Daiwa House Industry Co (1925) AI Stock Analysis

• Market Cap: $3.17T
• Dividend Yield: 4.65%
• Average Volume (3M): 1.30M
• Price to Earnings (P/E): 9.5
• Beta (1Y): 0.47
• Revenue Growth: 4.46%
• EPS Growth: 12.53%
• Country: JP
• Employees: 48,483
• Sector: Real Estate
• Sector Strength: 57
• Industry: Real Estate - Development
• EPS (TTM): 141.52
• Shares Outstanding: 659,478,940
• 10 Day Avg. Volume: 1,302,810
• 30 Day Avg. Volume: 1,299,276
• PEG Ratio: 3.47
• Price to Book (P/B): 1.17
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: $5,087.80
• Price Target Upside: 4.26% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4

• Rating: 71 Outperform
• Price Target: ¥5,390.00 ▲(10.45%Upside)

Daiwa House Industry Co's strong financial performance is the primary driver of its score, supported by healthy revenue and profit growth. While technical analysis shows some bearish signals, the stock's low P/E ratio and solid dividend yield highlight its potential value. The absence of notable earnings call data or corporate events leaves the financial and valuation aspects as the most significant factors.

Daiwa House Industry Co Business Overview & Revenue Model

Company Description

Daiwa House Industry Co., Ltd. engages in the construction business worldwide. It operates through Single-Family Houses; Rental Housing; Condominiums; Existing Homes; Commercial Facilities; Logistics, Business and Corporate Facilities; and Other Businesses segments. The company constructs single-family houses; rents houses; develops, manages, and sells condominiums; purchases, renovates, and resells existing homes; develops commercial facilities; develops and constructs logistics, business, and corporate facilities; and provides real estate agency services. It also manufactures steel and timber housing parts; offers ground survey and reinforcement services; and constructs retail and wholesale, medical and nursing care, office and factory, urban development and industrial park, energy, environmental greening, agriculture, parking and carsharing, and public-private partnership facilities. In addition, the company operates resort hotels and golf courses, business and city hotels, fitness clubs and aesthetic salons, and home centers; provides robotics technologies for use in hospitals, care facilities, factories, and construction sites; manages private homes for the elderly and assisted-living residential facilities for seniors; and offers parking, advertising, travel agency, information technology, and credit card and insurance agency services. Daiwa House Industry Co., Ltd. was incorporated in 1947 and is headquartered in Osaka, Japan.

How the Company Makes Money

Daiwa House Industry Co., Ltd. generates revenue through its diverse business segments. The primary source of income is its residential construction business, which involves building and selling individual homes, as well as large-scale housing projects. Additionally, the company earns from commercial construction projects, developing properties such as shopping centers, office buildings, and hotels. Another significant revenue stream is its logistics and real estate business, which includes developing, leasing, and managing warehouses and distribution centers. The company also engages in property management, providing comprehensive management services for both residential and commercial properties. Furthermore, Daiwa House has invested in environmental and energy solutions, adding another dimension to its revenue streams. Strategic partnerships, both domestically and internationally, play a crucial role in expanding its market reach and enhancing its construction and development capabilities.

Daiwa House Industry Co Financial Statement Overview

Summary

Daiwa House Industry Co demonstrates strong financial health with consistent revenue and profit growth. The balanced use of debt and equity financing and robust operational efficiency are positive indicators. However, the volatility in free cash flow suggests room for improvement in cash conversion.

Income Statement

Daiwa House Industry Co has shown consistent revenue growth with a 4.47% increase from 2024 to 2025. The gross profit margin stands at a healthy 19.93%, while the net profit margin improved to 5.98%. The EBIT and EBITDA margins are robust at 10.05% and 12.18% respectively, indicating strong operational efficiency.

Balance Sheet

The company maintains a stable financial position with a debt-to-equity ratio of 0.93, reflecting moderate leverage. The return on equity is strong at 12.44%, suggesting effective use of shareholder funds. However, the equity ratio is moderate at 37.09%, indicating a balanced approach between debt and equity financing.

Cash Flow

The operating cash flow to net income ratio is 1.29, demonstrating efficient cash generation relative to profits. However, free cash flow has been volatile, with a significant improvement to a positive 38.78 billion JPY in 2025 from negative figures in previous years. The free cash flow to net income ratio is 0.12, indicating room for improvement in cash conversion.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	5.43T	5.20T	4.91T	4.44T	4.13T
Gross Profit	1.08T	992.41B	955.20B	864.68B	826.88B
EBITDA	662.13B	614.26B	578.52B	472.24B	405.15B
Net Income	325.06B	298.75B	308.40B	225.27B	195.08B
Balance Sheet
Total Assets	7.05T	6.53T	6.14T	5.52T	5.05T
Cash, Cash Equivalents and Short-Term Investments	333.60B	450.58B	361.66B	345.20B	426.53B
Total Debt	2.43T	2.20T	1.95T	1.53T	1.37T
Total Liabilities	4.33T	4.01T	3.75T	3.41T	3.16T
Stockholders Equity	2.61T	2.44T	2.28T	2.02T	1.84T
Cash Flow
Free Cash Flow	38.77B	-53.75B	-256.22B	-74.55B	95.62B
Operating Cash Flow	420.56B	302.29B	230.30B	336.44B	430.31B
Investing Cash Flow	-481.09B	-310.42B	-505.18B	-467.42B	-389.98B
Financing Cash Flow	-56.96B	97.40B	287.45B	24.43B	102.73B

Daiwa House Industry Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4880.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1925, the sentiment is Negative. The current price of 4880 is below the 20-day moving average (MA) of 4918.95, below the 50-day MA of 4922.02, and above the 200-day MA of 4796.00, indicating a neutral trend. The MACD of -3.87 indicates Negative momentum. The RSI at 45.77 is Neutral, neither overbought nor oversold. The STOCH value of 49.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:1925.

Daiwa House Industry Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1925	71 Outperform	$3.17T	9.49	12.68%	4.65%	4.46%	12.53%
Sector *	63 Neutral	$6.74B	18.42	-1.93%	7.60%	4.67%	-25.44%
CDCTF	―	$765.98M	22.65	3.73%	6.95%	―	―
TDI	―	€291.94M	5.43	11.09%	13.74%	―	―
3480	77 Outperform	¥84.61B	14.14		1.85%	9.00%	-21.69%
1814	73 Outperform	¥22.98B	11.10		6.11%	14.41%	65.57%
3299	70 Outperform	¥44.62B	6.02		4.84%	28.12%	110.57%

Daiwa House Industry Co Corporate Events

Daiwa House Announces New Share Issuance for Executive Compensation

Daiwa House Industry Co., Ltd. announced a new issuance of shares as part of a restricted stock compensation plan aimed at aligning the interests of its directors and executive officers with those of shareholders. This initiative involves issuing 157,220 common shares, valued at over 772 million yen, to 59 eligible directors and executive officers, enhancing incentives for sustainable enterprise value growth.

The most recent analyst rating on (JP:1925) stock is a Hold with a Yen4450.00 price target. To see the full list of analyst forecasts on Daiwa House Industry Co stock, see the JP:1925 Stock Forecast page.

Daiwa House Secures 65 Billion Yen Subordinated Syndicated Loan

Daiwa House Industry Co., Ltd. has signed a contract for a 65 billion yen subordinated syndicated loan, a hybrid financing instrument that blends characteristics of both equity and debt. The loan, which will be used to repay a previous hybrid loan, offers flexibility in interest payments and has a long maturity date, potentially impacting the company’s financial strategy and credit evaluation positively.

The most recent analyst rating on (JP:1925) stock is a Hold with a Yen5400.00 price target. To see the full list of analyst forecasts on Daiwa House Industry Co stock, see the JP:1925 Stock Forecast page.

Daiwa House Adjusts Bond Conversion Prices Following Dividend Approval

Daiwa House Industry Co., Ltd. has announced an adjustment to the conversion prices of its Zero Coupon Convertible Bonds due in 2029 and 2030, effective from April 1, 2025. This adjustment follows an extraordinary dividend payment of ¥150 per share, approved at the company’s general meeting, impacting the conversion prices as per the bonds’ terms and conditions.

The most recent analyst rating on (JP:1925) stock is a Hold with a Yen4450.00 price target. To see the full list of analyst forecasts on Daiwa House Industry Co stock, see the JP:1925 Stock Forecast page.

Daiwa House Proposes Amendment to Enhance Shareholder Meeting Flexibility

Daiwa House Industry Co., Ltd. has announced a proposed amendment to its Articles of Incorporation, which will be voted on at the upcoming General Meeting of Shareholders. The amendment aims to provide flexibility in the operation of shareholder meetings by allowing any director appointed by the Board to serve as Chairman, instead of the President by default. This change is expected to enhance the efficiency and adaptability of the company’s governance processes.

The most recent analyst rating on (JP:1925) stock is a Hold with a Yen4450.00 price target. To see the full list of analyst forecasts on Daiwa House Industry Co stock, see the JP:1925 Stock Forecast page.

Daiwa House Implements Employee Stock Ownership Program to Dispose Treasury Stock

Daiwa House Industry Co., Ltd. has announced a new initiative to dispose of treasury stock by allotting shares through an Employee Stock Ownership Program. This move aims to enhance employee benefits and promote asset formation, while also aligning employee interests with those of shareholders by encouraging sustainable corporate value improvements. The company plans to dispose of up to 1,036,000 shares, which could result in a slight stock dilution of up to 0.17%.

The most recent analyst rating on (JP:1925) stock is a Hold with a Yen4450.00 price target. To see the full list of analyst forecasts on Daiwa House Industry Co stock, see the JP:1925 Stock Forecast page.

Daiwa House Industry Announces Fiscal Year-End Dividend

Daiwa House Industry Co., Ltd. announced a resolution by its Board of Directors to pay a fiscal year-end dividend of JPY 80 per share for the year ended March 31, 2025, resulting in an annual dividend of JPY 150. This decision aligns with the company’s policy to return profits to shareholders and maintain a dividend payout ratio of at least 35%, with the actual payout ratio reaching 29.2% for the fiscal year. The resolution is set to be confirmed at the upcoming Annual General Meeting of Shareholders.

The most recent analyst rating on (JP:1925) stock is a Hold with a Yen4450.00 price target. To see the full list of analyst forecasts on Daiwa House Industry Co stock, see the JP:1925 Stock Forecast page.

Daiwa House Reports Strong Financial Performance for FY2025

Daiwa House Industry Co., Ltd. reported a significant increase in its financial performance for the fiscal year ended March 31, 2025, with a 15% rise in comprehensive income and improvements in key financial metrics such as net sales and operating income. The company also announced a higher dividend payout, reflecting its strong financial health and commitment to returning value to shareholders.

The most recent analyst rating on (JP:1925) stock is a Hold with a Yen4450.00 price target. To see the full list of analyst forecasts on Daiwa House Industry Co stock, see the JP:1925 Stock Forecast page.