| Valuation method | Value, ¥ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 2594.39 | 30 |
| Intrinsic value (DCF) | 1429.41 | -28 |
| Graham-Dodd Method | 1105.20 | -45 |
| Graham Formula | 484.36 | -76 |
STUDIO ALICE Co., Ltd. is a leading Japanese company specializing in children's photography services, capturing milestone moments from maternity to coming-of-age ceremonies. Founded in 1974 and headquartered in Osaka, the company operates a network of photo studios across Japan, offering a comprehensive range of services including maternity, newborn, birthday, graduation, and Disney-themed photo shoots. STUDIO ALICE also provides related products such as prints, albums, and photo accessories, catering to families seeking to preserve cherished memories. As part of the Consumer Cyclical sector and Personal Products & Services industry, the company has established a strong brand presence in Japan's niche photography market. With a market capitalization of approximately ¥34.8 billion, STUDIO ALICE combines traditional photography services with modern themes like Disney collaborations, positioning itself as a trusted name in family-oriented photography experiences. The company's financial stability, reflected in its ¥19.5 billion cash reserves and consistent dividend payments, underscores its established position in Japan's consumer services landscape.
STUDIO ALICE presents a stable investment opportunity within Japan's specialized consumer services sector, with a low beta of -0.05 indicating relative insulation from market volatility. The company's ¥35.6 billion revenue and ¥1.37 billion net income demonstrate consistent profitability, supported by strong operating cash flow of ¥6.34 billion. A healthy cash position (¥19.5 billion) and modest debt (¥2.52 billion) provide financial flexibility, while the ¥50 dividend per share offers income appeal. However, investors should consider the company's niche market focus and potential sensitivity to Japan's declining birth rates. The capital expenditure of -¥2.01 billion suggests ongoing investment in studio operations, which could drive future growth through service expansion or technological upgrades in photography services.
STUDIO ALICE maintains competitive advantages through its specialized focus on children's milestone photography and long-established brand recognition in Japan's family services market. The company's comprehensive service portfolio covering all stages of childhood creates customer retention opportunities, as families may return for multiple life events. Its Disney character shooting services represent a unique differentiator in the market. The company's financial strength allows for sustained investment in studio quality and customer experience, while its nationwide presence provides accessibility advantages. However, the competitive landscape includes both specialized photography studios and generalist photo service providers. STUDIO ALICE's positioning as a premium service provider focusing on emotional value rather than price competition helps maintain margins. The company's challenge lies in adapting to changing consumer photography habits, including the rise of smartphone photography, while maintaining its value proposition around professional milestone documentation. Its cash-rich position could facilitate strategic moves such as digital service expansion or acquisitions to bolster market position.