EARTH INFINITY CO. LTD. (7692) AI Stock Analysis

• Market Cap: ¥11.23B
• Dividend Yield: 2.12%
• Average Volume (3M): 1.73M
• Price to Earnings (P/E): 24.4
• Beta (1Y): 1.78
• Revenue Growth: 34.49%
• EPS Growth: 206.79%
• Country: JP
• Employees: 33
• Sector: Utilities
• Sector Strength: 65
• Industry: Diversified Utilities
• EPS (TTM): 0.95
• Shares Outstanding: 110,131,200
• 10 Day Avg. Volume: 854,070
• 30 Day Avg. Volume: 1,732,363
• PEG Ratio: 0.13
• Price to Book (P/B): 10.51
• Price to Sales (P/S): 1.88
• P/FCF Ratio: 33.07
• 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: 62 Neutral
• Price Target: ¥119.00 ▲(20.20% Upside)

The overall stock score for EARTH INFINITY CO. LTD. is primarily influenced by its strong financial performance, characterized by consistent revenue growth and a stable capital structure. However, technical analysis indicates bearish trends, and the valuation suggests the stock may be overvalued, which impacts the overall score negatively.

Positive Factors

Revenue Growth

The company has shown consistent revenue growth, which indicates strong market demand for its products and services, enhancing long-term business prospects.

Capital Structure

An improved debt-to-equity ratio reflects a balanced approach to leveraging, providing financial stability and flexibility for future investments.

Market Position

The company's strong position in the diversified utilities industry suggests a competitive edge, supporting sustained growth and resilience against market fluctuations.

Negative Factors

Cash Flow Generation

Moderate cash generation relative to earnings indicates potential challenges in converting revenue into cash, which could impact long-term financial sustainability.

Profitability

A low net profit margin suggests there is room for improvement in profitability, which is crucial for enhancing shareholder value and sustaining growth.

Cash Flow Efficiency

High conversion of earnings into cash indicates reliance on cash reserves, necessitating improved operational cash flow for long-term financial health.

EARTH INFINITY CO. LTD. Business Overview & Revenue Model

Company Description

Earth Infinity Co.Ltd. engages in the electricity and gas retail businesses in Japan. It is also involved in the manufacture, sale, installation, and wholesale of electronic equipment, such as inverters and breakers, as well as sale of storage batteries and solar panels. The company was incorporated in 2002 and is headquartered in Osaka, Japan.

How the Company Makes Money

The company generates revenue through multiple streams, primarily by selling its renewable energy products and solutions to both commercial and residential clients. This includes the installation and maintenance of solar energy systems, which provide long-term contracts and service agreements that contribute to steady income. Additionally, EARTH INFINITY CO. LTD. engages in partnerships with government bodies and NGOs to implement large-scale environmental projects, which often come with funding and grants that enhance revenue. The company also capitalizes on the growing market for eco-friendly materials by producing and distributing sustainable goods, thereby diversifying its income sources. Furthermore, consulting services aimed at helping businesses transition to greener operations add to the revenue model, making it a multifaceted approach to profit generation.

EARTH INFINITY CO. LTD. Financial Statement Overview

Summary

EARTH INFINITY CO. LTD. demonstrates a strong financial position with consistent revenue growth and effective cost management. The balance sheet reflects a stable capital structure, while cash flow metrics indicate a need for improved operational cash generation. Overall, the company is well-positioned in the diversified utilities industry, but should focus on enhancing profitability and cash flow efficiency.

Income Statement

EARTH INFINITY CO. LTD. has shown consistent revenue growth over the years, with a notable increase of 4.17% in the latest year. The gross profit margin has improved to 32.58%, indicating efficient cost management. However, the net profit margin is relatively low at 6.86%, suggesting room for improvement in profitability. The EBIT and EBITDA margins are stable, reflecting solid operational performance.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.80, indicating a balanced approach to leveraging. Return on equity is strong at 38.26%, showcasing effective use of shareholder funds. The equity ratio stands at 39.37%, suggesting a healthy capital structure. However, the company should continue to monitor its debt levels to maintain financial stability.

Cash Flow

The operating cash flow to net income ratio is 0.28, indicating moderate cash generation relative to earnings. Free cash flow has grown significantly, but the free cash flow to net income ratio is high at 0.98, suggesting that most of the earnings are being converted into cash. The company should focus on improving cash flow from operations to ensure long-term sustainability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.46B	6.72B	5.00B	5.24B	4.58B	3.75B
Gross Profit	2.01B	2.19B	1.40B	1.54B	294.07M	853.59M
EBITDA	740.97M	734.00M	276.22M	539.07M	-398.20M	187.53M
Net Income	449.58M	461.00M	150.28M	386.22M	-389.22M	124.83M
Balance Sheet
Total Assets	2.84B	3.06B	2.37B	2.58B	2.23B	1.59B
Cash, Cash Equivalents and Short-Term Investments	705.40M	880.00M	566.13M	962.50M	466.44M	415.14M
Total Debt	988.66M	959.00M	885.96M	1.23B	1.21B	97.78M
Total Liabilities	1.73B	1.86B	1.48B	1.73B	1.76B	600.08M
Stockholders Equity	1.10B	1.21B	887.83M	858.69M	472.50M	993.26M
Cash Flow
Free Cash Flow	0.00	383.00M	72.35M	463.87M	-700.98M	-354.91M
Operating Cash Flow	0.00	389.00M	79.53M	693.79M	-496.92M	-212.42M
Investing Cash Flow	0.00	-6.00M	-7.08M	-226.70M	-427.95M	-196.05M
Financing Cash Flow	0.00	-68.73M	-468.82M	28.98M	976.18M	102.80M

EARTH INFINITY CO. LTD. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 99.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7692, the sentiment is Negative. The current price of 99 is below the 20-day moving average (MA) of 101.35, below the 50-day MA of 106.50, and below the 200-day MA of 107.98, indicating a bearish trend. The MACD of -1.97 indicates Negative momentum. The RSI at 41.56 is Neutral, neither overbought nor oversold. The STOCH value of 25.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7692.

EARTH INFINITY CO. LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9534	81 Outperform	¥65.09B	5.48	―	2.93%	2.77%	10.64%
9537	69 Neutral	¥17.28B	5.74	―	2.23%	6.66%	―
9539	68 Neutral	¥38.10B	11.69	―	1.82%	0.93%	1212.45%
3361	66 Neutral	¥17.37B	10.56	―	2.80%	-0.26%	11.30%
9818	66 Neutral	¥11.51B	13.60	―	1.87%	5.70%	-3.74%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
7692	62 Neutral	¥11.23B	24.36	―	2.12%	34.49%	206.79%