Seria Co (2782) AI Stock Analysis

• Market Cap: ¥322.40B
• Dividend Yield: 1.96%
• Average Volume (3M): 187.12K
• Price to Earnings (P/E): 22.5
• Beta (1Y): 0.05
• Revenue Growth: 4.24%
• EPS Growth: 13.79%
• Country: JP
• Employees: 551
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Discount Stores
• EPS (TTM): 75.50
• Shares Outstanding: 75,840,000
• 10 Day Avg. Volume: 285,670
• 30 Day Avg. Volume: 187,116
• PEG Ratio: 1.18
• Price to Book (P/B): 1.75
• Price to Sales (P/S): 0.80
• P/FCF Ratio: 17.25
• 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: ¥3,803.33
• Price Target Upside: 17.93% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6
• EPS Forecast (FY): 207.6
• Revenue Forecast (FY): ¥252.32B

• Rating: 74 Outperform
• Price Target: ¥4,900.00 ▲(51.94% Upside)
• Action: Reiterated Date: 02/21/26
• Date: Action: Reiterated 02/21/26

The score is led by strong financial performance—solid margins, strong free cash flow growth, and an exceptionally low-leverage balance sheet. Technicals are supportive due to a strong uptrend, but overbought RSI/Stoch readings temper the outlook. Valuation is fair-to-rich with only a modest dividend yield, which slightly limits the score.

Positive Factors

Strong cash generation

Seria's recent large FCF growth and strong operating-cash conversion indicate durable internal funding for capex, new stores, and working capital. Consistent cash generation reduces reliance on external financing and supports strategic reinvestment and shareholder returns over multiple years.

Very low leverage

An extremely low D/E and a high equity ratio provide long-term financial flexibility, allowing Seria to pursue expansion, withstand downturns, and negotiate supplier terms. The strong capital structure lowers financing risk and preserves optionality for strategic moves over the medium term.

Durable profitability and revenue growth

Stable mid-single-digit top-line growth coupled with healthy gross and operating margins reflects efficient merchandising and cost control in the low-price retail model. These margins support sustainable earnings and free cash flow generation across market cycles, aiding long-term stability.

Negative Factors

Moderate return on equity

Despite strong capital and low leverage, Seria's ROE is only moderate, suggesting capital is not being converted into high shareholder returns. Over the medium term, this could pressure expectations unless management improves asset productivity or pursues higher-return initiatives.

Low net margin inherent to model

The 100-yen pricing structure yields modest net margins, leaving limited buffer against inflation, rising input costs, or margin compression. Sustaining profitability long-term requires tight procurement and assortment execution; shocks could quickly erode earnings without pricing flexibility.

Concentration in physical retail sales

Heavy reliance on in-store sales and a lack of disclosed e-commerce/franchise mix makes Seria exposed to structural shifts in consumer shopping patterns. Over 2–6 months, reduced foot traffic or slower store productivity could materially affect revenue without digital or channel diversification.

Seria Co Business Overview & Revenue Model

Company Description

Seria Co., Ltd. operates stores in Japan. The company's stores sell merchandise and private brand products. As of March 31, 2021, it operated 1,787 stores, including 1,742 directly managed stores and 45 franchise chain stores. The company was formerly known as Sanyo Agency Co., Ltd. and changed its name to Seria Co., Ltd. in April 2003. Seria Co., Ltd. was founded in 1985 and is headquartered in Ogaki, Japan.

How the Company Makes Money

Seria Co generates revenue primarily through direct sales in its retail stores, where it offers a wide array of products that appeal to everyday consumers. The company's revenue model is based on a high-volume, low-margin strategy, allowing it to attract price-sensitive customers. Key revenue streams include sales of household goods, stationery, and seasonal items. Additionally, Seria Co may benefit from strategic partnerships with suppliers to secure favorable pricing and enhance product offerings, further contributing to its earnings. The company also engages in promotional campaigns and loyalty programs to drive customer retention and increase sales volume.

Seria Co Financial Statement Overview

Summary

Strong overall fundamentals driven by steady revenue growth (+5.88%), solid profitability (gross margin 39.29%, EBIT 7.12%, EBITDA 9.02%), and very strong cash generation (FCF growth +57.95%, OCF/NI 1.43). Balance sheet leverage is extremely low (D/E 0.01) with a high equity ratio (76.33%), though ROE (10.39%) is only decent rather than exceptional.

Income Statement

Seria Co has shown consistent revenue growth, with a notable increase of 5.88% in the latest year. The company maintains a strong gross profit margin of 39.29% and a healthy net profit margin of 4.75%. EBIT and EBITDA margins are solid at 7.12% and 9.02% respectively, indicating operational efficiency. These metrics highlight Seria Co's robust profitability and growth trajectory.

Balance Sheet

The balance sheet reflects a strong equity position with a low debt-to-equity ratio of 0.01, showcasing financial stability. Return on equity is decent at 10.39%, and the equity ratio stands at 76.33%, highlighting a strong capital structure. These figures indicate financial health, but the company should monitor its equity returns for improvement.

Cash Flow

Seria Co demonstrates strong cash flow performance with a free cash flow growth rate of 57.95% over the past year. The operating cash flow to net income ratio is 1.43, indicating efficient cash conversion. Free cash flow to net income ratio is 0.97, underscoring effective cash flow management. The company is well-positioned to generate and manage cash effectively.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	238.71B	236.33B	223.20B	212.36B	208.08B	200.68B
Gross Profit	93.91B	97.94B	92.19B	89.03B	90.26B	86.99B
EBITDA	21.55B	21.32B	19.47B	20.08B	25.50B	25.33B
Net Income	16.44B	11.22B	9.82B	10.25B	14.30B	14.73B
Balance Sheet
Total Assets	138.49B	141.50B	132.71B	126.86B	122.70B	115.39B
Cash, Cash Equivalents and Short-Term Investments	58.80B	62.15B	58.19B	58.08B	58.25B	53.59B
Total Debt	1.28B	1.43B	1.78B	1.90B	1.98B	2.08B
Total Liabilities	30.32B	33.49B	30.67B	29.41B	30.24B	30.18B
Stockholders Equity	108.17B	108.00B	102.04B	97.45B	92.46B	85.21B
Cash Flow
Free Cash Flow	3.27B	10.93B	6.92B	6.69B	13.37B	14.78B
Operating Cash Flow	4.60B	16.00B	12.23B	11.34B	17.65B	19.45B
Investing Cash Flow	-4.73B	-12.28B	-6.19B	-6.61B	-2.34B	-7.92B
Financing Cash Flow	-1.48B	-5.92B	-5.94B	-5.95B	-7.74B	-5.22B

Seria Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3225.00
• 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:2782, the sentiment is Positive. The current price of 3225 is below the 20-day moving average (MA) of 4236.00, below the 50-day MA of 3894.10, and above the 200-day MA of 3208.27, indicating a bullish trend. The MACD of 134.23 indicates Positive momentum. The RSI at 59.98 is Neutral, neither overbought nor oversold. The STOCH value of 38.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2782.

Seria Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8198	78 Outperform	¥118.54B	10.89	―	1.92%	2.30%	26.52%
2782	74 Outperform	¥322.40B	22.51	12.03%	1.96%	4.24%	13.79%
8194	72 Outperform	¥229.53B	13.04	―	2.43%	4.48%	13.17%
7532	68 Neutral	¥3.26T	30.98	16.37%	0.73%	6.23%	16.45%
8203	66 Neutral	¥25.96B	9.03	―	2.89%	6.70%	7.79%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2698	48 Neutral	¥53.48B	89.70	―	0.51%	2.90%	―

Seria Co Corporate Events

Seria Posts Double-Digit Profit Growth and Raises Year-End Dividend

Seria Co., Ltd. reported solid growth for the quarter ended December 2025, with net sales rising 6.8% year on year to ¥190.1 billion and operating profit climbing 18.1% to ¥15.5 billion, while ordinary profit increased 18.2% to ¥15.7 billion and net profit surged 19.4% to ¥10.6 billion. Despite a slight decline in total assets and net assets compared with March 2025, the company maintained a strong capital adequacy ratio of 72.0%, and continued stable shareholder returns with a second-quarter dividend of ¥35 per share and a planned year-end dividend of ¥40 per share, underscoring its robust earnings momentum and focus on returning profits to investors.

The most recent analyst rating on (JP:2782) stock is a Buy with a Yen4206.00 price target. To see the full list of analyst forecasts on Seria Co stock, see the JP:2782 Stock Forecast page.