Tomato Bank, Ltd. (8542) AI Stock Analysis

• Market Cap: ¥15.94B
• Dividend Yield: 3.55%
• Average Volume (3M): 18.46K
• Price to Earnings (P/E): 11.1
• Beta (1Y): 0.56
• Revenue Growth: 2.61%
• EPS Growth: -7.91%
• Country: JP
• Employees: 768
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 25.47
• Shares Outstanding: 11,679,030
• 10 Day Avg. Volume: 21,960
• 30 Day Avg. Volume: 18,460
• PEG Ratio: 0.63
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 1.02
• P/FCF Ratio: 1.59
• 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: 64 Neutral
• Price Target: ¥1,420.00 ▲(0.71% Upside)

Tomato Bank, Ltd. has a balanced overall stock score driven by favorable valuation metrics and a stable financial position. However, technical analysis indicates potential short-term weakness, and past cash flow issues pose risks. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Improved Profitability

Improved profitability metrics indicate Tomato Bank's ability to manage costs effectively and enhance earnings, supporting long-term financial health.

Debt Management

Reduced leverage through improved debt-to-equity ratio enhances financial stability and provides more flexibility for future investments and growth.

Cash Generation

Strong cash generation relative to earnings suggests robust cash management, ensuring liquidity and supporting sustainable operations.

Negative Factors

Revenue Decline

A decline in revenue growth rate indicates potential challenges in market expansion or product demand, which could affect future profitability.

Past Cash Flow Issues

Historical cash flow issues highlight potential risks in liquidity management, which could impact the bank's ability to fund operations and growth.

Low Return on Equity

Low return on equity suggests limited profitability from shareholders' investments, potentially affecting investor confidence and capital raising ability.

Tomato Bank, Ltd. Business Overview & Revenue Model

Company Description

Tomato Bank, Ltd. (8542) is a prominent financial institution based in Japan, primarily engaged in providing a wide range of banking services to both individual and corporate clients. The bank operates in various sectors, including retail banking, commercial banking, and investment services, offering products such as savings accounts, loans, credit cards, and wealth management solutions. Tomato Bank is dedicated to leveraging technology to enhance customer experience and streamline banking operations, making it a key player in the competitive financial services landscape.

How the Company Makes Money

Tomato Bank, Ltd. generates revenue primarily through interest income from loans and advances made to customers, which constitutes a significant portion of its earnings. The bank charges interest on various lending products, including personal loans, mortgages, and business loans, contributing to its core revenue stream. Additionally, the bank earns fees from various services such as account maintenance, transaction processing, and advisory services. Investment income from securities and other financial instruments also adds to the bank's overall profitability. Strategic partnerships with fintech companies may enhance Tomato Bank's service offerings and customer reach, further driving revenue growth.

Tomato Bank, Ltd. Financial Statement Overview

Summary

Tomato Bank, Ltd. presents a stable yet cautious financial outlook. Profitability metrics have improved, but revenue decline and past cash flow issues pose risks. The balance sheet is moderately leveraged, providing some stability.

Income Statement

Tomato Bank, Ltd. shows a mixed performance in its income statement. The net profit margin has improved to 7.33% in the latest year, indicating better profitability. However, the revenue growth rate has declined by 7.65%, which is a concern. The EBIT margin is stable at 11.09%, suggesting efficient operations, but the EBITDA margin has decreased, indicating potential cost pressures.

Balance Sheet

The balance sheet reflects a moderate financial position. The debt-to-equity ratio has improved to 0.72, showing a reduction in leverage. Return on equity is relatively low at 3.25%, indicating limited profitability from equity. The equity ratio is stable, suggesting a balanced asset structure.

Cash Flow

Cash flow analysis reveals challenges. Although free cash flow has grown significantly, the operating cash flow to net income ratio is strong at 2.97, indicating good cash generation relative to earnings. However, past negative operating cash flows raise concerns about cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	23.49B	23.16B	21.55B	20.71B	20.41B	20.01B
Gross Profit	23.49B	22.21B	21.30B	20.29B	20.14B	19.57B
EBITDA	3.03B	3.33B	3.06B	3.50B	3.20B	2.97B
Net Income	1.52B	1.82B	1.53B	1.88B	1.66B	1.52B
Balance Sheet
Total Assets	1.38T	1.36T	1.34T	1.31T	1.40T	1.30T
Cash, Cash Equivalents and Short-Term Investments	0.00	108.83B	101.97B	86.56B	196.34B	103.46B
Total Debt	40.03B	39.98B	39.34B	25.44B	120.55B	26.77B
Total Liabilities	1.32T	1.31T	1.29T	1.26T	1.35T	1.25T
Stockholders Equity	56.45B	55.86B	56.83B	54.20B	54.75B	51.81B
Cash Flow
Free Cash Flow	0.00	14.90B	-3.37B	-110.62B	90.10B	46.66B
Operating Cash Flow	0.00	15.32B	-3.02B	-110.25B	90.73B	47.32B
Investing Cash Flow	0.00	-26.13B	8.86B	2.06B	-13.00M	-10.85B
Financing Cash Flow	0.00	17.39B	17.55B	-828.00M	2.17B	-806.00M

Tomato Bank, Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1410.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8542, the sentiment is Positive. The current price of 1410 is above the 20-day moving average (MA) of 1394.55, above the 50-day MA of 1358.24, and above the 200-day MA of 1245.76, indicating a bullish trend. The MACD of 8.49 indicates Positive momentum. The RSI at 58.90 is Neutral, neither overbought nor oversold. The STOCH value of 67.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8542.

Tomato Bank, Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8537	77 Outperform	¥16.54B	6.75	―	3.77%	16.60%	-5.51%
8383	73 Outperform	¥12.66B	9.80	―	3.65%	11.93%	36.32%
8349	72 Outperform	¥12.66B	7.90	―	3.73%	13.77%	19.09%
8364	68 Neutral	¥23.77B	10.78	―	2.92%	4.90%	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
8542	64 Neutral	¥15.94B	11.09	―	3.55%	2.61%	-7.91%
8563	63 Neutral	¥9.86B	6.96	―	4.09%	5.91%	5.03%