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Tea Life Co., Ltd.
(3172)
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Rating:70Outperform
Price Target:
¥1,246.00
▲(6.77% Upside)
Action:Upgraded
Date:10/09/25
The overall score of 70 is primarily driven by an attractive valuation, featuring a low P/E ratio and a high dividend yield, which provides a strong appeal for value and income investors. This is supported by the company's robust financial stability, anchored by a very strong balance sheet with minimal debt and consistent cash flow generation. However, the score is constrained by significant concerns regarding financial performance, specifically the persistent decline in revenue and profit margins, which indicates underlying operational challenges. Technical indicators are currently neutral, suggesting a period of consolidation for the stock.
Positive Factors
Strong Cash Flow Generation
Strong cash flow generation indicates robust operational efficiency, providing the company with the flexibility to invest in growth opportunities and withstand economic downturns.
Negative Factors
Declining Revenue Growth
Declining revenue growth poses a challenge to long-term sustainability, potentially impacting market share and competitive positioning if not addressed.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Cash Flow Generation
Strong cash flow generation indicates robust operational efficiency, providing the company with the flexibility to invest in growth opportunities and withstand economic downturns.
Read all positive factors
Tea Life Co., Ltd. (3172) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥4.95B
Dividend Yield3.47%
Average Volume (3M)4.40K
Price to Earnings (P/E)16.4
Beta (1Y)0.31
Revenue Growth-9.27%
EPS Growth-5.41%
CountryJP
Employees161
SectorConsumer Cyclical
Sector Strength84
IndustrySpecialty Retail
Share Statistics
EPS (TTM)70.99
Shares Outstanding4,273,600
10 Day Avg. Volume3,340
30 Day Avg. Volume4,400
Financial Highlights & Ratios
PEG Ratio1.13
Price to Book (P/B)0.74
Price to Sales (P/S)0.42
P/FCF Ratio9.57
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Tea Life Co., Ltd. Business Overview & Revenue Model
Company Description
Tea Life Co., Ltd. operates in Japan, primarily marketing a variety of products such as health teas, nutritional supplements, beauty items, and pharmaceuticals through its online and mail-order catalog channels. The company, which established its ...
How the Company Makes Money
Tea Life Co., Ltd. generates revenue through multiple streams primarily centered around the sale of its tea products. The company earns money by selling its products directly to consumers through retail outlets and online platforms, as well as thr...
Tea Life Co., Ltd. Financial Statement Overview
Summary
Income Statement
42
Neutral
Balance Sheet
80
Positive
Cash Flow
72
Positive
| Breakdown | TTM | Jul 2025 | Jul 2024 | Jul 2023 | Jul 2022 | Jul 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 10.79B | 11.50B | 13.00B | 13.46B | 12.74B | 11.72B |
| Gross Profit | 4.08B | 4.12B | 4.45B | 4.67B | 4.95B | 5.44B |
| EBITDA | 495.25M | 620.00M | 733.00M | 1.10B | 936.00M | 1.01B |
| Net Income | 303.00M | 358.00M | 319.00M | 599.00M | 566.00M | 704.00M |
Balance Sheet | ||||||
| Total Assets | 8.68B | 8.82B | 9.05B | 8.63B | 8.33B | 8.36B |
| Cash, Cash Equivalents and Short-Term Investments | 2.89B | 3.13B | 2.90B | 2.68B | 2.32B | 2.67B |
| Total Debt | 843.00M | 918.00M | 1.02B | 663.00M | 815.00M | 1.01B |
| Total Liabilities | 2.26B | 2.39B | 2.76B | 2.46B | 2.54B | 2.90B |
| Stockholders Equity | 6.41B | 6.43B | 6.29B | 6.17B | 5.79B | 5.46B |
Cash Flow | ||||||
| Free Cash Flow | 0.00 | 499.00M | 242.00M | 636.00M | 220.00M | 905.00M |
| Operating Cash Flow | 0.00 | 526.00M | 329.00M | 704.00M | 380.00M | 964.00M |
| Investing Cash Flow | 0.00 | -544.00M | -139.00M | -3.00M | -296.00M | 121.00M |
| Financing Cash Flow | 0.00 | -270.00M | 133.00M | -422.00M | -438.00M | -349.00M |
Tea Life Co., Ltd. Technical Analysis
Positive
1167.00
Price Trends
1151.18
Positive
1149.52
Positive
1144.55
Positive
Market Momentum
2.81
Negative
60.17
Neutral
67.20
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3172, the sentiment is Positive. The current price of 1167 is above the 20-day moving average (MA) of 1152.60, above the 50-day MA of 1151.18, and above the 200-day MA of 1144.55, indicating a bullish trend. The MACD of 2.81 indicates Negative momentum. The RSI at 60.17 is Neutral, neither overbought nor oversold. The STOCH value of 67.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3172.
Tea Life Co., Ltd. Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | ¥10.78B | 11.29 | ― | 2.66% | 17.13% | 71.84% | |
70 Outperform | ¥4.95B | 16.35 | ― | 3.47% | -9.27% | -5.41% | |
69 Neutral | ¥59.07B | 21.23 | ― | 4.27% | 5.38% | -34.99% | |
65 Neutral | ¥5.66B | 14.67 | ― | 1.76% | -0.77% | 160.00% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
59 Neutral | ¥39.39B | 15.05 | 14.53% | 0.21% | 20.91% | -1.29% | |
52 Neutral | ¥4.50B | 8.45 | ― | 2.05% | -3.59% | -57.78% |
* Consumer Cyclical Sector Average
JP:3172
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Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.