Aeon Co., Ltd. Fundamental Analysis (JPX: 8267.T)
Aeon Co., Ltd. (JPX: 8267.T) shows weak financial fundamentals with a PE ratio of 39.55, profit margin of 0.84%, and ROE of 7.77%. The company generates $11087.9B in annual revenue with moderate year-over-year growth of 6.08%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 34.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 8267.T's fundamental strength across five key dimensions:
Efficiency Score
Weak8267.T struggles to generate sufficient returns from assets.
Valuation Score
Moderate8267.T shows balanced valuation metrics.
Growth Score
Moderate8267.T shows steady but slowing expansion.
Financial Health Score
Moderate8267.T shows balanced financial health with some risks.
Profitability Score
Weak8267.T struggles to sustain strong margins.
Key Financial Metrics
Is 8267.T Expensive or Cheap?
P/E Ratio
8267.T trades at 39.55 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, 8267.T's PEG of 0.09 indicates potential undervaluation.
Price to Book
The market values Aeon Co., Ltd. at 3.13 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 1.40 times EBITDA. This is generally considered low.
How Well Does 8267.T Make Money?
Net Profit Margin
For every $100 in sales, Aeon Co., Ltd. keeps $0.84 as profit after all expenses.
Operating Margin
Core operations generate 2.62 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.77 in profit for every $100 of shareholder equity.
ROA
Aeon Co., Ltd. generates $0.60 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Aeon Co., Ltd. produces operating cash flow of $1.13T, showing steady but balanced cash generation.
Free Cash Flow
Aeon Co., Ltd. produces free cash flow of $597.92B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $216.12 in free cash annually.
FCF Yield
8267.T converts 15.80% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
39.55
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.09
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.13
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.34
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
3.35
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.04
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.006
vs 25 benchmark
ROCE
Return on capital employed
0.05
vs 25 benchmark
How 8267.T Stacks Against Its Sector Peers
| Metric | 8267.T Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 39.55 | 25.68 | Worse (Expensive) |
| ROE | 7.77% | 970.00% | Weak |
| Net Margin | 0.84% | -4902.00% (disorted) | Weak |
| Debt/Equity | 3.35 | 0.60 | Weak (High Leverage) |
| Current Ratio | 1.04 | 2.33 | Neutral |
| ROA | 0.60% | 321.00% | Weak |
8267.T outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Aeon Co., Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
15.67%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
5.32%
Industry Style: Cyclical, Growth, Discretionary
GrowingFCF CAGR
-10.99%
Industry Style: Cyclical, Growth, Discretionary
Declining