| Valuation method | Value, ¥ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 828.62 | 253 |
| Intrinsic value (DCF) | 87.82 | -63 |
| Graham-Dodd Method | 848.26 | 261 |
| Graham Formula | n/a |
Eidai Co., Ltd. is a leading Japanese manufacturer and supplier of residential building materials and wooden boards, headquartered in Osaka. Founded in 1946, the company specializes in high-quality flooring products, interior staircase sets, doors, closets, shoe storage units, and kitchen and bathroom fixtures, catering primarily to Japan's domestic market. Operating in the Consumer Cyclical sector under the Furnishings, Fixtures & Appliances industry, Eidai plays a crucial role in Japan's housing and construction sectors. The company's product portfolio includes particle boards and other engineered wood products, serving both residential and commercial construction needs. With a market capitalization of approximately ¥9.9 billion, Eidai maintains a stable financial position, supported by consistent revenue streams from Japan's steady demand for housing materials. The company's long-standing industry presence and focus on functional, durable interior solutions position it as a trusted supplier in Japan's competitive building materials market.
Eidai Co., Ltd. presents a moderately conservative investment opportunity with stable but limited growth prospects. The company's low beta (0.289) suggests lower volatility compared to the broader market, appealing to risk-averse investors. While revenue (¥71.7 billion) and net income (¥3.2 billion) indicate steady operations, the company operates in a mature domestic market with constrained expansion opportunities. Positive operating cash flow (¥9.9 billion) and reasonable debt levels (¥25.3 billion against ¥12.8 billion cash) demonstrate financial stability. However, the modest dividend yield (¥10 per share) and lack of significant international presence may limit upside potential. Investors should weigh Eidai's reliable domestic market position against Japan's aging population trends and stagnant housing market growth.
Eidai Co., Ltd. competes in Japan's crowded building materials sector by leveraging its long-established brand reputation and comprehensive product lineup for residential interiors. The company's competitive advantage lies in its vertically integrated production of wooden board materials and finished interior products, allowing for quality control and cost efficiencies. However, Eidai faces intense competition from larger conglomerates with greater scale and more diversified product offerings. Unlike some competitors, Eidai maintains a focused domestic strategy, which protects margins but limits growth potential. The company's strength in standardized interior solutions (flooring, closets, storage units) gives it steady demand from Japan's prefabricated housing industry, though it may lack innovation compared to premium interior brands. With ¥71.7 billion in revenue, Eidai is a mid-tier player in Japan's furnishings sector, smaller than industry leaders but with specialized expertise in wood-based materials. Its financial conservatism (evidenced by strong cash position) provides stability but may hinder aggressive market expansion or R&D investments compared to more dynamic competitors.