TSUKADA GLOBAL HOLDINGS Inc (2418) AI Stock Analysis

• Market Cap: ¥33.68B
• Dividend Yield: 2.14%
• Average Volume (3M): 136.03K
• Price to Earnings (P/E): 6.9
• Beta (1Y): 0.86
• Revenue Growth: 15.35%
• EPS Growth: 45.10%
• Country: JP
• Employees: 2,296
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Personal Products & Services
• EPS (TTM): 17.40
• Shares Outstanding: 48,960,000
• 10 Day Avg. Volume: 102,010
• 30 Day Avg. Volume: 136,033
• PEG Ratio: -0.83
• Price to Book (P/B): 0.72
• Price to Sales (P/S): 0.37
• P/FCF Ratio: 3.90
• 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): 135.2
• Revenue Forecast (FY): ¥72.75B

• Rating: 68 Neutral
• Price Target: ¥763.00 ▲(34.81% Upside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is led by improved profitability and revenue growth since 2022, plus attractive valuation (low P/E). Offsetting this are higher financial risk from increased leverage and uneven free cash flow conversion, while technically the trend is strong but appears overextended based on RSI and Stoch.

Positive Factors

Sustained revenue growth and operating profitability since 2022

The company generated steady revenue growth and returned to operating profitability from 2022–2025, showing the core wedding and hospitality model regained demand and pricing power. Sustained operating profits improve internal funding capacity and signal durable recovery versus prior losses, supporting multi‑year strategic execution.

Consistent positive operating cash flow (2022–2025)

Reliable operating cash flow across multiple years indicates the business converts sales into real cash, underpinning working capital, servicing debt, and funding reinvestment. Even with FCF swings, positive OCF is a durable indicator of cash generation ability and resiliency of core operations over the medium term.

Asset-backed balance sheet and rising equity 2021–2025

An asset-rich balance sheet with growing equity provides a structural cushion against downturns and supports borrowing capacity for venue investment or expansion. This solidity improves long-term financial flexibility and reduces likelihood of urgent liquidity needs during normal business cycle variations.

Negative Factors

Elevated leverage and sharp debt increase in 2025

High and rising leverage materially increases financial risk, reducing flexibility to absorb demand shocks or pursue opportunistic investments. Elevated debt amplifies interest-cost sensitivity and refinancing risk, making operating performance more critical to meet obligations and maintain capital allocation over the next several quarters.

Multi-year free cash flow volatility

Volatile free cash flow reduces predictability for debt repayment, dividends, and capex planning. This inconsistency suggests working‑capital or investment timing variability that can constrain strategic choices. Continued FCF swings increase reliance on external funding during tightening conditions.

Net income slipped in 2025 despite higher revenue and operating profit

A drop in net income while operating profit rose suggests rising financial costs, taxes, or one-offs that erode shareholder returns. Lack of clear margin visibility for the latest year hampers assessment of sustainable profitability and raises the risk that non-operating items could persistently depress net earnings.

TSUKADA GLOBAL HOLDINGS Inc Business Overview & Revenue Model

Company Description

TSUKADA GLOBAL HOLDINGS Inc., through its subsidiaries, engages in the planning, development, and ownership of guest houses, hotels, and restaurants in Japan and internationally. It operates through three segments: Wedding business, Hotel business, and Wellness & Relaxation business. The company plans and operates wedding ceremonies and banquets; and provides wedding dress, beauty care and hair makeup, flower decoration, moderator, wedding ceremony and reception, and photography and videography services, as well as rents wedding dresses, formal wear, jewelry, and clothing goods. It also manages and operates hotels and restaurants under the InterContinental Tokyo Bay, The Strings by InterContinental Tokyo, The Strings Hotel Yagoto Nagoya, The Strings Hotel Nagoya, The Strings Omotesandoh, VINO BUONO, Mangiare, and SHIKITEI names. In addition, the company operates reflexology salons and a reflexology school under the Queensway name, as well as Beauty & Relax SPA-HERBS, a spa complex; and BEST STYLE FITNESS, a fitness club. Further, it is involved in the travel business; and plans and manages parties and events. The company was formerly known as Best Bridal Inc. and changed its name to TSUKADA GLOBAL HOLDINGS Inc. in July 2014. TSUKADA GLOBAL HOLDINGS Inc. was incorporated in 1995 and is based in Tokyo, Japan.

How the Company Makes Money

The company generates revenue primarily through the operation of its restaurants and food service outlets. Key revenue streams include sales from dine-in customers, takeaway services, and catering contracts. Additionally, TSUKADA GLOBAL HOLDINGS earns income from franchise fees and royalties from its franchise partners, which expand the brand's reach and revenue potential. The company also benefits from partnerships with food suppliers and distributors, ensuring a steady supply of quality ingredients while optimizing costs. Seasonal promotions and marketing strategies aimed at boosting customer engagement further contribute to its overall earnings.

TSUKADA GLOBAL HOLDINGS Inc Financial Statement Overview

Summary

Income statement strength (74) shows a sustained turnaround with revenue growth and profitability since 2022, but balance-sheet leverage is elevated with debt rising sharply in 2025 (58), and cash-flow quality is weaker due to multi-year free cash flow volatility despite positive operating cash flow (46).

Income Statement

Profitability has materially improved versus 2020–2021 losses, with positive operating profit and net income in every year from 2022–2025. Revenue has grown steadily from 2022 through 2025 (including mid-single-digit growth in 2025), and operating earnings have expanded meaningfully over the same period. Offsetting this, net income slipped in 2025 despite higher revenue and operating profit, suggesting either higher below-the-line costs or one-time impacts, and margins are not provided for 2025 so the latest-year margin trend cannot be fully validated.

Balance Sheet

The balance sheet is asset-backed, and equity has grown from 2021–2025, supporting improving resilience. However, leverage remains elevated: debt-to-equity was ~1.8–2.6x during 2021–2024, and total debt rose sharply in 2025 versus 2024. Returns on equity were strong in 2023–2024 (mid-to-high teens), but the higher 2025 debt load increases financial risk and reduces flexibility if operating conditions soften.

Cash Flow

Operating cash flow is consistently positive in 2022–2025 and is sizable relative to earnings, which is a key strength. The major weakness is free cash flow volatility: it was strongly positive in 2022, turned negative in 2023 and was roughly breakeven/negative in 2024, indicating heavier reinvestment or working-capital pressure that limited cash available after capital spending. 2025 free cash flow recovered to a solid positive level, but the recent multi-year swings keep cash-flow quality and predictability below average.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	68.74B	73.09B	63.55B	57.47B	51.70B	33.43B
Gross Profit	28.24B	30.53B	25.56B	21.66B	17.48B	6.17B
EBITDA	12.22B	13.98B	11.32B	9.31B	8.30B	-2.56B
Net Income	6.50B	4.77B	5.15B	4.73B	1.50B	-6.14B
Balance Sheet
Total Assets	135.40B	140.14B	111.71B	93.15B	87.47B	90.90B
Cash, Cash Equivalents and Short-Term Investments	23.19B	27.99B	21.18B	19.00B	21.24B	18.07B
Total Debt	76.82B	77.72B	59.40B	49.21B	47.49B	52.87B
Total Liabilities	97.40B	100.34B	77.68B	65.73B	64.39B	70.26B
Stockholders Equity	35.36B	37.21B	32.23B	27.20B	22.87B	20.45B
Cash Flow
Free Cash Flow	0.00	6.88B	-36.00M	-907.00M	6.03B	-1.79B
Operating Cash Flow	0.00	10.34B	10.39B	8.07B	7.96B	-899.00M
Investing Cash Flow	0.00	-7.26B	-11.13B	-11.76B	2.08B	-1.92B
Financing Cash Flow	0.00	3.60B	2.73B	1.17B	-5.42B	-2.98B

TSUKADA GLOBAL HOLDINGS Inc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 566.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2418, the sentiment is Positive. The current price of 566 is below the 20-day moving average (MA) of 653.75, below the 50-day MA of 608.07, and below the 200-day MA of 608.70, indicating a bullish trend. The MACD of 27.16 indicates Negative momentum. The RSI at 70.34 is Negative, neither overbought nor oversold. The STOCH value of 67.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2418.

TSUKADA GLOBAL HOLDINGS Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2198	71 Outperform	¥24.33B	12.11	―	3.04%	-3.47%	14.42%
4331	69 Neutral	¥10.88B	215.52	―	5.06%	0.36%	81.58%
2418	68 Neutral	¥33.68B	6.94	21.87%	2.14%	15.35%	45.10%
9160	65 Neutral	¥7.82B	6.22	―	―	12.19%	28.25%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
2438	56 Neutral	¥6.41B	-24.33	―	2.01%	-0.15%	-270.19%
2196	54 Neutral	¥3.90B	-3.24	―	―	-4.35%	-132.57%