SUNNY SIDE UP GROUP Inc. (2180) AI Stock Analysis

• Market Cap: ¥14.03B
• Dividend Yield: 2.6%
• Average Volume (3M): 38.49K
• Price to Earnings (P/E): 10.7
• Beta (1Y): 0.48
• Revenue Growth: 16.35%
• EPS Growth: 57.53%
• Country: JP
• Employees: 360
• Sector: Communication Services
• Sector Strength: 97
• Industry: Advertising Agencies
• EPS (TTM): 32.30
• Shares Outstanding: 15,197,600
• 10 Day Avg. Volume: 20,750
• 30 Day Avg. Volume: 38,486
• PEG Ratio: 0.44
• Price to Book (P/B): 1.74
• Price to Sales (P/S): 0.41
• P/FCF Ratio: 3.95
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 79 Outperform
• Price Target: ¥1,066.00 ▲(22.25% Upside)

SUNNY SIDE UP GROUP Inc. demonstrates strong financial performance with robust revenue growth and profitability, supported by a solid balance sheet and cash flow. Technical indicators are generally positive, although the high RSI suggests caution due to potential overbought conditions. The stock's valuation is attractive, with a reasonable P/E ratio and a healthy dividend yield, making it a compelling investment opportunity.

Positive Factors

Low leverage and strong ROE

Low leverage (debt/equity 0.17) combined with a 20.4% ROE delivers durable financial flexibility. It lowers refinancing and solvency risk, supports opportunistic investment or M&A, and enables returns to shareholders while preserving resilience across economic cycles.

Robust cash generation

A meaningful rise in free cash flow and strong operating cash conversion creates a self-sustaining funding base for capex, marketing, or debt reduction. Reliable cash generation reduces dependence on external financing and supports strategic initiatives over the medium term.

Multi-channel distribution and partnerships

Operating across retail, e-commerce and food-service partnerships diversifies revenue and reduces channel concentration risk. This multi‑channel model aligns with structural shifts to convenience and online sales, supporting more predictable revenue streams and scale benefits.

Negative Factors

Thin net profit margin

A net margin of 4.8% leaves limited buffer to absorb input-cost inflation, higher marketing, or promotional activity. Sustaining profitability requires tight cost control or pricing power; otherwise margin shocks can materially impact earnings and cash generation.

Reliance on seasonal promotions

Dependence on seasonal promos and product launches produces lumpy revenue and forces recurring marketing spend to hit targets. That pattern increases working capital variability, can compress margins, and makes medium-term revenue visibility and planning harder.

Narrow product focus in breakfast niche

Concentration in breakfast-oriented foods constrains the addressable market and raises exposure to category-specific risks (consumer trends, input-cost swings). Sustainable growth likely requires product or geographic expansion to avoid saturation and mitigate niche volatility.

SUNNY SIDE UP GROUP Inc. Business Overview & Revenue Model

Company Description

Sunny Side Up Group, Inc., together with its subsidiaries, engages in the public relations business in Japan. It offers sales promotion, merchandising, OEM, and other services; and is involved in planning and promoting marketing communication strategies for casting of advertisement, films, program and creative consulting, commercial productions, graphic content, program creation, media purchasing, event productions, promotional activities, Web productions, video productions, content productions, casting, publicity, and others. The company also provides human resource education, certification tests, staffing agency, apprenticeship support, student ambassador, etc.; and develops and manages restaurants under the bills name. The company was formerly known as Sunny Side Up Inc. and changed its name to Sunny Side Up Group, Inc. in January 2020. Sunny Side Up Group, Inc. was founded in 1985 and is headquartered in Tokyo, Japan.

How the Company Makes Money

SUNNY SIDE UP GROUP generates revenue through several key streams. Primarily, the company sells its breakfast products directly to consumers through retail outlets and its e-commerce platform, which provides a steady stream of sales. Additionally, partnerships with restaurants and cafes allow the company to supply its products on a larger scale, expanding its market reach. The company may also engage in promotional agreements with other brands, enhancing visibility and driving sales. Furthermore, SUNNY SIDE UP GROUP invests in marketing campaigns to increase brand awareness and foster customer loyalty, which contributes to recurring revenue. Seasonal promotions and product launches also play a significant role in boosting sales during peak times.

SUNNY SIDE UP GROUP Inc. Financial Statement Overview

Summary

SUNNY SIDE UP GROUP Inc. exhibits a strong financial position with consistent revenue growth, solid profitability, and robust cash flow generation. The low leverage and high return on equity further enhance its financial stability. Continued focus on cost management and strategic investments will support sustained growth and shareholder value.

Income Statement

SUNNY SIDE UP GROUP Inc. has demonstrated strong revenue growth with a 7.8% increase in the latest year, supported by a healthy gross profit margin of 23.4%. The net profit margin improved to 4.8%, indicating enhanced profitability. EBIT and EBITDA margins are also robust, reflecting efficient operations. However, the company should continue to monitor cost management to sustain these margins.

Balance Sheet

The company maintains a solid balance sheet with a debt-to-equity ratio of 0.17, showcasing low leverage and financial stability. The return on equity is strong at 20.4%, indicating effective use of shareholder funds. The equity ratio of 44.8% suggests a well-capitalized structure. Continued focus on maintaining low debt levels will be beneficial.

Cash Flow

SUNNY SIDE UP GROUP Inc. has shown impressive cash flow performance with a significant increase in free cash flow, indicating strong cash generation capabilities. The operating cash flow to net income ratio is favorable, highlighting efficient cash conversion. The company should leverage this cash flow strength for strategic investments and debt management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	19.59B	19.59B	17.91B	18.96B	16.19B	15.36B
Gross Profit	4.59B	4.59B	4.24B	4.15B	3.52B	2.97B
EBITDA	1.79B	1.79B	1.58B	1.32B	1.28B	867.08M
Net Income	948.05M	948.77M	795.17M	884.61M	581.21M	298.70M
Balance Sheet
Total Assets	10.41B	10.41B	8.47B	8.60B	7.55B	7.16B
Cash, Cash Equivalents and Short-Term Investments	4.66B	4.66B	3.19B	3.09B	3.23B	2.60B
Total Debt	787.66M	787.66M	991.28M	1.22B	1.72B	1.92B
Total Liabilities	5.71B	5.71B	4.34B	4.87B	4.73B	4.82B
Stockholders Equity	4.66B	4.66B	4.10B	3.70B	2.80B	2.33B
Cash Flow
Free Cash Flow	0.00	2.05B	524.95M	757.17M	1.14B	168.34M
Operating Cash Flow	0.00	2.19B	655.38M	846.33M	1.19B	339.90M
Investing Cash Flow	0.00	-129.79M	-120.30M	-274.94M	-274.42M	-311.91M
Financing Cash Flow	0.00	-547.32M	-470.53M	-744.47M	-294.98M	423.08M

SUNNY SIDE UP GROUP Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 872.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2180, the sentiment is Positive. The current price of 872 is below the 20-day moving average (MA) of 887.20, above the 50-day MA of 861.48, and above the 200-day MA of 676.57, indicating a bullish trend. The MACD of 14.60 indicates Negative momentum. The RSI at 65.08 is Neutral, neither overbought nor oversold. The STOCH value of 88.11 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2180.

SUNNY SIDE UP GROUP Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2180	79 Outperform	¥14.03B	10.67	―	2.60%	16.35%	57.53%
2173	79 Outperform	¥15.33B	9.98	―	2.46%	6.38%	18.64%
6038	77 Outperform	¥4.72B	10.38	―	2.38%	-2.25%	116.29%
2411	74 Outperform	¥5.55B	11.54	―	4.65%	5.94%	617.63%
6533	73 Outperform	¥12.73B	67.49	―	0.91%	15.68%	-64.57%
7050	73 Outperform	¥13.06B	11.68	―	4.08%	51.26%	296.98%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

SUNNY SIDE UP GROUP Inc. Corporate Events

SUNNY SIDE UP GROUP Uses Treasury Shares to Help Fund BILCOM Acquisition and Bolster Tech Capabilities

SUNNY SIDE UP GROUP has resolved to dispose of 171,800 treasury shares via a third-party allotment to NGK LLC and BILCOM director Kurara Hayakawa at 875 yen per share, raising 150.3 million yen, with the transaction structured as an in-kind contribution linked to the consideration for acquiring shares in BILCOM Inc. The treasury share disposal functions as partial settlement under a share purchase agreement to make BILCOM a subsidiary, aligning the interests of BILCOM’s key management with the group and supporting the strategic integration of BILCOM’s SaaS and data infrastructure into SUNNY SIDE UP’s brand communication services, with the aim of enhancing proposal capabilities, scalability, and competitive advantage in AI and technology over the medium to long term.

The most recent analyst rating on (JP:2180) stock is a Buy with a Yen810.00 price target. To see the full list of analyst forecasts on SUNNY SIDE UP GROUP Inc. stock, see the JP:2180 Stock Forecast page.

SUNNY SIDE UP to Acquire PR Tech Firm BILCOM, Bolstering Tech-Driven Brand Communication

SUNNY SIDE UP GROUP Inc. will acquire shares of PR tech firm BILCOM Inc. and make it a consolidated subsidiary, as part of its final phase of its current growth strategy focused on strengthening technology capabilities. BILCOM, founded in 2003 and based in Tokyo, offers integrated PR consulting and operates “PR Analyzer,” an AI-powered SaaS platform that measures PR performance across TV, print, digital and social media, alongside an advertising media database. By integrating BILCOM’s SaaS products, data infrastructure and in-house development expertise with its existing brand communication services, SUNNY SIDE UP aims to enhance proposal capabilities, improve repeatability and added value for clients, and address its technology and AI gaps. The company expects substantial synergies between BILCOM’s PR tech services and its core operations, supporting stronger earnings from brand communication and reinforcing its long-term corporate value and market competitiveness.

The most recent analyst rating on (JP:2180) stock is a Buy with a Yen810.00 price target. To see the full list of analyst forecasts on SUNNY SIDE UP GROUP Inc. stock, see the JP:2180 Stock Forecast page.

SUNNY SIDE UP GROUP Inc. Reports Extraordinary Income from Stock Acquisition Rights

SUNNY SIDE UP GROUP Inc. has recorded extraordinary income due to the expiration and extinguishment of its 7th Series Stock Acquisition Rights, resulting in a gain of JPY114 million for the quarter ending September 30, 2025. This gain was anticipated and included in the company’s forecast, thus it will not affect the consolidated earnings for the fiscal year ending June 30, 2026.

The most recent analyst rating on (JP:2180) stock is a Buy with a Yen806.00 price target. To see the full list of analyst forecasts on SUNNY SIDE UP GROUP Inc. stock, see the JP:2180 Stock Forecast page.

SUNNY SIDE UP GROUP Inc. Reports Robust Q3 2025 Financial Growth

SUNNY SIDE UP GROUP Inc. reported a significant increase in its financial performance for the three months ended September 30, 2025, with net sales rising by 47.6% and operating profit increasing by 241.7% compared to the same period in the previous year. This substantial growth demonstrates the company’s strong market positioning and potential positive implications for stakeholders, as it continues to improve its financial health and operational efficiency.

The most recent analyst rating on (JP:2180) stock is a Buy with a Yen806.00 price target. To see the full list of analyst forecasts on SUNNY SIDE UP GROUP Inc. stock, see the JP:2180 Stock Forecast page.

SUNNY SIDE UP GROUP Inc. Completes Treasury Share Acquisition

SUNNY SIDE UP GROUP Inc. has completed the acquisition of its treasury shares as per its Board of Directors’ resolution. The company acquired 1,700 common shares at a cost of ¥1,238,000 through market purchases on the Tokyo Stock Exchange. This acquisition is part of a broader plan to acquire up to 300,000 shares, representing 2.0% of its total issued shares, with a maximum budget of ¥200,000,000.

The most recent analyst rating on (JP:2180) stock is a Buy with a Yen806.00 price target. To see the full list of analyst forecasts on SUNNY SIDE UP GROUP Inc. stock, see the JP:2180 Stock Forecast page.