DD GROUP Co., Ltd. (3073) AI Stock Analysis

• Market Cap: ¥30.56B
• Dividend Yield: N/A
• Average Volume (3M): 25.72K
• Price to Earnings (P/E): 13.2
• Beta (1Y): 0.69
• Revenue Growth: 3.45%
• EPS Growth: -22.80%
• Country: JP
• Employees: 1,191
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): 23.47
• Shares Outstanding: 18,455,019
• 10 Day Avg. Volume: 34,810
• 30 Day Avg. Volume: 25,716
• PEG Ratio: -0.34
• Price to Book (P/B): 2.84
• Price to Sales (P/S): 0.59
• P/FCF Ratio: 8.49
• 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: 70 Neutral
• Price Target: ¥1,865.00 ▲(10.36% Upside)

The overall stock score of 69.9 is primarily driven by strong financial performance and favorable valuation metrics. Technical analysis shows bullish trends but indicates potential overbought conditions. The lack of dividend yield and reliance on debt financing are notable risks.

Positive Factors

Cash Flow Generation

Strong cash flow generation indicates effective capital management, providing financial flexibility for strategic investments and debt servicing.

Operational Efficiency

Improved margins reflect enhanced operational efficiency, suggesting the company is effectively managing costs and optimizing revenue streams.

Strategic Focus on Innovation

A focus on innovation can drive long-term growth by differentiating the brand and expanding market reach, potentially increasing customer loyalty.

Negative Factors

High Reliance on Debt

High debt reliance can pose risks in adverse conditions, potentially limiting financial flexibility and increasing vulnerability to economic downturns.

Management Buyout and Delisting

Delisting can reduce market visibility and liquidity for shareholders, impacting investor confidence and altering the company's strategic direction.

Dividend and Shareholder Benefits Revision

Eliminating dividends and benefits may reduce attractiveness to income-focused investors, potentially impacting shareholder satisfaction and market perception.

DD GROUP Co., Ltd. Business Overview & Revenue Model

Company Description

DD GROUP Co., Ltd. (3073) is a diversified company primarily engaged in the manufacturing and distribution of consumer electronics and home appliances. The company operates across several sectors, including technology, home improvement, and lifestyle products, offering a wide range of innovative solutions designed to enhance everyday life. Its core products include smart home devices, kitchen appliances, and personal electronic gadgets that cater to a growing demand for convenience and efficiency in both domestic and commercial settings.

How the Company Makes Money

DD GROUP Co., Ltd. generates revenue through multiple streams, including direct sales of its consumer electronics and home appliances through retail and online channels. The company also benefits from partnerships with major retailers and e-commerce platforms, expanding its market reach and customer base. Additionally, DD GROUP engages in B2B transactions by supplying its products to businesses and institutions, thereby creating a stable revenue source. The company invests in research and development to innovate and upgrade its product offerings, ensuring competitiveness and customer loyalty, which further contributes to its earnings.

DD GROUP Co., Ltd. Financial Statement Overview

Summary

DD GROUP Co., Ltd. demonstrates a solid financial performance with notable improvements in profitability and cash flow generation. The company has successfully navigated past financial difficulties and is on a positive growth trajectory. However, the reliance on debt financing remains a potential risk that requires careful monitoring.

Income Statement

DD GROUP Co., Ltd. has shown a strong recovery in its income statement with consistent revenue growth over the past few years. The gross profit margin and net profit margin have improved significantly, indicating enhanced profitability. The EBIT and EBITDA margins are healthy, showcasing operational efficiency. However, the net income has fluctuated, primarily due to previous periods of negative earnings.

Balance Sheet

The company's balance sheet reflects a stable financial position with an improving debt-to-equity ratio, indicating better leverage management. The return on equity has improved as net income has become positive, demonstrating better returns for shareholders. However, the equity ratio is relatively low, suggesting a high reliance on debt financing, which could pose risks in adverse economic conditions.

Cash Flow

DD GROUP Co., Ltd.'s cash flow statement shows positive trends with significant free cash flow generation and a healthy operating cash flow to net income ratio, indicating strong cash conversion. The free cash flow growth rate is positive, highlighting effective capital expenditure management. However, fluctuations in financing cash flows suggest potential challenges in managing financial obligations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	38.93B	38.58B	37.08B	32.23B	19.35B	23.48B
Gross Profit	30.72B	29.72B	29.09B	25.20B	14.97B	18.07B
EBITDA	4.42B	4.48B	3.46B	2.09B	1.13B	-9.25B
Net Income	2.32B	2.40B	3.42B	875.00M	-354.00M	-8.51B
Balance Sheet
Total Assets	31.92B	31.31B	34.29B	35.25B	35.74B	31.31B
Cash, Cash Equivalents and Short-Term Investments	8.09B	7.66B	10.59B	12.31B	8.35B	4.26B
Total Debt	15.97B	16.58B	18.92B	22.80B	22.95B	24.26B
Total Liabilities	22.59B	22.56B	24.55B	28.91B	30.49B	31.61B
Stockholders Equity	8.67B	8.09B	9.08B	5.57B	4.53B	-976.05M
Cash Flow
Free Cash Flow	0.00	2.70B	2.62B	3.94B	-2.37B	-8.25B
Operating Cash Flow	0.00	3.55B	3.40B	4.50B	-1.98B	-6.84B
Investing Cash Flow	0.00	-803.00M	-981.00M	-505.00M	1.30B	-1.20B
Financing Cash Flow	0.00	-5.67B	-4.12B	-204.00M	4.68B	5.76B

DD GROUP Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1690.00
• 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:3073, the sentiment is Positive. The current price of 1690 is above the 20-day moving average (MA) of 1689.25, above the 50-day MA of 1688.52, and above the 200-day MA of 1494.89, indicating a bullish trend. The MACD of 0.37 indicates Positive momentum. The RSI at 55.46 is Neutral, neither overbought nor oversold. The STOCH value of 75.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3073.

DD GROUP Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3073	70 Neutral	¥30.56B	13.20	―	―	3.45%	-22.80%
7678	65 Neutral	¥23.07B	67.90	―	―	―	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
3178	60 Neutral	¥22.84B	26.90	―	0.82%	0.32%	10.22%
9979	60 Neutral	¥23.23B	19.82	―	1.21%	3.89%	-12.08%
2882	57 Neutral	¥22.56B	75.88	―	0.78%	8.86%	-17.71%
9850	52 Neutral	¥22.26B	64.92	―	0.62%	7.64%	-65.84%

DD GROUP Co., Ltd. Corporate Events

DD GROUP Co., Ltd. Announces Share Consolidation and Delisting

DD GROUP Co., Ltd. announced the approval of significant changes during an extraordinary shareholders’ meeting, including a share consolidation and amendments to the Articles of Incorporation. These changes will result in the company’s shares being delisted from the Tokyo Stock Exchange by November 21, 2025, impacting shareholders as the shares will become non-marketable. The consolidation aims to make the Offeror and Matsumuraya Co., Ltd. the sole shareholders, with fractional shares being processed and sold to the Offeror.

The most recent analyst rating on (JP:3073) stock is a Hold with a Yen1865.00 price target. To see the full list of analyst forecasts on DD GROUP Co., Ltd. stock, see the JP:3073 Stock Forecast page.

DD GROUP Co., Ltd. Reports Mixed Financial Results for H1 2025

DD GROUP Co., Ltd. reported its consolidated financial results for the six months ended August 31, 2025, showing a slight increase in net sales and operating profit, but a decrease in profit attributable to owners of the parent. The company’s financial position saw a reduction in total assets and net assets, indicating potential challenges in maintaining its equity-to-asset ratio.

The most recent analyst rating on (JP:3073) stock is a Hold with a Yen1865.00 price target. To see the full list of analyst forecasts on DD GROUP Co., Ltd. stock, see the JP:3073 Stock Forecast page.

DD GROUP Co., Ltd. Announces Strategic Shareholder Meeting and Delisting Plans

DD GROUP Co., Ltd. has announced an extraordinary shareholders’ meeting to discuss share consolidation, the abolition of share units, and amendments to its Articles of Incorporation. This move, part of a broader strategy to privatize the company, will lead to its delisting from the Tokyo Stock Exchange Prime Market. The decision follows a successful tender offer by PCGVI-1 Inc., which now holds a significant majority of the company’s shares, indicating a strategic shift in ownership and potential impacts on stakeholders.

The most recent analyst rating on (JP:3073) stock is a Hold with a Yen1865.00 price target. To see the full list of analyst forecasts on DD GROUP Co., Ltd. stock, see the JP:3073 Stock Forecast page.

DD GROUP Announces Treasury Shares Cancellation

DD GROUP Co., Ltd. announced a resolution to cancel 349,629 treasury shares, including restricted shares granted to directors, which constitutes 1.89% of its total issued shares. This move is contingent upon the approval of a share consolidation proposal at the upcoming extraordinary shareholders’ meeting, potentially impacting the company’s share structure and market positioning.

The most recent analyst rating on (JP:3073) stock is a Hold with a Yen1865.00 price target. To see the full list of analyst forecasts on DD GROUP Co., Ltd. stock, see the JP:3073 Stock Forecast page.

DD GROUP Co., Ltd. Announces Successful Tender Offer and Shareholder Changes

DD GROUP Co., Ltd. announced the successful completion of a tender offer by PCGVI-1 Inc., which will result in a change of its parent company and largest shareholder. This transition, effective September 3, 2025, will see Polaris Private Equity Fund VI, L.P. indirectly owning the company, impacting its shareholder structure and potentially its strategic direction.

The most recent analyst rating on (JP:3073) stock is a Hold with a Yen1865.00 price target. To see the full list of analyst forecasts on DD GROUP Co., Ltd. stock, see the JP:3073 Stock Forecast page.

DD GROUP Co., Ltd. to Acquire and Cancel Class A Preferred Stock

DD GROUP Co., Ltd. announced its plan to acquire and cancel all remaining Class A Preferred Stock following a successful tender offer for its common shares by PCGVI-1 Inc. This strategic move aims to further stabilize the company’s financial foundation, having previously issued these shares to strengthen its capital during the COVID-19 pandemic. The acquisition and cancellation are expected to have a minor impact on the company’s financial results for the current fiscal year.

DD GROUP Sets Record Date for Potential Extraordinary Shareholders Meeting

DD GROUP Co., Ltd. has announced the setting of a record date for an Extraordinary General Meeting of Shareholders, scheduled for late November 2025. This meeting is contingent upon the success of a tender offer by PCGVI-1 Inc., which aims to acquire the company’s shares. If the tender offer is successful but does not result in full acquisition, the meeting will address a share consolidation and amendments to the Articles of Incorporation. The outcome of this meeting could significantly impact the company’s shareholder structure and governance.