Aoyama Zaisan Networks Co., Ltd. (8929) AI Stock Analysis

• Market Cap: ¥39.84B
• Dividend Yield: 3.16%
• Average Volume (3M): 24.14K
• Price to Earnings (P/E): 12.2
• Beta (1Y): 0.52
• Revenue Growth: 13.05%
• EPS Growth: 28.76%
• Country: JP
• Employees: 368
• Sector: Real Estate
• Sector Strength: 53
• Industry: Consulting Services
• EPS (TTM): 48.34
• Shares Outstanding: 25,117,258
• 10 Day Avg. Volume: 23,750
• 30 Day Avg. Volume: 24,143
• PEG Ratio: 1.07
• Price to Book (P/B): 4.73
• Price to Sales (P/S): 1.02
• P/FCF Ratio: 7.01
• 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: 74 Outperform
• Price Target: ¥1,792.00 ▲(13.35% Upside)

Aoyama Zaisan Networks Co., Ltd. has a strong financial performance, with solid revenue growth and profitability. The technical analysis indicates some short-term weakness, but the valuation remains fair with a reasonable P/E ratio and dividend yield. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Revenue Growth

Aoyama Zaisan’s 26.3% revenue jump to 2024 reflects effective portfolio leasing and development execution. Sustained top-line expansion from recurring rental contracts and successful asset projects supports long-term cash flow stability and enables reinvestment in properties over the next several quarters.

Operating Cash Generation

Very strong operating cash conversion and 170.7% free cash flow growth indicate high-quality earnings and internal funding capacity. This durable cash generation supports capex, debt servicing, and distributions without relying heavily on external financing, improving financial flexibility over medium term.

High ROE with Manageable Leverage

A 24.8% ROE combined with modest leverage (D/E 0.61) shows efficient capital deployment and a balanced capital structure. This mix supports shareholder returns while preserving capacity to finance new acquisitions or developments without excessive refinancing risk in the coming months.

Negative Factors

Modest Net Profit Margin

A net margin around 5.3% limits the company’s buffer against rising costs, higher vacancy, or weaker leasing conditions. Given real estate operating expense variability and development costs, modest margins could compress earnings quickly if revenue growth slows or operating expenses increase over the medium term.

Cyclical Revenue Mix

Reliance on rental income plus episodic property sales and developments ties profitability to property market cycles and capital markets. Structural dependence on transactional gains can create earnings volatility and sensitivity to funding conditions across the 2-6 month horizon and beyond.

Limited Investor Communication

Absence of earnings calls and notable corporate events reduces transparency into strategy, capital allocation, and risk management. Over time, limited investor engagement makes it harder to assess management execution and long-term planning, raising governance and information-risk concerns for investors.

Aoyama Zaisan Networks Co., Ltd. Business Overview & Revenue Model

Company Description

Aoyama Zaisan Networks Company,Limited provides real estate consulting solutions primarily in Japan. The company also offers corporate finance consulting and individual asset consulting services. In addition, it provides asset management solutions to individual asset owners and corporate owners. The company was formerly known as Funai Zaisan Consultants Co., Ltd. and changed its name to Aoyama Zaisan Networks Company,Limited in July 2012. The company was founded in 1991 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Aoyama Zaisan Networks generates revenue primarily through rental income from its portfolio of managed properties. The company's revenue model is built on long-term leases with tenants, providing a steady cash flow. Additionally, it may earn profits from property sales and development projects, particularly when market conditions are favorable. Key revenue streams include leasing commercial spaces and residential units, as well as income derived from property management services. Collaborations with local governments and other real estate developers can also enhance the company's earnings potential, as they often lead to joint ventures or development projects that increase overall profitability.

Aoyama Zaisan Networks Co., Ltd. Financial Statement Overview

Summary

Aoyama Zaisan Networks Co., Ltd. demonstrates strong financial health with consistent revenue growth, solid profitability margins, and effective cash flow management. The balance sheet is stable with reasonable leverage and a strong return on equity.

Income Statement

Aoyama Zaisan Networks Co., Ltd. shows strong revenue growth, with a 26.3% increase from 2023 to 2024. The company maintains healthy margins, with a gross profit margin of 15.3% and a net profit margin of 5.3% for 2024. EBIT and EBITDA margins are solid at 7.7% and 8.2%, respectively, indicating efficient cost management and profitability.

Balance Sheet

The company has a moderate debt-to-equity ratio of 0.61, suggesting manageable leverage. The return on equity (ROE) is strong at 24.8%, reflecting effective use of equity to generate profits. The equity ratio stands at 43.8%, indicating a stable capital structure with a reasonable proportion of equity financing.

Cash Flow

Operating cash flow has significantly improved, and the free cash flow growth rate is impressive at 170.7%. The operating cash flow to net income ratio is 2.74, showcasing strong cash generation relative to net income. The free cash flow to net income ratio of 2.72 further highlights robust cash flow performance.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	46.78B	45.62B	36.10B	35.95B	24.21B	19.12B
Gross Profit	7.74B	6.97B	6.36B	5.70B	4.33B	3.63B
EBITDA	4.24B	3.73B	3.56B	2.94B	2.17B	1.50B
Net Income	2.47B	2.43B	2.06B	1.69B	1.48B	800.91M
Balance Sheet
Total Assets	28.41B	22.39B	23.49B	21.76B	17.43B	16.00B
Cash, Cash Equivalents and Short-Term Investments	13.61B	13.08B	14.70B	12.80B	10.87B	9.43B
Total Debt	11.48B	5.97B	8.17B	8.13B	6.59B	6.17B
Total Liabilities	17.89B	12.58B	13.91B	13.44B	10.30B	9.44B
Stockholders Equity	10.49B	9.80B	9.54B	8.29B	7.12B	6.57B
Cash Flow
Free Cash Flow	0.00	6.61B	2.44B	2.09B	2.17B	1.47B
Operating Cash Flow	0.00	6.66B	2.49B	2.22B	2.39B	1.94B
Investing Cash Flow	0.00	-2.66B	212.00M	-1.26B	-631.04M	-753.34M
Financing Cash Flow	0.00	-5.77B	-858.00M	882.00M	-374.74M	-215.07M

Aoyama Zaisan Networks Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1581.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8929, the sentiment is Neutral. The current price of 1581 is above the 20-day moving average (MA) of 1566.44, below the 50-day MA of 1723.61, and below the 200-day MA of 1833.07, indicating a neutral trend. The MACD of -29.02 indicates Negative momentum. The RSI at 45.58 is Neutral, neither overbought nor oversold. The STOCH value of 69.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:8929.

Aoyama Zaisan Networks Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8929	74 Outperform	¥39.84B	12.18	―	3.16%	13.05%	28.76%
4792	72 Outperform	¥34.80B	14.63	―	4.39%	2.46%	-31.77%
9644	72 Outperform	¥25.34B	22.93	―	3.50%	15.91%	36.39%
9168	68 Neutral	¥15.17B	10.08	―	1.04%	23.25%	14.29%
7033	66 Neutral	¥23.45B	12.67	―	2.18%	17.87%	5.31%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
9556	63 Neutral	¥34.65B	23.26	―	―	16.77%	39.98%