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Coca-Cola Bottlers Japan Holdings Inc (JP:2579)
:2579

Coca-Cola Bottlers Japan Holdings (2579) AI Stock Analysis

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Coca-Cola Bottlers Japan Holdings

(OTC:2579)

Rating:55Neutral
Price Target:
¥2,427.00
▲( 2.71% Upside)
Coca-Cola Bottlers Japan Holdings has a moderate overall stock score driven by its financial performance, which is showing recovery signs with improving profitability and strong cash flow generation. However, the technical analysis indicates weak market momentum, and the high valuation with a P/E ratio of 119.47 suggests the stock might be overvalued. The absence of earnings call insights or corporate events data adds uncertainty to the outlook.

Coca-Cola Bottlers Japan Holdings (2579) vs. iShares MSCI Japan ETF (EWJ)

Coca-Cola Bottlers Japan Holdings Business Overview & Revenue Model

Company DescriptionCoca-Cola Bottlers Japan Holdings Inc. (CCBJH) is a leading beverage manufacturer and distributor in Japan. The company operates within the non-alcoholic beverages sector, focusing on the production, distribution, and sale of a wide range of beverages, including soft drinks, teas, waters, and sports drinks. CCBJH is an integral part of the Coca-Cola system in Japan, ensuring the delivery of Coca-Cola's iconic products to the market while also producing beverages that cater to local tastes and preferences.
How the Company Makes MoneyCoca-Cola Bottlers Japan Holdings Inc. generates revenue primarily through the manufacture and distribution of non-alcoholic beverages. The company's key revenue streams include the sale of bottled drinks through various channels such as vending machines, retail stores, and direct sales to businesses. CCBJH benefits from its partnership with The Coca-Cola Company, which provides it with the rights to produce and sell Coca-Cola branded products. Additionally, the company leverages its extensive distribution network and strategic partnerships with retailers to ensure widespread availability of its products across Japan, contributing significantly to its earnings.

Coca-Cola Bottlers Japan Holdings Financial Statement Overview

Summary
Income Statement
Balance Sheet
Cash Flow
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
892.68B868.58B807.43B785.84B791.96B
Gross Profit
402.45B352.04B351.75B350.50B362.92B
EBIT
12.92B3.44B-11.25B-20.59B-10.96B
EBITDA
58.84B50.44B34.00B36.73B48.87B
Net Income Common Stockholders
7.31B1.87B-8.06B-15.03B-7.15B
Balance SheetCash, Cash Equivalents and Short-Term Investments
88.47B113.66B84.62B111.82B115.48B
Total Assets
804.15B844.83B826.74B867.11B939.60B
Total Debt
142.66B181.40B179.97B214.12B269.99B
Net Debt
54.19B67.74B95.89B103.63B155.21B
Total Liabilities
337.71B374.81B350.38B374.66B437.51B
Stockholders Equity
466.20B469.85B476.22B492.32B501.64B
Cash FlowFree Cash Flow
20.73B27.48B10.04B-3.28B-23.85B
Operating Cash Flow
48.88B59.10B42.72B35.98B43.72B
Investing Cash Flow
-16.13B-14.29B-23.09B15.27B-52.08B
Financing Cash Flow
-57.94B-15.23B-46.05B-67.13B20.91B

Coca-Cola Bottlers Japan Holdings Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2363.00
Price Trends
50DMA
2454.86
Negative
100DMA
2439.62
Negative
200DMA
2286.21
Positive
Market Momentum
MACD
-29.81
Positive
RSI
40.53
Neutral
STOCH
6.74
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2579, the sentiment is Negative. The current price of 2363 is below the 20-day moving average (MA) of 2505.78, below the 50-day MA of 2454.86, and above the 200-day MA of 2286.21, indicating a neutral trend. The MACD of -29.81 indicates Positive momentum. The RSI at 40.53 is Neutral, neither overbought nor oversold. The STOCH value of 6.74 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2579.

Coca-Cola Bottlers Japan Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
¥43.44B29.15
0.92%0.79%-8.30%
77
Outperform
$669.13B18.308.78%1.45%4.25%4.06%
70
Outperform
¥89.70B23.09
1.44%11.16%-14.07%
64
Neutral
$8.82B14.564.78%173.92%3.50%2.20%
64
Neutral
¥319.95B31.037.12%1.29%4.24%-22.71%
63
Neutral
$576.45B105.422.87%0.67%2.69%-47.13%
55
Neutral
$422.13B118.150.85%2.09%2.62%-33.99%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:2579
Coca-Cola Bottlers Japan Holdings
2,363.00
556.10
30.78%
JP:2573
Hokkaido Coca-Cola Bottling Co., Ltd.
3,265.00
521.78
19.02%
JP:2590
DyDo Group Holdings, Inc.
2,785.00
121.39
4.56%
JP:2593
ITO EN
3,147.00
-542.87
-14.71%
JP:2212
Yamazaki Baking Co
3,303.00
-133.83
-3.89%
JP:2501
Sapporo Holdings
7,400.00
2,202.64
42.38%

Coca-Cola Bottlers Japan Holdings Earnings Call Summary

Earnings Call Date:May 01, 2025
(Q3-2024)
|
% Change Since: -11.81%|
Next Earnings Date:Aug 06, 2025
Earnings Call Sentiment Positive
The earnings call reflects a strong overall performance with significant revenue and profit growth driven by successful price revisions and increased sales volumes. Despite some challenges in specific product categories and channels, the company's strategic initiatives, including a comprehensive shareholder return program, indicate a positive outlook.
Q3-2024 Updates
Positive Updates
Significant Revenue and Profit Growth
Third quarter cumulative business income reached JPY 14.7 billion, 2.5 times greater than last year's figure. Full year business income is expected to be JPY 11.5 billion, 5.7 times higher than the previous year.
Strong Sales Volume Increase
Sales volume grew 2% year-on-year, driven by increased summer demand and effective commercial strategies. Sales volume in the third quarter alone increased by 3%.
Successful Price Revision Initiatives
Wholesale revenue per case improved due to a series of price revisions. Revenue increased by 1.9% year-on-year, outperforming initial forecasts.
Market Share Expansion
Overall, total channel value share increased by 0.4 points from the previous year. Vending's value share grew by 0.9 points.
Shareholder Return Program
Implementation of a comprehensive shareholder return program, including an increased target dividend payout ratio and a share buyback of up to JPY 30 billion.
Negative Updates
Decline in Coffee and Water Volumes
Coffee and water volumes declined, impacted by price revisions.
Impact of Adverse Weather
Adverse weather in the latter half of the third quarter, including heavy rain and typhoons, impacted channel and package mix.
Challenges in Supermarket Channel
Volume in Supermarkets was down 3% due to the impact of price revisions.
Company Guidance
In the recent Q3 2024 earnings call for Coca-Cola Bottlers Japan Holdings, the management provided several key financial metrics and strategic updates. The company reported a significant improvement in business income, which reached JPY 14.7 billion, marking a 2.5x increase from the previous year, and exceeding initial forecasts. Revenue for the cumulative third quarter rose by 1.9%, bolstered by strong sales volumes that surpassed expectations due to solid summer demand. In light of these robust results, the company revised its full-year earnings forecast upward, projecting a business income of JPY 11.5 billion, 5.7x higher than the previous year. Additionally, they announced a comprehensive shareholder return program, including an ambitious dividend policy aimed at increasing dividends to JPY 74 per share by 2028, alongside a share buyback of up to JPY 30 billion. The call also highlighted effective cost management and strategic initiatives, such as price revisions and enhanced production capabilities, contributing to improved profitability.

Coca-Cola Bottlers Japan Holdings Corporate Events

Coca-Cola Bottlers Japan Executes Share Buyback to Boost Shareholder Value
May 2, 2025

Coca-Cola Bottlers Japan Holdings Inc. announced the repurchase of 1,273,000 common shares valued at approximately 3.1 billion yen during April 2025, as part of a larger share buyback program authorized by its board in November 2024. This move is part of a strategic initiative to enhance shareholder value, with the company having repurchased a total of 6,467,200 shares worth over 15.6 billion yen by the end of April 2025, indicating a significant commitment to its share buyback plan.

Coca-Cola Bottlers Japan Reports Q1 2025 Financial Results Amidst Ongoing Challenges
May 1, 2025

Coca-Cola Bottlers Japan Holdings reported its consolidated financial results for the first quarter of 2025, showing a slight increase in revenue compared to the previous year but continued losses in business and operating income. Despite the challenges, the company maintains its dividend forecast for the fiscal year, indicating a stable outlook for shareholders. The financial results reflect ongoing efforts to manage costs and improve operational efficiency amid a competitive market environment.

Coca-Cola Bottlers Japan Executes Share Repurchase Plan
Apr 2, 2025

Coca-Cola Bottlers Japan Holdings, Inc. has announced the repurchase of 925,200 common shares valued at approximately 2.24 billion yen, conducted through the Tokyo Stock Exchange in March 2025. This move is part of a larger board-approved plan to repurchase up to 20 million shares, or 11% of the total outstanding shares, with a total value cap of 30 billion yen, aimed at optimizing capital structure and enhancing shareholder value.

Coca-Cola Bottlers Japan Enhances Governance and Diversity Initiatives
Mar 28, 2025

Coca-Cola Bottlers Japan Holdings Inc. has announced updates to its corporate governance structure, emphasizing the separation of decision-making and business execution functions to improve management efficiency and transparency. The company is committed to enhancing shareholder returns through strategic capital policies and has set measurable goals for diversity and inclusion, particularly in promoting women to managerial positions, to foster innovation and value creation.

Coca-Cola Bottlers Japan Holdings Details Shareholder Influence and Business Independence
Mar 28, 2025

Coca-Cola Bottlers Japan Holdings has announced details regarding its controlling shareholders, highlighting the significant influence of The Coca-Cola Company, which holds an 18.74% indirect voting rights stake. The company maintains a business relationship with Coca-Cola (Japan) Company, Limited, involving transactions such as sales promotion rebates and the purchase of beverage concentrates. Despite these affiliations, Coca-Cola Bottlers Japan Holdings asserts its operational independence, making its own business and management decisions while benefiting from the resources and agreements with its parent company.

Coca-Cola Bottlers Japan Executes Treasury Share Repurchase
Mar 4, 2025

Coca-Cola Bottlers Japan Holdings has announced the repurchase of 1,236,300 common shares, valued at approximately 2.94 billion yen, as part of its ongoing treasury share acquisition strategy. This move, conducted through the Tokyo Stock Exchange, is part of a larger plan approved by the board to repurchase up to 20 million shares, indicating a strategic effort to enhance shareholder value and optimize capital structure.

Coca-Cola Bottlers Japan Enhances Governance and Diversity Initiatives
Feb 28, 2025

Coca-Cola Bottlers Japan Holdings Inc. has announced enhancements to its corporate governance structure to improve transparency and efficiency, aiming to increase shareholder value. The company is focusing on diversity and inclusion, particularly promoting women to managerial positions, and has made significant progress in reducing cross-shareholdings to strengthen its financial position.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.