Industrial & Infrastructure Fund Investment Corporation (3249) AI Stock Analysis

• Market Cap: ¥399.45B
• Dividend Yield: 4.52%
• Average Volume (3M): 8.64K
• Price to Earnings (P/E): 22.1
• Beta (1Y): 0.29
• Revenue Growth: -6.57%
• EPS Growth: 2.83%
• Country: JP
• Employees: N/A
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): 3665.00
• Shares Outstanding: 2,536,216
• 10 Day Avg. Volume: 8,179
• 30 Day Avg. Volume: 8,637
• PEG Ratio: 31.56
• Price to Book (P/B): 1.26
• Price to Sales (P/S): 7.78
• P/FCF Ratio: 9.36
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: ¥168,418 ▲(9.22% Upside)

The score is driven primarily by solid profitability but offset by leverage, recent revenue contraction, and a volatile free-cash-flow history. Technicals are supportive due to a strong trend above major moving averages, though overbought signals add near-term risk. Valuation is helped by a strong dividend yield but constrained by a ~22 P/E.

Positive Factors

Asset-backed, diversified portfolio

The fund’s focus on essential infrastructure and industrial assets (logistics, power, renewables) supports durable rental and energy income. Diversification across sectors and long-term leases reduce single-asset cyclicality and aid steady cash generation and risk-adjusted returns over months.

High operating profitability

Sustained margins near the mid-40s indicate efficient asset operations and pricing power in core portfolios. High operating profitability enhances the fund’s ability to cover interest, fund capex, and support distributions, providing financial durability versus lower-margin peers.

Improved operating cash flow

Recent improvement to positive operating and free cash flow increases the reliability of internal funding for maintenance, distributions, and selective investments. A move to sustained cash generation would reduce reliance on new external financing and asset sales.

Negative Factors

Recent revenue contraction

A ~6% top-line decline signals weakening leasing or energy income momentum. If this trend persists it can compress future distributable income and constrain reinvestment, making steady dividend support and debt servicing harder across the next several quarters.

Material leverage

A debt-to-equity around 1.15x is typical for REITs but limits financial flexibility. Elevated leverage raises refinancing and interest-rate sensitivity risk, reducing the buffer to absorb revenue shocks and potentially forcing asset sales or cutbacks if financing conditions tighten.

Volatile free cash flow history

Historic swings in free cash flow reduce predictability of distributions and growth investing. Reliance on intermittent large inflows or asset dispositions to restore cash creates execution and timing risk, complicating long-term planning and investor income visibility.

Industrial & Infrastructure Fund Investment Corporation Business Overview & Revenue Model

Company Description

Industrial and Infrastructure Fund Investment Corporation ("IIF") is the first J-REIT focused on acquiring and operating both industrial and infrastructure properties in Japan-properties that play a vital role in the Japanese economy, and for which IIF expects to see stable demand in the mid to long term. With respect to industrial properties, IIF intends to invest in a diverse portfolio of properties, including manufacturing and research and development facilities.

How the Company Makes Money

The company generates revenue through rental income from its owned assets, management fees, and returns on investments in various infrastructure projects. Key revenue streams include long-term leases from logistics and industrial properties, as well as income from energy production in renewable and traditional power generation facilities. Significant partnerships with industry leaders and local governments enhance its investment strategy, enabling the company to capitalize on infrastructure development opportunities. Additionally, the fund may realize capital gains by selling mature assets or by increasing the value of its holdings through effective asset management.

Industrial & Infrastructure Fund Investment Corporation Financial Statement Overview

Summary

The company shows strong revenue growth and profitability with healthy margins. However, high leverage and negative free cash flow growth are concerns that need addressing for long-term stability.

Income Statement

The company shows a strong revenue growth rate of 8.41% in the latest year, indicating a positive trajectory. Gross profit margin and net profit margin are healthy at 45.72% and 43.94% respectively, showcasing strong profitability. However, there is a slight decline in gross profit margin compared to previous periods, which could be a concern if the trend continues.

Balance Sheet

The debt-to-equity ratio is 1.15, which is relatively high, indicating significant leverage. However, the return on equity (ROE) is reasonable at 7.11%, suggesting efficient use of equity. The equity ratio stands at 44.34%, reflecting a balanced capital structure but with room for improvement in reducing leverage.

Cash Flow

The cash flow statement shows a concerning trend with negative free cash flow growth of -115.11%, indicating potential liquidity issues. The operating cash flow to net income ratio is 0.85, which is decent but could be improved. The free cash flow to net income ratio is 1.0, suggesting that all net income is being converted into free cash flow, which is positive.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	44.57B	39.82B	39.23B	39.16B	33.69B	29.24B
Gross Profit	20.46B	18.20B	21.78B	18.27B	17.17B	18.10B
EBITDA	25.16B	23.11B	22.55B	19.26B	18.34B	18.41B
Net Income	18.10B	17.49B	15.93B	13.36B	12.28B	13.28B
Balance Sheet
Total Assets	554.13B	555.12B	555.44B	433.41B	417.43B	407.43B
Cash, Cash Equivalents and Short-Term Investments	15.79B	17.24B	25.58B	35.31B	35.58B	40.15B
Total Debt	281.33B	282.28B	282.28B	212.28B	202.78B	194.38B
Total Liabilities	307.66B	309.01B	309.23B	237.72B	228.07B	217.31B
Stockholders Equity	246.47B	246.11B	246.20B	195.69B	189.36B	190.12B
Cash Flow
Free Cash Flow	12.20B	33.08B	-94.95B	-2.35B	-1.23B	-20.89B
Operating Cash Flow	28.72B	33.08B	29.10B	19.42B	26.18B	28.78B
Investing Cash Flow	-19.77B	-19.77B	-139.49B	-21.87B	-25.60B	-45.69B
Financing Cash Flow	-18.81B	-18.81B	104.34B	2.35B	-4.74B	45.40B

Industrial & Infrastructure Fund Investment Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 154200.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3249, the sentiment is Positive. The current price of 154200 is below the 20-day moving average (MA) of 154560.00, above the 50-day MA of 150762.00, and above the 200-day MA of 130088.36, indicating a bullish trend. The MACD of 2174.39 indicates Negative momentum. The RSI at 75.72 is Negative, neither overbought nor oversold. The STOCH value of 89.86 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3249.

Industrial & Infrastructure Fund Investment Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3296	79 Outperform	¥174.36B	16.02	―	4.70%	50.47%	26.45%
3476	75 Outperform	¥97.47B	19.31	―	5.26%	105.75%	8.11%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
3249	64 Neutral	¥399.45B	22.06	7.56%	4.52%	-6.57%	2.83%

Industrial & Infrastructure Fund Investment Corporation Corporate Events

IIF Invests in Silent Partnership to Enhance Asset Portfolio

Industrial & Infrastructure Fund Investment Corporation (IIF) has announced its decision to invest in a silent partnership, acquiring equity interest backed by real estate trust beneficiary rights in key manufacturing centers of Proterial, Ltd. This move is part of IIF’s strategy to enhance its asset portfolio and secure future acquisition opportunities. The investment introduces a CPI-linked rent structure, enhancing resilience against inflation, and is expected to yield a stable 6.1% dividend, contributing to medium-term profitability. This strategic acquisition aligns with IIF’s growth strategy, focusing on internal growth, asset dispositions, and external growth through strategic partnerships and investments.

The most recent analyst rating on (JP:3249) stock is a Buy with a Yen130169.00 price target. To see the full list of analyst forecasts on Industrial & Infrastructure Fund Investment Corporation stock, see the JP:3249 Stock Forecast page.

IIF Announces New Debt Financing for Real Estate Acquisition

Industrial & Infrastructure Fund Investment Corporation has announced a new debt financing initiative to partially fund the acquisition of trust beneficiary rights in real estate, scheduled for December 12, 2025. This move will increase IIF’s total borrowings by ¥12,900 million, indicating a strategic expansion in its asset portfolio, potentially enhancing its market position and offering growth opportunities for stakeholders.

The most recent analyst rating on (JP:3249) stock is a Buy with a Yen130169.00 price target. To see the full list of analyst forecasts on Industrial & Infrastructure Fund Investment Corporation stock, see the JP:3249 Stock Forecast page.

IIF Enhances Portfolio with Strategic Real Estate Acquisitions

IIF announced the acquisition and lease of domestic real estate trust beneficiary rights, including a logistics center in Chiba and a manufacturing center in Hiroshima. These acquisitions are expected to enhance the company’s portfolio by increasing distributions per unit and net asset value through assets with strong upside potential, such as CPI-linked rent and significant unrealized gains. This strategic move strengthens IIF’s inflation resilience and aligns with its growth strategy of internal and external asset management.

The most recent analyst rating on (JP:3249) stock is a Buy with a Yen130169.00 price target. To see the full list of analyst forecasts on Industrial & Infrastructure Fund Investment Corporation stock, see the JP:3249 Stock Forecast page.

IIF Revises Forecast for July 2026 Fiscal Period

IIF has revised its forecast for the fiscal period ending July 2026, anticipating higher operating revenue and distributions due to gains from property sales. This adjustment reflects changes in property holdings, including the disposition of four properties and acquisition of two new ones, impacting rental income and overall financial projections.

The most recent analyst rating on (JP:3249) stock is a Buy with a Yen130169.00 price target. To see the full list of analyst forecasts on Industrial & Infrastructure Fund Investment Corporation stock, see the JP:3249 Stock Forecast page.

IIF Enhances Portfolio with Strategic Asset Disposition and Acquisition

IIF announced a strategic transaction involving the disposition of four land-leasehold assets to a joint fund with JINUSHI Co., Ltd., and the acquisition of equity interests in the same fund. This move is part of IIF’s strategy to enhance inflation resilience and realize gains on asset sales, which are expected to be approximately JPY 1.7 billion. The transaction will allow IIF to reinvest in new acquisitions and secure preferential negotiation rights over additional assets, benefiting unitholders with mid-term dividend income.

The most recent analyst rating on (JP:3249) stock is a Buy with a Yen130169.00 price target. To see the full list of analyst forecasts on Industrial & Infrastructure Fund Investment Corporation stock, see the JP:3249 Stock Forecast page.

IIF Enhances Inflation Resilience with Strategic Asset Rotation

Industrial & Infrastructure Fund Investment Corporation announced a strategic initiative to enhance inflation resilience and increase unitholder returns by forming a joint land-leasehold fund with JINUSHI Co., Ltd. The company plans to dispose of certain assets and reinvest the proceeds into opportunities with potential upside, distributing all disposal gains to unitholders over two fiscal periods. This move aims to secure stable mid- to long-term dividend income and address rising costs in an inflationary environment.

The most recent analyst rating on (JP:3249) stock is a Buy with a Yen130169.00 price target. To see the full list of analyst forecasts on Industrial & Infrastructure Fund Investment Corporation stock, see the JP:3249 Stock Forecast page.

Industrial & Infrastructure Fund Investment Corporation Sets Interest Rate for Debt Financing

Industrial & Infrastructure Fund Investment Corporation has announced the determination of the interest rate for its debt financing, following a previous announcement regarding refinancing and early repayment of borrowing. The interest rate is set at a fixed 1.504% for a loan amount of ¥2,100 million over a term of four years, with Sumitomo Mitsui Trust Bank as the lender. This move is part of the company’s financial strategy to manage its liabilities effectively, potentially impacting its financial stability and investor confidence positively.

The most recent analyst rating on (JP:3249) stock is a Buy with a Yen130169.00 price target. To see the full list of analyst forecasts on Industrial & Infrastructure Fund Investment Corporation stock, see the JP:3249 Stock Forecast page.

IIF Announces Strategic Debt Refinancing and Early Loan Repayment

IIF announced a refinancing plan to repay an existing loan due on October 31, 2025, and an early repayment of another loan due on February 27, 2026. This move is part of their strategy to manage debt efficiently, ensuring stability in their financial operations without altering the total interest-bearing debt.

The most recent analyst rating on (JP:3249) stock is a Buy with a Yen130169.00 price target. To see the full list of analyst forecasts on Industrial & Infrastructure Fund Investment Corporation stock, see the JP:3249 Stock Forecast page.