AeroEdge Co., Ltd. Fundamental Analysis (JPX: 7409.T)
AeroEdge Co., Ltd. (JPX: 7409.T) shows moderate financial fundamentals with a PE ratio of 48.73, profit margin of 15.36%, and ROE of 17.46%. The company generates $5.0B in annual revenue with moderate year-over-year growth of 7.52%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 55.1/100 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 7409.T's fundamental strength across five key dimensions:
Efficiency Score
Weak7409.T struggles to generate sufficient returns from assets.
Valuation Score
Weak7409.T trades at a premium to fair value.
Growth Score
Moderate7409.T shows steady but slowing expansion.
Financial Health Score
Moderate7409.T shows balanced financial health with some risks.
Profitability Score
Moderate7409.T maintains healthy but balanced margins.
Key Financial Metrics
Is 7409.T Expensive or Cheap?
P/E Ratio
7409.T trades at 48.73 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, 7409.T's PEG of 19.18 indicates potential overvaluation.
Price to Book
The market values AeroEdge Co., Ltd. at 8.39 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 23.44 times EBITDA. This signals the market has high growth expectations.
How Well Does 7409.T Make Money?
Net Profit Margin
For every $100 in sales, AeroEdge Co., Ltd. keeps $15.36 as profit after all expenses.
Operating Margin
Core operations generate 22.53 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $17.46 in profit for every $100 of shareholder equity.
ROA
AeroEdge Co., Ltd. generates $6.37 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
AeroEdge Co., Ltd. generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
AeroEdge 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
7409.T converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
48.73
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
19.18
vs 25 benchmark
P/B Ratio
Price to book value ratio
8.39
vs 25 benchmark
P/S Ratio
Price to sales ratio
7.76
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.14
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.32
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.17
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.11
vs 25 benchmark
How 7409.T Stacks Against Its Sector Peers
| Metric | 7409.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 48.73 | 29.51 | Worse (Expensive) |
| ROE | 17.46% | 1102.00% | Weak |
| Net Margin | 15.36% | -21025.00% (disorted) | Strong |
| Debt/Equity | 1.14 | 0.82 | Weak (High Leverage) |
| Current Ratio | 2.32 | 21.69 | Strong Liquidity |
| ROA | 6.37% | -1323340.00% (disorted) | Weak |
7409.T outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews AeroEdge Co., Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
309.78%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
192.50%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
1555.11%
Industry Style: Cyclical, Value, Infrastructure
High Growth