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

• Market Cap: ¥571.58B
• Dividend Yield: 1.77%
• Average Volume (3M): 519.69K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.58
• Revenue Growth: 2.07%
• EPS Growth: -751.72%
• Country: JP
• Employees: 14,084
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Non-Alcoholic
• EPS (TTM): 95.67
• Shares Outstanding: 171,268,600
• 10 Day Avg. Volume: 508,000
• 30 Day Avg. Volume: 519,690
• PEG Ratio: 0.21
• Price to Book (P/B): 0.96
• Price to Sales (P/S): 0.50
• P/FCF Ratio: 21.61
• 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: ¥3,400.00
• Price Target Upside: 9.93% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: ¥3,653.00 ▲(18.11% Upside)

The overall stock score is driven by strong earnings call performance and technical analysis, indicating positive momentum and strategic recovery. However, financial performance and valuation concerns, particularly negative profitability metrics and a negative P/E ratio, weigh down the score.

Positive Factors

Nationwide bottler distribution & route-to-market

As the primary Coca‑Cola bottler in Japan, the company controls manufacturing, packaging, logistics and broad channel access. That integrated route‑to‑market and brand franchise provide durable scale advantages, steady wholesale volumes, and strong retailer/customer relationships over time.

Sustained margin recovery from price revisions

Repeated, company-led price revisions have measurably improved business income, reflecting structural margin restoration rather than temporary cost cutting. Higher realized prices coupled with transformation initiatives support durable improvement in operating profitability if maintained across channels.

Large shareholder return program and dividend lift

A substantial JPY 150bn buyback and higher dividend signal management confidence in cash generation and disciplined capital allocation. Such commitments can enhance shareholder alignment, improve per‑share economics and indicate strategic priority on returns over speculative reinvestment.

Negative Factors

Negative profitability and poor returns on equity

Persistent negative net margins and sharply negative ROE indicate the core bottling operations are not yet delivering shareholder returns. Over months this undermines retained earnings, limits reinvestment capacity, and increases sensitivity to cost shocks unless structural margin gains continue.

Weak cash generation and conversion

Low cash conversion and declining free cash flow constrain the firm's ability to fund capex, service debt, and sustainably execute buybacks/dividends. Over a multi‑month horizon weak cash flow raises refinancing and liquidity risk and limits strategic flexibility.

Large impairment in vending business

A JPY 88.1bn impairment signals structural deterioration in the vending channel's economics or asset base. Such writedowns reflect long‑lasting demand or asset‑utilization issues, likely requiring strategic reallocation of capital and reducing future earnings capacity until resolved.

Coca-Cola Bottlers Japan Holdings Business Overview & Revenue Model

Company Description

Coca-Cola Bottlers Japan Holdings (2579) is a leading beverage company in Japan, primarily engaged in the production, distribution, and sale of non-alcoholic beverages under the Coca-Cola brand and other associated products. The company operates across various sectors, including soft drinks, bottled water, and ready-to-drink tea and coffee. With a robust portfolio of popular brands and an extensive distribution network, Coca-Cola Bottlers Japan Holdings serves both retail and vending machine markets, positioning itself as a key player in the Japanese beverage industry.

How the Company Makes Money

Coca-Cola Bottlers Japan Holdings generates revenue primarily through the sale of its beverages, which includes carbonated soft drinks, juices, teas, and bottled water. The company's revenue model is built on several key streams: retail sales, which encompass direct sales to convenience stores, supermarkets, and other retailers; vending machine sales, where the company operates thousands of vending machines across Japan; and food service sales to restaurants and cafes. Additionally, strategic partnerships with Coca-Cola Company provide access to popular global beverage brands, enhancing its product offerings. The company also benefits from economies of scale in production and distribution, which helps maintain profitability. Seasonal promotions and marketing campaigns further drive sales, particularly during peak consumption periods.

Coca-Cola Bottlers Japan Holdings Financial Statement Overview

Summary

Coca-Cola Bottlers Japan Holdings faces profitability challenges, as evidenced by negative net profit margins and return on equity. While revenue growth is positive, operational inefficiencies are evident in negative EBIT and EBITDA margins. The balance sheet shows moderate leverage, but cash flow performance is weak, raising concerns about liquidity and financial flexibility.

Income Statement

Coca-Cola Bottlers Japan Holdings shows a mixed performance in its income statement. The TTM data indicates a gross profit margin of 45%, which is relatively stable. However, the net profit margin is negative at -6.48%, indicating profitability challenges. Revenue growth is positive at 4.7%, but the negative EBIT and EBITDA margins highlight operational inefficiencies.

Balance Sheet

The balance sheet reflects moderate financial stability. The debt-to-equity ratio of 0.35 suggests a manageable level of leverage. However, the negative return on equity of -13.21% in the TTM period indicates poor profitability relative to shareholder investment. The equity ratio is not explicitly calculated, but the equity position appears stable.

Cash Flow

Cash flow analysis reveals some concerns. The free cash flow growth rate is negative, and the operating cash flow to net income ratio is 0.37, indicating cash flow challenges. The free cash flow to net income ratio of 0.49 suggests some ability to generate cash relative to net income, but overall cash flow performance is weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	899.59B	892.68B	868.58B	807.43B	785.84B	791.96B
Gross Profit	404.88B	402.45B	384.22B	351.75B	350.50B	362.92B
EBITDA	-28.66B	58.84B	50.44B	34.00B	36.73B	48.87B
Net Income	-51.44B	7.31B	1.87B	-8.06B	-15.01B	-4.71B
Balance Sheet
Total Assets	709.02B	804.15B	844.83B	826.74B	867.11B	939.60B
Cash, Cash Equivalents and Short-Term Investments	61.94B	89.16B	113.66B	84.07B	111.82B	115.48B
Total Debt	133.92B	142.66B	181.40B	179.97B	214.12B	269.99B
Total Liabilities	323.19B	337.71B	374.81B	350.38B	374.66B	437.51B
Stockholders Equity	385.55B	466.20B	469.85B	476.22B	492.32B	501.64B
Cash Flow
Free Cash Flow	22.58B	20.73B	27.48B	10.04B	-3.28B	-23.85B
Operating Cash Flow	50.20B	48.88B	59.10B	42.72B	35.98B	43.72B
Investing Cash Flow	-26.80B	-16.13B	-14.29B	-23.09B	15.27B	-52.08B
Financing Cash Flow	-45.35B	-57.94B	-15.23B	-46.05B	-67.13B	20.91B

Coca-Cola Bottlers Japan Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3093.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2579, the sentiment is Positive. The current price of 3093 is below the 20-day moving average (MA) of 3360.45, below the 50-day MA of 3131.39, and above the 200-day MA of 2634.01, indicating a bullish trend. The MACD of 75.96 indicates Positive momentum. The RSI at 62.05 is Neutral, neither overbought nor oversold. The STOCH value of 47.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2579.

Coca-Cola Bottlers Japan Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2573	72 Outperform	¥52.89B	36.97	―	0.60%	3.62%	5.25%
2267	68 Neutral	¥789.61B	17.42	7.18%	2.67%	-3.87%	-16.49%
2579	63 Neutral	¥571.58B	-11.70	-12.00%	1.77%	2.07%	-751.72%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2593	57 Neutral	¥296.55B	24.13	8.17%	1.49%	4.14%	9.91%
2501	57 Neutral	¥644.25B	90.00	3.63%	0.67%	0.25%	-58.68%
2590	51 Neutral	¥79.27B	-26.26	―	1.01%	6.00%	-139.78%

Coca-Cola Bottlers Japan Holdings Corporate Events

Coca-Cola Bottlers Japan Advances Share Buyback Program with December Repurchases

Coca-Cola Bottlers Japan Holdings has repurchased 799,000 of its common shares on the Tokyo Stock Exchange during December 2025 for a total of approximately ¥2.35 billion, as part of a previously approved share buyback program authorized by its board in August 2025. This transaction brings the cumulative buyback under the current authorization to about 1.65 million shares and ¥4.66 billion as of December 31, 2025, indicating ongoing execution of a sizable capital allocation initiative that may support shareholder value through reduced share float and signals management’s continued commitment to its share repurchase strategy within the set limits through October 2026.

The most recent analyst rating on (JP:2579) stock is a Hold with a Yen3294.00 price target. To see the full list of analyst forecasts on Coca-Cola Bottlers Japan Holdings stock, see the JP:2579 Stock Forecast page.

Coca-Cola Bottlers Japan Sees Major Shareholder Shift

Coca-Cola Bottlers Japan Holdings Inc. announced a significant change in its major shareholders as The Coca-Cola Export Corporation, a subsidiary of The Coca-Cola Company, plans to acquire 10 million shares, representing a 5.93% stake through an over-the-counter transaction. This acquisition will increase The Coca-Cola Export Corporation’s total stake to 11.04%, making it the second-largest shareholder, which may impact the company’s governance and strategic direction.

The most recent analyst rating on (JP:2579) stock is a Hold with a Yen3122.00 price target. To see the full list of analyst forecasts on Coca-Cola Bottlers Japan Holdings stock, see the JP:2579 Stock Forecast page.

Coca-Cola Bottlers Japan Holdings Announces Treasury Share Repurchase

Coca-Cola Bottlers Japan Holdings announced the repurchase of 846,500 common shares valued at over 2.3 billion yen during November 2025, as part of a broader plan authorized by the board to repurchase up to 15 million shares. This move is aimed at optimizing the company’s capital structure and potentially enhancing shareholder value.

The most recent analyst rating on (JP:2579) stock is a Hold with a Yen3122.00 price target. To see the full list of analyst forecasts on Coca-Cola Bottlers Japan Holdings stock, see the JP:2579 Stock Forecast page.