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Stock Analysis & ValuationGood Com Asset Co., Ltd. (3475.T)

Professional Stock Screener
Previous Close
¥1,311.00
Sector Valuation Confidence Level
Low
Valuation methodValue, ¥Upside, %
Artificial intelligence (AI)2100.8060
Intrinsic value (DCF)329.97-75
Graham-Dodd Method535.35-59
Graham Formula19590.701394

Strategic Investment Analysis

Company Overview

Good Com Asset Co., Ltd. (3475.T) is a Tokyo-based real estate company specializing in the planning, development, and sale of residential condominiums and lots under its GENOVIA brand. Operating primarily in Japan, the company also offers residential real estate management, rental services, and real estate consulting. Additionally, Good Com Asset provides property and casualty insurance products, diversifying its revenue streams. Established in 2005, the company has carved a niche in Japan's competitive real estate market by focusing on residential properties and value-added services. With a market capitalization of approximately ¥33.45 billion, Good Com Asset plays a significant role in Japan's real estate sector, particularly in urban residential development. The company's integrated approach—combining development, management, and consulting—positions it as a versatile player in Japan's property market.

Investment Summary

Good Com Asset Co., Ltd. presents a stable investment opportunity within Japan's real estate sector, supported by its diversified business model and consistent revenue streams. The company's low beta (0.128) suggests lower volatility compared to the broader market, appealing to risk-averse investors. With a net income of ¥3.32 billion and strong operating cash flow (¥25.86 billion), the company demonstrates solid financial health. However, its reliance on Japan's domestic real estate market exposes it to local economic fluctuations and demographic challenges, such as Japan's aging population. The dividend yield, based on a ¥41 per share payout, may attract income-focused investors, but growth prospects could be limited by market saturation in urban residential developments. Investors should weigh the stability of its cash flows against potential long-term demographic headwinds.

Competitive Analysis

Good Com Asset Co., Ltd. competes in Japan's crowded real estate market by focusing on residential condominiums and integrated property services under its GENOVIA brand. Its competitive advantage lies in its localized expertise and diversified offerings, including real estate management, consulting, and insurance products. Unlike larger, more diversified real estate conglomerates, Good Com Asset's specialization in residential properties allows for targeted marketing and operational efficiency. However, its smaller scale limits its ability to compete on large-scale developments or international expansion. The company's strong operating cash flow and low debt-to-equity ratio (relative to industry peers) provide financial flexibility, but its growth potential is constrained by Japan's stagnant population growth and competitive urban real estate landscape. Competitors with broader portfolios or stronger brand recognition may outperform in terms of market share, but Good Com Asset's niche focus and stable cash flows offer resilience in a cyclical industry.

Major Competitors

  • GOLDWIN INC. (3281.T): GOLDWIN INC. operates in Japan's real estate sector with a focus on residential and commercial properties. Unlike Good Com Asset, it has a broader portfolio, including retail and office spaces, giving it diversification advantages. However, its larger scale may reduce agility in niche markets like residential condominiums, where Good Com Asset specializes.
  • Tokyu Fudosan Holdings Corporation (3289.T): Tokyu Fudosan is a major Japanese real estate developer with extensive resources and a strong brand. It competes directly with Good Com Asset in residential developments but also has significant commercial and retail projects. Its scale and financial strength pose a challenge to smaller players like Good Com Asset, though Tokyu's broader focus may dilute its residential specialization.
  • Mitsui Fudosan Co., Ltd. (8801.T): Mitsui Fudosan is one of Japan's largest real estate companies, with a global presence and diverse portfolio spanning residential, commercial, and logistics properties. Its size and international reach give it a competitive edge over Good Com Asset, but its focus on high-end developments and large-scale projects means it operates in a different market segment.
  • Sumitomo Realty & Development Co., Ltd. (8830.T): Sumitomo Realty & Development is a key competitor in Japan's residential and office real estate markets. Its strong balance sheet and brand recognition allow it to undertake large projects, but its emphasis on luxury properties differentiates it from Good Com Asset's more mid-market GENOVIA brand.
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