Kotobuki Spirits Co., Ltd. (2222) AI Stock Analysis

• Market Cap: ¥288.82B
• Dividend Yield: 1.72%
• Average Volume (3M): 690.65K
• Price to Earnings (P/E): 23.7
• Beta (1Y): 0.67
• Revenue Growth: 12.31%
• EPS Growth: 10.55%
• Country: JP
• Employees: 1,636
• Sector: Consumer Defensive
• Sector Strength: 47
• Industry: Food Confectioners
• EPS (TTM): 14.92
• Shares Outstanding: 155,658,400
• 10 Day Avg. Volume: 652,350
• 30 Day Avg. Volume: 690,646
• 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: ¥2,459.00
• Price Target Upside: 32.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 72 Outperform
• Price Target: ¥2,268.00 ▲(22.23% Upside)

The overall stock score is primarily driven by the strong financial performance of Kotobuki Spirits Co., Ltd., with robust revenue growth and profitability. However, the technical analysis indicates weak market momentum, and the valuation suggests that the stock may be overvalued, both of which dampen the overall score.

Kotobuki Spirits Co., Ltd. Business Overview & Revenue Model

Company Description

Kotobuki Spirits Co., Ltd. produces and sells sweets and confectionary products in Japan. It also offers cookies, cakes, and chocolate products. The company was incorporated in 1952 and is based in Yonago, Japan.

How the Company Makes Money

Kotobuki Spirits Co., Ltd. generates revenue primarily through the sale of its confectionery products, both domestically and internationally. The company has a broad distribution network that includes retail stores, online platforms, and partnerships with other food and beverage companies. By leveraging its brand reputation and commitment to high-quality products, Kotobuki Spirits has established a strong market presence. Additionally, the company may engage in seasonal promotions and limited edition releases, which can drive sales during peak times such as holidays and festivals. Collaboration with other brands and expansion into new markets also contribute to its revenue streams.

Kotobuki Spirits Co., Ltd. Financial Statement Overview

Summary

Kotobuki Spirits Co., Ltd. exhibits a strong financial position with significant revenue growth, high profitability margins, efficient cost management, low leverage, and robust cash flows. These factors collectively indicate a solid financial performance.

Income Statement

Kotobuki Spirits Co., Ltd. has shown a strong improvement in its financial performance. The gross profit margin for the latest period is approximately 61.95%, indicating efficient cost management relative to revenue. The net profit margin stands at 16.75%, reflecting solid profitability. Revenue growth has been impressive, with a 12.98% increase from the previous year, showcasing the company's ability to expand its market presence. The EBIT margin is 24.34%, and the EBITDA margin is 26.40%, both demonstrating strong operational efficiency.

Balance Sheet

The company's balance sheet is robust, with a debt-to-equity ratio of 0.01, indicating low leverage and conservative financial management. Return on equity (ROE) is 30.24%, which is excellent and highlights the company's ability to generate returns for shareholders. The equity ratio is 77.13%, suggesting a solid capital structure with a high proportion of equity financing. The strong equity position enhances financial stability.

Cash Flow

The cash flow analysis reveals a positive trajectory with a free cash flow growth rate of 12.60%, indicating improved cash generation capabilities. The operating cash flow to net income ratio is 1.09, suggesting that the company efficiently converts its earnings into cash. The free cash flow to net income ratio is 0.83, reflecting good cash profitability. Overall, the cash flow position is solid, supporting ongoing operations and potential investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	72.35B	72.35B	64.04B	50.16B	32.19B	23.20B
Gross Profit	44.80B	44.80B	39.80B	30.11B	17.62B	11.64B
EBITDA	19.00B	19.10B	16.83B	11.42B	4.10B	946.60M
Net Income	12.12B	12.12B	10.83B	7.02B	1.92B	-569.63M
Balance Sheet
Total Assets	51.98B	51.98B	46.51B	36.95B	27.47B	25.05B
Cash, Cash Equivalents and Short-Term Investments	26.08B	26.08B	23.69B	17.16B	9.91B	7.31B
Total Debt	300.00M	300.00M	300.00M	440.15M	725.86M	965.74M
Total Liabilities	11.89B	11.89B	11.29B	10.44B	7.11B	5.71B
Stockholders Equity	40.08B	40.08B	35.22B	26.52B	20.36B	19.34B
Cash Flow
Free Cash Flow	0.00	10.08B	8.95B	8.51B	3.82B	-580.46M
Operating Cash Flow	0.00	13.20B	10.85B	9.09B	4.29B	82.90M
Investing Cash Flow	0.00	-3.44B	-2.00B	-1.62B	-526.87M	-605.09M
Financing Cash Flow	0.00	-7.37B	-2.32B	-1.22B	-1.18B	-462.90M

Kotobuki Spirits Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1855.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2222, the sentiment is Negative. The current price of 1855.5 is below the 20-day moving average (MA) of 1916.25, below the 50-day MA of 2000.32, and below the 200-day MA of 2160.19, indicating a bearish trend. The MACD of -46.29 indicates Positive momentum. The RSI at 31.40 is Neutral, neither overbought nor oversold. The STOCH value of 26.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2222.

Kotobuki Spirits Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2222	72 Outperform	¥288.82B	23.74		1.72%	12.31%	10.55%
Sector *	63 Neutral	$20.42B	14.38	-2.77%	3.17%	2.07%	-6.17%
MGAAF	―	$1.49B	12.78	14.37%	2.39%	―	―
2216	76 Outperform	¥90.82B	25.07		3.58%	8.76%	11.82%
2221	74 Outperform	¥35.32B	11.09		0.81%	15.24%	43.88%
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%

Kotobuki Spirits Co., Ltd. Corporate Events

Kotobuki Spirits Reports Modest Growth in Q1 2025 Financial Results

Kotobuki Spirits Co., Ltd. reported a modest increase in its financial performance for the three months ended June 30, 2025, with net sales rising by 9.3% compared to the previous year. Despite a slight increase in operating and ordinary profits, the company’s profit attributable to owners of the parent grew by 1.7%. The company maintains a strong equity-to-asset ratio of 77.5%, indicating financial stability. The forecast for the fiscal year ending March 31, 2026, anticipates continued growth in net sales and profits, reflecting a positive outlook for the company’s future performance.

The most recent analyst rating on (JP:2222) stock is a Buy with a Yen2800.00 price target. To see the full list of analyst forecasts on Kotobuki Spirits Co., Ltd. stock, see the JP:2222 Stock Forecast page.

Kotobuki Spirits Reports Increased Sales Amid Organizational Changes

Kotobuki Spirits Co., Ltd. reported its financial results for the first quarter of FY2026, showing an increase in net sales and gross profit compared to the previous year. Despite the growth in sales, the company experienced a slight decrease in operating profit, attributed to changes in gross profit rates and increased SG&A expenses. The organizational restructuring, including the merging of segments, is expected to streamline operations and potentially impact future financial performance.

The most recent analyst rating on (JP:2222) stock is a Buy with a Yen2800.00 price target. To see the full list of analyst forecasts on Kotobuki Spirits Co., Ltd. stock, see the JP:2222 Stock Forecast page.

Kotobuki Spirits Finalizes Treasury Stock Disposal for Remuneration

Kotobuki Spirits Co., Ltd. has completed the payment procedures for the disposal of treasury stock as restricted shares remuneration, as resolved by its Board of Directors. This move involves the disposal of 70,431 shares at a price of 2,065 yen per share, amounting to a total value of 145,440,015 yen, and is aimed at providing remuneration to select directors and executive employees, potentially impacting the company’s financial strategy and stakeholder interests.

The most recent analyst rating on (JP:2222) stock is a Buy with a Yen2800.00 price target. To see the full list of analyst forecasts on Kotobuki Spirits Co., Ltd. stock, see the JP:2222 Stock Forecast page.

Kotobuki Spirits Reports 9.3% Increase in Q1 Sales Amid Challenging Market Conditions

Kotobuki Spirits Co., Ltd. reported an estimated 9.3% year-on-year increase in sales for the first quarter of the fiscal year ending March 31, 2026, totaling 16,976 million yen. Despite challenges such as a slowdown in inbound consumption and sluggish personal consumption growth due to rising prices, the company focused on enhancing product value and sales capabilities, resulting in a 14.8% increase in inbound sales.

The most recent analyst rating on (JP:2222) stock is a Buy with a Yen2800.00 price target. To see the full list of analyst forecasts on Kotobuki Spirits Co., Ltd. stock, see the JP:2222 Stock Forecast page.

Kotobuki Spirits Announces Treasury Stock Disposal for Executive Incentives

Kotobuki Spirits Co., Ltd. has announced a strategic move to dispose of treasury stock as part of a restricted shares remuneration plan aimed at incentivizing directors and executive employees. This initiative is designed to align the interests of the company’s leadership with shareholders by promoting long-term value sharing, with a significant transfer restriction period of 60 years to ensure commitment.

The most recent analyst rating on (JP:2222) stock is a Buy with a Yen2800.00 price target. To see the full list of analyst forecasts on Kotobuki Spirits Co., Ltd. stock, see the JP:2222 Stock Forecast page.

Kotobuki Spirits Introduces Restricted Shares Remuneration System

Kotobuki Spirits Co., Ltd. has introduced a restricted shares remuneration system for its senior management employees, aimed at incentivizing them to increase the company’s corporate value and align their interests with those of shareholders. This system involves the issuance or disposal of common shares under certain conditions, including transfer restrictions and management of shares in special accounts to ensure compliance with the restriction period.

The most recent analyst rating on (JP:2222) stock is a Buy with a Yen2800.00 price target. To see the full list of analyst forecasts on Kotobuki Spirits Co., Ltd. stock, see the JP:2222 Stock Forecast page.

Kotobuki Spirits Achieves Record Sales and Profits Amid Strategic Expansion

Kotobuki Spirits Co., Ltd. reported record high sales and profits for the third consecutive period, driven by increased inbound sales and strategic store openings. Despite challenges such as rising labor costs and raw material prices, the company successfully expanded its market presence and improved financial performance, indicating strong industry positioning and positive implications for stakeholders.

The most recent analyst rating on (JP:2222) stock is a Buy with a Yen2800.00 price target. To see the full list of analyst forecasts on Kotobuki Spirits Co., Ltd. stock, see the JP:2222 Stock Forecast page.