Kioxia Holdings Corporation (285A) AI Stock Analysis

• Market Cap: ¥12.20T
• Dividend Yield: N/A
• Average Volume (3M): 19.22M
• Price to Earnings (P/E): 16.1
• Beta (1Y): 1.11
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: JP
• Employees: 15,249
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 162.41
• Shares Outstanding: 545,661,560
• 10 Day Avg. Volume: 16,419,819
• 30 Day Avg. Volume: 19,224,136
• PEG Ratio: -0.02
• Price to Book (P/B): 1.70
• Price to Sales (P/S): 0.73
• P/FCF Ratio: 4.95
• 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: ¥31,833.33
• Price Target Upside: 42.37% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 910.11
• Revenue Forecast (FY): ¥2.22T

• Rating: 72 Outperform
• Price Target: ¥20,013.00 ▼(-10.50% Downside)
• Action: Upgraded Date: 02/14/26
• Date: Action: Upgraded 02/14/26

The score is driven primarily by a strong financial recovery (improving profitability and very strong cash flow) and bullish technical momentum (price above key moving averages with positive MACD). These positives are partially offset by elevated valuation (high P/E) and balance-sheet leverage risk (debt-to-equity 1.35).

Positive Factors

Strong cash generation

A large FCF turnaround (331% growth) and operating cash flow to net income of 1.75 indicate durable internal funding. This cash conversion supports sustained capex, R&D and debt servicing capacity, improving resiliency and strategic optionality across memory cycles.

Revenue and margin recovery

A sharp revenue rebound (+58.56%) and restored margins (gross 33.35%, net 15.96%, EBIT 25.86%) reflect improved product mix, yields and cost control. These structural profitability gains support sustainable earnings power if Kioxia maintains technology leadership and efficient manufacturing.

Market position in NAND/SSDs and strategic JV

Kioxia's core focus on NAND and SSDs across consumer, PC and data-center end markets, plus a long-standing joint manufacturing partnership with Western Digital, provides scale, shared R&D and manufacturing economics that underpin durable competitive advantage in memory supply.

Negative Factors

Elevated leverage

A debt-to-equity of 1.35 signals material leverage in a capital-intensive business. Elevated debt increases fixed obligations and refinancing exposure, which can limit the firm's ability to fund capex or sustain R&D during memory downturns and heightens financial risk over time.

Industry cyclicality and pricing sensitivity

The NAND market is structurally cyclical and highly price-sensitive. Even with current margin recovery, prolonged oversupply or demand weakness can rapidly compress ASPs and margins, making revenue and cashflow volatile and complicating long-term planning for capacity and investment.

Operational dependence on joint manufacturing

While the Western Digital partnership provides scale, reliance on joint manufacturing affects Kioxia's autonomy in capacity allocation, technology timing and cost decisions. That dependence can constrain strategic flexibility and slow responses to market or technology shifts over the medium term.

Kioxia Holdings Corporation Business Overview & Revenue Model

Company Description

Kioxia Holdings Corp. engages in the supervision and management of its subsidiaries that deals with memory storage business. It also handles the formulation of management strategies for the entire group. The company was founded on March 1, 2019 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Kioxia makes money primarily by selling NAND flash memory and NAND-based storage products to device makers and other technology companies. Its main revenue stream comes from the shipment of NAND flash memory (e.g., 3D NAND/"BiCS FLASH") used by customers to build smartphones, PCs, and other consumer devices, as well as by data center and enterprise customers for storage infrastructure. A second key stream is the sale of finished storage products—most notably solid-state drives (SSDs) for client and enterprise applications—where Kioxia captures additional value by packaging NAND into higher-level storage solutions. Earnings are influenced by industry memory pricing cycles, product mix (higher-density and higher-performance NAND/SSDs typically carry higher average selling prices), manufacturing yields, and the company’s ability to ramp new process generations efficiently. Kioxia also has a significant partnership factor through its long-standing collaboration and joint flash-memory manufacturing operations with Western Digital in Japan, which affects capacity planning, technology development, and the economics of production; however, specific contractual revenue-sharing terms are not publicly detailed here (null).

Kioxia Holdings Corporation Financial Statement Overview

Summary

Strong turnaround: revenue growth of 58.56% and profitability rebounded (gross margin 33.35%, net margin 15.96%, EBIT margin 25.86%). Cash flow is a key strength with sharply improved free cash flow growth (331.05%) and strong cash conversion (operating cash flow to net income 1.75). Main constraint is balance-sheet leverage (debt-to-equity 1.35) despite improved ROE (36.92%).

Income Statement

Kioxia Holdings has shown a significant turnaround in its income statement metrics. The latest year saw a strong recovery with a gross profit margin of 33.35% and a net profit margin of 15.96%, compared to negative figures in the prior years. The revenue growth rate improved significantly by 58.56% from the previous year, indicating robust sales performance. EBIT and EBITDA margins also turned positive at 25.86% and 44.98%, respectively, highlighting operational efficiency. However, historical volatility in profitability remains a concern.

Balance Sheet

The balance sheet indicates a relatively high debt-to-equity ratio of 1.35, reflecting significant leverage, which could be a risk if not managed carefully. However, the return on equity has improved to 36.92%, showcasing effective use of shareholders' funds in the latest year. The equity ratio stands at 25.26%, suggesting a moderate level of financial stability. The company needs to maintain its debt levels under control to ensure long-term financial health.

Cash Flow

Kioxia Holdings exhibits strong cash flow performance. The free cash flow growth rate was impressive, moving from negative in previous years to a positive 331.05%, indicating improved cash generation. The operating cash flow to net income ratio of 1.75 reflects robust cash conversion ability. The free cash flow to net income ratio of 0.93 also demonstrates efficient cash management. This financial strength provides a cushion for future investments and debt servicing.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2020
Income Statement
Total Revenue	1.68T	1.71T	1.08T	1.28T	1.53T	987.23B
Gross Profit	433.97B	569.43B	-52.35B	126.66B	413.97B	670.00M
EBITDA	630.97B	767.76B	51.11B	274.54B	645.95B	242.33B
Net Income	167.02B	272.31B	-243.73B	-138.14B	105.92B	-166.69B
Balance Sheet
Total Assets	3.19T	2.92T	2.86T	2.97T	3.07T	2.72T
Cash, Cash Equivalents and Short-Term Investments	281.53B	167.93B	187.59B	261.35B	469.81B	217.10B
Total Debt	1.30T	999.52B	1.29T	1.27T	1.25T	1.27T
Total Liabilities	2.22T	2.18T	2.42T	2.32T	2.27T	2.02T
Stockholders Equity	978.50B	737.57B	449.63B	658.07B	793.86B	699.15B
Cash Flow
Free Cash Flow	133.49B	252.57B	-109.33B	-167.28B	151.58B	-193.79B
Operating Cash Flow	426.02B	476.42B	195.11B	339.10B	549.13B	159.12B
Investing Cash Flow	-225.44B	-173.01B	-274.85B	-498.56B	-400.30B	-355.61B
Financing Cash Flow	-94.05B	-322.68B	3.24B	-50.79B	-93.28B	157.51B

Kioxia Holdings Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22360.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:285A, the sentiment is Positive. The current price of 22360 is above the 20-day moving average (MA) of 20990.25, above the 50-day MA of 19295.20, and above the 200-day MA of 9172.06, indicating a bullish trend. The MACD of 799.63 indicates Negative momentum. The RSI at 56.97 is Neutral, neither overbought nor oversold. The STOCH value of 85.53 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:285A.

Kioxia Holdings Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6951	78 Outperform	¥303.25B	8.42	―	2.04%	-0.69%	-29.88%
285A	72 Outperform	¥12.20T	16.09	―	―	―	―
4186	71 Outperform	¥1.02T	20.85	15.75%	1.08%	19.45%	41.03%
6762	67 Neutral	¥4.04T	15.03	―	1.41%	7.73%	-1.93%
6728	62 Neutral	¥451.71B	19.19	5.63%	2.35%	-9.06%	-35.95%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
4062	61 Neutral	¥2.32T	52.61	7.72%	0.40%	5.18%	3.36%