NISHIO HOLDINGS CO. LTD. (9699) AI Stock Analysis

• Market Cap: ¥116.70B
• Dividend Yield: 3.04%
• Average Volume (3M): 35.34K
• Price to Earnings (P/E): 9.9
• Beta (1Y): 0.70
• Revenue Growth: 8.89%
• EPS Growth: -3.00%
• Country: JP
• Employees: 4,726
• Sector: Industrials
• Sector Strength: 72
• Industry: Rental & Leasing Services
• EPS (TTM): 74.74
• Shares Outstanding: 28,391,464
• 10 Day Avg. Volume: 45,220
• 30 Day Avg. Volume: 35,336
• PEG Ratio: 0.75
• Price to Book (P/B): 0.84
• Price to Sales (P/S): 0.56
• P/FCF Ratio: 5.26
• 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: ¥4,686.00
• Price Target Upside: 11.44% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 76 Outperform
• Price Target: ¥4,686.00 ▲(11.44% Upside)

NISHIO HOLDINGS CO. LTD. demonstrates strong financial performance with robust revenue and profit growth, supported by solid valuation metrics, including a low P/E ratio and a healthy dividend yield. Technical indicators show a positive trend, although liquidity concerns due to the absence of current cash flow data could pose short-term risks. Overall, the stock presents a compelling opportunity with some caution warranted regarding cash flow management.

NISHIO HOLDINGS CO. LTD. Business Overview & Revenue Model

Company Description

NISHIO HOLDINGS CO. LTD. (9699) is a Japanese company specializing in the rental and leasing of industrial equipment and machinery. The company operates primarily in sectors such as construction, civil engineering, and industrial maintenance, providing a wide range of equipment including construction machinery, temporary housing units, and power generation systems. NISHIO HOLDINGS also offers related services, such as equipment maintenance and logistics support, to ensure efficient operation and customer satisfaction.

How the Company Makes Money

NISHIO HOLDINGS CO. LTD. generates revenue primarily through the rental and leasing of industrial and construction equipment. The company maintains a diverse inventory of machinery that it rents out to businesses in construction, civil engineering, and various industrial sectors. Key revenue streams include rental fees, which are determined by the type and duration of equipment usage. Additionally, NISHIO HOLDINGS benefits from service fees associated with equipment maintenance and repair, enhancing customer retention and satisfaction. Strategic partnerships with equipment manufacturers and construction firms also play a significant role in expanding the company's market reach and optimizing its rental offerings.

NISHIO HOLDINGS CO. LTD. Financial Statement Overview

Summary

NISHIO HOLDINGS CO. LTD. maintains a strong financial posture with robust revenue and profit growth, complemented by solid margins. The balance sheet is stable with moderate leverage and good equity backing. However, the absence of current cash flow data raises concerns about liquidity management, which could impact financial flexibility in the short term.

Income Statement

NISHIO HOLDINGS CO. LTD. shows strong income statement metrics with a steady revenue growth of 8.4% from 2023 to 2024. The company achieved a solid gross profit margin of 40.83% and a net profit margin of 6.04% in TTM. The EBIT margin is 9.29% while the EBITDA margin stands at 21.66%, indicating operational efficiency. Overall, the income statement suggests a robust growth trajectory with strong profitability metrics.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.73, indicating moderate leverage. The return on equity is 9.39%, showing decent profitability for shareholders. The equity ratio is 44.83%, suggesting a strong equity base relative to total assets. While the balance sheet is healthy, the leverage could pose some risk if externally influenced factors increase liability costs.

Cash Flow

Cash flow analysis reveals challenges, with a noticeable absence of operating cash flow and free cash flow in the TTM, although previous annual free cash flows were positive and showed growth. The free cash flow to net income ratio for 2023 was 1.83, suggesting efficient cash conversion in the past. However, the current lack of cash flow data could affect liquidity evaluations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	213.56B	199.00B	185.66B	170.63B	161.75B	151.23B
Gross Profit	85.93B	80.90B	74.18B	68.25B	64.63B	60.46B
EBITDA	52.94B	52.87B	48.38B	45.91B	43.07B	39.02B
Net Income	11.77B	11.60B	10.29B	9.17B	8.83B	6.43B
Balance Sheet
Total Assets	300.98B	290.68B	272.57B	261.70B	248.93B	224.73B
Cash, Cash Equivalents and Short-Term Investments	57.71B	49.83B	43.04B	47.71B	47.62B	33.48B
Total Debt	99.80B	95.21B	92.34B	93.72B	87.76B	73.48B
Total Liabilities	163.49B	156.37B	148.17B	144.92B	138.15B	121.69B
Stockholders Equity	135.50B	132.16B	122.24B	114.57B	107.22B	99.72B
Cash Flow
Free Cash Flow	12.76B	21.18B	12.56B	12.69B	16.95B	9.53B
Operating Cash Flow	14.71B	29.55B	24.41B	21.32B	21.60B	21.19B
Investing Cash Flow	-2.24B	-9.39B	-11.79B	-9.15B	-5.59B	-12.05B
Financing Cash Flow	-4.65B	-13.50B	-17.70B	-12.08B	-1.97B	-7.30B

NISHIO HOLDINGS CO. LTD. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4205.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9699, the sentiment is Positive. The current price of 4205 is below the 20-day moving average (MA) of 4236.20, above the 50-day MA of 4110.46, and above the 200-day MA of 4007.37, indicating a neutral trend. The MACD of 47.41 indicates Positive momentum. The RSI at 50.81 is Neutral, neither overbought nor oversold. The STOCH value of 13.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9699.

NISHIO HOLDINGS CO. LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9991	80 Outperform	¥46.11B	9.30	6.85%	3.96%	-9.58%	13.22%
9699	76 Outperform	¥116.70B	9.92	―	3.04%	8.89%	-3.00%
9619	75 Outperform	¥45.93B	6.75	10.27%	3.83%	7.39%	-46.08%
7081	71 Outperform	¥12.86B	7.14	14.00%	3.44%	1.58%	28.43%
9763	71 Outperform	¥11.03B	8.41	7.24%	4.11%	9.16%	6.01%
2445	62 Neutral	¥16.35B	15.57	5.49%	3.99%	0.02%	-36.92%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

NISHIO HOLDINGS CO. LTD. Corporate Events

NISHIO HOLDINGS Reports Increased Sales and Profits Amidst Declining Comprehensive Income

NISHIO HOLDINGS CO., LTD. reported its consolidated financial results for the nine months ending June 30, 2025, showing an increase in net sales by 9.8% and operating profit by 6.3% compared to the previous year. Despite the growth in sales and profits, comprehensive income decreased by 15.5%, indicating potential challenges in maintaining profit margins. The company forecasts continued growth for the fiscal year ending September 30, 2025, with expected increases in net sales and profits, although at a slower rate than the previous period.