CONSEC CORPORATION (9895) AI Stock Analysis

• Market Cap: ¥2.22B
• Dividend Yield: 2.21%
• Average Volume (3M): 863.00
• Price to Earnings (P/E): ―
• Beta (1Y): 0.09
• Revenue Growth: -5.55%
• EPS Growth: -245.31%
• Country: JP
• Employees: 387
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Tools & Accessories
• EPS (TTM): 35.68
• Shares Outstanding: 1,864,011
• 10 Day Avg. Volume: 1,280
• 30 Day Avg. Volume: 863
• PEG Ratio: 0.05
• Price to Book (P/B): 0.28
• Price to Sales (P/S): 0.21
• P/FCF Ratio: -3.06
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 56 Neutral
• Price Target: ¥1,285.00 ▲(4.90% Upside)

The overall stock score is primarily influenced by the company's mixed financial performance, with stability in the balance sheet but challenges in profitability and cash flow. Technical analysis provides a neutral to slightly bearish outlook, while valuation concerns due to a negative P/E ratio are partially offset by a reasonable dividend yield.

Positive Factors

Strong Equity Position

A strong equity position provides a solid foundation for financial stability, allowing the company to weather economic fluctuations and invest in growth opportunities.

Innovative Product Offerings

Innovation in construction technologies and materials positions the company to capture market share and meet evolving industry demands, supporting long-term growth.

Partnerships and Contracts

Strategic partnerships and government contracts provide reliable revenue streams, enhancing financial predictability and supporting sustained business operations.

Negative Factors

Profitability Challenges

Ongoing profitability and liquidity challenges can hinder the company's ability to reinvest in growth and meet financial obligations, impacting long-term viability.

Declining Revenue Growth

Declining revenue growth indicates potential market share loss or demand issues, which could affect the company's competitive position and future earnings potential.

Negative Operating Cash Flow

Negative operating cash flow suggests difficulties in generating sufficient cash from core operations, which may limit the company's ability to fund expansion and manage debt.

CONSEC CORPORATION Business Overview & Revenue Model

Company Description

Consec Corporation engages in the manufacture and sale of drilling and cutting equipment in Japan and internationally. It offers hand, wall, and plunge cutter equipment, as well as wire saws and core drill products; automatic feeding systems, hydraulic units, fiber optic cable laying robots, and road grinding machines; and diamond core bits, blades, and wires under the Hakken brand name. The company also undertakes special contractor works; and sells construction machinery, housing and living related equipment, and OA equipment. In addition, it provides life insurance agency services; and business IT services, including systems outsourcing support; as well as rents real estate facilities. Consec Corporation was incorporated in 1967 and is headquartered in Hiroshima, Japan.

How the Company Makes Money

CONSEC CORPORATION Financial Statement Overview

Summary

CONSEC CORPORATION exhibits a mixed financial performance. The balance sheet shows stability with a strong equity position, but the income statement reveals profitability challenges, and the cash flow statement underscores liquidity issues. The company needs to enhance operational efficiency and improve cash generation to bolster its financial health.

Income Statement

The company has faced challenges in maintaining revenue growth, with a decline in total revenue over the past year. Gross profit margin remains moderate, but negative net income suggests profitability issues. The negative EBIT implies operational challenges, though EBITDA remains positive, indicating some resilience in core operations.

Balance Sheet

The balance sheet indicates a solid equity base with a healthy equity ratio. Despite the increase in total debt, the company maintains a manageable debt-to-equity ratio, reflecting prudent financial leverage. Return on equity is impacted by recent losses, but overall stability is maintained through strong equity levels.

Cash Flow

The cash flow statement reflects significant challenges, with a negative operating cash flow and free cash flow, indicating the company is currently struggling to generate cash from its operations. The free cash flow to net income ratio is concerning, highlighting potential cash constraints.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.13B	10.30B	10.38B	9.70B	10.08B	9.84B
Gross Profit	2.34B	2.35B	2.38B	2.29B	2.55B	2.32B
EBITDA	121.41M	50.51M	445.66M	238.16M	368.03M	315.46M
Net Income	-218.73M	-208.27M	210.21M	-2.29M	59.70M	71.09M
Balance Sheet
Total Assets	11.96B	11.96B	12.58B	11.64B	11.76B	11.74B
Cash, Cash Equivalents and Short-Term Investments	1.71B	1.57B	2.00B	1.38B	1.70B	1.70B
Total Debt	1.61B	1.46B	1.03B	1.09B	1.20B	1.36B
Total Liabilities	3.96B	3.82B	4.34B	3.92B	4.01B	4.10B
Stockholders Equity	7.79B	7.93B	8.08B	7.57B	7.59B	7.48B
Cash Flow
Free Cash Flow	0.00	-716.02M	544.41M	-17.67M	155.76M	323.08M
Operating Cash Flow	0.00	-538.52M	659.91M	50.56M	201.40M	412.35M
Investing Cash Flow	0.00	-199.75M	12.69M	-115.14M	-20.63M	-163.68M
Financing Cash Flow	0.00	330.64M	-61.17M	-157.72M	-206.82M	136.32M

CONSEC CORPORATION Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1225.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9895, the sentiment is Positive. The current price of 1225 is below the 20-day moving average (MA) of 1226.10, below the 50-day MA of 1231.78, and below the 200-day MA of 1243.13, indicating a neutral trend. The MACD of 0.55 indicates Negative momentum. The RSI at 57.18 is Neutral, neither overbought nor oversold. The STOCH value of 72.91 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9895.

CONSEC CORPORATION Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5962	76 Outperform	¥1.69B	13.82	―	2.78%	-6.93%	-63.68%
6380	69 Neutral	¥4.71B	29.70	―	0.99%	0.73%	56.28%
5952	66 Neutral	¥2.25B	13.79	―	2.75%	0.32%	19.67%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
5950	61 Neutral	¥2.73B	-673.25	―	12.63%	3.39%	-101.03%
5969	60 Neutral	¥2.33B	75.11	―	2.52%	-2.79%	-88.80%
9895	56 Neutral	¥2.22B	-13.74	―	2.21%	-5.55%	-245.31%