| Valuation method | Value, ¥ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 1572.38 | 207 |
| Intrinsic value (DCF) | 432.27 | -16 |
| Graham-Dodd Method | 895.95 | 75 |
| Graham Formula | 19.93 | -96 |
GRANDES, Inc. is a Japanese real estate company specializing in the construction and sale of housing and condominiums. Headquartered in Oita, Japan, the company operates primarily in the domestic market, offering apartments, construction contracting, and real estate consulting services. Founded in 2006, GRANDES has established itself as a regional player in Japan's competitive real estate sector, focusing on residential developments. The company's business model revolves around property development and sales, leveraging Japan's urban housing demand. With a market capitalization of approximately ¥4.62 billion, GRANDES serves a niche segment in Japan's real estate market, where population density and urbanization trends drive demand for compact, efficient housing solutions. The company's operations are supported by a mix of direct sales and consulting services, positioning it as a vertically integrated player in its regional market.
GRANDES, Inc. presents a modest investment opportunity within Japan's real estate sector, characterized by stable but limited growth prospects. The company's low beta (0.094) suggests minimal volatility relative to the broader market, appealing to conservative investors. However, its small market cap and regional focus may limit scalability. Financials indicate profitability (net income of ¥251 million) and a healthy cash position (¥1.61 billion), but revenue growth appears stagnant (¥4.23 billion). The dividend yield, based on a ¥20 per share payout, is modest. Risks include Japan's aging population and stagnant real estate demand in non-metropolitan areas. Investors should weigh GRANDES' regional stability against its lack of diversification and exposure to Japan's macroeconomic challenges.
GRANDES, Inc. operates in a highly competitive Japanese real estate market dominated by larger national players and regional specialists. Its competitive advantage lies in its localized expertise in Oita and surrounding regions, allowing for tailored residential solutions. However, the company lacks the scale and brand recognition of major Japanese developers, limiting its ability to compete in high-growth urban centers like Tokyo or Osaka. GRANDES' vertically integrated model—combining construction, sales, and consulting—provides cost control but may lack the efficiency of larger firms with economies of scale. The company's financial stability (positive operating cash flow of ¥176.7 million) is a strength, but its small size makes it vulnerable to regional economic downturns. Unlike national competitors, GRANDES does not appear to have a significant land bank or recurring rental income streams, relying instead on project-based sales. Its competitive positioning is further challenged by Japan's shrinking population, which pressures long-term housing demand outside major cities.