HONEYS HOLDINGS CO. LTD. (2792) AI Stock Analysis

• Market Cap: ¥43.39B
• Dividend Yield: 3.53%
• Average Volume (3M): 57.13K
• Price to Earnings (P/E): 11.6
• Beta (1Y): 0.32
• Revenue Growth: 2.00%
• EPS Growth: -23.48%
• Country: JP
• Employees: 6,105
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): 62.42
• Shares Outstanding: 27,900,000
• 10 Day Avg. Volume: 40,890
• 30 Day Avg. Volume: 57,133
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 69 Neutral
• Price Target: ―

HONEYS HOLDINGS CO. LTD. presents a stable financial position with strong revenue growth and no debt, which bolsters its resilience. However, challenges in profitability and cash flow generation are notable concerns. The technical analysis indicates potential short-term weakness, while the valuation suggests the stock is fairly valued, supported by its attractive dividend yield. These factors combine to provide a moderate investment outlook.

HONEYS HOLDINGS CO. LTD. Business Overview & Revenue Model

Company Description

Honeys Holdings Co., Ltd. engages in the planning, manufacture, and retail of women's apparel and accessories. It offers its products under the GLACIER, Gracia, Cinema club, and Colza brand names. The company operates a network of 873 stores under the Honeys, Cinema Club, Honey's Dee, and Crossover brand names in Japan. It also operates online shopping sites. The company was formerly known as Honeys Co. Ltd. and changed its name to Honeys Holdings Co., Ltd. in March 2017. Honeys Holdings Co., Ltd. was incorporated in 1978 and is headquartered in Iwaki, Japan.

How the Company Makes Money

HONEYS HOLDINGS CO. LTD. generates revenue primarily through the sale of women's clothing and accessories in its retail stores. The company's revenue model is based on direct sales to consumers, both through its physical retail outlets and its online platform. Key revenue streams include the sale of various fashion items such as tops, bottoms, dresses, and outerwear, along with accessories like bags and shoes. The company benefits from economies of scale by leveraging its extensive network of retail locations and efficient supply chain management. Additionally, HONEYS may engage in strategic partnerships with suppliers and designers to enhance product offerings and maintain competitive pricing. Seasonal promotions, loyalty programs, and marketing campaigns also contribute to driving customer traffic and increasing sales.

HONEYS HOLDINGS CO. LTD. Financial Statement Overview

Summary

HONEYS HOLDINGS CO. LTD. exhibits strong revenue growth and a solid financial structure with no debt, fostering stability and resilience. However, declining net profit margins and free cash flow raise concerns about profitability and cash generation efficiency. The company must focus on enhancing operational efficiency and profitability to sustain its growth trajectory.

Income Statement

HONEYS HOLDINGS CO. LTD. demonstrates solid revenue growth over the years, with a notable increase from 2022 to 2023 by approximately 17.9%. The gross profit margin remains robust at around 60% in 2024, indicating effective cost management. However, the net profit margin slightly decreased from the previous year, influenced by a reduction in net income and EBIT margins, suggesting some profitability pressure.

Balance Sheet

The company maintains a strong balance sheet with no debt, resulting in a favorable debt-to-equity ratio of 0. The equity ratio remains high at around 84.8% in 2024, showcasing financial stability. Return on equity is decent at approximately 10.9%, but it declined from 13.1% in 2023, reflecting a slight drop in net income against equity.

Cash Flow

Free cash flow experienced a decline from a positive value in 2023 to a negative in 2024, primarily due to higher capital expenditures. The operating cash flow to net income ratio suggests operational cash sufficiency, but the free cash flow to net income ratio turned negative, indicating potential challenges in generating free cash from operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	58.29B	57.70B	56.57B	54.89B	47.70B	45.37B
Gross Profit	34.36B	34.15B	34.09B	33.43B	28.74B	26.83B
EBITDA	7.52B	7.24B	8.14B	8.80B	6.07B	4.76B
Net Income	4.08B	3.73B	4.88B	5.34B	3.26B	2.40B
Balance Sheet
Total Assets	50.74B	53.00B	52.84B	50.14B	46.58B	43.17B
Cash, Cash Equivalents and Short-Term Investments	12.98B	13.36B	12.86B	16.36B	12.54B	13.67B
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	6.65B	8.29B	8.04B	9.39B	8.82B	7.45B
Stockholders Equity	44.09B	44.71B	44.80B	40.75B	37.75B	35.71B
Cash Flow
Free Cash Flow	0.00	2.89B	-1.96B	5.16B	839.33M	5.92B
Operating Cash Flow	0.00	4.92B	2.13B	6.81B	2.21B	7.71B
Investing Cash Flow	0.00	-2.26B	-4.20B	-1.78B	-2.47B	-1.88B
Financing Cash Flow	0.00	-1.53B	-1.53B	-1.12B	-837.40M	-978.62M

HONEYS HOLDINGS CO. LTD. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1578.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2792, the sentiment is Positive. The current price of 1578 is above the 20-day moving average (MA) of 1542.90, above the 50-day MA of 1513.36, and above the 200-day MA of 1577.65, indicating a neutral trend. The MACD of 10.63 indicates Negative momentum. The RSI at 58.65 is Neutral, neither overbought nor oversold. The STOCH value of 51.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2792.

HONEYS HOLDINGS CO. LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8015	79 Outperform	4.39T	11.98	12.99%	2.53%	1.69%	9.10%
2669	74 Outperform	31.72B	19.84	6.70%	1.16%	1.04%	-10.84%
2685	73 Outperform	138.68B	14.79	12.47%	2.94%	5.50%	-30.13%
7638	71 Outperform	26.91B	12.94	19.98%	0.59%	38.13%	94.39%
2792	69 Neutral	¥43.39B	11.63	―	3.53%	2.00%	-23.48%
7445	44 Neutral	10.04B	-0.85	-3842.41%	―	-22.83%	-106.69%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%