DAIKO TSUSAN CO.,LTD. (7673) AI Stock Analysis

• Market Cap: ¥9.21B
• Dividend Yield: 3.22%
• Average Volume (3M): 2.58K
• Price to Earnings (P/E): 10.7
• Beta (1Y): 0.47
• Revenue Growth: 21.26%
• EPS Growth: 20.51%
• Country: JP
• Employees: 146
• Sector: Technology
• Sector Strength: 88
• Industry: Communication Equipment
• EPS (TTM): 31.39
• Shares Outstanding: 5,332,780
• 10 Day Avg. Volume: 2,950
• 30 Day Avg. Volume: 2,580
• PEG Ratio: 0.26
• Price to Book (P/B): 0.89
• Price to Sales (P/S): 0.34
• P/FCF Ratio: 5.90
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: ¥1,966.00 ▲(23.34% Upside)

DAIKO TSUSAN CO.,LTD. scores well due to its strong financial performance, characterized by robust revenue growth and profitability. The valuation is attractive with a reasonable P/E ratio and a solid dividend yield. Technical analysis presents a mixed picture with neutral to bearish signals, slightly tempering the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a positive trajectory and suggests the company is effectively expanding its market reach and product adoption.

Cash Generation

Strong cash generation capabilities ensure the company can fund operations, invest in growth opportunities, and provide returns to shareholders.

Financial Health

A low debt-to-equity ratio suggests financial stability, reducing risk and providing flexibility for future investments or downturns.

Negative Factors

Asset Efficiency

Improving asset efficiency is crucial for maximizing returns on investment and ensuring optimal use of resources, impacting long-term profitability.

Cash Flow Ratios

Improving the operating cash flow to net income ratio is essential for ensuring that earnings are effectively converted into cash, supporting sustainable operations.

Asset Utilization

Enhancing asset utilization is important for increasing operational efficiency and profitability, ensuring resources are used to their full potential.

DAIKO TSUSAN CO.,LTD. Business Overview & Revenue Model

Company Description

DAIKO TSUSAN CO.,LTD. (7673) is a prominent trading company based in Japan, specializing in the import and export of various products across multiple sectors, including textiles, machinery, and consumer goods. The company is known for its extensive network and expertise in facilitating trade, providing efficient supply chain solutions, and serving as a crucial intermediary between manufacturers and consumers. DAIKO TSUSAN leverages its market knowledge to deliver high-quality products and services tailored to the needs of its clients.

How the Company Makes Money

DAIKO TSUSAN CO.,LTD. generates revenue primarily through its trading activities, which include the buying and selling of goods across different markets. The company earns money by marking up the prices of products sourced from manufacturers before selling them to retailers or end consumers. Key revenue streams include commission from transactions, import/export fees, and value-added services such as logistics and warehousing. Additionally, DAIKO TSUSAN may establish significant partnerships with manufacturers and distributors to secure exclusive rights to certain products, enhancing its competitive edge and profitability.

DAIKO TSUSAN CO.,LTD. Financial Statement Overview

Summary

DAIKO TSUSAN CO.,LTD. demonstrates strong financial health with consistent revenue growth, solid profitability, and effective cash flow management. The company's low leverage and strong equity position provide stability, though there is potential to enhance asset efficiency and cash flow ratios further.

Income Statement

DAIKO TSUSAN CO.,LTD. has shown strong revenue growth of 12.89% in the latest year, indicating a positive trajectory. The gross profit margin and net profit margin are healthy, reflecting efficient cost management and profitability. EBIT and EBITDA margins are stable, supporting operational efficiency.

Balance Sheet

The company maintains a low debt-to-equity ratio, indicating prudent financial leverage. Return on equity is solid, showcasing effective use of shareholder funds. The equity ratio suggests a strong capital structure, though there is room for improvement in asset utilization.

Cash Flow

Operating cash flow is robust, and free cash flow has grown significantly, highlighting strong cash generation capabilities. The free cash flow to net income ratio indicates efficient conversion of profits into cash, although the operating cash flow to net income ratio could be improved.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	21.88B	21.73B	17.22B	17.15B	17.58B	18.09B
Gross Profit	3.14B	3.10B	2.61B	2.63B	2.74B	2.87B
EBITDA	1.25B	1.26B	934.35M	963.04M	1.10B	1.22B
Net Income	819.01M	816.34M	602.06M	615.07M	703.63M	790.26M
Balance Sheet
Total Assets	16.31B	17.59B	16.03B	14.10B	14.88B	14.08B
Cash, Cash Equivalents and Short-Term Investments	6.14B	7.40B	6.46B	4.81B	6.40B	6.13B
Total Debt	722.00M	739.19M	790.34M	336.47M	412.69M	452.60M
Total Liabilities	8.05B	9.18B	8.17B	6.59B	7.73B	7.38B
Stockholders Equity	8.26B	8.41B	7.86B	7.51B	7.15B	6.70B
Cash Flow
Free Cash Flow	0.00	1.26B	1.47B	-718.19M	652.54M	424.62M
Operating Cash Flow	0.00	1.40B	2.16B	-634.39M	1.22B	682.62M
Investing Cash Flow	0.00	102.60M	-2.16B	879.93M	-946.83M	-903.49M
Financing Cash Flow	0.00	-317.72M	192.58M	-336.11M	-335.91M	-140.45M

DAIKO TSUSAN CO.,LTD. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1594.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7673, the sentiment is Positive. The current price of 1594 is below the 20-day moving average (MA) of 1693.05, below the 50-day MA of 1624.08, and above the 200-day MA of 1512.02, indicating a bullish trend. The MACD of 38.64 indicates Negative momentum. The RSI at 64.80 is Neutral, neither overbought nor oversold. The STOCH value of 44.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7673.

DAIKO TSUSAN CO.,LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7673	74 Outperform	¥9.21B	10.67	―	3.22%	21.26%	20.51%
6822	64 Neutral	¥5.12B	3.93	―	0.53%	4.93%	23.92%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6904	59 Neutral	¥10.61B	12.31	―	1.64%	-11.47%	―
6771	53 Neutral	¥4.46B	10.99	―	2.01%	13.56%	―