| Valuation method | Value, ¥ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 380.35 | -22 |
| Intrinsic value (DCF) | 207.39 | -57 |
| Graham-Dodd Method | 793.91 | 63 |
| Graham Formula | 1425.02 | 193 |
TriIs Incorporated (4840.T) is a diversified Japanese conglomerate operating in construction consulting, fashion, and real estate. Headquartered in Tokyo, the company provides specialized water-related construction consulting services, including planning, design, and dam construction. Additionally, TriIs runs a fashion business under brands like CLATHAS and Hamano, offering clothing, accessories, and leather goods through e-commerce and wholesale channels. The company also engages in real estate and securities investments, showcasing a unique blend of industrial and consumer-facing operations. With a market cap of ¥2.43 billion, TriIs serves both domestic and international markets, leveraging its expertise in infrastructure and retail. Its dual focus on essential infrastructure services and lifestyle products positions it as a niche player in Japan's industrial and consumer sectors.
TriIs Incorporated presents a mixed investment profile. On the positive side, the company operates in stable industries (construction consulting and fashion) with ¥961.3 million in revenue and ¥194.8 million in net income (FY 2024). Its low beta (0.181) suggests lower volatility compared to the broader market. However, negative operating cash flow (-¥187.1 million) and minimal dividend payouts raise concerns about liquidity and shareholder returns. The company’s diversified model could provide resilience, but its small market cap and niche operations may limit growth scalability. Investors should weigh its steady profitability against its cash flow challenges and lack of dividend income.
TriIs Incorporated’s competitive advantage lies in its dual-sector focus, combining stable construction consulting with consumer fashion. In water-related construction, its specialized services (e.g., dam projects) differentiate it from general contractors, though it faces competition from larger engineering firms. In fashion, its CLATHAS and Hamano brands cater to niche markets, but it lacks the scale of global apparel giants. The company’s real estate and investments add diversification but are minor compared to dedicated players. Its ¥2.87 billion cash reserve provides flexibility, but negative operating cash flow indicates potential inefficiencies. TriIs’ small size limits its bargaining power in both sectors, though its hybrid model may appeal to investors seeking diversified exposure to Japanese industrials and retail. Competitors in construction consulting and fashion likely outperform in scale, while TriIs retains agility in niche segments.