| Valuation method | Value, ¥ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 2355.45 | -21 |
| Intrinsic value (DCF) | 1236.72 | -59 |
| Graham-Dodd Method | 600.79 | -80 |
| Graham Formula | 1201.94 | -60 |
Y's Table Corporation (2798.T) is a Japan-based restaurant operator specializing in planning, developing, and managing a diverse portfolio of dining establishments both domestically and internationally. Founded in 1999 and headquartered in Tokyo, the company operates through directly managed stores and franchise (FC) locations, catering to varied consumer tastes in the competitive Japanese food service sector. As part of the Consumer Cyclical sector, Y's Table plays a significant role in Japan's restaurant industry, which is characterized by high competition and evolving consumer preferences. The company's business model leverages both owned and franchised operations to expand its market presence while maintaining operational efficiency. With a market capitalization of approximately ¥9.64 billion, Y's Table focuses on delivering consistent revenue growth and profitability in a challenging economic environment marked by fluctuating consumer spending.
Y's Table Corporation presents a mixed investment profile. On the positive side, the company has demonstrated profitability with a net income of ¥260.65 million and diluted EPS of ¥79.03, supported by steady operating cash flow of ¥290.05 million. However, its low beta (0.005) suggests minimal correlation with broader market movements, which may appeal to risk-averse investors but limits upside potential. The absence of dividends may deter income-focused investors. Key risks include high competition in Japan's restaurant industry, reliance on domestic and franchise operations, and modest revenue growth (¥12.12 billion). Investors should weigh the company's stable cash position (¥1.53 billion) against its total debt (¥1.71 billion) and capital expenditures (¥-314.44 million).
Y's Table Corporation operates in Japan's highly competitive restaurant industry, where differentiation and operational efficiency are critical. The company's competitive advantage lies in its dual approach of directly managed and franchised stores, allowing for scalable growth while mitigating some operational risks. However, its market positioning is challenged by larger players with stronger brand recognition and international reach. Y's Table's modest market cap (¥9.64 billion) limits its ability to compete aggressively on pricing or expansion compared to industry giants. The company's low beta indicates resilience to market volatility but may also reflect slower growth prospects. Its lack of dividend payouts could be a disadvantage when competing for investor attention against peers offering shareholder returns. Strengths include a stable cash position and manageable debt levels, but the company must innovate its menu offerings and customer experience to stand out in a saturated market. Franchising provides growth opportunities, but reliance on franchisees introduces quality control risks.