H.U. GROUP HLDGS INC

H.U. Group Holdings operates healthcare businesses globally. The Lab Testing segment collects specimens and conducts tests at laboratories. It also provides related services for research and development. The In Vitro Diagnostics segment develops blood-based reagents, biomarkers, and supplies raw materials to other companies. This segment also offers automated chemiluminescence enzyme immunoassay systems and rapid diagnostics kits. The Healthcare-related Services segment provides sterilization services, equipment maintenance, and logistics management.

Overview

Sector

Healthcare

Target Price

4693.7 JPY

Current Price

3400.0 JPY

Potential

38%

Strengths

With an appreciation Potential of 40.75%, based on our fundamental analysis, it suggests the stock may be undervalued.
Price to book ratio (1.40) is lower than the sector mean (9.96).
EV/EBITDA (9.65) is lower than the sector mean (36.02).
Price to free cash flow (16.53) is lower than the sector mean.

Weaknesses

The company has high debt. Net Debt to EBITDA Ratio (1.28) is higher than the sector mean.
EBITDA Margin (9.47%) appears relatively low.

Key Financial Data

Indicator	Value
PER	70.0
EV/EBITDA	9.7
Price/Free Cash Flow'	16.6
ROIC	10.6%
Net Debt/EBITDA	1.3