Okinawa Cellular Telephone Company (9436) AI Stock Analysis

• Market Cap: €245.31B
• Dividend Yield: 2.38%
• Average Volume (3M): 37.10K
• Price to Earnings (P/E): 19.4
• Beta (1Y): 0.37
• Revenue Growth: 7.33%
• EPS Growth: 10.59%
• Country: JP
• Employees: 468
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): 34.84
• Shares Outstanding: 94,178,800
• 10 Day Avg. Volume: 36,490
• 30 Day Avg. Volume: 37,103
• PEG Ratio: 2.58
• Price to Book (P/B): 2.11
• Price to Sales (P/S): 2.41
• P/FCF Ratio: 21.34
• 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: €5,744.31
• Price Target Upside: 120.43% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 75 Outperform
• Price Target: ¥5,747.00 ▲(120.53% Upside)

Okinawa Cellular Telephone Company has a strong financial foundation with significant revenue growth and profitability. The technical indicators suggest potential short-term weakness but longer-term strength. The stock is fairly valued with a reasonable P/E ratio and a decent dividend yield.

Okinawa Cellular Telephone Company Business Overview & Revenue Model

Company Description

Okinawa Cellular Telephone Company operates as a telecommunications company in Japan. The company provides telecommunication, as well as portable phone services. It also provides au WALLET prepaid and credit card services. The company was founded in 1991 and is headquartered in Naha, Japan. Okinawa Cellular Telephone Company is a subsidiary of KDDI Corporation.

How the Company Makes Money

Okinawa Cellular Telephone Company generates revenue primarily through its mobile telecommunications services. This includes subscription fees from individual and business customers for voice and data plans, as well as additional services such as mobile internet and value-added options like international roaming and premium content. The company benefits from its affiliation with KDDI Corporation, which allows it to leverage broader network infrastructure and resources. Revenue is also supported through handset sales and partnerships with device manufacturers, which often involve bundled service contracts. Furthermore, Okinawa Cellular may engage in strategic collaborations with local businesses and government entities to provide tailored communication solutions, contributing to its overall earnings.

Okinawa Cellular Telephone Company Financial Statement Overview

Summary

Okinawa Cellular Telephone Company shows strong financial performance with significant revenue growth and healthy profitability margins. The balance sheet is robust with minimal leverage, though there are challenges in free cash flow management.

Income Statement

Okinawa Cellular Telephone Company has demonstrated strong revenue growth with a TTM revenue growth rate of 94.9%, indicating a significant upward trajectory. The company maintains healthy profitability margins, with a TTM gross profit margin of 29.3% and a net profit margin of 14.7%. The EBIT and EBITDA margins are also robust at 21.2% and 29.0%, respectively. However, the slight decline in gross profit margin compared to previous years suggests some pressure on cost management.

Balance Sheet

The company exhibits excellent financial stability with a very low debt-to-equity ratio of 0.0001, indicating minimal leverage and a strong equity position. The return on equity (ROE) is solid at 13.0%, reflecting efficient use of shareholder funds to generate profits. The equity ratio stands at a healthy level, underscoring the company's strong capital structure.

Cash Flow

While the operating cash flow remains strong, the free cash flow has experienced a decline, with a TTM free cash flow growth rate of -36.7%. The operating cash flow to net income ratio is healthy at 0.89, indicating good cash generation relative to net income. However, the decrease in free cash flow suggests potential challenges in cash management or increased capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	85.11B	84.31B	77.99B	77.30B	73.42B	74.19B
Gross Profit	26.94B	26.88B	32.88B	31.62B	32.20B	30.93B
EBITDA	24.73B	24.51B	23.48B	22.11B	22.17B	21.42B
Net Income	12.69B	12.40B	12.13B	10.85B	10.66B	10.52B
Balance Sheet
Total Assets	114.59B	118.27B	115.57B	119.65B	118.61B	112.18B
Cash, Cash Equivalents and Short-Term Investments	3.96B	3.51B	3.16B	3.26B	3.19B	3.10B
Total Debt	8.00M	10.00M	43.00M	106.00M	198.00M	308.00M
Total Liabilities	15.74B	19.07B	18.09B	18.53B	18.42B	17.80B
Stockholders Equity	96.14B	96.54B	95.09B	98.88B	96.42B	91.03B
Cash Flow
Free Cash Flow	9.49B	9.53B	1.76B	6.66B	10.49B	9.57B
Operating Cash Flow	15.02B	15.09B	11.33B	14.64B	18.77B	19.07B
Investing Cash Flow	-3.11B	-3.57B	4.91B	-3.94B	-13.82B	-13.11B
Financing Cash Flow	-11.27B	-11.17B	-16.35B	-10.63B	-4.85B	-6.24B

Okinawa Cellular Telephone Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2606.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9436, the sentiment is Positive. The current price of 2606 is above the 20-day moving average (MA) of 2571.38, above the 50-day MA of 2562.71, and above the 200-day MA of 2282.39, indicating a bullish trend. The MACD of 17.09 indicates Negative momentum. The RSI at 54.49 is Neutral, neither overbought nor oversold. The STOCH value of 17.78 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9436.

Okinawa Cellular Telephone Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9432	78 Outperform	¥13.56T	13.45	10.48%	3.27%	1.65%	-15.29%
9436	75 Outperform	€245.31B	19.43	13.98%	2.38%	7.33%	10.59%
9433	70 Outperform	¥9.24T	14.39	13.19%	3.17%	2.66%	11.83%
9434	69 Neutral	¥10.91T	21.73	18.55%	3.75%	7.71%	-1.03%
9449	67 Neutral	¥385.05B	23.38	15.48%	1.60%	6.94%	7.68%
3774	66 Neutral	¥480.04B	23.11	14.19%	1.39%	12.19%	4.12%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%