CRESTEC Inc. (7812) AI Stock Analysis

• Market Cap: ¥5.66B
• Dividend Yield: 4.14%
• Average Volume (3M): 2.96K
• Price to Earnings (P/E): 7.6
• Beta (1Y): 0.26
• Revenue Growth: -1.48%
• EPS Growth: -18.73%
• Country: JP
• Employees: 1,383
• Sector: Industrials
• Sector Strength: 78
• Industry: Specialty Business Services
• EPS (TTM): -7.92
• Shares Outstanding: 3,248,900
• 10 Day Avg. Volume: 2,790
• 30 Day Avg. Volume: 2,956
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥2,039.00
• Price Target Upside: 11.12% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: ¥2,039.00 ▲(11.12% Upside)

CRESTEC Inc. scores well due to its strong cash flow management and attractive valuation, with a low P/E ratio and high dividend yield. However, the stock faces challenges in revenue growth and profitability, and technical indicators suggest potential short-term volatility due to overbought conditions.

CRESTEC Inc. Business Overview & Revenue Model

Company Description

CRESTEC Inc. (7812) is a Japanese company specializing in the provision of comprehensive marketing communication services. The company operates within the sectors of printing, translation, and digital content management. It offers a wide range of services including the production of marketing materials, multi-language translation, and localization services, as well as digital content creation and management solutions. CRESTEC Inc. caters to a diverse clientele, helping businesses effectively communicate and market their products across various global markets.

How the Company Makes Money

CRESTEC Inc. generates revenue primarily through its diverse service offerings in the fields of printing, translation, and digital content management. The company earns money by providing end-to-end marketing communication solutions, which include the production and distribution of printed marketing materials, translation and localization services for businesses aiming to reach international audiences, and the creation and management of digital content. Key revenue streams include fees for service contracts with corporate clients, project-based payments for specific marketing initiatives, and ongoing subscriptions or retainer agreements for digital content management services. Significant partnerships with multinational corporations and a strong presence in global markets contribute to the company's earnings, enabling it to leverage its expertise in delivering customized solutions that meet the unique needs of its diverse clientele.

CRESTEC Inc. Financial Statement Overview

Summary

CRESTEC Inc. presents a mixed financial performance. The income statement shows challenges in revenue growth and profitability, while the balance sheet reflects moderate leverage and stability. The cash flow statement is a strong point, highlighting effective cash management. The company needs to focus on improving revenue growth and profitability while maintaining its strong cash flow position to enhance its financial health.

Income Statement

CRESTEC Inc. has shown a mixed performance in its income statement. The company experienced a decline in revenue growth rate by -2.81% in the latest year, indicating challenges in maintaining sales momentum. However, the gross profit margin remains relatively stable, suggesting effective cost management. The net profit margin has decreased, reflecting pressure on profitability. Despite these challenges, the EBIT and EBITDA margins indicate operational efficiency, though they have slightly decreased compared to previous years.

Balance Sheet

The balance sheet of CRESTEC Inc. shows a moderate financial position. The debt-to-equity ratio has improved over the years, indicating better leverage management, but remains a point of concern. The return on equity has decreased, suggesting a decline in profitability relative to shareholders' equity. The equity ratio is stable, indicating a balanced capital structure. Overall, the company maintains a reasonable level of financial stability with some room for improvement in leverage.

Cash Flow

CRESTEC Inc.'s cash flow statement reflects strong cash generation capabilities. The operating cash flow to net income ratio is healthy, indicating efficient cash conversion from earnings. The free cash flow growth rate is exceptionally high due to a low base effect, but the free cash flow to net income ratio suggests solid cash flow management. The company demonstrates strong cash flow performance, which supports its operational and financial activities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	19.13B	18.79B	19.07B	21.27B	18.61B	17.25B
Gross Profit	5.68B	5.37B	5.51B	6.19B	5.15B	4.60B
EBITDA	2.44B	2.17B	2.30B	2.65B	2.18B	1.81B
Net Income	1.02B	736.76M	910.73M	852.00M	835.32M	453.54M
Balance Sheet
Total Assets	18.70B	17.78B	19.77B	18.46B	17.63B	14.14B
Cash, Cash Equivalents and Short-Term Investments	5.70B	5.53B	5.68B	5.04B	4.91B	3.61B
Total Debt	6.45B	6.03B	6.91B	7.38B	7.09B	6.17B
Total Liabilities	9.66B	8.85B	10.54B	10.72B	10.79B	9.07B
Stockholders Equity	8.05B	7.95B	8.18B	6.86B	6.04B	4.48B
Cash Flow
Free Cash Flow	0.00	1.51B	1.64B	40.86M	538.35M	964.53M
Operating Cash Flow	0.00	1.98B	2.49B	1.72B	1.79B	1.76B
Investing Cash Flow	0.00	-297.76M	-693.45M	-1.56B	-1.27B	-875.20M
Financing Cash Flow	0.00	-1.45B	-1.38B	-236.39M	395.77M	-533.61M

CRESTEC Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1835.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7812, the sentiment is Positive. The current price of 1835 is above the 20-day moving average (MA) of 1764.60, above the 50-day MA of 1687.08, and above the 200-day MA of 1623.05, indicating a bullish trend. The MACD of 46.26 indicates Negative momentum. The RSI at 76.50 is Negative, neither overbought nor oversold. The STOCH value of 85.27 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7812.

CRESTEC Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7914	76 Outperform	¥50.68B	10.96		4.84%	1.93%	202.39%
7812	71 Outperform	¥5.66B	7.64		4.14%	-1.48%	-18.73%
3958	70 Outperform	¥3.16B	12.68		3.28%	-3.07%	-36.85%
7919	68 Neutral	¥3.42B	6.81		3.77%	2.39%	-8.65%
3948	66 Neutral	¥7.26B	39.92		3.17%	-3.04%	-10.38%
7893	65 Neutral	¥28.11B	63.07		3.27%	3.42%	-120.51%
Sector *	64 Neutral	$10.84B	16.09	8.89%	1.97%	2.67%	-15.04%