Fujita Kanko Inc. (9722) AI Stock Analysis

• Market Cap: ¥121.54B
• Dividend Yield: 0.4%
• Average Volume (3M): 57.10K
• Price to Earnings (P/E): 13.1
• Beta (1Y): 0.77
• Revenue Growth: 14.07%
• EPS Growth: -0.42%
• Country: JP
• Employees: 1,530
• Sector: Consumer Cyclical
• Sector Strength: 58
• Industry: Travel Lodging
• EPS (TTM): 134.07
• Shares Outstanding: 12,207,424
• 10 Day Avg. Volume: 62,740
• 30 Day Avg. Volume: 57,100
• PEG Ratio: 0.04
• Price to Book (P/B): 1.59
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.65
• 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: ¥10,190.00
• Price Target Upside: 0.49% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 76 Outperform
• Price Target: ¥11,686.00 ▲(15.25%Upside)

Fujita Kanko Inc. achieves a solid overall score due to its robust financial performance and bullish technical indicators. The stock's reasonable valuation further supports its attractiveness. However, the overbought technical indicators suggest caution, as a short-term pullback could occur. The low dividend yield may deter income-focused investors.

Fujita Kanko Inc. Business Overview & Revenue Model

Company Description

Fujita Kanko Inc. (9722) is a prominent hospitality company based in Japan, primarily engaged in the management and operation of hotels, resorts, and leisure facilities. The company has a diverse portfolio, including upscale hotels, traditional Japanese inns, and banquet halls, catering to both domestic and international travelers. Fujita Kanko is renowned for its high-quality services, offering a blend of modern luxury and traditional Japanese hospitality.

How the Company Makes Money

Fujita Kanko Inc. generates revenue primarily through its hospitality and tourism operations. The company's key revenue streams include room bookings, food and beverage services, and event hosting at its hotels and resorts. Additionally, Fujita Kanko earns income from its leisure facilities, such as golf courses and spas, which attract visitors seeking recreational activities. The company also benefits from strategic partnerships with travel agencies and online booking platforms, which help to increase occupancy rates. Seasonal promotions and packages tailored to various customer demographics further contribute to its earnings.

Fujita Kanko Inc. Financial Statement Overview

Summary

Fujita Kanko Inc. shows strong financial performance with improving revenues and profitability. The balance sheet indicates moderate leverage with a healthy return on equity. Cash flow generation is robust, supporting financial stability and growth trajectory.

Income Statement

Fujita Kanko Inc. has shown significant improvement in revenue and profitability over the years. The gross profit margin has improved from negative values to a positive 21% in 2024, while the net profit margin has increased substantially to 12%. The revenue growth rate from 2023 to 2024 is 18%, indicating robust expansion. EBIT and EBITDA margins have also improved, signaling enhanced operational efficiency.

Balance Sheet

The company's debt-to-equity ratio stands at 1.46, reflecting a moderate level of leverage. Return on Equity (ROE) is strong at 35.6%, showcasing effective use of equity to generate profits. The equity ratio of 27.3% suggests a stable but moderately leveraged position.

Cash Flow

Fujita Kanko Inc. has demonstrated impressive cash flow management. The free cash flow growth rate is 120.6% from 2023 to 2024, indicating strong cash generation capabilities. The operating cash flow to net income ratio is 1.74, and the free cash flow to net income ratio is 1.42, both of which highlight solid cash flow relative to earnings.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
76.21B	64.55B	43.75B	28.43B	26.65B
	Gross Profit
16.00B	9.75B	-1.23B	-13.20B	-17.44B
	EBIT
12.31B	6.64B	-4.05B	-15.82B	-20.61B
	EBITDA
15.70B	10.81B	-2.17B	22.05B	-17.72B
	Net Income Common Stockholders
9.13B	8.11B	-5.78B	12.68B	-22.43B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
14.46B	13.71B	24.14B	38.65B	3.72B
	Total Assets
94.04B	93.50B	99.96B	112.76B	96.59B
	Total Debt
37.43B	40.02B	49.73B	58.23B	64.80B
	Net Debt
22.97B	26.32B	25.59B	19.59B	61.07B
	Total Liabilities
68.39B	67.52B	77.22B	83.93B	95.25B
	Stockholders Equity
25.65B	25.97B	22.63B	28.66B	1.18B
Cash Flow		Free Cash Flow
12.94B	5.87B	-6.35B	-17.73B	-21.15B
	Operating Cash Flow
15.90B	11.11B	645.00M	-16.30B	-17.07B
	Investing Cash Flow
-3.83B	-5.92B	-6.12B	42.89B	-2.41B
	Financing Cash Flow
-11.31B	-15.67B	-8.94B	8.32B	19.83B

Fujita Kanko Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10140.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9722, the sentiment is Positive. The current price of 10140 is above the 20-day moving average (MA) of 9689.50, above the 50-day MA of 9262.20, and above the 200-day MA of 9090.04, indicating a bullish trend. The MACD of 267.99 indicates Negative momentum. The RSI at 57.67 is Neutral, neither overbought nor oversold. The STOCH value of 53.91 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9722.

Fujita Kanko Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9722	76 Outperform	¥121.54B	13.14		0.40%	14.07%	-0.42%
6547	75 Outperform	¥29.87B	6.54		1.07%	17.42%	-23.93%
4691	73 Outperform	¥15.86B	7.68		1.52%	16.69%	144.28%
Sector *	62 Neutral	$6.82B	11.05	2.80%	4.32%	2.67%	-24.92%
9708	60 Neutral	¥115.99B	44.89		0.82%	2.09%	-26.33%
9723	60 Neutral	¥7.81B	10.12		0.46%	2.41%	-13.76%
9713	58 Neutral	¥13.36B	7.69		0.57%	21.75%	92.79%

Fujita Kanko Inc. Corporate Events

Fujita Kanko Inc. Sees Q1 2025 Revenue Growth Amid Rising Costs

Fujita Kanko Inc. reported an increase in net sales and operating profit for the first quarter of 2025, attributed to capturing inbound demand and improving product competitiveness. However, the net profit decreased year-on-year due to higher tax expenses from the elimination of loss carryforwards, despite increased labor costs from new recruitment and wage raises.

The most recent analyst rating on (JP:9722) stock is a Hold with a Yen9710.00 price target. To see the full list of analyst forecasts on Fujita Kanko Inc. stock, see the JP:9722 Stock Forecast page.

Fujita Kanko Reports Strong Q1 Sales Growth Amid Profit Decline

Fujita Kanko Inc. reported a 10.5% increase in net sales for the first quarter of 2025, with operating profit rising significantly by 43.7%. Despite these positive results, the profit attributable to owners of the parent decreased by 2.6%. The company’s financial position shows a slight decrease in total assets and an increase in net assets, with an equity ratio of 30.0%. The forecast for the fiscal year ending December 31, 2025, anticipates a modest growth in net sales and operating profit, though profit attributable to owners is expected to decline.

The most recent analyst rating on (JP:9722) stock is a Hold with a Yen9710.00 price target. To see the full list of analyst forecasts on Fujita Kanko Inc. stock, see the JP:9722 Stock Forecast page.

Fujita Kanko Inc. Reports Strong Q1 2025 Financial Results with Optimistic Year-End Outlook

Fujita Kanko Inc. reported a 10.5% increase in net sales for the first quarter of 2025 compared to the previous year, with operating profit rising by 43.7%. Despite a slight decrease in profit attributable to owners, the company improved its capital adequacy ratio to 30.0%. The financial outlook for the fiscal year ending December 2025 anticipates modest growth in net sales and operating profit, although profit attributable to owners is expected to decline. This performance reflects a stable financial position and a cautious yet optimistic forecast for the year.