Dear Life Co.,Ltd. Fundamental Analysis (JPX: 3245.T)
Dear Life Co.,Ltd. (JPX: 3245.T) shows moderate financial fundamentals with a PE ratio of 10.52, profit margin of 7.10%, and ROE of 16.20%. The company generates $72.2B in annual revenue with strong year-over-year growth of 67.46%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 76.7/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze 3245.T's fundamental strength across five key dimensions:
Efficiency Score
Weak3245.T struggles to generate sufficient returns from assets.
Valuation Score
Excellent3245.T trades at attractive valuation levels.
Growth Score
Excellent3245.T delivers strong and consistent growth momentum.
Financial Health Score
Excellent3245.T maintains a strong and stable balance sheet.
Profitability Score
Moderate3245.T maintains healthy but balanced margins.
Key Financial Metrics
Is 3245.T Expensive or Cheap?
P/E Ratio
3245.T trades at 10.52 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 3245.T's PEG of 1.22 indicates fair valuation.
Price to Book
The market values Dear Life Co.,Ltd. at 1.72 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 5.52 times EBITDA. This is generally considered low.
How Well Does 3245.T Make Money?
Net Profit Margin
For every $100 in sales, Dear Life Co.,Ltd. keeps $7.10 as profit after all expenses.
Operating Margin
Core operations generate 10.51 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $16.20 in profit for every $100 of shareholder equity.
ROA
Dear Life Co.,Ltd. generates $7.25 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Dear Life Co.,Ltd. produces operating cash flow of $14.14B, showing steady but balanced cash generation.
Free Cash Flow
Dear Life Co.,Ltd. generates strong free cash flow of $14.14B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $280.81 in free cash annually.
FCF Yield
3245.T converts 24.06% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.52
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.22
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.72
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.81
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.98
vs 25 benchmark
Current Ratio
Current assets to current liabilities
5.08
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.16
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.11
vs 25 benchmark
How 3245.T Stacks Against Its Sector Peers
| Metric | 3245.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.52 | 25.83 | Better (Cheaper) |
| ROE | 16.20% | 801.00% | Weak |
| Net Margin | 7.10% | 2686.00% | Weak |
| Debt/Equity | 0.98 | -37.24 (disorted) | Distorted |
| Current Ratio | 5.08 | 39.42 | Strong Liquidity |
| ROA | 7.25% | 275.00% | Weak |
3245.T outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Dear Life Co.,Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
153.18%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
156.29%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
98.41%
Industry Style: Income, Inflation Hedge, REIT
High Growth