Japan Investment Adviser Co., Ltd. Fundamental Analysis (JPX: 7172.T)
Japan Investment Adviser Co., Ltd. Fundamental Analysis (JPX: 7172.T)
Japan Investment Adviser Co., Ltd. (JPX: 7172.T) shows strong financial fundamentals with a PE ratio of 10.28, profit margin of 30.14%, and ROE of 16.16%. The company generates $41.1B in annual revenue with strong year-over-year growth of 24.44%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 59.5/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze 7172.T's fundamental strength across five key dimensions:
Efficiency Score
Weak7172.T struggles to generate sufficient returns from assets.
Valuation Score
Excellent7172.T trades at attractive valuation levels.
Growth Score
Excellent7172.T delivers strong and consistent growth momentum.
Financial Health Score
Moderate7172.T shows balanced financial health with some risks.
Profitability Score
Moderate7172.T maintains healthy but balanced margins.
Key Financial Metrics
Is 7172.T Expensive or Cheap?
P/E Ratio
7172.T trades at 10.28 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 7172.T's PEG of 0.23 indicates potential undervaluation.
Price to Book
The market values Japan Investment Adviser Co., Ltd. at 1.55 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 1.56 times EBITDA. This is generally considered low.
How Well Does 7172.T Make Money?
Net Profit Margin
For every $100 in sales, Japan Investment Adviser Co., Ltd. keeps $30.14 as profit after all expenses.
Operating Margin
Core operations generate 52.10 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $16.16 in profit for every $100 of shareholder equity.
ROA
Japan Investment Adviser Co., Ltd. generates $4.57 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Japan Investment Adviser Co., Ltd. generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Japan Investment Adviser Co., Ltd. generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
7172.T converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.28
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.23
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.55
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.17
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.90
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.48
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.16
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.21
vs 25 benchmark
How 7172.T Stacks Against Its Sector Peers
| Metric | 7172.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.28 | 21.07 | Better (Cheaper) |
| ROE | 16.16% | 647.00% | Weak |
| Net Margin | 30.14% | -1594.00% (disorted) | Strong |
| Debt/Equity | 1.90 | 0.90 | Weak (High Leverage) |
| Current Ratio | 1.48 | 912.43 | Neutral |
| ROA | 4.57% | -579.00% (disorted) | Weak |
7172.T outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Japan Investment Adviser Co., Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
8.37%
Industry Style: Value, Dividend, Cyclical
GrowingEPS CAGR
36.31%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
-77.16%
Industry Style: Value, Dividend, Cyclical
Declining