Starts Proceed Investment Corporation (8979) AI Stock Analysis

• Market Cap: ¥52.49B
• Dividend Yield: 5.42%
• Average Volume (3M): 539.00
• Price to Earnings (P/E): 19.7
• Beta (1Y): 0.18
• Revenue Growth: 4.22%
• EPS Growth: 5.08%
• Country: JP
• Employees: N/A
• Sector: Real Estate
• Sector Strength: 54
• Industry: REIT - Residential
• EPS (TTM): 4897.00
• Shares Outstanding: 272,415
• 10 Day Avg. Volume: 598
• 30 Day Avg. Volume: 539
• 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: ¥213,428.00
• Price Target Upside: 10.76% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 79 Outperform
• Price Target: ¥213,428 ▲(10.76% Upside)

Starts Proceed Investment Corporation scores highly due to its strong financial performance, characterized by robust revenue growth and profitability. The technical analysis shows positive price trends, though caution is advised due to overbought signals. Valuation metrics are favorable, particularly the attractive dividend yield. The absence of recent earnings call data or significant corporate events does not detract from the overall favorable outlook.

Starts Proceed Investment Corporation Business Overview & Revenue Model

Company Description

Starts Proceed Investment Corporation (8979) is a Japan-based company primarily engaged in the real estate business. The company operates in various sectors, including real estate leasing, property management, and investment. It focuses on the acquisition, development, and management of office buildings, residential properties, and commercial facilities, aiming to provide high-quality real estate solutions that cater to diverse client needs.

How the Company Makes Money

Starts Proceed Investment Corporation generates revenue primarily through its real estate leasing and property management services. The company earns income by leasing office spaces, residential units, and commercial properties to various tenants. Additionally, it provides property management services, which include maintenance, tenant relations, and facility operations, further contributing to its revenue streams. The company's business model is supported by its strategic investments in high-demand locations and its ability to maintain long-term leasing contracts. These factors, combined with the company's expertise in managing and optimizing property portfolios, form the core of its revenue generation strategy.

Starts Proceed Investment Corporation Financial Statement Overview

Summary

Starts Proceed Investment Corporation displays strong financial health across all statements. The income statement highlights solid revenue growth and profitability. The balance sheet is stable with a healthy equity base, though debt levels should be watched. Cash flow analysis reveals positive trends and strong cash generation. Overall, the company is well-positioned in the residential REIT sector.

Income Statement

The company demonstrates a strong income statement with consistent revenue growth, evidenced by a 4.38% increase in total revenue from 2023 to 2024. Gross profit margin is solid at 58.6%, and net profit margin is robust at 37%. These healthy margins indicate efficient cost management and strong profitability. Both EBIT and EBITDA margins are also strong, suggesting solid operational performance.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 1.09, indicating a balanced approach to leveraging. The equity ratio stands at 47.0%, showcasing a strong equity base relative to total assets. ROE is impressive at 57.1%, signaling effective use of equity to generate profits. However, the high level of total debt warrants monitoring.

Cash Flow

Cash flow performance is strong with significant improvement in free cash flow, turning from negative in 2023 to positive in 2024. The free cash flow to net income ratio is 0.88, indicating a solid conversion of net income into free cash flow. Operating cash flow is robust compared to net income, highlighting efficient cash generation from operations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.53B	7.21B	6.57B	6.34B	7.02B
Gross Profit	4.41B	3.43B	3.77B	3.58B	4.30B
EBITDA	4.71B	4.54B	4.23B	4.03B	4.69B
Net Income	2.79B	2.63B	2.50B	2.34B	3.08B
Balance Sheet
Total Assets	103.83B	103.44B	90.63B	90.26B	90.41B
Cash, Cash Equivalents and Short-Term Investments	1.26B	1.19B	1.43B	1.56B	1.41B
Total Debt	53.26B	52.85B	45.65B	45.65B	45.65B
Total Liabilities	55.01B	54.59B	47.14B	46.92B	46.84B
Stockholders Equity	48.82B	48.85B	43.48B	43.34B	43.58B
Cash Flow
Free Cash Flow	2.45B	-9.74B	2.31B	2.71B	2.52B
Operating Cash Flow	7.29B	5.02B	7.25B	4.68B	9.39B
Investing Cash Flow	-4.88B	-14.68B	-5.00B	-1.99B	-6.88B
Financing Cash Flow	-2.41B	9.92B	-2.37B	-2.58B	-2.45B

Starts Proceed Investment Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 192700.00
• 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:8979, the sentiment is Positive. The current price of 192700 is above the 20-day moving average (MA) of 186755.00, above the 50-day MA of 180986.00, and above the 200-day MA of 171444.97, indicating a bullish trend. The MACD of 3435.44 indicates Negative momentum. The RSI at 70.73 is Negative, neither overbought nor oversold. The STOCH value of 78.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8979.

Starts Proceed Investment Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8979	79 Outperform	¥52.49B	19.71		5.42%	4.22%	5.08%
3451	78 Outperform	¥54.28B	19.04		5.27%	3.63%	1.58%
3287	76 Outperform	¥155.83B	27.83		3.45%	23.80%	7.98%
3282	75 Outperform	¥237.22B	25.76		3.82%	14.22%	5.98%
Sector *	71 Outperform	¥233.73B	15.21	10.65%	3.48%	20.30%	28.35%
3481	70 Outperform	¥185.33B	19.25		5.20%	42.96%	33.25%

Starts Proceed Investment Corporation Corporate Events

Starts Proceed Investment Corporation Reports Positive Financial Variance and Revises Forecasts

Starts Proceed Investment Corporation announced a positive variance between its forecasted and actual financial results for the fiscal period ended April 2025, with increases in operating revenue, income, and distribution per unit. The company also revised its forecasts for the fiscal period ending October 2025, attributing changes to asset sales and market conditions, indicating a stable financial outlook and potential benefits for stakeholders.

Starts Proceed Investment Corporation Announces Real Estate Disposition

Starts Proceed Investment Corporation announced the disposition of a trust beneficiary interest in a domestic real estate property as part of its asset replacement strategy. The property, a 35-year-old rental housing complex, will be sold to a domestic operating company to mitigate rising maintenance costs and enhance long-term financial performance.

Starts Proceed Investment Corporation Reports Stable 39th Fiscal Period Results Amid Market Challenges

Starts Proceed Investment Corporation reported its financial results for the 39th fiscal period, showing a slight increase in operating revenue and income compared to the previous period. Despite a decrease in total assets and net assets, the company maintained a stable distribution payout ratio and reported a modest increase in cash and cash equivalents at the end of the period. The forecast for the next fiscal periods indicates a potential decrease in revenue and income, reflecting cautious market conditions.

Starts Proceed Finalizes Interest Rate Swap Agreement

Starts Proceed Investment Corporation has finalized the fixed interest rate for its interest rate swap agreement related to Term Loan 3F, setting it at 2.124%. This decision is part of their financial strategy to manage borrowing costs effectively, with no significant changes in investment risks as previously reported.

Starts Proceed Investment Corporation Announces New Borrowing and Interest Rate Swap Agreement

Starts Proceed Investment Corporation has announced a decision to borrow funds amounting to 3,049 million yen to repay existing borrowings maturing soon. Additionally, the company has entered into an interest rate swap agreement to mitigate the risk of interest rate fluctuations on the new loan. This strategic financial move aims to stabilize the company’s financial obligations and manage interest rate risks effectively, ensuring continued operational stability and potentially enhancing stakeholder confidence.

Starts Proceed Investment Completes Key Real Estate Acquisition

Starts Proceed Investment Corporation has completed the acquisition of a property named Proceed Sakurazaka in Ota-ku, Tokyo, from Starts Development Corporation for 850 million yen. This acquisition is part of the company’s strategy to strengthen its real estate portfolio, potentially enhancing its market position and offering better returns to its investors.