Joyful Honda Co. Ltd. (3191) AI Stock Analysis

• Market Cap: ¥122.10B
• Dividend Yield: 2.98%
• Average Volume (3M): 100.31K
• Price to Earnings (P/E): 15.3
• Beta (1Y): 0.28
• Revenue Growth: 0.73%
• EPS Growth: -9.78%
• Country: JP
• Employees: 2,309
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Home Improvement
• EPS (TTM): 34.41
• Shares Outstanding: 63,784,610
• 10 Day Avg. Volume: 96,160
• 30 Day Avg. Volume: 100,313
• PEG Ratio: -2.10
• Price to Book (P/B): 1.06
• Price to Sales (P/S): 0.95
• P/FCF Ratio: 18.03
• 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: 68 Neutral
• Price Target: ¥2,302.00 ▲(8.79% Upside)

Joyful Honda Co. Ltd. demonstrates strong financial performance with consistent revenue growth and effective cash flow management, which are the most significant factors contributing to the score. The technical analysis indicates some bearish trends, which slightly dampen the overall outlook. The valuation is reasonable, with an attractive dividend yield, supporting the stock's appeal. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a positive trajectory, reflecting the company's ability to expand its market presence and product adoption over time.

Cash Flow Management

Strong cash flow management ensures liquidity and supports the company's ability to invest in growth opportunities and withstand economic fluctuations.

Balance Sheet Health

A strong balance sheet with low leverage provides financial stability, reducing risk and enhancing the company's ability to navigate market challenges.

Negative Factors

Declining Net Income

A decline in net income could impact profitability and investor confidence if not addressed, potentially affecting long-term financial health.

Return on Equity

Decreasing return on equity may signal inefficiencies in generating returns on shareholder investments, potentially impacting future growth and investor appeal.

Operating Cash Flow to Net Income Ratio

A declining operating cash flow to net income ratio may indicate challenges in converting income into cash, potentially affecting liquidity and operational flexibility.

Joyful Honda Co. Ltd. Business Overview & Revenue Model

Company Description

Joyful Honda Co., Ltd. engages in the home improvement retail business in Japan. The company operates home centers, which provide timber, building materials, paints, tools, hardware, worker essentials, and electrical fittings; gardening and plumbing supplies, agricultural materials, and engine machinery; wallpapers, carpets and curtains, lighting fixtures, and electrical appliances, as well as daily living essentials, daily consumables, and fresh cut flowers; and storage goods, stationery and office supplies, outdoor goods, automotive accessories, bicycles, medicines, and alcoholic and non-alcoholic drinks. It also operates garden centers that offer flower seedlings, vegetable seedlings, plants, mulch and other soil for horticulture, fertilizers, plant pots and other gardening supplies, bricks, paving stones, and other landscaping supplies; pet centers, which provide dogs, cats, small animals, birds and fish, and pet supplies, as well as pet foods, cages, toys, and trimmer service facilities; and self-service gas stations. It operates 15 stores in Ibaraki, Chiba, Saitama, Tochigi, Gunma, and Tokyo. In addition, the company, through its subsidiaries, is involved in home renovation, art and craft supplies retail, sports club, vehicle inspection and maintenance, and tire sales and fitting businesses. It also operates an online shop. Joyful Honda Co., Ltd. was founded in 1975 and is headquartered in Tsuchiura, Japan.

How the Company Makes Money

Joyful Honda generates revenue through multiple key streams, primarily from the sale of vehicles, which includes passenger cars, motorcycles, and all-terrain vehicles. The company's revenue model is also bolstered by the sale of automotive parts and accessories, as well as after-sales services such as maintenance and repairs. Additionally, Joyful Honda engages in financing and leasing services, providing customers with flexible purchasing options. Significant partnerships with suppliers and distributors enhance its operational efficiency and market reach, while the company's commitment to research and development drives innovation, enabling it to maintain a competitive edge in the automotive market.

Joyful Honda Co. Ltd. Financial Statement Overview

Summary

Joyful Honda Co. Ltd. exhibits solid financial health with consistent revenue growth and strong profitability margins. The balance sheet is stable with low leverage, and cash flow management is effective. While there are minor concerns regarding declining net income and return on equity, the overall financial position remains strong.

Income Statement

Joyful Honda Co. Ltd. has shown consistent revenue growth with a 3.88% increase in the latest year, indicating a positive trajectory. The gross profit margin remains strong, and the net profit margin is stable, reflecting good profitability. However, there is a slight decline in net income, which could be a concern if it continues.

Balance Sheet

The company maintains a healthy equity ratio, indicating financial stability. The debt-to-equity ratio is low, suggesting conservative leverage. However, the return on equity has slightly decreased, which might affect investor returns if not addressed.

Cash Flow

Operating cash flow remains robust, and there is a positive growth in free cash flow, which is a good sign for liquidity. The free cash flow to net income ratio is improving, indicating efficient cash management. However, the operating cash flow to net income ratio has decreased, which could be a potential risk if it continues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	35.30B	135.74B	133.32B	129.26B	129.05B	137.92B
Gross Profit	12.58B	47.74B	47.01B	45.91B	45.50B	47.27B
EBITDA	3.46B	14.97B	16.65B	15.22B	16.64B	15.74B
Net Income	2.09B	8.33B	9.09B	8.53B	11.10B	8.98B
Balance Sheet
Total Assets	165.57B	165.57B	159.69B	160.93B	156.43B	160.61B
Cash, Cash Equivalents and Short-Term Investments	32.26B	32.26B	27.46B	35.02B	42.52B	45.53B
Total Debt	14.73B	14.73B	9.18B	12.29B	16.46B	20.94B
Total Liabilities	43.78B	43.78B	38.71B	41.60B	40.61B	47.92B
Stockholders Equity	121.79B	121.79B	120.98B	119.33B	115.82B	112.68B
Cash Flow
Free Cash Flow	0.00	7.13B	3.66B	905.00M	1.89B	10.15B
Operating Cash Flow	0.00	9.07B	12.67B	9.81B	7.84B	12.41B
Investing Cash Flow	0.00	-2.33B	-9.06B	-7.74B	1.37B	2.07B
Financing Cash Flow	0.00	-2.03B	-11.18B	-9.57B	-12.22B	-6.87B

Joyful Honda Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2116.00
• 50DMA: Positive
• 100DMA: Negative
• 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:3191, the sentiment is Neutral. The current price of 2116 is below the 20-day moving average (MA) of 2124.85, above the 50-day MA of 2103.82, and above the 200-day MA of 2059.94, indicating a bullish trend. The MACD of 11.64 indicates Positive momentum. The RSI at 50.66 is Neutral, neither overbought nor oversold. The STOCH value of 23.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3191.

Joyful Honda Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3050	73 Outperform	¥208.82B	11.60	―	2.93%	1.49%	-21.76%
3191	68 Neutral	¥122.10B	15.28	―	2.98%	0.73%	-9.78%
8218	67 Neutral	¥169.77B	11.29	―	1.61%	1.69%	3.90%
7516	67 Neutral	¥123.80B	8.22	―	2.92%	3.83%	7.24%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
2790	55 Neutral	€55.41B	81.39	0.41%	2.89%	-6.21%	-29.75%
7450	48 Neutral	¥10.67B	-5.05	―	0.50%	-0.60%	-386.40%

Joyful Honda Co. Ltd. Corporate Events

Joyful Honda Reports Q3 Financial Results and Announces Dividend Increase

Joyful Honda Co., Ltd. reported a slight decline in its financial performance for the three months ending September 20, 2025, with net sales decreasing by 1.5% and operating profit dropping by 10.7% compared to the previous year. Despite these declines, the company plans to increase its annual dividend per share to 84 yen, reflecting a positive outlook for the fiscal year ending June 20, 2026. This move may enhance shareholder value and indicate confidence in future profitability.

Joyful Honda Revises Corporate Governance Code for Enhanced Management and Sustainability

Joyful Honda Co., Ltd. announced a partial revision of its Corporate Governance Code to enhance management oversight, risk management, and compliance systems. The company aims to balance financial soundness, shareholder capital efficiency, and returns, while addressing environmental issues and disaster management through community collaboration and renewable energy initiatives.