Daisyo Corporation (9979) AI Stock Analysis

• Market Cap: ¥26.34B
• Dividend Yield: 1.12%
• Average Volume (3M): 36.30K
• Price to Earnings (P/E): 20.1
• Beta (1Y): 0.45
• Revenue Growth: 4.95%
• EPS Growth: -10.76%
• Country: JP
• Employees: 1,594
• Sector: Consumer Cyclical
• Sector Strength: 80
• Industry: Restaurants
• EPS (TTM): 19.28
• Shares Outstanding: 21,198,961
• 10 Day Avg. Volume: 40,130
• 30 Day Avg. Volume: 36,296
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥1,212.00
• Price Target Upside: -3.43% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 65 Neutral
• Price Target: ¥1,212.00 ▼(-3.43% Downside)

Daisyo Corporation's overall stock score of 65 reflects strong financial recovery and stable valuation. While technical indicators suggest neutral momentum, the company's improved financial performance and reasonable valuation offer a balanced investment outlook.

Daisyo Corporation Business Overview & Revenue Model

Company Description

Daisyo Corporation (9979) is a Japan-based company primarily engaged in the operation and management of various restaurant chains. The company specializes in offering a wide range of dining experiences, catering to different customer preferences through its diverse portfolio of brands. These brands encompass various cuisines, including Japanese-style barbecue, sushi, izakaya, and other casual dining options. Daisyo Corporation focuses on delivering high-quality food and service, ensuring a memorable dining experience for its customers.

How the Company Makes Money

Daisyo Corporation generates revenue primarily through its restaurant operations. The company operates numerous dining establishments under different brand names, each targeting specific customer segments and culinary preferences. Revenue streams include direct sales from food and beverages consumed at their restaurants, as well as takeaway and delivery services offered through certain outlets. The company may also derive income from franchise operations, where it licenses its brand and business model to franchisees. Additionally, Daisyo Corporation benefits from strategic partnerships with suppliers and other stakeholders in the food and beverage industry, which can contribute to cost efficiencies and enhance profitability.

Daisyo Corporation Financial Statement Overview

Summary

Daisyo Corporation has demonstrated a commendable turnaround in its financial health, with improvements in revenue growth, profitability, and cash flow. The company has effectively managed its debt levels and improved operational efficiency. Despite historical inconsistencies, these results suggest a positive trajectory.

Income Statement

Daisyo Corporation has shown a significant recovery in its income statement with a strong revenue growth rate of 11.20% from 2023 to 2024. Gross profit margin stands at 38.85% and net profit margin at 2.64%, indicating improved profitability. The EBIT margin at 1.98% and EBITDA margin at 4.76% show a return to positive operating performance after previous losses. However, the company has faced challenges in maintaining consistent profitability in past years.

Balance Sheet

The balance sheet indicates a stable financial position with a debt-to-equity ratio of 1.34, reflecting moderate leverage. The return on equity (ROE) is 12.83%, showing a reasonable return for shareholders. The equity ratio of 31.04% suggests a solid equity base, though it has decreased over the years. The company has managed to reduce its debt burden, which is a positive sign.

Cash Flow

Daisyo Corporation's cash flow statement reveals a robust operating cash flow to net income ratio of 1.15, indicating strong cash generation relative to net income. Free cash flow has shifted from negative to positive, showing a growth rate of 254.55% from 2023 to 2024. However, past volatility in free cash flow highlights potential challenges in sustaining this trend.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	50.59B	45.49B	35.80B	35.43B	44.83B
Gross Profit	19.65B	18.44B	15.71B	12.78B	23.76B
EBITDA	2.41B	104.00M	622.00M	-3.71B	-4.26B
Net Income	1.33B	-769.00M	-769.00M	-4.87B	-6.30B
Balance Sheet
Total Assets	33.52B	33.19B	33.74B	35.13B	40.80B
Cash, Cash Equivalents and Short-Term Investments	9.01B	8.16B	8.28B	6.87B	11.17B
Total Debt	13.98B	14.75B	15.30B	16.39B	15.97B
Total Liabilities	23.12B	23.70B	23.67B	23.99B	24.67B
Stockholders Equity	10.40B	9.48B	10.06B	11.14B	16.13B
Cash Flow
Free Cash Flow	714.00M	-462.00M	2.61B	-7.69B	-6.09B
Operating Cash Flow	1.54B	784.00M	3.40B	-6.47B	-4.62B
Investing Cash Flow	370.00M	-372.00M	-665.00M	1.84B	-2.08B
Financing Cash Flow	-1.04B	-544.00M	-1.38B	331.00M	5.07B

Daisyo Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1255.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9979, the sentiment is Positive. The current price of 1255 is above the 20-day moving average (MA) of 1234.30, above the 50-day MA of 1179.60, and above the 200-day MA of 1110.79, indicating a bullish trend. The MACD of 21.84 indicates Positive momentum. The RSI at 70.90 is Negative, neither overbought nor oversold. The STOCH value of 56.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9979.

Daisyo Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3073	70 Neutral	¥30.42B	13.42		―	3.73%	-23.54%
3178	67 Neutral	¥24.56B	28.85		0.79%	0.09%	-21.59%
9979	65 Neutral	¥26.34B	20.15		1.12%	4.95%	-10.76%
7678	65 Neutral	¥22.56B	37.95		―	―	―
9850	63 Neutral	¥22.81B	49.49		0.60%	10.90%	-63.26%
2882	62 Neutral	¥24.00B	70.36		0.73%	6.23%	-4.80%
Sector *	61 Neutral	$17.75B	12.56	-5.49%	3.02%	1.43%	-14.12%