Kura Sushi, Inc. (2695) AI Stock Analysis

• Market Cap: ¥140.78B
• Dividend Yield: 0.56%
• Average Volume (3M): 305.10K
• Price to Earnings (P/E): 62.8
• Beta (1Y): 0.62
• Revenue Growth: 5.43%
• EPS Growth: -62.27%
• Country: JP
• Employees: 2,824
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): 37.91
• Shares Outstanding: 41,399,600
• 10 Day Avg. Volume: 450,190
• 30 Day Avg. Volume: 305,103
• 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: ¥3,883.00
• Price Target Upside: 9.38% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 66 Neutral
• Price Target: ¥3,883.00 ▲(9.38% Upside)

Kura Sushi, Inc. scores well on financial performance due to strong revenue growth and cash flow management. However, the technical analysis indicates short-term bearish momentum, and the high P/E ratio suggests the stock may be overvalued, which limits its overall score.

Kura Sushi, Inc. Business Overview & Revenue Model

Company Description

Kura Sushi,Inc. develops and operates a chain of sushi restaurants in Japan, Taiwan, and the United States. As of October 2018, it operates 485 stores. The company was founded in 1977 and is headquartered in Osaka, Japan.

How the Company Makes Money

Kura Sushi, Inc. generates revenue primarily through sales from its chain of sushi restaurants. The key revenue streams include direct sales of sushi and other menu items to customers dining in its establishments. The company's unique selling proposition lies in its revolving sushi concept and the use of technology to enhance the customer experience, which helps attract a steady flow of patrons. Additionally, the company may benefit from partnerships and collaborations with other entities in the food service and technology sectors, which can enhance its market presence and operational efficiency. Kura Sushi's ability to maintain competitive pricing while delivering quality products is critical to its financial performance.

Kura Sushi, Inc. Financial Statement Overview

Summary

Kura Sushi, Inc. shows strong financial health with robust revenue growth and high gross margins. The company has improved profitability and demonstrates effective cost management. Although the balance sheet shows moderate leverage, financial stability is maintained with a solid equity base. The impressive cash flow growth highlights strong cash generation capabilities.

Income Statement

Kura Sushi, Inc. shows robust revenue growth, with a 11.1% increase from 2023 to 2024, indicating a strong business trajectory. The gross profit margin has been consistently high, reaching 59.3% in 2024, demonstrating effective cost management. Net profit margin improved significantly to 1.4% in 2024 from 0.4% in the previous year, highlighting enhanced profitability. The EBIT and EBITDA margins have also improved year-on-year, indicating operational efficiency gains.

Balance Sheet

The company maintains a solid equity base with an equity ratio of 41.8%, reflecting financial stability. However, the debt-to-equity ratio stands at 0.64, suggesting moderate leverage which could pose risks if not managed carefully. Return on equity is relatively low at 5.5%, indicating room for improvement in generating returns from shareholders' equity.

Cash Flow

Free cash flow grew substantially by 451.0% from 2023 to 2024, showcasing strong cash generation capabilities. The operating cash flow to net income ratio is robust at 5.7, indicating efficient cash conversion. The free cash flow to net income ratio improved significantly, pointing to effective capital management and investment strategies.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	237.40B	234.95B	211.41B	183.05B	147.59B	135.84B
Gross Profit	141.04B	139.23B	119.23B	100.53B	80.80B	74.93B
EBITDA	14.64B	15.24B	11.32B	9.76B	9.35B	5.64B
Net Income	2.88B	3.23B	863.00M	744.00M	1.90B	-263.00M
Balance Sheet
Total Assets	149.88B	139.45B	130.12B	109.62B	98.99B	85.10B
Cash, Cash Equivalents and Short-Term Investments	28.14B	23.04B	20.19B	13.17B	18.75B	20.61B
Total Debt	35.15B	37.46B	35.00B	28.51B	21.95B	15.04B
Total Liabilities	66.31B	66.50B	59.55B	50.66B	44.33B	37.54B
Stockholders Equity	62.08B	58.35B	55.54B	51.04B	48.59B	44.33B
Cash Flow
Free Cash Flow	0.00	7.78B	1.41B	-586.00M	-3.68B	1.70B
Operating Cash Flow	0.00	18.36B	13.73B	9.94B	4.74B	8.94B
Investing Cash Flow	0.00	-10.35B	-14.54B	-12.11B	-9.48B	-8.34B
Financing Cash Flow	0.00	-4.01B	5.50B	-4.70B	2.46B	-1.16B

Kura Sushi, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3550.00
• 50DMA: Negative
• 100DMA: Negative
• 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:2695, the sentiment is Negative. The current price of 3550 is below the 20-day moving average (MA) of 3755.00, below the 50-day MA of 3850.90, and above the 200-day MA of 3315.55, indicating a neutral trend. The MACD of -93.16 indicates Positive momentum. The RSI at 35.06 is Neutral, neither overbought nor oversold. The STOCH value of 14.72 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2695.

Kura Sushi, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8153	70 Outperform	¥127.35B	35.93	5.83%	0.73%	4.32%	29.02%
2695	66 Neutral	¥140.78B	62.82	―	0.56%	5.43%	-62.27%
7421	66 Neutral	¥83.28B	68.79	9.51%	0.30%	1.53%	-15.91%
9828	66 Neutral	¥62.34B	12.99	27.62%	1.99%	8.33%	24.64%
7630	63 Neutral	¥154.67B	47.64	9.90%	1.65%	10.63%	22.33%
9861	53 Neutral	¥200.47B	51.91	5.93%	0.65%	9.92%	-26.57%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Kura Sushi, Inc. Corporate Events

Kura Sushi Reports Mixed Financial Results Amid Market Challenges

Kura Sushi, Inc. reported a slight increase in net sales for the nine months ending July 31, 2025, but experienced a decline in operating and ordinary profits compared to the previous year. Despite the drop in profits, the company maintains a stable financial position with a slight increase in total assets and net assets. The forecast for the fiscal year ending October 31, 2025, anticipates a moderate increase in net sales, although profits are expected to decrease further, reflecting ongoing challenges in the market.

The most recent analyst rating on (JP:2695) stock is a Buy with a Yen4318.00 price target. To see the full list of analyst forecasts on Kura Sushi, Inc. stock, see the JP:2695 Stock Forecast page.