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Starts Corporation Inc.

8850.TJPX
Real Estate
Real Estate - Diversified
¥4915.00
¥165.00(3.47%)
Japanese Market opens in 10h 56m

Starts Corporation Inc. Fundamental Analysis

Starts Corporation Inc. (8850.T) shows moderate financial fundamentals with a PE ratio of 9.90, profit margin of 9.68%, and ROE of 13.28%. The company generates $246.8B in annual revenue with weak year-over-year growth of -0.18%.

Key Strengths

Cash Position36.82%
Current Ratio1.71

Areas of Concern

PEG Ratio2.29
We analyze 8850.T's fundamental strength across five key dimensions.

The stock receives a Fundamental Health Score of 60.2/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.

Fundamental Health Score

C+
60.2/100

We analyze 8850.T's fundamental strength across five key dimensions:

Efficiency Score

Weak

8850.T struggles to generate sufficient returns from assets.

ROA > 10%
7.00%

Valuation Score

Moderate

8850.T shows balanced valuation metrics.

PE < 25
9.90
PEG Ratio < 2
2.29

Growth Score

Moderate

8850.T shows steady but slowing expansion.

Revenue Growth > 5%
-0.18%
EPS Growth > 10%
10.64%

Financial Health Score

Excellent

8850.T maintains a strong and stable balance sheet.

Debt/Equity < 1
0.37
Current Ratio > 1
1.71

Profitability Score

Weak

8850.T struggles to sustain strong margins.

ROE > 15%
13.28%
Net Margin ≥ 15%
9.68%
Positive Free Cash Flow
Yes

Key Financial Metrics

Is 8850.T Expensive or Cheap?

P/E Ratio

8850.T trades at 9.90 times earnings. This suggests potential undervaluation.

9.90

PEG Ratio

When adjusting for growth, 8850.T's PEG of 2.29 indicates potential overvaluation.

2.29

Price to Book

The market values Starts Corporation Inc. at 1.27 times its book value. This may indicate undervaluation.

1.27

EV/EBITDA

Enterprise value stands at 6.02 times EBITDA. This is generally considered low.

6.02

How Well Does 8850.T Make Money?

Net Profit Margin

For every $100 in sales, Starts Corporation Inc. keeps $9.68 as profit after all expenses.

9.68%

Operating Margin

Core operations generate 13.62 in profit for every $100 in revenue, before interest and taxes.

13.62%

ROE

Management delivers $13.28 in profit for every $100 of shareholder equity.

13.28%

ROA

Starts Corporation Inc. generates $7.00 in profit for every $100 in assets, demonstrating efficient asset deployment.

7.00%

Following the Money - Real Cash Generation

Operating Cash Flow

Starts Corporation Inc. generates limited operating cash flow of $11.83B, signaling weaker underlying cash strength.

$11.83B

Free Cash Flow

Starts Corporation Inc. generates weak or negative free cash flow of $3.42B, restricting financial flexibility.

$3.42B

FCF Per Share

Each share generates $71.00 in free cash annually.

$71.00

FCF Yield

8850.T converts 1.45% of its market value into free cash.

1.45%

Financial Ratios Analysis

Valuation Ratios

P/E Ratio

Price to earnings ratio

9.90

vs 25 benchmark

PEG Ratio

Price/earnings to growth ratio

2.29

vs 25 benchmark

P/B Ratio

Price to book value ratio

1.27

vs 25 benchmark

P/S Ratio

Price to sales ratio

0.96

vs 25 benchmark

Financial Health

Debt/Equity

Total debt to shareholders' equity

0.37

vs 25 benchmark

Current Ratio

Current assets to current liabilities

1.71

vs 25 benchmark

Efficiency Ratios

ROE

Return on equity percentage

0.13

vs 25 benchmark

ROA

Return on assets percentage

0.07

vs 25 benchmark

ROCE

Return on capital employed

0.14

vs 25 benchmark

How 8850.T Stacks Against Its Sector Peers

Metric8850.T ValueSector AveragePerformance
P/E Ratio9.9022.38 Better (Cheaper)
ROE13.28%721.00% Weak
Net Margin9.68%-37440.00% (disorted) Weak
Debt/Equity0.37-20.85 (disorted) Distorted
Current Ratio1.711953.62 Neutral
ROA7.00%-1450.00% (disorted) Weak

8850.T outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.

Historical Growth Performance

5-Year Growth Trajectory

This section reviews Starts Corporation Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.

Revenue CAGR

18.84%

Industry Style: Income, Inflation Hedge, REIT

High Growth

EPS CAGR

71.93%

Industry Style: Income, Inflation Hedge, REIT

High Growth

FCF CAGR

-9.87%

Industry Style: Income, Inflation Hedge, REIT

Declining

Fundamental Analysis FAQ