Conservative Balance SheetNAFCO's low leverage and high equity ratio give it structural financial resilience. Conservative debt levels reduce refinancing and interest-rate risk, preserving capacity to fund investments or weather demand slumps. This durability supports operations and strategic optionality over months.

Healthy Gross Profit MarginA ~34% gross margin indicates the company retains meaningful markup on merchandise, reflecting product assortment or pricing power. That margin provides headroom to cover SG&A and support margin recovery if cost control improves, making profit restoration more achievable over time.

Diversified Home‑improvement Retail ModelNAFCO's broad merchandise mix and physical store network spread revenue across categories and locations. This diversification lowers reliance on any single product line and supports steady core demand from housing-related needs, offering structural stability in consumer retail over the medium term.

Bears Say

Persistent Revenue DeclineA multi-year revenue contraction reduces scale benefits and suggests weakening market position or demand. Sustained top-line erosion pressures fixed-cost absorption, supplier negotiating power, and long-term investment capacity, making margin recovery and growth harder without strategic change.

Negative Operating And Free Cash FlowNegative operating and free cash flow indicate the business currently fails to generate internal funds for reinvestment or dividends. Over months this constrains capital expenditures, store investments, or e-commerce expansion, and may force financing measures that reduce strategic flexibility.

Eroding Profitability MetricsVery low net margins and shrinking ROE reflect weak conversion of sales into shareholder returns and poor capital efficiency. This structural profitability erosion limits retained earnings for growth, undermines investor confidence, and raises the bar for operational improvements to restore sustainable returns.

NAFCO Co., Ltd. News

NAFCO Boosts Quarterly Profit Despite Revenue Decline, Keeps Dividend Outlook Unchanged

The latest update is out from NAFCO Co., Ltd. ( ($JP:2790) ). NAFCO Co., Ltd. reported consolidated operating...

1M ago

NAFCO Co., Ltd. Reports Significant Financial Decline for FY 2025

NAFCO Co., Ltd. ( ($JP:2790) ) has issued an update. NAFCO Co., Ltd. has reported a significant decline...

10M ago

2790 FAQ

What was NAFCO Co., Ltd.’s price range in the past 12 months?

NAFCO Co., Ltd. lowest stock price was ¥1555.00 and its highest was ¥2375.00 in the past 12 months.

What is NAFCO Co., Ltd.’s market cap?

NAFCO Co., Ltd.’s market cap is ¥63.98B.

When is NAFCO Co., Ltd.’s upcoming earnings report date?

NAFCO Co., Ltd.’s upcoming earnings report date is Apr 24, 2026 which is in 40 days.

How were NAFCO Co., Ltd.’s earnings last quarter?

NAFCO Co., Ltd. released its earnings results on Feb 06, 2026. The company reported ¥28.14 earnings per share for the quarter, beating the consensus estimate of N/A by ¥28.14.

Is NAFCO Co., Ltd. overvalued?

According to Wall Street analysts NAFCO Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does NAFCO Co., Ltd. pay dividends?

NAFCO Co., Ltd. pays a Semiannually dividend of ¥29 which represents an annual dividend yield of 2.78%. See more information on NAFCO Co., Ltd. dividends here

What is NAFCO Co., Ltd.’s EPS estimate?

NAFCO Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does NAFCO Co., Ltd. have?

NAFCO Co., Ltd. has 29,784,400 shares outstanding.

What happened to NAFCO Co., Ltd.’s price movement after its last earnings report?

NAFCO Co., Ltd. reported an EPS of ¥28.14 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 1.961%.

Which hedge fund is a major shareholder of NAFCO Co., Ltd.?

Currently, no hedge funds are holding shares in JP:2790

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

NAFCO Co., Ltd.

NAFCO Co., Ltd. operates a chain of home and furniture retail outlets in Japan. The company's furniture/home fashion stores offer kitchen and dining, living room, bed and bedroom, study room, and wedding gift furniture; and bedding products, small furniture, and other items. It also operates home centers that offer DIY hardware, gardening products, exterior and interior furnishings, automobile accessories, and pet goods. In addition, the company operates combination stores that provide general furniture, interior and furnishings, DIY hardware, gardening merchandise, automobile and car accessories, and pet goods. As of March 31, 2022, it operated 359 stores. The company was founded in 1947 and is headquartered in Kitakyushu, Japan.