Takara Leben Co., Ltd. (8897) AI Stock Analysis

• Market Cap: ¥53.62B
• Dividend Yield: 7.35%
• Average Volume (3M): 802.12K
• Price to Earnings (P/E): 10.2
• Beta (1Y): 0.64
• Revenue Growth: -21.50%
• EPS Growth: -56.82%
• Country: JP
• Employees: 1,377
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): N/A
• Shares Outstanding: 140,300,000
• 10 Day Avg. Volume: 1,059,950
• 30 Day Avg. Volume: 802,116
• PEG Ratio: -0.51
• Price to Book (P/B): 0.80
• Price to Sales (P/S): 0.34
• P/FCF Ratio: -5.04
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: ¥420.00 ▲(8.53% Upside)

Takara Leben Co., Ltd. has a balanced score driven by attractive valuation metrics, including a low P/E ratio and high dividend yield. However, financial performance is hindered by high leverage and negative cash flow trends, while technical indicators suggest bearish momentum. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Revenue Diversification

Takara Leben's diversified revenue streams, including property management and renewable energy, provide stability and reduce reliance on single income sources.

Renewable Energy Expansion

The company's investment in renewable energy positions it well for future growth, aligning with global sustainability trends and offering potential for long-term revenue.

Stable Profit Margins

Stable profit margins indicate consistent operational efficiency and the ability to maintain profitability despite market fluctuations.

Negative Factors

High Leverage

High leverage increases financial risk, potentially impacting the company's ability to invest in growth opportunities and weather economic downturns.

Negative Cash Flow Trends

Negative cash flow trends could lead to liquidity issues, limiting the company's ability to fund operations and invest in future growth.

Decreasing Revenue Growth

A decrease in revenue growth suggests challenges in market expansion and sales, potentially impacting long-term profitability and market position.

Takara Leben Co., Ltd. Business Overview & Revenue Model

Company Description

Mirarth Holdings, Inc. is engages in the design, planning and sale of condominiums and single unit housing. It operates through the following segments: Real Estate Business, Energy Business, Asset Management Business and Other. The Real Estate Business sells newly built condominiums and profitable real estate, and renovation of detached houses, renovation and resale of condominiums, liquidation business for the sale of income-generating real estate such as residences and offices, real estate rental business, and real estate management business. The Energy Business segment generates electricity from renewable energy sources, including solar, wind, and biomass, and sells it to electric power companies, thereby obtaining a stable income. The Asset Management Business segment utilizes the extensive expertise, know-how and networks accumulated within the Group in real estate and renewable energy to undertake the management of J-REITs and private funds and provide excellent investment opportunities and solid asset management services. The Other business segment includes investment management business, construction contract business, and repair work business. The company was founded on September 21, 1972 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Takara Leben generates revenue through several key streams within the real estate sector. The primary revenue source comes from the sale of residential properties, where the company develops and markets condominiums and houses to homebuyers. Additionally, the company earns income through property management and leasing services, providing ongoing revenue from rental properties in its portfolio. Takara Leben also engages in partnerships with other developers and financial institutions, which can enhance its project financing and expand its market reach. Seasonal market trends and government policies related to housing can significantly impact the company's earnings, influencing both sales volumes and pricing strategies.

Takara Leben Co., Ltd. Financial Statement Overview

Summary

Takara Leben Co., Ltd. shows solid revenue growth and stable profitability margins. However, high leverage and negative cash flow trends pose significant risks. The balance sheet's high debt-to-equity ratio and cash flow volatility could impact financial stability and liquidity.

Income Statement

Takara Leben Co., Ltd. has shown a moderate revenue growth trajectory over the past years, with a recent annual increase from 185.2 billion to 196.5 billion JPY, marking a 6.1% growth. The gross profit and net profit margins are stable, with gross profit margin remaining around 21.5% and net profit margin slightly increasing to 4.2%. However, the EBIT margin decreased slightly, indicating operational cost challenges. Overall, profitability metrics depict a stable but slightly pressured operational efficiency.

Balance Sheet

The company's balance sheet reflects a high debt-to-equity ratio, currently at 2.73, which poses a significant financial risk. However, the return on equity (ROE) is reasonable at 9.85%, indicating effective use of equity in generating profits. The equity ratio is relatively low at 22.4%, suggesting limited asset financing through equity. Overall, while the company maintains profitability, the high leverage could impact financial stability in volatile market conditions.

Cash Flow

Takara Leben's cash flow analysis shows a volatile free cash flow, with a significant decline in the most recent year to -13.1 billion JPY from 9.3 billion JPY previously. The operating cash flow to net income ratio is 0.96, indicating near parity between operational cash generation and net income, but the negative free cash flow growth rate is concerning. This suggests potential liquidity issues if negative trends persist.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	183.99B	196.52B	185.19B	153.47B	162.74B	148.40B
Gross Profit	40.40B	42.31B	40.59B	31.71B	33.12B	29.93B
EBITDA	19.26B	20.73B	21.34B	10.44B	15.04B	12.83B
Net Income	7.04B	8.21B	8.18B	4.58B	6.21B	4.69B
Balance Sheet
Total Assets	389.00B	372.51B	337.45B	341.67B	223.47B	204.31B
Cash, Cash Equivalents and Short-Term Investments	47.12B	48.04B	42.74B	47.87B	33.43B	39.17B
Total Debt	256.08B	227.00B	210.46B	227.38B	127.97B	118.57B
Total Liabilities	303.14B	283.40B	265.78B	276.53B	163.87B	149.69B
Stockholders Equity	79.93B	83.28B	65.99B	61.60B	59.31B	54.39B
Cash Flow
Free Cash Flow	0.00	-13.13B	9.29B	-20.26B	-2.50B	465.00M
Operating Cash Flow	0.00	7.88B	36.78B	-722.00M	23.19B	26.33B
Investing Cash Flow	0.00	-24.81B	-26.33B	-46.35B	-27.87B	-25.09B
Financing Cash Flow	0.00	22.04B	-15.46B	61.53B	-1.13B	2.65B

Takara Leben Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 387.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8897, the sentiment is Positive. The current price of 387 is above the 20-day moving average (MA) of 384.90, above the 50-day MA of 382.10, and below the 200-day MA of 401.81, indicating a neutral trend. The MACD of 3.79 indicates Negative momentum. The RSI at 62.77 is Neutral, neither overbought nor oversold. The STOCH value of 89.95 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8897.

Takara Leben Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3299	74 Outperform	¥46.93B	8.05	―	6.02%	1.33%	9.59%
8871	69 Neutral	¥116.32B	18.54	4.48%	3.30%	-2.12%	0.89%
8897	68 Neutral	¥53.62B	10.25	6.98%	7.35%	-21.50%	-56.82%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
3480	65 Neutral	¥74.70B	14.08	―	2.95%	9.37%	-31.19%
8887	61 Neutral	¥16.32B	4.69	―	0.91%	206.98%	325.25%