Morozoff Limited (2217) AI Stock Analysis

• Market Cap: ¥32.98B
• Dividend Yield: 1.3%
• Average Volume (3M): 38.95K
• Price to Earnings (P/E): 26.3
• Beta (1Y): 0.48
• Revenue Growth: 0.24%
• EPS Growth: -25.90%
• Country: JP
• Employees: 566
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Confectioners
• EPS (TTM): 0.37
• Shares Outstanding: 21,265,356
• 10 Day Avg. Volume: 37,300
• 30 Day Avg. Volume: 38,946
• 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: ¥1,719.00
• Price Target Upside: 9.49% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 70 Outperform
• Price Target: ¥1,718.00 ▲(9.43% Upside)

Morozoff Limited's overall stock score is driven by strong financial performance, particularly in revenue growth and balance sheet stability. However, cash flow challenges and moderate valuation metrics slightly temper the score. Technical analysis indicates a neutral outlook with balanced momentum signals.

Morozoff Limited Business Overview & Revenue Model

Company Description

Morozoff Limited manufactures and sells confectionery products in Japan and internationally. The company offers pudding jellies, gifts, frozen sweets, cakes, cookies, chocolates, and baked confectionery. It also involved in cafe and restaurant business. The company was formerly known as Morozoff Seika Co., Ltd. and changed its name to Morozoff Limited in August 1972. Morozoff Limited was incorporated in 1931 and is based in Kobe, Japan.

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: Positive
• Last Price: 1570.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2217, the sentiment is Positive. The current price of 1570 is above the 20-day moving average (MA) of 1554.50, above the 50-day MA of 1563.64, and below the 200-day MA of 1618.78, indicating a neutral trend. The MACD of 1.99 indicates Negative momentum. The RSI at 53.86 is Neutral, neither overbought nor oversold. The STOCH value of 57.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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	38.24B	8.10	8.59%	1.46%	12.80%	0.00%
2221	74 Outperform	36.77B	11.47	4.28%	0.79%	15.24%	43.88%
2209	73 Outperform	34.02B	15.32	9.94%	1.19%	6.19%	7.92%
2217	70 Outperform	¥32.98B	26.30		1.30%	0.24%	-25.90%
2208	68 Neutral	61.33B	12.17	8.14%	1.06%	8.26%	24.25%
2211	65 Neutral	67.40B	40.62	2.89%	1.15%	5.37%	-2.18%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%

Morozoff Limited Corporate Events

Morozoff Limited Announces Treasury Stock Disposal for Employee Incentive Plan

Morozoff Limited has announced the disposal of treasury stock through a third-party allotment to The Master Trust Bank of Japan, Ltd., as part of an employee stock ownership plan (ESOP Trust). This initiative is designed to enhance employee benefits and incentivize stock price growth, which is expected to improve corporate value over the medium to long term. The disposal involves 304,200 shares at a value of 1,561 yen per share, with minimal impact on the secondary market due to the planned structure of the stock sale.

The most recent analyst rating on (JP:2217) stock is a Hold with a Yen1668.00 price target. To see the full list of analyst forecasts on Morozoff Limited stock, see the JP:2217 Stock Forecast page.

Morozoff Limited Launches ESOP Trust to Enhance Corporate Value

Morozoff Limited has announced the introduction of an Employee Stock Ownership Plan (ESOP) Trust, aimed at enhancing its medium- to long-term corporate value. This initiative is designed to improve the benefit program for employees and provide incentives to boost stock prices, thereby increasing employee awareness of company performance and stock value. The ESOP Trust will acquire company shares to be distributed among eligible employees, promoting asset-building and aligning employee interests with corporate growth. The trust will manage the shares and distribute any income generated from stock price increases to employees, while the company will cover any losses, ensuring no additional financial burden on employees.

The most recent analyst rating on (JP:2217) stock is a Hold with a Yen1668.00 price target. To see the full list of analyst forecasts on Morozoff Limited stock, see the JP:2217 Stock Forecast page.

Morozoff Limited Announces Interim Dividend Amid Strategic Growth Focus

Morozoff Limited has announced an interim dividend of 6 yen per share, consistent with its recent forecast, as part of its commitment to shareholder returns. This decision reflects the company’s strategy to balance profit distribution with investments for growth and risk management, aiming for a consolidated dividend payout ratio of about 40%.

The most recent analyst rating on (JP:2217) stock is a Hold with a Yen1668.00 price target. To see the full list of analyst forecasts on Morozoff Limited stock, see the JP:2217 Stock Forecast page.

Morozoff Limited Reports Decline in Semi-Annual Financial Performance

Morozoff Limited reported a decline in its financial performance for the six months ended July 31, 2025, with net sales decreasing by 1.7% and significant drops in operating and ordinary profits. The company also conducted a stock split earlier in the year, and despite these challenges, it maintains a strong equity-to-asset ratio, indicating a stable financial position.

The most recent analyst rating on (JP:2217) stock is a Hold with a Yen1668.00 price target. To see the full list of analyst forecasts on Morozoff Limited stock, see the JP:2217 Stock Forecast page.

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.