Hakuyosha Company,Ltd. (9731) AI Stock Analysis

• Market Cap: ¥13.18B
• Dividend Yield: 1.59%
• Average Volume (3M): 5.98K
• Price to Earnings (P/E): 6.5
• Beta (1Y): 0.43
• Revenue Growth: 0.30%
• EPS Growth: -14.49%
• Country: JP
• Employees: 1,742
• Sector: Consumer Cyclical
• Sector Strength: 81
• Industry: Personal Products & Services
• EPS (TTM): 218.68
• Shares Outstanding: 3,900,000
• 10 Day Avg. Volume: 6,490
• 30 Day Avg. Volume: 5,983
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥4,124.00
• Price Target Upside: 19.19% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 79 Outperform
• Price Target: ¥4,124.00 ▲(19.19% Upside)

Hakuyosha Company, Ltd. demonstrates strong financial performance with improved profitability and a healthy capital structure, contributing significantly to its overall score. The technical analysis indicates robust momentum, further enhancing the stock's appeal. The valuation is attractive, with a low P/E ratio suggesting potential undervaluation. Earnings call and corporate events were not factors in this analysis.

Hakuyosha Company,Ltd. Business Overview & Revenue Model

Company Description

Hakuyosha Company, Ltd. is a Japanese company primarily engaged in the cleaning industry. It operates in various sectors, including cleaning and maintenance services, laundry services, and fabric care. The company is known for its high-quality cleaning services, which cater to both individual and corporate clients, providing a wide range of solutions from everyday laundry to specialized fabric care.

How the Company Makes Money

Hakuyosha makes money through a diversified revenue model centered around its cleaning and maintenance services. The company's key revenue streams include laundry services for individual customers, contract cleaning services for businesses, and specialized cleaning solutions for delicate fabrics and garments. Hakuyosha also generates income from partnerships with hotels and other institutions that require regular, high-quality cleaning services. Its focus on quality and reliability has helped maintain a steady client base, contributing significantly to its earnings.

Hakuyosha Company,Ltd. Financial Statement Overview

Summary

Hakuyosha Company, Ltd. has shown significant financial improvement with strong revenue growth and improved profitability margins. The company's capital structure is healthier with reduced leverage, and cash flow management has improved. However, maintaining these gains is crucial for long-term financial stability.

Income Statement

Hakuyosha Company, Ltd. has demonstrated consistent revenue growth over recent years with a notable increase from JPY 35,131 million in 2021 to JPY 43,580 million in 2024. Gross Profit Margin improved significantly from a low of 2.5% in 2020 to 15.3% in 2024, indicating enhanced operational efficiency. Net Profit Margin also improved from negative values in 2020 and 2021 to 5.1% in 2024. The company has successfully turned around from previous losses, but sustaining these margins will be crucial for future profitability.

Balance Sheet

The Debt-to-Equity Ratio has decreased from 2.68 in 2020 to 1.11 in 2024, reflecting reduced leverage and an improved capital structure. Return on Equity has improved from negative to 21.2% in 2024, indicating strong shareholder returns. However, the Equity Ratio remains moderate at 31.9%, suggesting the company still relies significantly on debt.

Cash Flow

Operating Cash Flow and Free Cash Flow have shown strong improvement, with the Operating Cash Flow to Net Income Ratio rising to 1.32 in 2024. The Free Cash Flow to Net Income Ratio is positive, reflecting a healthy cash generation relative to earnings. These improvements highlight enhanced cash flow management, although maintaining this trend will be key to future financial stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	43.71B	43.58B	43.27B	39.18B	35.13B	39.15B
Gross Profit	6.70B	6.66B	6.63B	5.07B	2.17B	890.00M
EBITDA	4.29B	3.50B	3.48B	3.89B	866.00M	-1.29B
Net Income	2.34B	2.21B	1.95B	1.69B	-1.25B	-3.16B
Balance Sheet
Total Assets	33.53B	32.75B	33.15B	31.37B	31.41B	34.86B
Cash, Cash Equivalents and Short-Term Investments	2.03B	1.31B	1.43B	1.11B	1.04B	1.07B
Total Debt	11.14B	11.65B	13.66B	13.48B	15.48B	17.17B
Total Liabilities	23.16B	22.21B	24.78B	25.23B	27.04B	28.80B
Stockholders Equity	10.25B	10.45B	8.32B	6.07B	4.22B	5.74B
Cash Flow
Free Cash Flow	0.00	2.16B	937.00M	870.00M	-517.00M	-1.93B
Operating Cash Flow	0.00	2.92B	1.57B	1.31B	-29.00M	-1.31B
Investing Cash Flow	0.00	-89.00M	-597.00M	815.00M	1.76B	932.00M
Financing Cash Flow	0.00	-2.88B	-657.00M	-2.12B	-1.77B	780.00M

Hakuyosha Company,Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3460.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9731, the sentiment is Positive. The current price of 3460 is below the 20-day moving average (MA) of 3513.50, below the 50-day MA of 3544.60, and above the 200-day MA of 2849.11, indicating a neutral trend. The MACD of -27.36 indicates Positive momentum. The RSI at 45.58 is Neutral, neither overbought nor oversold. The STOCH value of 51.94 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9731.

Hakuyosha Company,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7523	81 Outperform	¥15.13B	13.10		2.71%	-1.20%	-8.71%
7358	80 Outperform	¥14.07B	15.44		2.74%	7.89%	-12.90%
9251	79 Outperform	¥15.14B	13.40		2.83%	7.56%	―
9731	79 Outperform	¥13.18B	6.47		1.59%	0.30%	-14.49%
6571	77 Outperform	¥17.32B	16.89		2.65%	3.18%	-21.69%
9262	67 Neutral	¥8.62B	13.42		2.02%	8.50%	-5.08%
Sector *	61 Neutral	$17.92B	12.81	-0.76%	2.98%	1.30%	-14.28%