Fukui Bank, Ltd. (8362) AI Stock Analysis

• Market Cap: ¥47.75B
• Dividend Yield: 2.77%
• Average Volume (3M): 32.18K
• Price to Earnings (P/E): 8.0
• Beta (1Y): 0.91
• Revenue Growth: 10.04%
• EPS Growth: -16.66%
• Country: JP
• Employees: 1,770
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 126.79
• Shares Outstanding: 24,144,669
• 10 Day Avg. Volume: 29,370
• 30 Day Avg. Volume: 32,183
• 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: ¥2,213.00
• Price Target Upside: 5.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 73 Outperform
• Price Target: ¥2,213.00 ▲(5.53% Upside)

Fukui Bank's stock is supported by strong technical momentum and attractive valuation metrics, including a low P/E ratio and a solid dividend yield. However, financial performance presents mixed signals with profitability improvements overshadowed by high leverage and declining revenue growth. The absence of earnings call insights and corporate events leaves the analysis focused on these primary factors.

Fukui Bank, Ltd. Business Overview & Revenue Model

Company Description

The Fukui Bank, Ltd., together with its subsidiaries, provides various banking products and services. It operates through Banking and Leasing segments. The Banking segment offers deposits; lending services; credit cards; and domestic and foreign exchange, and credit guarantee services. The Leasing segment leases industrial machinery, computers, and office equipment. The company was incorporated in 1899 and is headquartered in Fukui, Japan.

How the Company Makes Money

Fukui Bank generates revenue primarily through interest income earned from loans provided to individuals and businesses. The bank charges interest on various types of loans, including personal loans, mortgages, and corporate loans, which constitutes a significant portion of its earnings. Additionally, it earns income from fees associated with banking services, such as account maintenance fees, transaction fees, and advisory services. The bank also generates revenue from its investment activities, including trading and asset management. Partnerships with local businesses and government entities further enhance its revenue streams by fostering community development and providing tailored financial solutions.

Fukui Bank, Ltd. Financial Statement Overview

Summary

Fukui Bank demonstrates strong profitability with improved margins and return on equity. However, the high debt-to-equity ratio and negative revenue growth rate highlight potential risks. The cash flow position has improved, but historical volatility suggests caution. Overall, the bank is profitable but faces challenges in revenue growth and leverage management.

Income Statement

Fukui Bank has shown a mixed performance in its income statement. The net profit margin has improved to 11.78% in the latest year, indicating strong profitability. However, the revenue growth rate has turned negative at -2.05%, suggesting a decline in revenue generation. The EBIT margin has improved to 12.51%, reflecting better operational efficiency. Despite these improvements, the declining revenue growth poses a concern.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 5.04, indicating significant leverage, which could pose financial risks. The return on equity has improved to 5.24%, showing better utilization of equity. However, the equity ratio remains low, suggesting a heavy reliance on debt financing. Overall, while profitability has improved, the high leverage remains a concern.

Cash Flow

The cash flow statement shows a strong free cash flow to net income ratio of 0.96, indicating efficient cash generation relative to net income. The operating cash flow has turned positive, reflecting improved cash management. However, the free cash flow growth rate is not calculable due to previous negative values, indicating volatility in cash flow generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	59.16B	59.05B	51.73B	51.27B	40.06B	39.11B
Gross Profit	58.10B	56.12B	50.94B	50.90B	42.65B	39.48B
EBITDA	9.21B	7.59B	7.04B	2.05B	4.63B	5.42B
Net Income	7.15B	7.15B	3.72B	1.80B	4.44B	2.55B
Balance Sheet
Total Assets	4.29T	4.29T	4.16T	4.00T	4.19T	3.51T
Cash, Cash Equivalents and Short-Term Investments	872.38B	872.38B	896.18B	1.11T	1.20T	903.66B
Total Debt	686.87B	686.87B	574.72B	454.84B	686.02B	557.15B
Total Liabilities	4.15T	4.15T	4.02T	3.87T	4.05T	3.38T
Stockholders Equity	136.38B	136.38B	135.74B	123.12B	133.00B	136.61B
Cash Flow
Free Cash Flow	0.00	20.68B	-8.10B	-260.25B	185.70B	479.27B
Operating Cash Flow	0.00	21.52B	-6.28B	-258.76B	186.54B	483.85B
Investing Cash Flow	0.00	-133.39B	-241.33B	168.91B	111.20B	-53.77B
Financing Cash Flow	0.00	-2.36B	40.18B	-2.53B	-1.76B	-976.00M

Fukui Bank, Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2097.00
• 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:8362, the sentiment is Positive. The current price of 2097 is above the 20-day moving average (MA) of 2014.80, above the 50-day MA of 1952.68, and above the 200-day MA of 1822.15, indicating a bullish trend. The MACD of 33.59 indicates Negative momentum. The RSI at 73.50 is Negative, neither overbought nor oversold. The STOCH value of 93.24 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8362.

Fukui Bank, Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8387	79 Outperform	59.11B	8.39	4.26%	3.13%	7.21%	-3.97%
8395	78 Outperform	50.14B	8.29	6.44%	2.64%	5.00%	-10.64%
8541	77 Outperform	47.12B	8.07	4.22%	2.82%	-3.02%	7.28%
8362	73 Outperform	¥47.75B	7.98	―	2.77%	10.04%	-16.66%
8344	72 Outperform	50.21B	11.69	3.25%	2.76%	-12.00%	28.81%
8550	54 Neutral	51.29B	-2.35	-14.74%	1.43%	3.90%	-935.77%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%