Seven & I Holdings Co (3382) AI Stock Analysis

• Market Cap: $5.74T
• Dividend Yield: 1.69%
• Average Volume (3M): 6.31M
• Price to Earnings (P/E): 33.2
• Beta (1Y): 0.48
• Revenue Growth: 4.37%
• EPS Growth: -21.44%
• Country: JP
• Employees: 47,814
• Sector: Consumer Defensive
• Sector Strength: 68
• Industry: Grocery Stores
• EPS (TTM): 66.62
• Shares Outstanding: 2,604,556,000
• 10 Day Avg. Volume: 5,343,580
• 30 Day Avg. Volume: 6,309,330
• PEG Ratio: 0.53
• Price to Book (P/B): 1.45
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 13.98
• 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: $2,579.76
• Price Target Upside: 15.17% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 67 Neutral
• Price Target: ¥2,383.00 ▲(6.38%Upside)

The overall stock score is driven primarily by strong financial performance and mixed technical indicators. Despite robust cash flow management and revenue growth, the company's profitability challenges and high P/E ratio impact its valuation appeal. Technical analysis suggests neutral momentum, requiring careful monitoring of market trends.

Positive Factors

Business Strategy

The disposal of its underperforming businesses and a greater focus on the profitable convenience store segment could potentially help Seven & I return to profit growth.

Expansion Plans

Seven & I plans to expand the global number of 7-Eleven stores to approximately 100,000 in 30 countries by 2030, up from the current 84,762 stores in 20 countries.

Product Strategy

Seven & I aims to increase the contribution of proprietary products in the US from the current 22% to 34% by 2025.

Negative Factors

Financial Performance

Operating income and attributable profit fell 24% and 88% year-on-year, respectively, missing expectations due to higher-than-expected selling expenses and one-off impairments.

Market Risks

Risks include rising competition post-pandemic, prolonged geopolitical uncertainties and inflation, slowdown in e-commerce growth, and shifting consumption behavior.

Seven & I Holdings Co Business Overview & Revenue Model

Company Description

Seven & i Holdings Co., Ltd. engages in retail, food, financial, and IT businesses in Japan, North America, and internationally. It operates through seven segments: Domestic Convenience Store operations, Overseas Convenience Store Operations, Superstore Operations, Department Store Operations, Financial Services, Specialty Stores Operations, and Others. The company's Domestic Convenience Store Operations segment operates convenience stores comprising directly managed corporate stores and franchised stores. Its Overseas Convenience Store Operations segment engages in convenience store operation and gasoline retail businesses. The company's Superstore Operations segment operates retail business that provide daily life necessities, such as food and other daily necessities. Its Department Store Operations operates department stores that provide various merchandise products. The company's Financial Services segment offers banking, leasing, and credit card services. Its Specialty Store Operations segment operates specialty retail stores. The company's others segment engages in real estate and other businesses. It operates approximately 22,500 stores in Japan and 71,800 stores internationally. The company was incorporated in 2005 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Seven & I Holdings Co. generates revenue primarily through its extensive network of retail operations, with a significant portion coming from its convenience store segment, particularly the 7-Eleven brand. The company's revenue streams include sales of food, beverages, daily essentials, and other consumer goods. Additionally, Seven & I Holdings benefits from franchise fees and royalties from its franchised 7-Eleven stores worldwide. The company also derives income from its supermarket and department store operations, as well as its specialty retail and restaurant businesses. Financial services, including banking and electronic payment solutions, contribute to its earnings, supported by strategic partnerships and technological integration across its business units. The diverse portfolio and global presence of its brands enable Seven & I Holdings to maintain a stable and robust revenue model.

Seven & I Holdings Co Financial Statement Overview

Summary

Seven & I Holdings Co. displays a well-rounded financial performance with robust revenue growth and effective cash flow management. While the income statement shows strong top-line growth, maintaining stable margins remains a challenge. The balance sheet is stable with manageable leverage, and the cash flow statement highlights the company's strong liquidity and cash management practices. The company is well-positioned in the grocery store industry but should focus on improving profitability margins to enhance overall financial strength.

Income Statement

Seven & I Holdings Co demonstrates a strong revenue growth trajectory with a notable 36.7% increase from 2021 to 2025. Gross profit margins are healthy, averaging around 25% over the years. However, there is a decline in EBIT and EBITDA margins in recent years, indicating potential cost pressures or inefficiencies. The net profit margin has shown fluctuations, which could suggest volatility in operating expenses or other income. Overall, the income statement reflects strong revenue growth but some challenges in maintaining stable profitability margins.

Balance Sheet

The balance sheet of Seven & I Holdings Co reveals a moderate level of financial leverage, with a debt-to-equity ratio fluctuating around 1.0 to 1.1 in recent years. The equity ratio remains stable at around 35%, suggesting a balanced approach between debt and equity financing. ROE has varied, reflecting the changes in net income, but remains positive, indicating effective use of equity capital. Overall, the balance sheet shows a stable financial structure with manageable leverage but leaves room for improvement in equity utilization.

Cash Flow

Cash flow analysis indicates a robust operating cash flow that consistently exceeds net income, ensuring liquidity and operational stability. Free cash flow has seen significant growth, especially from 2024 to 2025, reflecting efficient capital expenditure management. The free cash flow to net income ratio is healthy, indicating strong cash generation relative to earnings. Overall, the cash flow statement portrays a strong liquidity position and effective cash management strategies.

Breakdown
Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
11.97T	11.47T	11.81T	8.75T	5.77T
	Gross Profit
3.06T	3.41T	3.31T	2.73T	2.29T
	EBIT
420.99B	534.25B	506.52B	387.65B	366.33B
	EBITDA
905.53B	840.83B	995.32B	751.49B	626.87B
	Net Income Common Stockholders
173.07B	224.62B	280.98B	210.77B	179.26B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.37T	1.56T	1.69T	1.42T	2.19T
	Total Assets
11.39T	10.59T	10.55T	8.74T	6.95T
	Total Debt
4.20T	3.84T	3.93T	2.90T	1.76T
	Net Debt
2.85T	2.30T	2.26T	1.48T	-427.94B
	Total Liabilities
7.17T	6.69T	6.90T	5.59T	4.12T
	Stockholders Equity
4.03T	3.72T	3.47T	2.98T	2.67T
Cash Flow		Free Cash Flow
400.59B	215.37B	517.59B	312.05B	190.16B
	Operating Cash Flow
831.46B	673.01B	928.48B	736.48B	540.00B
	Investing Cash Flow
-731.74B	-431.81B	-413.23B	-2.51T	-394.13B
	Financing Cash Flow
-348.27B	-377.06B	-270.37B	937.08B	690.54B

Seven & I Holdings Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2240.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3382, the sentiment is Positive. The current price of 2240 is above the 20-day moving average (MA) of 2214.27, above the 50-day MA of 2133.74, and below the 200-day MA of 2240.86, indicating a neutral trend. The MACD of 18.09 indicates Positive momentum. The RSI at 58.55 is Neutral, neither overbought nor oversold. The STOCH value of 82.36 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3382.

Seven & I Holdings Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3382	67 Neutral	$5.74T	33.20	4.37%	1.69%	4.37%	-21.44%
Sector *	65 Neutral	$8.88B	14.98	4.76%	203.76%	3.54%	-2.49%
5FV		€2.26B	18.25	11.37%	1.40%	―	―
59G		€6.04B	37.21	20.47%	0.52%	―	―
9974	78 Outperform	¥146.90B	11.85		1.70%	10.21%	16.03%
8194	78 Outperform	¥188.06B	10.74		2.63%	5.04%	8.60%
2742	74 Outperform	¥102.71B	11.51		1.25%	7.83%	3.68%

Seven & I Holdings Co Corporate Events

Seven & i Holdings Announces Significant Share Buyback

Seven & i Holdings Co., Ltd. announced the acquisition of 24,944,000 of its own shares, amounting to approximately ¥55.6 billion, as part of a larger buyback program. This strategic move, conducted through the Tokyo Stock Exchange, is part of a board-approved plan to acquire up to 400 million shares, enhancing shareholder value and potentially impacting market dynamics.

The most recent analyst rating on (JP:3382) stock is a Hold with a Yen2800.00 price target. To see the full list of analyst forecasts on Seven & I Holdings Co stock, see the JP:3382 Stock Forecast page.

Seven & i Holdings Announces Share Buyback Plan

Seven & i Holdings Co., Ltd. announced the acquisition of 16,533,000 of its own shares at a total cost of ¥34,469,927,500. This move is part of a larger plan approved by the board to acquire up to 400,000,000 shares, representing 15.4% of outstanding shares, by February 2026, potentially impacting the company’s market positioning and shareholder value.

Seven & i Holdings Announces Leadership Restructuring

Seven & i Holdings Co., Ltd. announced significant changes in its management structure, including the reappointment of directors and audit members, and the appointment of a new Chairperson and Lead Independent Outside Director. These changes, effective May 27, 2025, are part of the company’s strategy to strengthen its leadership and enhance operational efficiency, potentially impacting its market positioning and stakeholder relations.

Seven & i Holdings Revises Director Compensation System

Seven & i Holdings Co., Ltd. announced a revision to its compensation system for directors and audit & supervisory board members, including a proposal to increase the monetary compensation upper limit and introduce a restricted stock unit plan. These changes aim to enhance corporate value by attracting globally experienced executive personnel and aligning compensation with business performance, reflecting the company’s commitment to strengthening its governance and competitive positioning.

Seven & i Holdings Proposes Capital Restructuring to Boost Strategy

Seven & i Holdings Co., Ltd. announced a proposal to decrease its additional paid-in capital by ¥450 billion, transferring this amount to other capital surplus. This strategic move aims to enhance the company’s future capital strategy and increase the amount available for distribution from retained earnings, although it is expected to have an insignificant effect on the company’s financial results.

Seven & i Holdings Corrects Financial Forecast for FY 2026

Seven & i Holdings Co., Ltd. announced a correction to its previously released consolidated financial results for the fiscal year ending February 2026. The correction pertains to the revenues from operations of its Domestic CVS operations, indicating a slight decrease in expected revenues. This adjustment may impact the company’s financial outlook and stakeholder expectations.

Seven & i Holdings Announces Share Repurchase Facility

Seven & i Holdings Co., Ltd. has announced the establishment of a facility for the repurchase of its own shares, aiming to buy back up to JPY 600 billion worth of shares by February 2026. This initiative is part of a broader strategy to repurchase JPY 2.0 trillion in capital by FY2030, reflecting the company’s commitment to enhancing shareholder value while maintaining flexibility for strategic investments and growth opportunities.

Seven & i Holdings Restructures with Major Subsidiary Transfers

Seven & i Holdings Co. announced the transfer of 29 companies, including 22 subsidiaries and 7 affiliates, to a subsidiary of Bain Capital’s acquisition company. This strategic move will impact the company’s earnings forecast for FY2025, reflecting only the first half performance of these entities. Additionally, the company plans to deconsolidate Seven Bank, Ltd. within FY2025, affecting its financial projections.

Seven & i Holdings Reports Decline in Income Despite Sales Growth

Seven & i Holdings Co. reported a decline in operating income and net income for the fiscal year ended February 28, 2025, despite an increase in total sales. The company’s financial position showed a slight improvement in net assets and owners’ equity ratio, but cash flow from operating activities increased significantly, indicating a strong cash generation capability. The dividend per share was reduced following a 3-for-1 stock split, reflecting a strategic adjustment in shareholder returns.

Seven & i Holdings Updates Corporate Governance Strategy

Seven & i Holdings Co., Ltd. has updated its corporate governance report, emphasizing its commitment to sustainable growth and increasing corporate value through effective governance practices. The company is focused on implementing management strategies that are conscious of capital costs and stock prices, as part of its Medium-Term Management Plan 2021-2025, to enhance cash flow and profitability, thereby strengthening its market position and stakeholder trust.