Traders Holdings Co., Ltd. (8704) AI Stock Analysis

• Market Cap: ¥29.88B
• Dividend Yield: 3.18%
• Average Volume (3M): 362.52K
• Price to Earnings (P/E): 6.7
• Beta (1Y): 1.13
• Revenue Growth: 20.01%
• EPS Growth: 19.98%
• Country: JP
• Employees: 275
• Sector: Financial
• Sector Strength: 77
• Industry: Financial - Capital Markets
• EPS (TTM): 39.63
• Shares Outstanding: 29,538,647
• 10 Day Avg. Volume: 320,450
• 30 Day Avg. Volume: 362,516
• 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: ¥1,117.00
• Price Target Upside: 12.15% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 73 Outperform
• Price Target: ¥1,117.00 ▲(12.15% Upside)

Traders Holdings Co., Ltd. receives a strong overall score driven by its robust financial performance and attractive valuation. While technical analysis presents mixed signals, the company's low P/E ratio and solid dividend yield enhance its investment appeal. The absence of earnings call data and corporate events does not impact the score.

Traders Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

Traders Holdings Co.,Ltd., through its subsidiaries, engages in the foreign exchange and securities transaction activities in Japan. The company offers financial instrument, investment advisory and agency, commodity futures trading, and financial solutions. It is also involved in the development, maintenance, and management of financial transaction systems; and manufacture and sale of biomass power generation systems. The company was incorporated in 1999 and is based in Tokyo, Japan.

How the Company Makes Money

Traders Holdings Co., Ltd. generates revenue primarily through trading commissions, spreads, and fees associated with its online trading platforms. The company earns money by charging commissions on trades executed by its clients on its platforms, as well as by earning the spread between the buy and sell prices of the financial instruments traded. Additionally, it may generate income from interest on client accounts and through other financial services offered. Strategic partnerships with financial institutions and technology providers enhance its service offerings and market reach, further contributing to its revenue streams.

Traders Holdings Co., Ltd. Financial Statement Overview

Summary

Traders Holdings Co., Ltd. demonstrates strong financial performance with robust revenue growth, high profitability margins, and a solid balance sheet. The company effectively manages its leverage and generates impressive returns on equity. Cash flow is positive, though there is room for improvement in cash flow ratios.

Income Statement

Traders Holdings Co., Ltd. has demonstrated strong revenue growth with a significant increase in Total Revenue from the previous year, showcasing an upward trajectory in business expansion. The Gross Profit Margin and Net Profit Margin both indicate robust profitability, with figures consistently above industry averages. High EBIT and EBITDA margins further reflect operational efficiency and effective cost management.

Balance Sheet

The company's balance sheet is solid, with a low Debt-to-Equity Ratio indicating prudent leverage management. Additionally, the Return on Equity (ROE) is impressive, reflecting effective use of shareholder funds to generate profits. The Equity Ratio is healthy, showing a strong equity base relative to total assets, enhancing financial stability.

Cash Flow

Cash flow analysis reveals a positive trend with substantial growth in Free Cash Flow, indicative of strong financial health and the ability to fund operations and investments. The Operating Cash Flow to Net Income Ratio indicates that earnings are well-supported by cash flow from operations, although there is room for improvement in Free Cash Flow to Net Income Ratio for optimal financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	12.93B	13.43B	10.10B	9.19B	7.08B	6.86B
Gross Profit	12.17B	12.93B	9.58B	8.45B	6.57B	6.43B
EBITDA	7.01B	7.01B	4.70B	4.02B	2.65B	2.48B
Net Income	4.55B	4.55B	3.33B	3.22B	2.19B	1.79B
Balance Sheet
Total Assets	125.05B	125.05B	118.19B	88.32B	74.10B	68.55B
Cash, Cash Equivalents and Short-Term Investments	12.12B	12.12B	8.85B	5.78B	6.37B	5.11B
Total Debt	1.13B	1.13B	2.23B	2.10B	2.06B	1.70B
Total Liabilities	107.63B	107.63B	104.08B	76.34B	64.85B	61.23B
Stockholders Equity	17.41B	17.41B	14.12B	11.97B	9.25B	7.32B
Cash Flow
Free Cash Flow	0.00	6.99B	5.11B	692.00M	578.00M	1.50B
Operating Cash Flow	0.00	7.00B	5.17B	1.32B	849.00M	1.73B
Investing Cash Flow	0.00	-607.00M	-329.00M	-729.00M	-146.00M	-510.00M
Financing Cash Flow	0.00	-2.58B	-1.28B	-590.00M	73.00M	-151.00M

Traders Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 996.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8704, the sentiment is Neutral. The current price of 996 is above the 20-day moving average (MA) of 968.35, below the 50-day MA of 1046.90, and above the 200-day MA of 986.66, indicating a neutral trend. The MACD of -10.27 indicates Negative momentum. The RSI at 48.23 is Neutral, neither overbought nor oversold. The STOCH value of 72.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:8704.

Traders Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8704	73 Outperform	¥29.88B	6.72		3.18%	20.01%	19.98%
Sector *	68 Neutral	$18.06B	11.97	10.24%	3.74%	9.75%	1.30%
896	―	€188.59M	16.34	4.96%	―	―	―
8699	74 Outperform	¥42.30B	2.52		0.94%	16.02%	20.35%
8614	71 Outperform	¥38.18B	13.94		5.51%	11.72%	158.52%
7185	69 Neutral	¥27.21B	12.93		0.95%	-5.85%	-31.62%
8708	69 Neutral	¥44.36B	17.87		6.72%	0.74%	-5.46%

Traders Holdings Co., Ltd. Corporate Events

Traders Holdings Reports Decline in Quarterly Financial Results

Traders Holdings Co., Ltd. reported a decline in its financial performance for the three months ended June 30, 2025, with significant decreases in operating revenue, operating profit, and profit attributable to owners compared to the previous year. Despite the downturn, the company maintains its financial forecasts for the fiscal year ending March 31, 2025, expecting a moderate growth in operating revenue and profit.