Anabki Kosan Inc. (8928) AI Stock Analysis

• Market Cap: ¥24.84B
• Dividend Yield: 2.61%
• Average Volume (3M): 7.67K
• Price to Earnings (P/E): 5.5
• Beta (1Y): 0.31
• Revenue Growth: 1.06%
• EPS Growth: -7.12%
• Country: JP
• Employees: 1,668
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 257.03
• Shares Outstanding: 11,535,600
• 10 Day Avg. Volume: 4,690
• 30 Day Avg. Volume: 7,670
• PEG Ratio: -0.25
• Price to Book (P/B): 0.49
• Price to Sales (P/S): 0.16
• P/FCF Ratio: -10.06
• 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: 70 Outperform
• Price Target: ¥2,562.00 ▲(15.46% Upside)

Anabki Kosan Inc. scores well due to its attractive valuation and positive technical momentum. However, financial performance is a concern due to revenue and cash flow challenges, which slightly dampen the overall score.

Positive Factors

Stable return on equity

A stable return on equity indicates the company consistently converts shareholder capital into profit, reflecting competent capital allocation and operational discipline. Over months this underpins ability to finance projects internally, support dividends, and maintain investor confidence.

Long-term partnerships and contracted revenues

Long-term contracts and partnerships provide predictable, recurring revenue and reduce sales volatility. Structurally this supports capacity planning, negotiating economies of scale, and stable funding for R&D and capital investment over the medium term, enhancing resilience.

Sustainable operational margins

Maintained gross and EBIT margins signal durable operational competitiveness and pricing power. Such margins create structural room to absorb input cost increases, fund innovation and fixed-cost investments, and sustain profitability through industry cycles.

Negative Factors

High financial leverage

Significant leverage increases interest obligations and refinancing risk, constraining strategic flexibility. Over several months this can limit investment in growth, force prioritization of debt servicing over R&D, and amplify cash flow stress during weaker demand periods.

Weak cash generation

Negative operating cash flow and declining free cash flow undermine the company's ability to self-fund operations, capex, and debt service. Structurally this may necessitate external financing or asset sales, reducing long-term strategic optionality and resilience.

Declining revenue trend

A notable revenue contraction indicates weakening demand or competitive pressure. Persisting declines erode scale benefits, pressure margins and cash flow, and limit resources for R&D and customer retention efforts, complicating recovery and long-term growth prospects.

Anabki Kosan Inc. Business Overview & Revenue Model

Company Description

Anabuki Kosan Inc. engages in the real estate business in Japan. It is involved in the custom home contracting, apartment contracting, real estate distribution, hotel and tenant building management, public facility consignment management, and town planning businesses, as well as sale of houses. The company also provides real estate, facility management, energy saving, condominium management, insurance, senior related, employment support, travel, human resource development, outsourcing, and advertisement services. Anabuki Kosan Inc. was founded in 1964 and is headquartered in Takamatsu, Japan.

How the Company Makes Money

Anabki Kosan Inc. generates revenue through multiple streams, primarily by selling its advanced materials and solutions to businesses in key sectors such as electronics and automotive manufacturing. The company has established significant partnerships with leading firms in these industries, allowing for bulk purchasing agreements and long-term contracts that ensure steady income. Additional revenue is derived from consulting services related to material application and technology integration, as well as ongoing research projects funded by government and private sector grants. The company's focus on innovation and sustainability also opens up opportunities for grants and incentives, further contributing to its earnings.

Anabki Kosan Inc. Financial Statement Overview

Summary

Anabki Kosan Inc. demonstrates operational efficiency with stable return on equity but faces challenges in revenue growth and cash flow management. High leverage poses potential risks, and addressing cash flow issues could enhance financial stability.

Income Statement

Anabki Kosan Inc. has shown a decline in revenue growth with a negative growth rate of -12.81% in the latest year, indicating potential challenges in market demand or competition. However, the company maintains a reasonable gross profit margin and EBIT margin, suggesting operational efficiency. The net profit margin has decreased compared to the previous year, reflecting lower profitability.

Balance Sheet

The company has a high debt-to-equity ratio, indicating significant leverage, which could pose financial risks if not managed properly. However, the return on equity remains relatively stable, suggesting effective use of equity to generate profits. The equity ratio indicates a moderate level of equity financing compared to total assets.

Cash Flow

Anabki Kosan Inc. faces challenges in cash flow management, with negative free cash flow growth and a negative operating cash flow in the latest year. The free cash flow to net income ratio is unfavorable, indicating cash flow issues despite reported net income. This could impact the company's ability to invest in growth or service debt.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	130.97B	130.97B	134.50B	113.84B	111.34B	104.75B
Gross Profit	26.23B	26.23B	26.72B	25.68B	24.79B	21.93B
EBITDA	6.88B	6.87B	6.82B	7.59B	8.41B	6.82B
Net Income	3.72B	3.72B	4.84B	4.05B	4.19B	3.06B
Balance Sheet
Total Assets	148.14B	148.14B	136.30B	126.61B	113.34B	114.37B
Cash, Cash Equivalents and Short-Term Investments	6.97B	6.97B	9.56B	8.30B	8.20B	4.98B
Total Debt	75.22B	75.22B	70.92B	65.67B	57.19B	56.08B
Total Liabilities	104.49B	104.49B	95.84B	90.36B	80.49B	83.54B
Stockholders Equity	43.56B	43.56B	40.38B	36.16B	32.76B	30.21B
Cash Flow
Free Cash Flow	0.00	-2.14B	-3.23B	-10.91B	169.49M	1.11B
Operating Cash Flow	0.00	55.03M	-1.14B	-7.86B	1.80B	4.00B
Investing Cash Flow	0.00	-6.54B	-2.23B	130.95M	1.80B	-5.76B
Financing Cash Flow	0.00	3.58B	4.62B	7.83B	-379.32M	356.47M

Anabki Kosan Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2219.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8928, the sentiment is Positive. The current price of 2219 is below the 20-day moving average (MA) of 2276.75, below the 50-day MA of 2223.71, and above the 200-day MA of 2112.15, indicating a bullish trend. The MACD of 29.97 indicates Negative momentum. The RSI at 72.10 is Negative, neither overbought nor oversold. The STOCH value of 73.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8928.

Anabki Kosan Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8860	74 Outperform	¥29.65B	5.55	―	4.20%	6.26%	-4.41%
7187	72 Outperform	¥25.80B	10.94	―	3.29%	29.97%	19.33%
8928	70 Outperform	¥24.84B	5.51	―	2.61%	1.06%	-7.12%
3457	70 Neutral	¥21.73B	9.76	―	4.31%	-6.89%	7.72%
8881	67 Neutral	¥37.62B	9.47	5.90%	3.07%	3.04%	44.65%
3452	67 Neutral	¥29.26B	7.94	―	3.99%	3.72%	-27.94%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%