IKK Holdings Co., Ltd (2198) AI Stock Analysis

• Market Cap: ¥23.06B
• Dividend Yield: 3.05%
• Average Volume (3M): 23.33K
• Price to Earnings (P/E): 17.7
• Beta (1Y): 0.23
• Revenue Growth: -1.20%
• EPS Growth: -30.27%
• Country: JP
• Employees: 1,026
• Sector: Consumer Cyclical
• Sector Strength: 64
• Industry: Personal Products & Services
• EPS (TTM): 2.97
• Shares Outstanding: 29,956,800
• 10 Day Avg. Volume: 14,630
• 30 Day Avg. Volume: 23,330
• PEG Ratio: -1.46
• Price to Book (P/B): 2.25
• 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: ¥888.00
• Price Target Upside: 13.12% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: ¥882.00 ▲(12.36%Upside)

IKK Holdings is supported by strong financial performance and fair valuation, although technical indicators suggest a cautious near-term outlook. The company's robust financial health is the most significant factor driving the score.

IKK Holdings Co., Ltd Business Overview & Revenue Model

Company Description

IKK Holdings Co., Ltd (2198) is a Japanese company primarily engaged in the wedding and hospitality sector. The company operates wedding halls, banquet facilities, and offers comprehensive wedding services, including planning, coordination, and execution. IKK Holdings is known for its high-quality service and attention to detail, catering to a diverse clientele seeking unique and memorable wedding experiences.

How the Company Makes Money

IKK Holdings Co., Ltd generates revenue through multiple streams primarily centered around its wedding and hospitality services. The company earns money by providing wedding planning and coordination services, renting banquet facilities, and offering catering services for weddings and related events. Additionally, IKK Holdings benefits from partnerships with various service providers and vendors in the wedding industry, which can include floral designers, photographers, and entertainers. These partnerships allow the company to offer comprehensive packages to clients, enhancing its appeal and revenue potential. The company may also have ancillary revenue streams from hosting other events, such as corporate gatherings and private parties, utilizing its existing facilities.

IKK Holdings Co., Ltd Financial Statement Overview

Summary

IKK Holdings Co., Ltd displays robust financial health with strong revenue growth, high profitability margins, and efficient cash flow management. The balance sheet reflects financial stability with low leverage and strong equity positioning.

Income Statement

IKK Holdings Co., Ltd has demonstrated impressive revenue growth with a consistent upward trajectory in total revenue over the years, culminating in a high gross profit margin of 60.3% in 2024. The net profit margin also improved to 7.3%, reflecting strong profitability. EBIT and EBITDA margins are healthy at 10.7% and 15.9% respectively, indicating efficient operational management.

Balance Sheet

The company maintains a solid balance sheet with a healthy equity ratio of 51.1% in 2024, showcasing financial stability. The debt-to-equity ratio is well managed at 0.34, signifying low leverage risk. Return on equity has improved to 16.1%, reflecting effective use of shareholders' funds.

Cash Flow

IKK Holdings exhibits strong cash flow management, with a significant free cash flow growth of 2023%, resulting in a robust free cash flow of 3.38 billion yen in 2024. The operating cash flow to net income ratio of 2.32 highlights effective cash generation from operations.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	23.26B	21.99B	19.06B	11.53B	8.75B
Gross Profit	14.02B	12.89B	11.24B	6.47B	4.24B
EBITDA	3.70B	3.21B	3.11B	519.42M	-2.65B
Net Income	1.70B	1.34B	1.40B	-415.34M	-4.23B
Balance Sheet
Total Assets	20.70B	20.01B	20.25B	17.60B	17.90B
Cash, Cash Equivalents and Short-Term Investments	6.73B	5.01B	5.89B	3.51B	1.87B
Total Debt	3.60B	4.40B	4.80B	5.31B	6.23B
Total Liabilities	10.08B	9.96B	11.08B	10.00B	9.98B
Stockholders Equity	10.57B	10.01B	9.14B	7.58B	7.89B
Cash Flow
Free Cash Flow	3.38B	-175.50M	2.76B	2.39B	-4.91B
Operating Cash Flow	3.95B	1.67B	3.50B	2.63B	-4.36B
Investing Cash Flow	-308.15M	-1.69B	-750.41M	-151.26M	-442.00M
Financing Cash Flow	-1.92B	-874.86M	-426.76M	-935.93M	1.63B

IKK Holdings Co., Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 785.00
• 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:2198, the sentiment is Positive. The current price of 785 is above the 20-day moving average (MA) of 781.25, below the 50-day MA of 786.94, and above the 200-day MA of 781.13, indicating a neutral trend. The MACD of 0.39 indicates Negative momentum. The RSI at 52.18 is Neutral, neither overbought nor oversold. The STOCH value of 73.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2198.

IKK Holdings Co., Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4331	78 Outperform	¥12.82B	3.63		4.51%	1.38%	114.04%
2198	76 Outperform	¥23.06B	17.65		3.05%	-1.20%	-30.27%
2424	74 Outperform	¥4.00B	9.35		1.13%	1.35%	17.94%
2196	71 Outperform	¥3.27B	10.19		―	-1.73%	-0.91%
2418	67 Neutral	€28.52B	6.45	14.63%	1.99%	12.46%	-22.31%
Sector *	67 Neutral	¥269.51B	13.55	6.45%	2.58%	5.22%	-11.96%
2438	64 Neutral	¥7.22B	37.95		1.63%	4.35%	-48.39%

IKK Holdings Co., Ltd Corporate Events

IKK Holdings Updates Q2 Financial Results

IKK Holdings Co., Ltd has announced corrections to its previously released financial results briefing materials for the second quarter of the fiscal year ending October 31, 2025. These corrections address errors found in the explanatory document, and the updated materials are now available on the company’s website.