 850
• 30 Day Avg. Volume: 1,440
• PEG Ratio: 2.36
• Price to Book (P/B): 0.77
• Price to Sales (P/S): 0.94
• P/FCF Ratio: 8.63
• 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: ¥4,967.00
• Price Target Upside: 1.37% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: ¥4,967.00 ▲(1.37% Upside)

Hoshi Iryosanki Co., Ltd. demonstrates strong financial performance, which is the most significant factor driving its stock score, supported by robust revenue growth and profitability. However, technical indicators suggest a lack of momentum, balancing the strong financials. A favorable valuation adds to its investment appeal.

Hoshi Iryosanki Co., Ltd. Business Overview & Revenue Model

Company Description

Hoshi Iryo-Sanki Co., Ltd. manufactures and sells pharmaceutical medical oxygen and nitrous oxides in Japan. It operates in five segments: Medical Gas-Related Business; Home Healthcare-Related Business; Medical Gas Equipment Construction-Related Business; Nursing-Care Related Business; and Facilities Nursing-Related Business. The Medical Gas-Related Business segment sells medical oxygen gas, anesthetic gas, and other medical gas. The Home Healthcare-Related Business segment rents oxygen concentrators for home oxygen therapy; and equipment for continuous positive airway pressure, home ventilators, etc. The Medical Gas Equipment Construction-Related Business segment designs and constructs medical gas piping construction, as well as maintenance and inspection of medical gas piping equipment. The Nursing-Care Related Business segment offers rental and sale of nursing care related products and equipment, home renovation, home-visit nursing, and in-home nursing care support services. The Facilities Nursing-Related Business segment operates fee-based nursing homes and day care facilities, as well as related operations. The company was founded in 1960 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Hoshi Iryosanki Co., Ltd. generates revenue through the manufacture and sale of medical devices and equipment. The company's key revenue streams include direct sales to hospitals, clinics, and healthcare facilities, as well as distribution partnerships that expand its market reach. By focusing on the development of innovative and reliable medical solutions, Hoshi Iryosanki maintains strong relationships with healthcare providers, ensuring a steady demand for its products. Additionally, the company may engage in strategic partnerships or collaborations to enhance its product offerings and market presence, further contributing to its revenue.

Hoshi Iryosanki Co., Ltd. Financial Statement Overview

Summary

Hoshi Iryosanki Co., Ltd. demonstrates strong financial health with consistent revenue growth, high profitability margins, and a robust balance sheet with minimal leverage. Effective cash flow management further enhances its financial stability, though monitoring cash flow trends is crucial.

Income Statement

Hoshi Iryosanki Co., Ltd. has consistently demonstrated strong revenue growth, with an average annual increase of approximately 7.2% over the past five years. The company maintains solid profitability, evident from its gross profit margin of 48.4% and net profit margin of 9.7% in the most recent year. Additionally, the company's EBIT and EBITDA margins of 13.1% and 19.2% respectively, highlight operational efficiency and effective cost management.

Balance Sheet

The company's balance sheet is robust, characterized by a low debt-to-equity ratio of 0.06, indicating prudent leverage management. The equity ratio stands at 75%, suggesting a strong equity base relative to total assets. Return on equity has improved to 7.9%, reflecting efficient utilization of shareholders' equity to generate profits.

Cash Flow

Hoshi Iryosanki exhibits strong cash flow performance, with free cash flow growing by 25.5% in the latest period. The operating cash flow to net income ratio remains healthy at 1.5, indicating effective conversion of net income into cash. However, the decrease in operating cash flow from the previous year suggests potential challenges in sustaining cash generation at previous levels.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.24B	15.10B	14.78B	13.78B	12.77B	11.81B
Gross Profit	7.66B	7.31B	7.21B	6.71B	6.17B	5.77B
EBITDA	2.99B	2.90B	2.95B	2.73B	2.52B	2.23B
Net Income	1.52B	1.46B	1.40B	1.25B	1.11B	993.98M
Balance Sheet
Total Assets	24.96B	24.59B	23.04B	21.25B	20.25B	18.99B
Cash, Cash Equivalents and Short-Term Investments	10.52B	10.63B	9.76B	9.03B	8.76B	8.41B
Total Debt	789.40M	1.09B	834.44M	1.00B	1.29B	1.16B
Total Liabilities	5.88B	5.87B	5.66B	5.66B	5.74B	5.53B
Stockholders Equity	18.79B	18.43B	17.10B	15.37B	14.29B	13.25B
Cash Flow
Free Cash Flow	0.00	1.65B	2.14B	1.72B	1.32B	2.28B
Operating Cash Flow	0.00	2.20B	2.40B	2.29B	1.97B	2.48B
Investing Cash Flow	0.00	-5.29B	-744.85M	-1.06B	-690.26M	-64.14M
Financing Cash Flow	0.00	-739.64M	-902.90M	-957.69M	-936.90M	-1.44B

Hoshi Iryosanki Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4900.00
• 50DMA: Positive
• 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:7634, the sentiment is Positive. The current price of 4900 is below the 20-day moving average (MA) of 4903.39, above the 50-day MA of 4727.45, and above the 200-day MA of 4480.15, indicating a neutral trend. The MACD of 41.22 indicates Positive momentum. The RSI at 51.90 is Neutral, neither overbought nor oversold. The STOCH value of 33.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7634.

Hoshi Iryosanki Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3417	75 Outperform	¥19.17B	6.70	―	1.87%	3.70%	37.00%
7634	72 Outperform	¥15.14B	10.05	―	1.43%	1.39%	13.34%
4350	71 Outperform	¥14.49B	11.99	―	2.50%	5.93%	-36.11%
7743	67 Neutral	¥16.25B	14.58	―	2.81%	2.38%	-48.68%
7600	56 Neutral	¥13.48B	10.23	―	2.95%	4.84%	-148.94%
7702	55 Neutral	¥10.53B	124.68	―	3.86%	3.36%	-310.49%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%