Morozoff Limited (2217) AI Stock Analysis

• Market Cap: ¥32.62B
• Dividend Yield: 1.32%
• Average Volume (3M): 76.40K
• Price to Earnings (P/E): 26.5
• Beta (1Y): 0.46
• Revenue Growth: 0.62%
• EPS Growth: -32.02%
• Country: JP
• Employees: 566
• Sector: Consumer Defensive
• Sector Strength: 47
• Industry: Food Confectioners
• EPS (TTM): 13.06
• Shares Outstanding: 21,265,356
• 10 Day Avg. Volume: 41,720
• 30 Day Avg. Volume: 76,396
• 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: ¥1,668.00
• Price Target Upside: 7.96% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 64 Neutral
• Price Target: ¥1,668.00 ▲(7.96% Upside)

Morozoff Limited's overall stock score is driven by its strong financial performance, particularly its robust balance sheet and consistent revenue growth. However, technical indicators suggest a bearish trend, and valuation metrics indicate potential overvaluation. The lack of earnings call and corporate events data limits further insights.

Morozoff Limited Business Overview & Revenue Model

Company Description

Morozoff Limited (2217) is a well-established confectionery company based in Japan, renowned for its premium chocolates, cookies, and other sweet treats. The company operates within the food and beverage sector, focusing on producing high-quality confectionery products that cater to both domestic and international markets. Morozoff is celebrated for its innovative product offerings and elegant packaging, which enhance its brand appeal and customer loyalty.

How the Company Makes Money

Morozoff Limited generates revenue primarily through the sale of its confectionery products, including chocolates, cookies, and other sweets. The company's key revenue streams include retail sales through its own stores, online sales through its e-commerce platform, and wholesale distribution to various retailers and department stores. Additionally, Morozoff capitalizes on seasonal and holiday-driven demand, offering limited-edition products and gift packages that boost sales during peak periods. The company may also engage in strategic partnerships or collaborations with other brands to expand its market reach and enhance its product offerings, contributing to its overall earnings.

Morozoff Limited Financial Statement Overview

Summary

Morozoff Limited demonstrates strong financial health with consistent revenue growth and efficient cost management, as evidenced by solid profit margins. The balance sheet is robust, with low leverage and a high equity ratio, underscoring financial stability. However, cash flow issues, highlighted by negative free cash flow, warrant attention to ensure sustainable liquidity.

Income Statement

Morozoff Limited shows a stable revenue growth with a 3.1% increase from 2024 to 2025, following consistent growth over previous years. The Gross Profit Margin is strong at 50.8% for 2025, reflecting effective cost management. However, the Net Profit Margin decreased to 3.9% due to reduced net income, indicating potential profit pressures. Overall, profitability remains robust with an EBITDA Margin of 8.1%.

Balance Sheet

The company maintains a solid financial position with an Equity Ratio of 75.2%, indicating a strong reliance on equity financing. The Debt-to-Equity Ratio is low at 0.08, reflecting conservative leverage usage. Return on Equity weakened slightly to 7.3%, suggesting room for improved efficiency in generating profits from equity.

Cash Flow

Cash flow performance is mixed, with negative Free Cash Flow of -1.23 billion yen in 2025, a notable decline from the previous year's positive cash flow. The Operating Cash Flow to Net Income ratio is negative, highlighting cash flow challenges despite operational profitability. This could signal potential liquidity concerns if not addressed.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	36.02B	36.02B	34.93B	32.51B	27.21B	25.67B
Gross Profit	18.29B	18.29B	17.98B	16.95B	13.26B	12.12B
EBITDA	2.56B	2.93B	3.37B	3.38B	2.51B	1.53B
Net Income	1.41B	1.41B	1.72B	1.70B	1.03B	352.18M
Balance Sheet
Total Assets	25.92B	25.92B	27.92B	26.60B	25.11B	24.04B
Cash, Cash Equivalents and Short-Term Investments	5.09B	5.09B	7.63B	6.64B	5.38B	3.42B
Total Debt	1.56B	1.56B	1.59B	1.67B	1.75B	1.85B
Total Liabilities	6.43B	6.43B	8.20B	8.02B	7.54B	7.26B
Stockholders Equity	19.48B	19.48B	19.72B	18.58B	17.58B	16.78B
Cash Flow
Free Cash Flow	0.00	-1.23B	1.51B	1.59B	2.28B	960.60M
Operating Cash Flow	0.00	-561.22M	2.12B	2.20B	2.63B	1.64B
Investing Cash Flow	0.00	-679.32M	-456.74M	-1.54B	-345.28M	143.42M
Financing Cash Flow	0.00	-1.82B	-1.01B	-440.68M	-314.26M	-178.03M

Morozoff Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1545.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2217, the sentiment is Negative. The current price of 1545 is below the 20-day moving average (MA) of 1558.05, below the 50-day MA of 1570.79, and below the 200-day MA of 1614.79, indicating a bearish trend. The MACD of -7.30 indicates Positive momentum. The RSI at 40.80 is Neutral, neither overbought nor oversold. The STOCH value of 12.69 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2217.

Morozoff Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2207	74 Outperform	¥36.22B	7.65		1.54%	12.80%	―
2221	74 Outperform	¥35.32B	11.09		0.81%	15.24%	43.88%
2209	73 Outperform	¥33.33B	15.01		1.22%	6.19%	7.92%
2211	65 Neutral	¥65.18B	39.27		1.18%	5.37%	-2.18%
2217	64 Neutral	¥32.62B	26.48		1.32%	0.62%	-32.02%
2208	63 Neutral	¥60.57B	12.02		1.07%	8.26%	24.25%
Sector *	63 Neutral	$20.42B	14.38	-2.77%	3.17%	2.07%	-6.17%

Morozoff Limited Corporate Events

Morozoff Limited Revises Earnings Forecast Amid Shifting Sales Trends

Morozoff Limited has revised its earnings forecast for the first half of the fiscal year ending January 31, 2026, citing firm sales of baked sweets but a shortfall in expected net sales due to a shift in Valentine’s Day sales and rising prices affecting consumer purchases. Despite lower sales and increased raw material costs, the company anticipates meeting its profit forecasts through personnel optimization and price adjustments, with an extraordinary gain from the sale of investment securities boosting profit attributable to owners of the parent.

Morozoff Limited Introduces ESOP Trust to Enhance Corporate Value

Morozoff Limited has announced the introduction of a trust-type incentive plan using an Employee Stock Ownership Plan (ESOP Trust) aimed at enhancing the company’s medium- to long-term corporate value. This initiative is designed to boost employee benefits and incentivize stock price appreciation, thereby aligning employee interests with company performance. The ESOP Trust will acquire company shares for employees, providing them with potential financial gains from stock price increases, while the company ensures no additional financial burden on employees in case of stock price declines.

Morozoff Limited Reports Decline in Q1 2025 Financial Results

Morozoff Limited reported a decline in its financial performance for the three months ended April 30, 2025, with net sales decreasing by 3.3% and operating profit dropping by 42.1% compared to the same period in the previous year. The company also conducted a stock split at a ratio of three shares for one common share, affecting earnings per share calculations. Despite the challenging financial results, Morozoff maintains its dividend forecast for the fiscal year ending January 31, 2026, indicating a cautious yet stable outlook for stakeholders.

Morozoff Limited Completes Treasury Stock Disposal for Compensation

Morozoff Limited has completed the payment procedures for the disposal of treasury stock as restricted stock-based compensation, as resolved in their April 2025 Board of Directors meeting. This move involves the disposal of 7,379 shares of common stock to directors and executive officers, potentially impacting the company’s equity structure and aligning management interests with shareholder value.