Revenue Growth TrendSustained top-line expansion across five years and 3.64% growth into 2025 indicates durable market demand and successful product or channel execution. Reliable revenue growth underpins reinvestment capacity, supports scale economics, and reduces reliance on one-off gains for future performance.

Balance Sheet StrengthA solid equity ratio and modest leverage provide financial flexibility to fund capex, pursue strategic initiatives, and weather economic cycles. This capital structure supports durable operations, lowers refinancing risk, and preserves capacity for shareholder returns or opportunistic investments.

Improved Free Cash FlowA material swing to positive FCF demonstrates improved cash generation and operational discipline. Strong operating cash conversion enhances self-funding of growth, allows debt reduction or dividends, and indicates the business can sustainably generate liquidity through its core retail operations.

Bears Say

Very Low Net Profit MarginA sub-2% net margin materially limits the firm's capacity to absorb cost inflation, invest in growth, or deliver meaningful shareholder returns. Persistently low net profitability suggests structural pressure on pricing, cost base, or elevated non-operating costs that require lasting operational fixes.

Declining Return On EquityFalling ROE signals diminishing efficiency in deploying shareholders' capital and constrains long-term value creation. Unless management improves margin or asset turnover, the company may struggle to justify reinvestment rates or generate above-cost returns for equity holders over the medium term.

Earnings-to-Cash Conversion GapAlthough FCF turned positive, the noted gap between net income and cash conversion points to earnings quality or working capital dynamics that could re-emerge. Structural improvement in converting profits to cash is needed to ensure resilient funding for capex, dividends, or debt reduction.

7610 FAQ

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

Tay Two Co., Ltd. lowest stock price was ¥101.00 and its highest was ¥164.00 in the past 12 months.

What is Tay Two Co., Ltd.’s market cap?

Tay Two Co., Ltd.’s market cap is ¥9.60B.

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

Tay Two Co., Ltd.’s upcoming earnings report date is Apr 14, 2026 which is in 31 days.

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

Tay Two Co., Ltd. released its earnings results on Jan 14, 2026. The company reported ¥3.32 earnings per share for the quarter, beating the consensus estimate of N/A by ¥3.32.

Is Tay Two Co., Ltd. overvalued?

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

Does Tay Two Co., Ltd. pay dividends?

Tay Two Co., Ltd. pays a Annually dividend of ¥4 which represents an annual dividend yield of 2.7%. See more information on Tay Two Co., Ltd. dividends here

What is Tay Two Co., Ltd.’s EPS estimate?

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

How many shares outstanding does Tay Two Co., Ltd. have?

Tay Two Co., Ltd. has 68,664,340 shares outstanding.

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

Tay Two Co., Ltd. reported an EPS of ¥3.32 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -1.333%.

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

Currently, no hedge funds are holding shares in JP:7610

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

Tay Two Co., Ltd.

Tay Two Co., Ltd. purchases and sells books, home video games, trading cards, hobbies, smartphones, CDs, DVDs, clothing, etc. The company was founded in 1989 and is headquartered in Okayama, Japan.