Ichiken Co., Ltd. (1847) AI Stock Analysis

• Market Cap: ¥25.95B
• Dividend Yield: 3.64%
• Average Volume (3M): 19.90K
• Price to Earnings (P/E): 5.7
• Beta (1Y): 0.57
• Revenue Growth: -5.96%
• EPS Growth: 24.96%
• Country: JP
• Employees: 504
• Sector: Real Estate
• Sector Strength: 55
• Industry: Real Estate - Development
• EPS (TTM): 153.60
• Shares Outstanding: 7,284,400
• 10 Day Avg. Volume: 13,490
• 30 Day Avg. Volume: 19,896
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ¥3,554.00
• Price Target Upside: -0.59% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 82 Outperform
• Price Target: ¥3,554.00 ▼(-0.59% Downside)

Ichiken Co., Ltd. achieves a strong overall stock score driven primarily by its robust financial performance and attractive valuation. The company's consistent revenue growth, improving profitability, and substantial cash flow generation underpin its financial strength. Despite the technical indicators showing some overbought signals, the overall technical trend supports a positive outlook. The undervaluation relative to its P/E ratio and a healthy dividend yield further enhance its investment appeal.

Ichiken Co., Ltd. Business Overview & Revenue Model

Company Description

Ichiken Co., Ltd. is a Japanese construction company that operates primarily in the construction and engineering sectors. The company is involved in the planning, designing, and construction of various infrastructure projects, including commercial buildings, residential buildings, and public facilities. Ichiken is known for its comprehensive construction solutions that encompass everything from initial planning to final execution.

How the Company Makes Money

Ichiken Co., Ltd. generates revenue through its construction and engineering services. The company earns money by undertaking contracts for the development and construction of buildings and infrastructure projects. These contracts are often sourced from both the private and public sectors, including government infrastructure projects and commercial real estate developments. Additionally, Ichiken may engage in partnerships or joint ventures with other construction firms to bid on larger projects, thereby expanding its revenue opportunities. The company's earnings are influenced by its ability to efficiently manage project costs and timelines, ensuring client satisfaction and repeat business.

Ichiken Co., Ltd. Financial Statement Overview

Summary

Ichiken Co., Ltd. presents a strong financial position with consistent revenue growth, improving profitability, and robust cash flow generation. The company has effectively managed its balance sheet, maintaining low leverage and a strong equity base, which supports its growth trajectory. While the income statement and cash flow performance are commendable, further enhancements in asset utilization could strengthen the balance sheet further.

Income Statement

Ichiken Co., Ltd. has demonstrated robust revenue growth and improving profit margins over the past years. The gross profit margin increased to 10.62% in 2025 from 7.18% in 2023, while net profit margin rose to 4.74% from 1.94% over the same period. The revenue growth rate has been consistently positive, with a notable increase of 11.76% from 2023 to 2025. EBIT and EBITDA margins also show positive trends, reflecting improved operational efficiency.

Balance Sheet

The company maintains a healthy balance sheet with a significant equity base, as evidenced by an equity ratio of 50.42% in 2025. The debt-to-equity ratio remains manageable at 0.20, indicating low financial leverage. Return on equity improved significantly to 13.77% in 2025, showing enhanced profitability from shareholder investments. Overall, the balance sheet reflects stability and a strong equity position, although there is room for improved asset utilization.

Cash Flow

Ichiken Co., Ltd. has shown impressive growth in free cash flow, which increased significantly from previous years, with a free cash flow growth rate of 351.47% from 2023 to 2025. The operating cash flow to net income ratio is strong at 1.73 in 2025, indicating efficient cash generation relative to net income. The company has managed capital expenditures well, contributing to the positive free cash flow position, enhancing its ability to reinvest in growth opportunities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	47.40B	99.00B	96.37B	88.06B	83.78B	88.62B
Gross Profit	5.77B	10.51B	6.91B	5.39B	7.39B	7.66B
EBITDA	4.02B	7.29B	4.32B	2.83B	4.50B	4.95B
Net Income	2.70B	4.70B	2.94B	1.71B	2.98B	3.16B
Balance Sheet
Total Assets	67.60B	67.60B	63.92B	55.71B	57.62B	54.03B
Cash, Cash Equivalents and Short-Term Investments	19.96B	19.96B	13.02B	11.65B	11.66B	11.84B
Total Debt	6.73B	6.73B	5.72B	5.79B	5.90B	6.05B
Total Liabilities	33.51B	33.51B	33.84B	28.19B	30.82B	29.41B
Stockholders Equity	34.09B	34.09B	30.08B	27.53B	26.80B	24.62B
Cash Flow
Free Cash Flow	0.00	8.11B	1.80B	1.23B	650.00M	236.00M
Operating Cash Flow	0.00	8.14B	1.88B	1.28B	757.00M	543.00M
Investing Cash Flow	0.00	-1.35B	417.00M	-116.00M	-136.00M	-63.00M
Financing Cash Flow	0.00	75.00M	-929.00M	-1.16B	-799.00M	-797.00M

Ichiken Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3575.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1847, the sentiment is Positive. The current price of 3575 is above the 20-day moving average (MA) of 3470.75, above the 50-day MA of 3234.06, and above the 200-day MA of 2812.16, indicating a bullish trend. The MACD of 108.83 indicates Positive momentum. The RSI at 74.01 is Negative, neither overbought nor oversold. The STOCH value of 59.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1847.

Ichiken Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1847	82 Outperform	¥25.95B	5.68		3.64%	-5.96%	24.96%
1814	73 Outperform	¥26.62B	12.19		3.90%	12.73%	52.94%
146A	73 Outperform	¥24.45B	10.31		1.63%	―	―
Sector *	63 Neutral	$7.06B	14.07	-0.50%	6.96%	4.08%	-25.24%
1757	41 Neutral	¥1.79B	―		―	85.50%	-38.27%

Ichiken Co., Ltd. Corporate Events

Ichiken Co., Ltd. Reports Strong Financial Results and Increased Dividends for FY2025

Ichiken Co., Ltd. reported its consolidated financial results for the fiscal year ending March 31, 2025, showing net sales of 98,999 million yen and a profit attributable to owners of the parent of 4,697 million yen. The company also announced a significant increase in annual dividends per share to 140 yen, reflecting a strong financial position with a 50.4% equity ratio. Despite a forecasted decline in profits for the next fiscal year, Ichiken remains committed to maintaining its dividend payout, indicating confidence in its operational stability.