Hakuhodo Dy Holdings (2433) AI Stock Analysis

• Market Cap: ¥429.33B
• Dividend Yield: 2.74%
• Average Volume (3M): 624.92K
• Price to Earnings (P/E): 49.8
• Beta (1Y): 0.58
• Revenue Growth: -2.42%
• EPS Growth: -66.86%
• Country: JP
• Employees: 28,894
• Sector: Communication Services
• Sector Strength: 97
• Industry: Advertising Agencies
• EPS (TTM): -4.95
• Shares Outstanding: 389,559,450
• 10 Day Avg. Volume: 538,280
• 30 Day Avg. Volume: 624,920
• 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: ¥1,149.27
• Price Target Upside: -1.73% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 67 Neutral
• Price Target: ¥1,304.00 ▲(11.50% Upside)

The overall stock score is driven by a solid technical analysis indicating positive momentum and a stable financial position despite profitability challenges. However, the high P/E ratio suggests overvaluation, which tempers the overall attractiveness of the stock.

Hakuhodo Dy Holdings Business Overview & Revenue Model

Company Description

Hakuhodo DY Holdings Inc. operates as a marketing and communications services company in Japan and internationally. The company engages in the advertising and digital marketing business; and planning, production, buying, and media traffic in media and contents businesses, as well as provision of marketing solutions for advertisers, media companies, and content holders. It also provides brand building services; and specializes in business development in the entertainment field, including animated programs and live events. Hakuhodo DY Holdings Inc. was incorporated in 2003 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Hakuhodo DY Holdings generates revenue primarily through its advertising and marketing services. The company earns money by providing integrated advertising solutions, which include traditional media placements (such as TV, radio, and print), digital media services, and strategic marketing consulting. Key revenue streams include fees from advertising campaigns, commissions from media placements, and consulting fees for marketing strategy development. Additionally, Hakuhodo DY Holdings may engage in significant partnerships with media companies and brands to enhance its service offerings and expand its client base, thus contributing to its earnings.

Hakuhodo Dy Holdings Financial Statement Overview

Summary

Hakuhodo Dy Holdings shows mixed financial performance. Revenue and profitability are under pressure with declining margins and returns on equity, indicating operational inefficiencies. The balance sheet remains stable, but rising debt levels warrant caution. Cash flow improvements are a positive sign, suggesting substantial cash-generating potential despite profitability declines.

Income Statement

Hakuhodo Dy Holdings' revenue has shown a downward trend over the years, with a slight uptick in the most recent year, indicating potential recovery. The gross profit margin remains strong at 40.6% for 2025, though net profit margin has decreased significantly to 1.1%, reflecting weakened profitability. The EBIT and EBITDA margins have also declined, indicating operational challenges.

Balance Sheet

The company's balance sheet reflects a solid equity position with an equity ratio of 37.2%, maintaining stability. However, the debt-to-equity ratio has increased from previous years, reaching 0.31, which could pose leverage risks if not managed. Return on equity has decreased to 2.8%, suggesting limited return on shareholders' investments.

Cash Flow

Cash flow analysis reveals a remarkable recovery in free cash flow, which turned positive in 2025 after a negative year. The operating cash flow to net income ratio is high, indicating strong cash generation capabilities despite profitability pressures. However, free cash flow growth is volatile, pointing to potential future cash management challenges.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	953.32B	946.78B	991.14B	895.08B	1.30T
Gross Profit	387.01B	394.18B	403.56B	387.09B	313.22B
EBITDA	58.99B	78.40B	79.95B	90.98B	60.38B
Net Income	10.77B	24.92B	31.01B	55.18B	26.48B
Balance Sheet
Total Assets	1.05T	1.04T	1.03T	1.05T	941.10B
Cash, Cash Equivalents and Short-Term Investments	222.48B	196.03B	179.41B	212.52B	212.39B
Total Debt	121.56B	151.15B	124.27B	126.41B	116.41B
Total Liabilities	636.51B	625.82B	636.60B	665.60B	578.97B
Stockholders Equity	390.38B	385.16B	364.12B	358.08B	330.67B
Cash Flow
Free Cash Flow	78.57B	-7.08B	20.13B	10.40B	25.44B
Operating Cash Flow	82.45B	9.88B	38.03B	20.85B	36.21B
Investing Cash Flow	-12.97B	6.33B	-32.79B	-11.29B	-9.83B
Financing Cash Flow	-46.41B	1.10B	-28.84B	-8.70B	-12.77B

Hakuhodo Dy Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1169.50
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2433, the sentiment is Neutral. The current price of 1169.5 is below the 20-day moving average (MA) of 1190.88, below the 50-day MA of 1183.51, and above the 200-day MA of 1125.86, indicating a neutral trend. The MACD of -1.04 indicates Positive momentum. The RSI at 42.99 is Neutral, neither overbought nor oversold. The STOCH value of 3.70 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2433.

Hakuhodo Dy Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4293	77 Outperform	¥88.68B	25.99	―	7.41%	-12.17%	-47.60%
2389	71 Outperform	¥29.92B	19.43	4.37%	2.13%	-10.30%	-13.43%
2433	67 Neutral	¥429.33B	49.77	2.19%	2.74%	-2.42%	-66.86%
4751	64 Neutral	¥889.30B	35.09	10.09%	0.97%	6.80%	58.78%
2461	63 Neutral	¥34.45B	26.85	―	5.19%	2.34%	-12.13%
4324	50 Neutral	¥857.93B	-3.16	-46.87%	4.23%	2.30%	-1250.34%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

Hakuhodo Dy Holdings Corporate Events

Hakuhodo DY Holdings Completes Treasury Stock Disposal for Compensation

Hakuhodo DY Holdings Inc. has completed the disposal of 303,500 shares of its treasury stock as restricted stock compensation, valued at ¥345,383,000. This strategic move, resolved by the Board of Directors, aims to align the interests of its directors and officers with the company’s performance, potentially enhancing its operational efficiency and market positioning.

The most recent analyst rating on (JP:2433) stock is a Hold with a Yen1100.00 price target. To see the full list of analyst forecasts on Hakuhodo Dy Holdings stock, see the JP:2433 Stock Forecast page.

Hakuhodo DY Holdings Faces Q1 Challenges Amid Economic Uncertainty

Hakuhodo DY Holdings reported a challenging first quarter for FY2025, with a decline in billings and revenue due to exchange rate fluctuations and the absence of a previous year’s gain from the sale of Mercari shares. Despite these challenges, the company saw improved profitability in its domestic operations, particularly in internet and outdoor media services, and managed to reduce selling, general, and administrative expenses by 1.8% year-over-year.

The most recent analyst rating on (JP:2433) stock is a Hold with a Yen1100.00 price target. To see the full list of analyst forecasts on Hakuhodo Dy Holdings stock, see the JP:2433 Stock Forecast page.

Hakuhodo DY Holdings Reports No Progress in Share Buyback Plan

Hakuhodo DY Holdings Inc. announced that it has made no progress in acquiring its own shares as planned, with zero shares acquired and no expenditure incurred during the specified period. This lack of activity in the share acquisition plan may impact the company’s financial strategies and shareholder value, as the intended buyback was part of a larger strategy to manage capital and potentially enhance shareholder returns.

The most recent analyst rating on (JP:2433) stock is a Hold with a Yen1250.00 price target. To see the full list of analyst forecasts on Hakuhodo Dy Holdings stock, see the JP:2433 Stock Forecast page.

Hakuhodo DY Holdings Announces Restricted Stock Compensation Plan

Hakuhodo DY Holdings Inc. announced its decision to dispose of 303,500 shares of its treasury stock as restricted stock compensation to its directors and corporate officers. This move aims to align the interests of the company’s leadership with those of its shareholders, enhancing corporate value over the long term. The restricted stock comes with a 30-year transfer restriction period, serving as an incentive for improving operational results and maintaining value consciousness among stakeholders.

The most recent analyst rating on (JP:2433) stock is a Hold with a Yen1100.00 price target. To see the full list of analyst forecasts on Hakuhodo Dy Holdings stock, see the JP:2433 Stock Forecast page.

Hakuhodo DY Holdings Reports No Share Acquisition in June 2025

Hakuhodo DY Holdings Inc. announced that no shares were acquired during the specified period from June 1, 2025, to June 30, 2025, despite a prior resolution to acquire up to 12 million shares. This update indicates that the company has not yet utilized its authorization to purchase shares, which could impact its financial strategies and shareholder value.

The most recent analyst rating on (JP:2433) stock is a Hold with a Yen1100.00 price target. To see the full list of analyst forecasts on Hakuhodo Dy Holdings stock, see the JP:2433 Stock Forecast page.

Hakuhodo DY Holdings Reports No Share Acquisition in May 2025

Hakuhodo DY Holdings Inc. announced that no shares were acquired during the specified period from May 14, 2025, to May 31, 2025, despite a board resolution to purchase up to 12 million shares. This lack of acquisition may impact the company’s strategic plans for capital management and market positioning.

The most recent analyst rating on (JP:2433) stock is a Hold with a Yen1100.00 price target. To see the full list of analyst forecasts on Hakuhodo Dy Holdings stock, see the JP:2433 Stock Forecast page.

Hakuhodo DY Holdings Restructures Stake in UNITED, Inc. for Strategic Independence

Hakuhodo DY Holdings Inc. announced a strategic decision to sell a portion of its shares in UNITED, Inc., transitioning UNITED from a consolidated subsidiary to an equity-method affiliate. This move aims to enhance UNITED’s independence and eliminate potential conflicts of interest, thereby increasing its corporate value and ensuring better alignment with minority shareholders’ interests.

The most recent analyst rating on (JP:2433) stock is a Hold with a Yen1100.00 price target. To see the full list of analyst forecasts on Hakuhodo Dy Holdings stock, see the JP:2433 Stock Forecast page.

Hakuhodo DY Holdings Inc. Announces Strategic Restructuring and Growth Plans

Hakuhodo DY Holdings Inc. is undergoing significant restructuring efforts, particularly in the US, to improve profitability and expand its top line. The company has formed an alliance, kyu Pulse, to enhance collaboration and expects growth in client acquisitions. Despite uncertainties like tariffs, consulting services are recovering, and the company anticipates a strong performance in FY2025. In Japan, the company projects a 6.4% increase in adjusted gross profit, driven by market growth and strategic investments. Internationally, growth is expected to be led by Taiwan and ASEAN, with North America contributing as restructuring efforts bear fruit. The company is also focusing on share buy-backs and maintaining a stable dividend policy, despite a deviation in payout ratio due to increased profitability.

The most recent analyst rating on (JP:2433) stock is a Hold with a Yen1100.00 price target. To see the full list of analyst forecasts on Hakuhodo Dy Holdings stock, see the JP:2433 Stock Forecast page.

Hakuhodo DY Holdings Unveils Ambitious Medium-Term Business Plan

Hakuhodo DY Holdings has launched a new Medium-Term Business Plan for FY2024-FY2026, aiming to evolve beyond traditional advertising into a creativity platform. The plan includes restructuring marketing, creating new growth options, and remodeling global business to enhance profitability and growth, with specific financial targets set for fiscal 2026.

The most recent analyst rating on (JP:2433) stock is a Hold with a Yen1100.00 price target. To see the full list of analyst forecasts on Hakuhodo Dy Holdings stock, see the JP:2433 Stock Forecast page.