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ABC-Mart Inc
TSE:2670

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ABC-Mart Inc
TSE:2670
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Price: 2 657.5 JPY -0.39%
Market Cap: ¥658.1B

EV/GP

2.3
Current
20%
Cheaper
vs 3-y average of 2.9

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
2.3
=
Enterprise Value
¥489.5B
/
Gross Profit
¥191.9B

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
2.3
=
Enterprise Value
¥489.5B
/
Gross Profit
¥191.9B

Valuation Scenarios

ABC-Mart Inc is trading below its 3-year average

If EV/GP returns to its 3-Year Average (2.9), the stock would be worth ¥3 313.39 (25% upside from current price).

Statistics
Positive Scenarios
3/4
Maximum Downside
-21%
Maximum Upside
+62%
Average Upside
21%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 2.3 ¥2 657.5
0%
3-Year Average 2.9 ¥3 313.39
+25%
5-Year Average 2.8 ¥3 179.43
+20%
Industry Average 1.8 ¥2 098.07
-21%
Country Average 3.7 ¥4 292.78
+62%

Forward EV/GP
Today’s price vs future gross profit

Not enough data available to calculate forward EV/GP

Peer Comparison

All Multiples
EV/GP
P/E
All Countries
Close

Market Distribution

Lower than 74% of companies in Japan
Percentile
26th
Based on 4 798 companies
26th percentile
2.3
Low
0.1 — 2.6
Typical Range
2.6 — 5.9
High
5.9 —
Distribution Statistics
Japan
Min 0.1
30th Percentile 2.6
Median 3.7
70th Percentile 5.9
Max 45 735 393.8

ABC-Mart Inc
Glance View

Market Cap
658.1B JPY
Industry
Retail

ABC-Mart Inc., a stalwart in the Japanese retail footwear industry, emerged as an unlikely success story in a market often dominated by international brands. It found a unique niche by combining a wide selection of private-label shoes with popular domestic and international brands like Nike and Adidas, showcasing a blend of affordability and diversity. This strategic positioning allowed ABC-Mart to cater to a broad range of consumers, from budget-conscious shoppers to savvy sneaker enthusiasts. Beyond just selling shoes, the company innovatively expanded into related categories, such as apparel and accessories, enhancing its retail appeal and customer experience. By focusing on an efficient supply chain and maintaining a substantial number of stores in high-traffic urban locations, ABC-Mart built a network that ensures high turnover and customer loyalty. The profitability of ABC-Mart derives largely from its meticulous approach to cost control and in-house production capabilities. The company’s strategy places a significant emphasis on vertical integration, owning many aspects of its supply chain to reduce costs and maintain competitive pricing. This model ensures not only better margins but also greater control over product quality and inventory levels. In addition, their dedication to deploying cutting-edge retail technology enhances operational efficiency, facilitating a seamless shopping experience both in-store and online. By integrating customer feedback and market trends into their adaptive merchandising strategies, ABC-Mart consistently keeps its offerings fresh and relevant, securing its position as a linchpin in Japan’s retail landscape.

Intrinsic Value
2 674.28 JPY
Undervaluation 1%
Intrinsic Value
Price ¥2 657.5
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