Daiwabo Holdings Co., Ltd. (3107) AI Stock Analysis

• Market Cap: ¥271.04B
• Dividend Yield: 3.37%
• Average Volume (3M): 268.92K
• Price to Earnings (P/E): 8.8
• Beta (1Y): 0.86
• Revenue Growth: 21.63%
• EPS Growth: 659.16%
• Country: JP
• Employees: 2,867
• Sector: Technology
• Sector Strength: 88
• Industry: Technology Distributors
• EPS (TTM): 80.19
• Shares Outstanding: 96,356,460
• 10 Day Avg. Volume: 255,070
• 30 Day Avg. Volume: 268,916
• PEG Ratio: 0.02
• Price to Book (P/B): 1.52
• Price to Sales (P/S): 0.20
• P/FCF Ratio: 57.89
• 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: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 73 Outperform
• Price Target: ¥3,198.00 ▲(13.36% Upside)

Daiwabo Holdings Co., Ltd. demonstrates strong financial performance with consistent revenue growth and stable profitability, which is the most significant factor in its overall score. The stock's valuation is attractive due to a low P/E ratio and a solid dividend yield. Technical analysis indicates some bearish momentum, but not excessively so, which slightly moderates the overall score.

Daiwabo Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

Daiwabo Holdings Co., Ltd. (3107) is a prominent Japanese company primarily engaged in the textile and apparel industry. The company operates through various segments, including textiles, apparel, and related services. With a strong focus on innovation and quality, Daiwabo offers a wide range of products, including yarns, fabrics, and finished garments, catering to both domestic and international markets. The company is committed to sustainable practices and continuously seeks to enhance its product offerings through research and development.

How the Company Makes Money

Daiwabo Holdings generates revenue through multiple key streams within its textile and apparel operations. The primary source of income comes from the production and sale of textiles, including synthetic and natural fibers, which are supplied to various industries such as fashion, sports, and industrial applications. Additionally, the company earns revenue from its apparel division by designing, manufacturing, and selling finished garments to retail partners and directly to consumers. Significant partnerships with major retailers and brands enhance market reach and sales volume. The company also benefits from export activities, supplying textiles and apparel to international markets. Overall, Daiwabo's focus on quality, innovation, and sustainability in its product lines plays a vital role in driving profitability.

Daiwabo Holdings Co., Ltd. Financial Statement Overview

Summary

Daiwabo Holdings Co., Ltd. exhibits robust financial health characterized by strong revenue growth, stable profitability margins, and a solid balance sheet. Cash flows are well-managed, ensuring liquidity and supporting ongoing operations. The company's financial position is well-aligned with industry standards, making it a strong performer in the technology distribution sector.

Income Statement

Daiwabo Holdings Co., Ltd. has demonstrated consistent revenue growth, with a notable increase from ¥903.92 billion in 2023 to ¥1.136 trillion in 2025. Gross profit margin has remained stable around 7-8%, while EBIT and EBITDA margins have been strong, reflecting efficient operations. The significant net income jump to ¥24.75 billion in 2025 enhances profitability.

Balance Sheet

The company maintains a healthy balance sheet with a significant equity base, reflected in a debt-to-equity ratio of approximately 0.14. Return on equity has shown improvement, and the equity ratio remains robust at around 34.5%. The strong cash position supports financial stability.

Cash Flow

Free cash flow has been consistently positive, indicating strong cash generation capabilities. Operating cash flow to net income ratio shows efficiency in cash conversion, despite a drop in operating cash flow in 2025. A healthy free cash flow to net income ratio further supports liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.20T	1.14T	967.76B	903.92B	763.84B	1.04T
Gross Profit	87.14B	79.80B	78.21B	70.52B	64.14B	81.85B
EBITDA	43.36B	38.08B	17.23B	31.77B	28.68B	40.31B
Net Income	28.87B	24.75B	4.28B	19.06B	16.99B	25.71B
Balance Sheet
Total Assets	420.31B	440.12B	405.26B	406.69B	356.20B	383.76B
Cash, Cash Equivalents and Short-Term Investments	19.12B	55.42B	69.37B	52.12B	46.96B	32.06B
Total Debt	20.70B	20.70B	20.90B	26.10B	27.48B	27.32B
Total Liabilities	265.69B	287.81B	263.12B	262.73B	220.03B	254.44B
Stockholders Equity	154.62B	152.09B	141.93B	142.99B	135.25B	128.28B
Cash Flow
Free Cash Flow	0.00	3.98B	21.82B	14.94B	25.04B	6.31B
Operating Cash Flow	0.00	5.91B	24.54B	16.96B	28.16B	9.43B
Investing Cash Flow	0.00	-2.59B	-4.95B	-1.63B	-2.93B	-1.36B
Financing Cash Flow	0.00	-17.40B	-2.86B	-10.34B	-10.72B	-7.59B

Daiwabo Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2821.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3107, the sentiment is Negative. The current price of 2821 is below the 20-day moving average (MA) of 2876.65, below the 50-day MA of 2985.70, and above the 200-day MA of 2667.38, indicating a neutral trend. The MACD of -19.21 indicates Negative momentum. The RSI at 44.48 is Neutral, neither overbought nor oversold. The STOCH value of 67.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3107.

Daiwabo Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8154	―	€173.09B	10.35	11.40%	3.26%	4.42%	-6.10%
9824	―	¥73.35B	10.94	―	3.09%	5.44%	5.65%
8137	―	¥41.71B	19.23	―	4.51%	-10.70%	-50.96%
3107	―	¥271.04B	8.79	―	3.37%	21.63%	659.16%
7513	―	¥86.22B	18.31	―	1.97%	4.79%	17.74%
6638	―	¥50.38B	8.02	―	2.94%	5.88%	21.14%
Sector *	―	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Daiwabo Holdings Co., Ltd. Corporate Events

Daiwabo Holdings Revises Financial Forecasts Amid Rising IT Demand

Daiwabo Holdings Co., Ltd. has revised its financial forecasts for the six months ending September 30, 2025, and the fiscal year ending March 31, 2026, due to increased demand in its IT Infrastructure Distribution Business. This demand is driven by corporate customers and government projects, including the GIGA School Phase II, and expected replacement demand for PCs following the end of support for Windows 10. The revisions indicate significant growth in net sales and profits, highlighting the company’s strengthened market position and potential positive implications for stakeholders.

Daiwabo Holdings Reports Strong Q1 Performance and Announces Treasury Share Acquisition

Daiwabo Holdings Co., Ltd. reported strong financial performance in the first quarter of the fiscal year ending March 31, 2026, driven by increased sales and profitability in both its IT infrastructure and industrial machinery businesses. The company announced an acquisition of treasury shares worth up to ¥8 billion and is monitoring potential impacts from U.S. tariffs, although direct effects are not anticipated.

Daiwabo Holdings Reports Strong Financial Growth in Q1 2025

Daiwabo Holdings Co., Ltd. reported significant financial growth for the three months ending June 30, 2025, with a notable increase in net sales and profits compared to the previous year. The company achieved a 27.5% rise in net sales and over 130% growth in operating and ordinary profits, reflecting a robust performance. The forecast for the fiscal year ending March 31, 2026, anticipates continued growth, with expected increases in net sales and profits, indicating a positive outlook for the company’s financial health and market positioning.