Operating Cash FlowConsistent positive operating cash flow demonstrates the business can generate cash from core operations, supporting working capital and debt servicing. Over 2-6 months this provides a durable buffer versus purely accounting profits, enabling the company to fund operations and short-term strategic needs.

Equity Financing BaseA ~30% equity ratio indicates a non-trivial equity cushion that helps absorb losses and supports borrowing capacity. Structurally, this reduces near-term insolvency risk and preserves some capacity for strategic investment or refinancing if operational recovery programs are implemented.

Gross Profit MarginA mid-20% gross margin signals underlying pricing power or manageable direct costs that can support profitability if revenue stabilizes. Sustainably positive gross margins provide headroom to cover operating expenses and are a durable indicator of unit economics if management controls SG&A and cost structure.

Bears Say

High LeverageA debt-to-equity of 2.26 is a material structural weakness: it raises fixed interest obligations and reduces financial flexibility. Over months this heightens refinancing and covenant risk, constrains capital allocation, and magnifies downside if operating results do not recover, pressuring long-term viability.

Declining Revenue TrendA ~25% revenue drop is a durable negative that erodes scale, weakens customer traction, and impairs ability to cover fixed costs. Unless reversed, sustained top-line contraction undermines margin recovery, limits reinvestment, and increases the likelihood of prolonged restructuring or business model adjustment.

Unprofitability And Negative ROENegative net income and ROE signal the company is destroying shareholder capital rather than generating returns. Persisting unprofitability depletes equity, limits internal funding for growth, and increases dependence on external capital, making long-term recovery harder without structural operational improvements.

3121 FAQ

What was MBK Co., Ltd.’s price range in the past 12 months?

MBK Co., Ltd. lowest stock price was ¥189.00 and its highest was ¥379.00 in the past 12 months.

What is MBK Co., Ltd.’s market cap?

MBK Co., Ltd.’s market cap is ¥6.78B.

When is MBK Co., Ltd.’s upcoming earnings report date?

MBK Co., Ltd.’s upcoming earnings report date is Feb 18, 2026 which is tomorrow.

How were MBK Co., Ltd.’s earnings last quarter?

MBK Co., Ltd. released its earnings results on Dec 12, 2025. The company reported -¥3.78 earnings per share for the quarter, missing the consensus estimate of N/A by -¥3.78.

Is MBK Co., Ltd. overvalued?

According to Wall Street analysts MBK Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does MBK Co., Ltd. pay dividends?

MBK Co., Ltd. pays a Annually dividend of ¥2 which represents an annual dividend yield of 0.96%. See more information on MBK Co., Ltd. dividends here

What is MBK Co., Ltd.’s EPS estimate?

MBK Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does MBK Co., Ltd. have?

MBK Co., Ltd. has 31,806,190 shares outstanding.

What happened to MBK Co., Ltd.’s price movement after its last earnings report?

MBK Co., Ltd. reported an EPS of -¥3.78 in its last earnings report, missing expectations of N/A. Following the earnings report the stock price went down -1.843%.

Which hedge fund is a major shareholder of MBK Co., Ltd.?

Currently, no hedge funds are holding shares in JP:3121

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

MBK Co., Ltd.

MBK Co., Ltd. (3121) is a diversified company operating primarily in the fields of real estate development, investment, and asset management. The company focuses on creating value through strategic investments in residential and commercial properties, as well as offering property management services. With a strong presence in the Asian markets, MBK Co., Ltd. aims to leverage its expertise to capitalize on growth opportunities in the real estate sector.