LIHIT LAB., INC. (7975) AI Stock Analysis

• Market Cap: ¥3.92B
• Dividend Yield: 2.15%
• Average Volume (3M): 1.42K
• Price to Earnings (P/E): 10.4
• Beta (1Y): 0.07
• Revenue Growth: 4.21%
• EPS Growth: N/A
• Country: JP
• Employees: 592
• Sector: Industrials
• Sector Strength: 87
• Industry: Business Equipment & Supplies
• EPS (TTM): 7.61
• Shares Outstanding: 3,815,700
• 10 Day Avg. Volume: 1,500
• 30 Day Avg. Volume: 1,420
• PEG Ratio: 0.09
• Price to Book (P/B): 0.37
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥1,245.00
• Price Target Upside: 6.96% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 70 Neutral
• Price Target: ¥1,245.00 ▲(6.96%Upside)

LIHIT LAB., INC. demonstrates a solid financial foundation with strong balance sheet metrics, but faces challenges with profitability and cash flow consistency. The stock's valuation suggests it is relatively undervalued with an attractive dividend yield, though technical indicators show neutral momentum. These factors collectively result in a moderate stock score.

LIHIT LAB., INC. Business Overview & Revenue Model

Company Description

LIHIT LAB., INC. (7975) is a Japanese company that specializes in the design, manufacture, and sale of office supplies and stationery products. It operates primarily in the business supplies sector, catering to both individual and corporate customers. The company's core products include file folders, document cases, desktop organizers, and other stationery items that enhance office productivity and organization.

How the Company Makes Money

LIHIT LAB., INC. generates revenue primarily through the sale of its office supplies and stationery products. The company distributes its products through a variety of channels, including direct sales to businesses, online retail platforms, and partnerships with office supply distributors. Key revenue streams include sales of its popular product lines such as file folders and document organizers, which are marketed to both domestic and international markets. Additionally, LIHIT LAB. may engage in partnerships with other companies to expand its product offerings and reach new customer segments, contributing to its overall earnings.

LIHIT LAB., INC. Financial Statement Overview

Summary

The company exhibits positive revenue growth and a strong balance sheet with a low debt-to-equity ratio, indicating financial stability. However, profitability is inconsistent, and there are challenges with cash flow volatility, which slightly dampen the financial outlook.

Income Statement

The company shows a positive revenue growth trend with a significant increase in total revenue over the years. Despite this, there are fluctuations in profitability, as seen in the mixed net income results, which suggest a volatile net profit margin. The EBIT and EBITDA margins indicate some operational challenges but show improvement in the latest period, reflecting a rebound in operational efficiency.

Balance Sheet

The balance sheet reveals a strong equity base, with a high equity ratio signifying financial stability. The debt-to-equity ratio is low, indicating prudent leverage management, which adds to the company's financial resilience. However, the declining net debt over the years suggests an increasing cash position, enhancing liquidity.

Cash Flow

While there is a positive trend in free cash flow in the most recent period, the historical volatility in operating cash flows and free cash flows indicates potential challenges in cash management. The operating cash flow to net income ratio and free cash flow to net income ratio have shown improvement recently, suggesting more efficient cash conversion from profits.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	9.22B	8.80B	8.51B	8.69B	8.56B
Gross Profit	2.88B	2.52B	2.50B	2.90B	3.02B
EBITDA	822.07M	174.54M	261.38M	725.53M	840.88M
Net Income	411.57M	-93.73M	-24.41M	262.51M	352.95M
Balance Sheet
Total Assets	13.43B	13.12B	12.73B	13.33B	12.87B
Cash, Cash Equivalents and Short-Term Investments	2.33B	1.24B	1.08B	2.26B	1.80B
Total Debt	437.50M	751.50M	445.00M	698.00M	751.00M
Total Liabilities	2.79B	2.88B	2.51B	3.22B	3.24B
Stockholders Equity	10.64B	10.24B	10.22B	10.11B	9.62B
Cash Flow
Free Cash Flow	17.92M	-196.64M	-825.63M	608.64M	614.58M
Operating Cash Flow	290.49M	663.33M	-745.70M	720.74M	726.37M
Investing Cash Flow	1.18B	-726.91M	-112.96M	-127.15M	-129.18M
Financing Cash Flow	-400.05M	220.14M	-339.35M	-139.16M	-475.32M

LIHIT LAB., INC. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1164.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7975, the sentiment is Positive. The current price of 1164 is above the 20-day moving average (MA) of 1161.15, above the 50-day MA of 1155.44, and above the 200-day MA of 1131.40, indicating a neutral trend. The MACD of -0.15 indicates Positive momentum. The RSI at 48.48 is Neutral, neither overbought nor oversold. The STOCH value of 12.91 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7975.

LIHIT LAB., INC. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7846	81 Outperform	¥161.46B	11.38		2.92%	5.42%	13.99%
7976	73 Outperform	¥108.03B	10.59		2.15%	20.31%	6.00%
7975	70 Neutral	¥3.92B	10.37		2.15%	4.21%	―
7957	68 Neutral	¥2.24B	5.19		5.32%	12.55%	―
Sector *	65 Neutral	$10.91B	15.53	5.25%	2.19%	3.15%	-27.00%
7962	51 Neutral	¥23.46B	157.80		1.70%	1.78%	-46.92%
7992	46 Neutral	¥3.65B	―		―	6.93%	33.43%