SRE Holdings Corp. (2980) AI Stock Analysis

• Market Cap: ¥55.17B
• Dividend Yield: 0.44%
• Average Volume (3M): 133.03K
• Price to Earnings (P/E): 51.6
• Beta (1Y): 1.22
• Revenue Growth: -8.33%
• EPS Growth: -36.89%
• Country: JP
• Employees: 296
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 2.83
• Shares Outstanding: 16,249,134
• 10 Day Avg. Volume: 140,270
• 30 Day Avg. Volume: 133,033
• PEG Ratio: 1.27
• Price to Book (P/B): 3.58
• Price to Sales (P/S): 1.85
• P/FCF Ratio: 266.14
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: ¥3,748.00 ▲(11.55% Upside)

SRE Holdings Corp. has a strong financial performance with significant revenue and profit growth, which is the most significant factor in its score. Technical analysis shows positive momentum but indicates potential overbought conditions. The valuation is a concern, with a high P/E ratio suggesting overvaluation. The absence of earnings call and corporate events data limits the analysis to these components.

Positive Factors

Revenue Growth

The significant revenue growth over several years indicates strong market demand and effective business expansion strategies.

Operational Efficiency

Consistent gross profit margins suggest effective cost management and operational efficiency, supporting long-term profitability.

Cash Flow Improvement

Improved cash flow generation enhances financial flexibility and supports sustainable growth and investment opportunities.

Negative Factors

Rising Debt Levels

Increased leverage could constrain financial flexibility and elevate risk, potentially impacting long-term financial health.

Cash Flow Volatility

Volatile cash flow from operations may indicate inconsistent cash generation, affecting the company's ability to fund operations reliably.

Declining EPS Growth

Negative EPS growth suggests challenges in profitability, which could hinder investor confidence and long-term earnings potential.

SRE Holdings Corp. Business Overview & Revenue Model

Company Description

SRE Holdings Corporation engages in the AI cloud and consulting, and real estate tech businesses in Japan. The company offers packaged cloud tools and algorithms based on modules that leverage machine learning and other advanced technologies to enhance operations in the real estate industry. It is also involved in real estate brokerage; and developing and selling condominiums. The company was formerly known as Sony Real Estate Corporation and changed its name to SRE Holdings Corporation in June 2019. SRE Holdings Corporation was incorporated in 2014 and is headquartered in Tokyo, Japan.

How the Company Makes Money

SRE Holdings Corp. generates revenue through multiple streams primarily centered around its real estate operations. The company earns income from leasing commercial and residential properties, which provides a steady cash flow. Additionally, SRE Holdings engages in property development projects, where it generates profits by constructing and selling new properties or by increasing the value of existing assets. The company may also receive fees for property management services and consultancy, further contributing to its revenue. Strategic partnerships with other real estate firms and financial institutions can enhance its investment capabilities and access to capital, thus supporting its growth and profitability.

SRE Holdings Corp. Financial Statement Overview

Summary

SRE Holdings Corp. demonstrates strong financial performance with significant revenue and profit growth. The company benefits from robust gross and net profit margins, indicating operational efficiency. Despite increased leverage, the equity ratio remains healthy, reflecting a stable financial position. Cash flow management has improved, though past fluctuations suggest areas for improvement in cash generation consistency.

Income Statement

SRE Holdings Corp. has demonstrated robust revenue growth over the past several years, with revenue increasing from ¥3.85 billion in 2020 to ¥26.69 billion in 2025. The gross profit margin has consistently remained strong, reaching 35.7% in 2025. The net profit margin has also improved to 6.4% in 2025 from 12.3% in 2020. EBIT and EBITDA margins show a positive trajectory, indicating efficient cost management and operational scalability.

Balance Sheet

SRE Holdings Corp. maintains a stable balance sheet with a growing equity base of ¥13.78 billion in 2025. The debt-to-equity ratio has increased, indicating a higher reliance on debt financing. However, the company has managed to maintain a healthy equity ratio of 45.2%, suggesting a balanced capital structure. Return on equity has been positive, showcasing effective use of equity capital.

Cash Flow

The company has shown improvement in cash flow generation, with a positive free cash flow of ¥185 million in 2025, compared to negative figures in previous years. Operating cash flow to net income ratio indicates efficient cash conversion. Despite the positive trend, the company's cash flow from operations has fluctuated, highlighting potential volatility in operational cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	25.86B	26.69B	24.22B	18.54B	13.57B	7.34B
Gross Profit	8.69B	9.53B	7.46B	5.78B	4.17B	3.02B
EBITDA	3.05B	3.84B	2.51B	2.03B	1.57B	1.26B
Net Income	1.18B	1.70B	1.39B	1.15B	892.41M	667.02M
Balance Sheet
Total Assets	32.95B	30.47B	24.02B	21.96B	23.02B	12.34B
Cash, Cash Equivalents and Short-Term Investments	7.89B	7.67B	4.66B	5.23B	3.65B	3.47B
Total Debt	15.90B	12.13B	8.42B	8.67B	11.64B	3.19B
Total Liabilities	18.83B	16.12B	11.56B	10.64B	13.22B	4.46B
Stockholders Equity	13.53B	13.78B	12.27B	11.09B	9.80B	7.88B
Cash Flow
Free Cash Flow	0.00	185.31M	73.83M	3.78B	-8.16B	-3.82B
Operating Cash Flow	0.00	435.30M	452.64M	4.36B	-7.31B	-3.57B
Investing Cash Flow	0.00	-1.37B	-376.36M	-427.07M	-1.64B	-253.80M
Financing Cash Flow	0.00	1.94B	-554.26M	-3.13B	9.31B	3.28B

SRE Holdings Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3360.00
• 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:2980, the sentiment is Positive. The current price of 3360 is above the 20-day moving average (MA) of 3357.00, above the 50-day MA of 3099.34, and above the 200-day MA of 3223.61, indicating a bullish trend. The MACD of 68.01 indicates Positive momentum. The RSI at 54.80 is Neutral, neither overbought nor oversold. The STOCH value of 56.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2980.

SRE Holdings Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8935	76 Outperform	¥45.99B	6.25	―	3.71%	15.82%	22.32%
2986	69 Neutral	¥59.73B	10.41	―	5.94%	8.07%	12.06%
3245	69 Neutral	¥53.52B	9.16	―	5.82%	67.46%	68.52%
3496	66 Neutral	¥61.75B	32.87	―	2.14%	27.87%	40.22%
2980	66 Neutral	¥55.17B	51.58	―	0.44%	-8.33%	-36.89%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
3482	65 Neutral	¥47.69B	7.55	―	2.39%	33.64%	-0.28%

SRE Holdings Corp. Corporate Events

SRE Holdings Finalizes Stock Options for Directors and Employees

SRE Holdings Corporation has finalized the details of stock acquisition rights for its directors and employees, as resolved in a recent board meeting. This initiative involves issuing a total of 7,315 stock acquisition rights, corresponding to 731,500 shares of common stock, aimed at aligning the interests of key personnel with the company’s growth objectives.

SRE Holdings Reports FY2025 2Q Financial Results

SRE Holdings Corporation’s FY2025 2Q financial results highlight its focus on integrating technology into life and healthcare sectors. The company’s operations span across real estate, finance, and IT, offering AI cloud tools and consulting services. This strategic positioning aims to enhance its market presence and provide innovative solutions to stakeholders.

SRE Holdings Corp. Reports Decline in Half-Year Financials but Projects Recovery

SRE Holdings Corporation reported a significant decline in its financial performance for the six months ending September 30, 2025, with net sales dropping by 20.3% and profits decreasing sharply compared to the previous year. Despite the downturn, the company maintains a positive outlook for the fiscal year ending March 31, 2026, projecting a 31.1% increase in net sales and a 30.8% rise in profit attributable to owners, indicating a potential recovery and growth in its operations.

SRE Holdings Issues Stock Options to Boost Long-term Performance

SRE Holdings Corporation announced the issuance of paid stock options to its directors and employees, aiming to align their interests with the company’s long-term performance goals. This move is intended to enhance corporate value and shareholder value by setting performance-based criteria for exercising these options, which could result in a reasonable share dilution of approximately 4.5% if all options are exercised.

SRE Holdings’ Subsidiary MEDIX Co, Ltd. Declares Surplus Dividends

SRE Holdings Corporation announced that its wholly owned subsidiary, MEDIX Co, Ltd., will distribute surplus dividends amounting to 600,600,000 yen to the parent company. This dividend income will be recorded as non-operating income in SRE Holdings’ non-consolidated financial results, with no impact on the consolidated financial results for the fiscal year ending March 31, 2026.