T&D Holdings (8795) AI Stock Analysis

• Market Cap: ¥1.99T
• Dividend Yield: 2.06%
• Average Volume (3M): 1.54M
• Price to Earnings (P/E): 15.5
• Beta (1Y): 1.10
• Revenue Growth: -2.35%
• EPS Growth: 17.94%
• Country: JP
• Employees: 20,408
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Life
• EPS (TTM): 73.35
• Shares Outstanding: 544,000,000
• 10 Day Avg. Volume: 1,484,710
• 30 Day Avg. Volume: 1,542,933
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• 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: ¥3,906.43
• Price Target Upside: 0.55% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 64 Neutral
• Price Target: ―

T&D Holdings exhibits strong revenue growth and improving operational efficiency, contributing positively to its financial performance. However, cash flow management and historical leverage are areas of concern. The technical analysis presents a mixed picture, with potential bearish momentum offset by some buying signals. Valuation metrics are favorable, indicating potential upside. Overall, while the stock shows promise, careful monitoring of financial stability and market trends is advised.

T&D Holdings Business Overview & Revenue Model

Company Description

T&D Holdings, Inc. is a prominent Japanese financial services group primarily engaged in the life insurance sector. The company operates through its core subsidiaries, including Taiyo Life Insurance Company, Daido Life Insurance Company, and T&D Financial Life Insurance Company. T&D Holdings offers a diverse range of insurance products and services tailored to meet the needs of individuals and corporate clients. These offerings include life insurance, health and medical insurance, and annuity products. The company is committed to providing innovative insurance solutions and contributing to the sustainable development of society through its financial services.

How the Company Makes Money

T&D Holdings generates revenue primarily through its life insurance business. The company collects premiums from policyholders in exchange for providing insurance coverage, which forms the bulk of its income. This includes premiums from individual and group life insurance policies, annuities, and health insurance products. Additionally, T&D Holdings invests a portion of the premiums collected in various financial instruments, such as bonds, stocks, and real estate, to generate investment income. The company also benefits from strategic partnerships and collaborations within the financial sector, which enhance its product offerings and distribution channels. Overall, T&D Holdings' revenue model is centered around delivering comprehensive insurance solutions while leveraging investment activities to maximize returns.

T&D Holdings Financial Statement Overview

Summary

T&D Holdings has demonstrated strong revenue growth and improved operational efficiency, reflected in the rising EBIT margin. The balance sheet shows stability with a reasonable debt-to-equity ratio, although historical leverage could pose future risks. Cash flow management remains a concern due to fluctuating free cash flow and incomplete operating cash flow data for TTM. Overall, the financial performance suggests a positive trend, but careful monitoring is necessary.

Income Statement

T&D Holdings has shown strong revenue growth in recent periods, with a notable increase in total revenue from the previous year. The gross profit margin is robust, reflecting efficient cost management. However, the net profit margin shows some fluctuation, with periods of negative net income in the past, indicating volatility in profitability. The EBIT margin has improved significantly in the TTM (Trailing-Twelve-Months), suggesting better operational efficiency.

Balance Sheet

The balance sheet of T&D Holdings indicates a stable financial structure with a reasonable debt-to-equity ratio. The company has maintained a healthy level of equity relative to its assets, illustrating strong financial stability. However, the previous periods showed a higher leverage which could pose a risk if not managed properly. The return on equity has improved over time, aligning with the company's profitability recovery.

Cash Flow

Cash flow analysis reveals fluctuating free cash flow, impacted by variable operating cash flows and capital expenditures. In the most recent periods, free cash flow has been positive, but the lack of operating cash flow data for TTM suggests potential inconsistencies. The free cash flow to net income ratio is not calculable for TTM, which affects the overall cash flow assessment.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.96T	2.49T	2.13T	1.70T	2.21T
Gross Profit	0.00	2.30T	2.13T	1.70T	2.21T
EBITDA	171.11B	156.11B	-81.06B	44.83B	158.45B
Net Income	126.41B	98.78B	-132.15B	14.18B	162.32B
Balance Sheet
Total Assets	16.62T	17.21T	16.77T	17.81T	17.88T
Cash, Cash Equivalents and Short-Term Investments	0.00	1.14T	1.14T	890.67B	1.02T
Total Debt	127.99B	127.99B	126.00B	162.00B	163.00B
Total Liabilities	15.31T	15.80T	15.78T	16.42T	16.32T
Stockholders Equity	1.30T	1.40T	987.17B	1.38T	1.55T
Cash Flow
Free Cash Flow	-379.47B	247.25B	-329.92B	-404.87B	489.40B
Operating Cash Flow	-359.87B	262.75B	-307.63B	-396.88B	500.49B
Investing Cash Flow	59.09B	-318.71B	665.96B	283.20B	-261.46B
Financing Cash Flow	-85.74B	-79.23B	-106.58B	-57.75B	-72.13B

T&D Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3885.00
• 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:8795, the sentiment is Positive. The current price of 3885 is above the 20-day moving average (MA) of 3595.75, above the 50-day MA of 3386.00, and above the 200-day MA of 2986.37, indicating a bullish trend. The MACD of 160.91 indicates Negative momentum. The RSI at 74.39 is Negative, neither overbought nor oversold. The STOCH value of 90.52 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8795.

T&D Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8766	73 Outperform	$11.93T	9.16	26.83%	2.73%	12.02%	75.88%
8630	70 Outperform	$4.34T	18.77	14.66%	2.80%	11.37%	27.90%
Sector *	67 Neutral	¥815.90B	12.84	9.17%	3.05%	8.46%	12.94%
8725	67 Neutral	$5.33T	7.29	16.93%	2.97%	8.40%	58.45%
8795	64 Neutral	¥1.99T	15.48	9.22%	2.06%	-2.35%	17.94%
8750	64 Neutral	$4.46T	13.20	9.18%	2.83%	-10.49%	-9.62%

T&D Holdings Corporate Events

T&D Holdings Completes Treasury Share Acquisition

T&D Holdings, Inc. has completed the acquisition of 2,265,800 treasury shares, amounting to approximately 6.25 billion yen, as part of a resolution passed by the board of directors in May 2024. This strategic move, executed through open-market repurchase, aims to enhance shareholder value and optimize capital structure, reflecting the company’s commitment to efficient capital management.