Funai Soken Holdings Incorporated (9757) AI Stock Analysis

• Market Cap: ¥113.96B
• Dividend Yield: 3.29%
• Average Volume (3M): 82.14K
• Price to Earnings (P/E): 24.8
• Beta (1Y): 0.65
• Revenue Growth: 10.28%
• EPS Growth: -20.11%
• Country: JP
• Employees: 1,535
• Sector: Industrials
• Sector Strength: 72
• Industry: Consulting Services
• EPS (TTM): 20.16
• Shares Outstanding: 50,000,000
• 10 Day Avg. Volume: 76,720
• 30 Day Avg. Volume: 82,143
• PEG Ratio: 0.91
• Price to Book (P/B): 4.48
• Price to Sales (P/S): 3.65
• P/FCF Ratio: 18.21
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: ¥2,678.00 ▲(10.16% Upside)

Funai Soken Holdings' strong financial performance is the most significant factor, showcasing robust revenue and profit growth, efficient operations, and financial stability. However, the technical analysis indicates a bearish trend, which could pose short-term risks. The valuation is slightly high, but the dividend yield provides some compensation. The absence of recent earnings call data and notable corporate events leaves these areas unassessed.

Funai Soken Holdings Incorporated Business Overview & Revenue Model

Company Description

Funai Soken Holdings Incorporated provides consulting services to manufacturing and retail businesses in Japan. The company offers logistics services, including consulting, trading, and transportation; and management consulting services for various sectors, such as housing and real estate, medical, nursing care, welfare, automotive, food and distribution, retail, and direct sales, as well as certified professional, amusement, community care, and specialist services. It also provides support services, including systems design and analysis, program creation, and systems operation and management; and training and diagnostics services. The company was formerly known as Funai Consulting Incorporated and changed its name to Funai Soken Holdings Incorporated in July 2014. Funai Soken Holdings Incorporated was incorporated in 1970 and is headquartered in Osaka, Japan.

How the Company Makes Money

Funai Soken generates revenue through its consulting services, which include management consulting, IT consulting, and human resources services. The company's primary revenue streams come from fees charged for these consulting services, which are typically based on project scope or hourly rates. Additionally, Funai Soken may engage in long-term partnerships with clients, providing ongoing support and advisory services that contribute to its recurring revenue. The company also benefits from strategic alliances and partnerships with technology firms, enhancing its service offerings and enabling it to capture a wider market share.

Funai Soken Holdings Incorporated Financial Statement Overview

Summary

Funai Soken Holdings exhibits strong financial health with impressive revenue and profit growth, efficient operations, and minimal leverage risk. The balance sheet reflects financial stability, supported by a high equity ratio and strong ROE. Cash flow metrics indicate efficient cash management and alignment with profitability, positioning the company well for future growth.

Income Statement

Funai Soken Holdings has demonstrated strong revenue growth with a 8.52% increase from the previous year, along with improving profit margins. The Gross Profit Margin is 38.71%, and the Net Profit Margin is 19.56%, indicating efficient cost management and high profitability. The EBIT Margin of 27.16% and EBITDA Margin of 28.69% further highlight operational efficiency.

Balance Sheet

The company maintains a solid financial position with a low Debt-to-Equity Ratio of 0.01, reflecting minimal leverage risk. The Return on Equity (ROE) is robust at 23.98%, indicating effective use of equity to generate profits. The Equity Ratio is 79.48%, suggesting strong equity financing and financial stability.

Cash Flow

Cash flow analysis reveals positive trends with a substantial free cash flow growth rate of 27.30%. The Operating Cash Flow to Net Income Ratio is 1.17, showcasing the company's ability to generate cash from operations. The Free Cash Flow to Net Income Ratio is 1.03, indicating that cash generation is aligned with profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	32.29B	30.65B	28.24B	25.64B	28.81B	25.03B
Gross Profit	12.68B	11.86B	10.72B	10.15B	9.30B	8.00B
EBITDA	7.08B	8.75B	7.68B	7.48B	6.69B	5.50B
Net Income	4.70B	5.99B	5.20B	4.99B	4.38B	3.50B
Balance Sheet
Total Assets	31.79B	31.44B	31.63B	33.01B	30.88B	27.95B
Cash, Cash Equivalents and Short-Term Investments	15.05B	12.05B	13.20B	17.44B	14.78B	12.52B
Total Debt	510.58M	300.00M	300.00M	300.00M	300.00M	300.00M
Total Liabilities	6.82B	6.45B	5.90B	5.31B	5.20B	4.26B
Stockholders Equity	24.97B	24.99B	25.73B	27.70B	25.69B	23.69B
Cash Flow
Free Cash Flow	0.00	6.15B	4.98B	4.64B	5.00B	3.29B
Operating Cash Flow	0.00	7.01B	5.48B	5.00B	5.21B	3.52B
Investing Cash Flow	0.00	-2.60B	-2.23B	348.35M	-219.77M	263.44M
Financing Cash Flow	0.00	-6.97B	-7.39B	-3.00B	-2.55B	-3.19B

Funai Soken Holdings Incorporated Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2431.00
• 50DMA: Negative
• 100DMA: Negative
• 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:9757, the sentiment is Negative. The current price of 2431 is below the 20-day moving average (MA) of 2459.45, below the 50-day MA of 2513.38, and above the 200-day MA of 2390.56, indicating a neutral trend. The MACD of -21.43 indicates Positive momentum. The RSI at 44.62 is Neutral, neither overbought nor oversold. The STOCH value of 35.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9757.

Funai Soken Holdings Incorporated Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9644	72 Outperform	¥23.55B	21.31	―	3.65%	15.91%	36.39%
9757	69 Neutral	¥113.96B	24.85	―	3.29%	10.28%	-20.11%
9168	67 Neutral	¥21.05B	13.41	―	1.06%	23.25%	14.29%
4792	66 Neutral	¥33.35B	14.02	―	4.37%	2.46%	-31.77%
4763	66 Neutral	¥32.55B	10.31	―	2.87%	4.27%	27.62%
7033	66 Neutral	¥22.29B	11.66	―	2.26%	17.87%	5.31%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Funai Soken Holdings Incorporated Corporate Events

Funai Soken Holdings Announces Share Buyback to Enhance Capital Efficiency

Funai Soken Holdings Inc., a company listed on the Tokyo Stock Exchange, has announced a share buyback program aimed at improving capital efficiency and enhancing shareholder returns. The board has approved the acquisition of up to 1.1 million common shares, representing 2.37% of the total outstanding shares, with a maximum expenditure of 2.5 billion yen. This move is part of the company’s strategy to dynamically adjust its capital policies in response to the evolving business environment.

Funai Soken Holdings Reports Mixed First-Half Financial Results for 2025

Funai Soken Holdings, Inc. reported its consolidated financial results for the first half of the fiscal year ending December 31, 2025, showing an increase in net sales by 11.4% to 16,043 million yen. However, the net income attributable to owners of the parent decreased by 43.8% to 1,651 million yen, indicating a significant drop in profitability. The company’s equity ratio remains strong at over 76%, and it has announced a dividend increase, reflecting a positive outlook for stakeholders despite the drop in net income.