NEW ART HOLDINGS Co., Ltd. (7638) AI Stock Analysis

• Market Cap: ¥25.81B
• Dividend Yield: 3.01%
• Average Volume (3M): 17.66K
• Price to Earnings (P/E): 12.4
• Beta (1Y): 0.40
• Revenue Growth: 38.13%
• EPS Growth: 94.39%
• Country: JP
• Employees: 710
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Luxury Goods
• EPS (TTM): 16.07
• Shares Outstanding: 19,124,825
• 10 Day Avg. Volume: 11,550
• 30 Day Avg. Volume: 17,663
• PEG Ratio: 0.14
• Price to Book (P/B): 2.22
• Price to Sales (P/S): 0.80
• P/FCF Ratio: 18.53
• 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: ¥1,603.00
• Price Target Upside: 9.64% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: ¥1,603.00 ▲(9.64% Upside)

The overall stock score of 71 reflects strong financial performance and reasonable valuation, which are the most significant factors. Technical analysis indicates neutral to weak momentum, slightly tempering the overall score. The lack of earnings call and corporate events data does not impact the score.

NEW ART HOLDINGS Co., Ltd. Business Overview & Revenue Model

Company Description

NEW ART HOLDINGS Co., Ltd. (7638) is a diversified company that operates primarily within the jewelry and art sectors. The company is known for its production and retailing of high-quality jewelry and art pieces. It combines traditional craftsmanship with modern designs to cater to a wide range of customers, from individual collectors to large-scale distributors.

How the Company Makes Money

NEW ART HOLDINGS Co., Ltd. generates revenue through the sale of its jewelry and art products. The company employs a multi-channel approach, utilizing both physical retail locations and online platforms to reach its customers. Key revenue streams include direct sales to consumers, wholesale distribution to other retailers, and custom design services. The company also benefits from strategic partnerships and collaborations with artists and designers, which enhance its product offerings and market reach. Additionally, NEW ART HOLDINGS may engage in licensing agreements and exhibitions that contribute to its overall earnings.

NEW ART HOLDINGS Co., Ltd. Financial Statement Overview

Summary

NEW ART HOLDINGS Co., Ltd. demonstrates strong financial performance with solid revenue and profit growth in the luxury goods sector. The company maintains healthy profit margins and efficient cost management. The balance sheet reflects a sound financial structure but highlights the importance of prudent debt management. Cash flow performance is positive, though maintaining consistent free cash flow remains a focus. Overall, the company shows robust financial health with growth potential.

Income Statement

The company shows strong revenue growth, with a 31% increase in total revenue from 2024 to 2025. Gross profit margin remains healthy at around 61%, and net profit margin improved significantly from 5.14% in 2024 to 7.18% in 2025. EBIT and EBITDA margins are stable, indicating efficient cost management. The consistent revenue growth and improved profitability reflect a robust financial performance.

Balance Sheet

The debt-to-equity ratio stands at 0.92, indicating a manageable level of leverage. The return on equity (ROE) improved to 19.98% in 2025, demonstrating effective utilization of equity to generate profit. However, the equity ratio decreased slightly to 36.35%, suggesting a reliance on debt financing. Overall, the balance sheet shows solid financial health but highlights the need for cautious debt management.

Cash Flow

Operating cash flow has decreased slightly from 2024 to 2025, but free cash flow growth is substantial at 247% due to reduced capital expenditures. The operating cash flow to net income ratio is strong at 0.89, indicating efficient cash conversion. However, the free cash flow to net income ratio is lower at 0.60, suggesting some volatility in free cash flow generation. The cash flow statement reflects a positive cash position but highlights the need for maintaining consistent cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	29.58B	27.64B	21.10B	21.46B	18.72B	18.94B
Gross Profit	17.72B	16.78B	13.68B	13.54B	12.15B	11.16B
EBITDA	4.26B	4.42B	3.07B	3.37B	2.62B	2.55B
Net Income	2.06B	1.98B	1.09B	1.73B	1.48B	1.13B
Balance Sheet
Total Assets	26.84B	27.33B	21.99B	22.39B	20.91B	18.69B
Cash, Cash Equivalents and Short-Term Investments	821.97M	1.35B	1.71B	2.66B	3.32B	3.13B
Total Debt	8.32B	9.17B	7.12B	6.75B	5.53B	5.34B
Total Liabilities	16.42B	16.66B	13.12B	13.00B	11.26B	9.90B
Stockholders Equity	9.72B	9.94B	8.66B	9.23B	9.50B	8.79B
Cash Flow
Free Cash Flow	0.00	1.19B	343.47M	1.08B	1.29B	540.29M
Operating Cash Flow	0.00	1.76B	1.91B	1.97B	1.90B	3.12B
Investing Cash Flow	0.00	-455.74M	-1.44B	-1.05B	-926.35M	-2.48B
Financing Cash Flow	0.00	-1.58B	-1.48B	-1.70B	-843.95M	-455.07M

NEW ART HOLDINGS Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1462.00
• 50DMA: Negative
• 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:7638, the sentiment is Positive. The current price of 1462 is above the 20-day moving average (MA) of 1445.95, below the 50-day MA of 1475.81, and above the 200-day MA of 1407.24, indicating a neutral trend. The MACD of -4.74 indicates Negative momentum. The RSI at 52.21 is Neutral, neither overbought nor oversold. The STOCH value of 84.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7638.

NEW ART HOLDINGS Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9904	75 Outperform	¥10.18B	21.01	―	5.26%	3.88%	0.84%
7638	71 Outperform	¥25.81B	12.40	―	3.01%	38.13%	94.39%
7937	64 Neutral	$35.08B	22.35	2.37%	3.56%	19.89%	-11.30%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
8139	52 Neutral	¥24.40B	75.11	―	0.63%	2.98%	-42.40%
7872	46 Neutral	¥6.22B	―	―	4.62%	-1.15%	47.80%
7810	41 Neutral	¥2.61B	118.04	―	0.23%	10.06%	-22.65%