Human Holdings Co., Ltd. (2415) AI Stock Analysis

• Market Cap: ¥18.83B
• Dividend Yield: 3.47%
• Average Volume (3M): 6.61K
• Price to Earnings (P/E): 7.4
• Beta (1Y): 0.80
• Revenue Growth: 4.22%
• EPS Growth: 27.56%
• Country: JP
• Employees: 4,480
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Education & Training Services
• EPS (TTM): 64.99
• Shares Outstanding: 10,377,999
• 10 Day Avg. Volume: 4,860
• 30 Day Avg. Volume: 6,610
• PEG Ratio: 0.26
• Price to Book (P/B): 0.91
• Price to Sales (P/S): 0.16
• P/FCF Ratio: 29.53
• 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): 250.5
• Revenue Forecast (FY): ¥104.00B

• Rating: 74 Outperform
• Price Target: ¥2,192.00 ▲(12.99% Upside)
• Action: Reiterated Date: 11/18/25
• Date: Action: Reiterated 11/18/25

The overall stock score is driven by strong financial performance and attractive valuation. The company's robust revenue growth and profitability are significant strengths, though cash flow management needs improvement. The technical analysis suggests a bearish short-term trend, but the stock's low valuation and high dividend yield offer potential upside.

Positive Factors

Consistent revenue growth

A multi-year revenue increase (4.6% year) indicates sustained demand for the company's education and training services. Durable top-line growth supports scale economies, predictable cash inflows, and the ability to reinvest in curriculum, digital delivery or geographic expansion to preserve competitive position.

Healthy margins and operational efficiency

Sustained gross and operating margins show the business converts revenue into profit efficiently, reflecting pricing power or cost control in a service business. Stable EBIT/EBITDA margins support long-term profitability, free cash generation potential, and capacity to fund strategic initiatives or dividends.

Low financial leverage and solid equity base

Moderate leverage and a solid equity ratio provide financial flexibility: the company can absorb shocks, access debt markets if needed, and fund investments without jeopardizing solvency. A 14.4% ROE suggests management converts equity into returns, supporting long-term capital allocation.

Negative Factors

Weak cash conversion

Earnings are not fully translating into cash, with only modest conversion. This structural weakness reduces internally available funds for capex, strategic investments, or dividend sustainability. Over months, persistent low cash conversion can force external financing or constrain growth initiatives.

Declining operating cash flow trend

A decline in operating cash flow weakens the company's ability to self-fund operations and expansion. If this trend persists, management may need to cut spend, slow reinvestment, or increase leverage, which would impair long-term competitive positioning and limit strategic flexibility across 2-6 months.

Room to improve asset utilization

A relatively high equity base with noted room for better asset utilization suggests returns could be enhanced by deploying capital more efficiently. Structural inefficiencies in asset use can cap growth and limit return on assets, pressuring long-term profitability unless management improves deployment.

Human Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

Human Holdings Co., Ltd. engages in the human resource, education, nursing care, and other businesses in Japan and internationally. It offers various human resource services, such as staffing, recruitment, business consignment, job information services using internet, RPA introduction, outsourcing, and system development services. The company also provides education services, including school lectures and e-learning for infants, children, vocational schools, and recurrent; study abroad, nursery school management, training, translation, and interpretation services; nursing care services, such as day service, in-home care support, home-visit care, group home, small-scale multi-functional home care, and fee-based nursing home services with nursing care; nursing care facility management and nursing care education services; and operates a nail salon and sells related products. In addition, it manages a professional basketball team Osaka Evessa, as well as manages professional e-sports team Human Academy CREST GAMING; and provides IT solutions, including system development and operation, planning and production, and digital marketing. The company was founded in 1985 and is based in Tokyo, Japan.

How the Company Makes Money

Human Holdings generates revenue primarily through its staffing and recruitment services. The company's key revenue streams include fees from temporary staffing arrangements, permanent placement services, and consulting services related to human resource management. By charging clients a percentage of the employee's salary or a fixed fee for placements, the company benefits from ongoing demand for skilled labor across various sectors. Significant partnerships with corporations and businesses seeking to optimize their workforce also contribute to its earnings, as these relationships foster repeat business and long-term contracts. Furthermore, training and development services provide an additional revenue stream as companies invest in upskilling their employees.

Human Holdings Co., Ltd. Financial Statement Overview

Summary

Human Holdings Co., Ltd. exhibits strong revenue growth and profitability, supported by efficient operational margins. The balance sheet is solid, with low financial leverage and a healthy equity base. However, cash flow generation is a concern, with declining operating cash flow affecting free cash flow.

Income Statement

The company shows a strong revenue growth trend with a 4.6% increase from 2024 to 2025. Gross profit margin remains healthy at 25.3%, and net profit margin improved to 2.6%, indicating enhanced profitability. EBIT and EBITDA margins are stable, showing efficient operational management. Overall, the income statement reflects solid growth and profitability.

Balance Sheet

The balance sheet indicates a robust equity position, with a debt-to-equity ratio of 0.54, reflecting low financial leverage. The return on equity is reasonable at 14.4%, demonstrating effective use of equity to generate profits. The equity ratio of 35.7% highlights a solid financial foundation, although there is room for improvement in asset utilization.

Cash Flow

The cash flow statement shows a significant decline in operating cash flow from 2024 to 2025, impacting the free cash flow growth rate negatively. The operating cash flow to net income ratio is moderate at 0.58, indicating that earnings are not fully translating into cash flow. The free cash flow to net income ratio of 0.21 suggests limited cash flow generation relative to profits.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	101.31B	100.33B	95.90B	91.57B	86.29B	85.81B
Gross Profit	26.15B	25.34B	24.58B	22.78B	21.80B	22.86B
EBITDA	4.71B	4.60B	4.12B	3.32B	3.64B	3.79B
Net Income	2.76B	2.61B	2.16B	1.45B	1.65B	1.44B
Balance Sheet
Total Assets	50.78B	50.74B	51.18B	48.69B	46.32B	43.19B
Cash, Cash Equivalents and Short-Term Investments	29.00B	27.84B	29.15B	27.17B	25.50B	22.85B
Total Debt	11.35B	9.80B	10.62B	11.27B	10.84B	8.46B
Total Liabilities	33.07B	32.65B	35.05B	33.98B	32.70B	30.73B
Stockholders Equity	17.72B	18.10B	16.13B	14.72B	13.63B	12.45B
Cash Flow
Free Cash Flow	0.00	558.42M	3.22B	1.32B	685.22M	954.80M
Operating Cash Flow	0.00	1.52B	4.62B	2.53B	1.83B	2.05B
Investing Cash Flow	0.00	-1.38B	-1.23B	-1.03B	-1.27B	-1.02B
Financing Cash Flow	0.00	-1.46B	-1.43B	-114.84M	2.10B	1.67B

Human Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1940.00
• 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:2415, the sentiment is Neutral. The current price of 1940 is above the 20-day moving average (MA) of 1856.05, above the 50-day MA of 1894.18, and above the 200-day MA of 1845.13, indicating a bearish trend. The MACD of -35.06 indicates Positive momentum. The RSI at 46.60 is Neutral, neither overbought nor oversold. The STOCH value of 58.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2415.

Human Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4668	78 Outperform	¥18.01B	10.39	―	3.81%	9.96%	252.72%
6200	75 Outperform	¥61.67B	14.70	―	2.94%	16.32%	23.04%
9470	75 Outperform	¥46.44B	13.99	―	2.28%	7.30%	60.93%
2415	74 Outperform	¥18.83B	7.40	―	3.47%	4.22%	27.56%
4718	70 Outperform	¥38.94B	15.47	―	2.56%	7.41%	22.70%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
7097	62 Neutral	¥13.16B	17.13	―	0.84%	8.44%	17.98%

Human Holdings Co., Ltd. Corporate Events

Human Holdings Co., Ltd. Reports Increased Profits for First Half of 2025

Human Holdings Co., Ltd. reported its consolidated financial results for the six months ended September 30, 2025, showing a 3.2% increase in net sales and a significant rise in profits compared to the previous year. The company anticipates continued growth in net sales and operating profits for the full fiscal year ending March 31, 2026, although it expects a slight decline in profit attributable to owners of the parent.

The most recent analyst rating on (JP:2415) stock is a Buy with a Yen2273.00 price target. To see the full list of analyst forecasts on Human Holdings Co., Ltd. stock, see the JP:2415 Stock Forecast page.