Oriental Land Co (OLCLY) AI Stock Analysis

• Market Cap: $36.03B
• Dividend Yield: 0.25%
• Average Volume (3M): 2.33K
• Price to Earnings (P/E): 44.4
• Beta (1Y): 0.69
• Revenue Growth: 4.34%
• EPS Growth: -2.19%
• Country: US
• Employees: 9,719
• Sector: Consumer Cyclical
• Sector Strength: 56
• Industry: Leisure
• EPS (TTM): 0.11
• Shares Outstanding: 1,800,450,800
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 2,330
• PEG Ratio: 0.10
• Price to Book (P/B): 8.84
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 98.36
• 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

• Rating: 74 Outperform
• Price Target: ―

Oriental Land Co has a strong financial performance driven by robust revenue and profit growth, solid balance sheet, and effective cash flow management. The technical analysis suggests stable performance with potential for upward movement, although the long-term trend warrants caution. Valuation metrics indicate the stock might be overpriced, which could limit upside potential. Overall, the company is well-positioned financially, but the high valuation should be considered by investors.

Oriental Land Co Business Overview & Revenue Model

Company Description

Oriental Land Co., Ltd. (OLCLY) is a prominent Japanese leisure and entertainment company, primarily known for owning and operating Tokyo Disney Resort, which includes Tokyo Disneyland and Tokyo DisneySea. Founded in 1960 and headquartered in Urayasu, Chiba Prefecture, Japan, the company is involved in theme park management, hospitality, and real estate development. Oriental Land Co. is dedicated to providing exceptional entertainment experiences, leveraging its partnership with The Walt Disney Company to offer Disney-themed attractions and services.

How the Company Makes Money

Oriental Land Co. generates revenue through several key streams, with its primary source being the operation of Tokyo Disney Resort. This includes income from ticket sales, merchandise, and food and beverage sales within the theme parks. Additionally, the company profits from its hotel operations, which cater to visitors of the resort. Oriental Land also benefits from its licensing agreement with The Walt Disney Company, which allows it to use Disney characters and branding, drawing large crowds and driving sales. Furthermore, the company is involved in real estate activities, including leasing properties and developing new attractions to enhance its resort offerings. These diversified revenue streams, combined with strategic partnerships and continuous investment in the resort's attractions and facilities, contribute significantly to Oriental Land Co.'s earnings.

Oriental Land Co Financial Statement Overview

Summary

Oriental Land Co exhibits a robust financial position with strong growth, profitability, and liquidity metrics. Revenue and profit growth signal a positive recovery and expansion trajectory. The company’s low leverage and solid cash flow performance further reinforce its financial stability and capability to sustain operations and growth investments.

Income Statement

Oriental Land Co has demonstrated strong revenue growth with a notable increase of 28.0% from the previous year, reflecting a recovery trajectory. The company also maintains robust profitability metrics with a gross profit margin of 40.3% and a net profit margin of 19.4%, indicating effective cost management and strong earnings potential. EBIT and EBITDA margins further underscore the company's operational efficiency, standing at 26.8% and 34.3% respectively.

Balance Sheet

The balance sheet of Oriental Land Co is solid, characterized by a low debt-to-equity ratio of 0.22, highlighting prudent leverage use. The return on equity (ROE) is strong at 12.7%, suggesting effective equity utilization to generate profits. An equity ratio of 70.1% signals a stable financial structure with ample equity backing the company’s assets, minimizing financial risk.

Cash Flow

Cash flow performance is impressive, with a substantial free cash flow growth rate of 94.5%, indicating enhanced cash generation capability. The operating cash flow to net income ratio of 1.64 shows strong cash conversion from net income. Additionally, a free cash flow to net income ratio of 1.21 reflects effective cash generation relative to net earnings.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	626.31B	618.49B	483.12B	275.73B	170.58B	464.45B
Gross Profit	248.90B	249.52B	186.23B	65.75B	903.00M	163.85B
EBITDA	127.21B	212.14B	157.53B	51.03B	-21.55B	136.31B
Net Income	117.24B	120.22B	80.73B	8.07B	-54.19B	62.22B
Balance Sheet
Total Assets	1.31T	1.36T	1.21T	1.09T	1.04T	1.01T
Cash, Cash Equivalents and Short-Term Investments	361.68B	397.01B	298.23B	234.87B	230.81B	281.16B
Total Debt	208.59B	208.95B	240.96B	242.65B	186.22B	87.07B
Total Liabilities	359.15B	405.65B	376.73B	330.57B	280.52B	190.40B
Stockholders Equity	955.76B	949.56B	829.69B	756.32B	759.95B	820.26B
Cash Flow
Free Cash Flow	46.51B	144.98B	74.52B	-50.60B	-140.78B	-61.00B
Operating Cash Flow	46.51B	197.67B	167.73B	54.60B	-23.83B	73.34B
Investing Cash Flow	0.00	-21.27B	-144.43B	-138.98B	-160.74B	20.53B
Financing Cash Flow	0.00	-45.63B	-10.94B	48.93B	88.72B	-55.26B

Oriental Land Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 22.44
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OLCLY, the sentiment is Negative. The current price of 22.44 is above the 20-day moving average (MA) of 22.23, above the 50-day MA of 22.13, and below the 200-day MA of 22.62, indicating a bearish trend. The MACD of 0.02 indicates Positive momentum. The RSI at 48.16 is Neutral, neither overbought nor oversold. The STOCH value of 21.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for OLCLY.

Oriental Land Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BYD	78 Outperform	$6.36B	12.76	35.62%	0.92%	6.06%	10.05%
RCL	78 Outperform	$77.22B	23.88	49.55%	1.01%	13.66%	49.86%
OLCLY	74 Outperform	$36.03B	44.39	12.71%	0.25%	4.34%	-2.19%
MGM	71 Outperform	$9.22B	15.14	21.38%	―	2.76%	-14.31%
WYNN	63 Neutral	$9.61B	25.09	-51.73%	1.09%	-0.08%	-48.66%
Sector *	62 Neutral	$16.72B	10.85	-7.48%	3.15%	1.66%	-24.52%
NCLH	59 Neutral	$8.50B	11.86	95.87%	―	5.57%	141.01%