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LY Corporation (YAHOY)
OTHER OTC:YAHOY
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LY Corporation
(OTC:YAHOY)
72Outperform
LY Corporation (YAHOY) vs. S&P 500 (SPY)
Market Cap
$24.46B
Dividend Yield0.68%
Average Volume (3M)134.94K
Price to Earnings (P/E)34.2
Beta (1Y)0.52
Revenue Growth-1.16%
EPS Growth-6.96%
CountryUS
Employees36,057
SectorConsumer Cyclical
Sector Strength49
IndustryRetail - Discretionary
Share Statistics
EPS (TTM)0.21
Shares Outstanding3,576,210,700
10 Day Avg. Volume142,649
30 Day Avg. Volume134,937
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)1.70
Price to Cash Flow (P/CF)N/A
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
LY Corporation Business Overview & Revenue Model
Company Descriptionnull
How the Company Makes Moneynull
LY Corporation Financial Statement Overview
Summary
LY Corporation exhibits a solid financial foundation with stable revenue growth, healthy cash flow generation, and moderate leverage. While the company faces challenges in improving operating profitability, its strong equity base and effective cash flow management position it well for future growth opportunities in the retail sector. Continued focus on enhancing profit margins will be crucial for sustaining overall financial health.Income Statement
LY Corporation has demonstrated a stable revenue growth trajectory over recent years, evidenced by a revenue growth rate of 8.5% from 2023 to 2024. The gross profit margin remains robust at 71.3%, indicating effective cost management. However, the decline in EBIT margin from 18.8% to 10.9% suggests pressure on operating profitability, and the drop in net profit margin from 10.7% to 6.2% highlights challenges in maintaining bottom-line growth.78
Positive
Balance Sheet
The company's balance sheet reflects strong equity with an equity ratio of 33.6%. The debt-to-equity ratio is moderate at 0.62, indicating manageable leverage levels. Return on equity decreased from 6.1% to 3.7%, signaling room for improvement in generating shareholder returns. Overall, the balance sheet demonstrates financial stability with a healthy asset base.82
Very Positive
Cash Flow
LY Corporation's cash flow performance is commendable, with a substantial improvement in free cash flow from negative to a positive 245.5 billion, reflecting effective capital expenditure management. The operating cash flow to net income ratio of 2.8 signifies strong cash generation relative to earnings. The firm's ability to convert earnings into cash is a significant strength, providing a cushion for future investments.85
Very Positive
| Breakdown | |||||
| TTM | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 | Mar 2020 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 1.85T | 1.81T | 1.67T | 1.57T | 1.21T | 1.05T | Gross Profit |
| 1.32T | 1.29T | 1.16T | 1.07T | 773.40B | 628.48B | EBIT |
| 218.26B | 198.38B | 314.53B | 189.50B | 162.13B | 152.28B | EBITDA |
| 388.62B | 361.30B | 306.81B | 325.25B | 283.52B | 235.69B | Net Income Common Stockholders |
| 127.41B | 113.20B | 178.87B | 77.32B | 70.14B | 81.67B |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 548.32B | 1.42T | 1.65T | 1.13T | 1.07T | 880.10B | Total Assets |
| 2.45T | 9.04T | 8.59T | 7.11T | 6.70T | 3.93T | Total Debt |
| 211.91B | 1.88T | 1.91T | 1.67T | 1.39T | 1.09T | Net Debt |
| -336.42B | 462.32B | 261.95B | 538.98B | 323.84B | 206.34B | Total Liabilities |
| 1.55T | 5.60T | 5.27T | 4.13T | 3.71T | 2.89T | Stockholders Equity |
| 807.83B | 3.04T | 2.92T | 2.68T | 2.68T | 771.55B |
| Cash Flow | Free Cash Flow | ||||
| 367.12B | 245.47B | -55.94B | -6.32B | 137.18B | 158.15B | Operating Cash Flow |
| 389.66B | 316.48B | 93.05B | 266.31B | 207.92B | 243.28B | Investing Cash Flow |
| -484.95B | -444.06B | 319.79B | -303.90B | -12.35B | -503.03B | Financing Cash Flow |
| -48.85B | -81.49B | 105.79B | 91.63B | -12.07B | 593.41B |
LY Corporation Technical Analysis
Positive
6.99
Price Trends
6.07
Positive
5.79
Positive
5.49
Positive
Market Momentum
0.27
Negative
67.59
Neutral
91.28
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YAHOY, the sentiment is Positive. The current price of 6.99 is above the 20-day moving average (MA) of 6.67, above the 50-day MA of 6.07, and above the 200-day MA of 5.49, indicating a bullish trend. The MACD of 0.27 indicates Negative momentum. The RSI at 67.59 is Neutral, neither overbought nor oversold. The STOCH value of 91.28 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for YAHOY.
LY Corporation Peers Comparison
Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
83 Outperform | $326.76B | 18.64 | 11.97% | 0.74% | 4.28% | 28.42% | |
79 Outperform | $65.51B | 10.88 | 17.55% | 1.81% | 1.88% | 49.67% | |
73 Outperform | $2.08T | 35.60 | 24.29% | ― | 10.99% | 91.61% | |
73 Outperform | $30.39B | 17.30 | 34.29% | 1.58% | 2.79% | -23.30% | |
72 Outperform | $24.46B | 34.18 | 3.81% | 0.68% | -1.16% | -6.96% | |
63 Neutral | $5.02B | 19.76 | -39.97% | ― | 2.18% | 5.77% | |
60 Neutral | $12.39B | 10.47 | 1.07% | 3.58% | 1.64% | -18.33% |
* Consumer Cyclical Sector Average
Performance Comparison
YAHOY
LY Corporation
6.99
1.67
31.39%
AMZN
Amazon
198.89
22.33
12.65%
EBAY
eBay
65.13
13.44
26.00%
JD
JD
40.37
13.12
48.15%
BABA
Alibaba
139.02
64.24
85.91%
ETSY
Etsy
44.93
-24.83
-35.59%
LY Corporation Earnings Call Summary
Earnings Call Date: Feb 6, 2025 | % Change Since: 12.20% | Next Earnings Date: Apr 24, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture with strong growth in adjusted EBITDA, record revenue, and advancements in AI technology. However, there were challenges with reduced full-year revenue projections, a decline in domestic services transaction value, and issues related to information leakage. The strategic business, particularly PayPay, showed significant growth, but the media segment faced challenges with search ads revenue decline.Highlights
Record Revenue and Adjusted EBITDA Growth
Revenue reached JPY 475 billion, a record high for the third quarter. Adjusted EBITDA was JPY 109.8 billion, up 17.4% year-on-year.
Strategic Business and PayPay Growth
Strategic business revenue grew by 17.5% year-on-year. PayPay registered users, GMV, and revenue grew by double digits year-on-year.
AI and Technology Advancements
Introduction of GitHub Copilot improved development efficiency. New AI-driven ad services to launch in April 2024.
Commerce Segment Recovery
Commerce revenue and income grew by 2.7% year-on-year. Domestic merchandise transaction value returned to positive growth, up 1.7% year-on-year.
Lowlights
Revenue Projection Reduction
Full-year revenue was revised downward to JPY 1.82 trillion due to selective focus and cost optimization.
Domestic Services Transaction Value Decline
Year-on-year decline of 7.4% in domestic services transaction value due to the absence of the previous year's travel incentive program.
Search Ads Revenue Decline
Search ads growth turned negative in the third quarter.
Information Leakage Issues
Concerns and inconveniences caused by information leakage due to unauthorized access in November 2023.
Company Guidance
During the third quarter earnings call for fiscal year 2023, LY Corporation provided extensive guidance detailing its financial achievements and future outlook. Adjusted EBITDA reached JPY 109.8 billion, marking a 17.4% increase year-on-year, leading to an upward revision of the full-year guidance to JPY 390 billion. Revenue for the quarter hit a record JPY 475 billion, driven by a 3.7% year-on-year growth in total advertising revenue. The company highlighted a significant 33% year-on-year increase in operating income, with an adjusted EBITDA margin maintained at 23.1%. The strategic segment, particularly PayPay, was identified as a key profit driver, with registered users and transaction volume showing double-digit growth. Additionally, the company revised its revenue projection down to JPY 1.82 trillion due to selective focus and cost optimization. The call also outlined the launch of new AI-driven services in April 2024 and the expansion of LINE's shopping tab as part of its ongoing digital transformation efforts.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.