create restaurants holdings inc. (3387) AI Stock Analysis

• Market Cap: ¥334.57B
• Dividend Yield: 0.56%
• Average Volume (3M): 747.45K
• Price to Earnings (P/E): 59.5
• Beta (1Y): 0.26
• Revenue Growth: 9.28%
• EPS Growth: 7.59%
• Country: JP
• Employees: 4,205
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Restaurants
• EPS (TTM): 7.59
• Shares Outstanding: 425,628,570
• 10 Day Avg. Volume: 862,030
• 30 Day Avg. Volume: 747,450
• PEG Ratio: 4.32
• Price to Book (P/B): 6.53
• Price to Sales (P/S): 1.68
• P/FCF Ratio: 11.61
• 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: 60 Neutral
• Price Target: ¥815.00 ▲(5.03% Upside)

The score is primarily supported by stabilized profitability, strong revenue growth, and consistently positive cash generation. It is held back by balance-sheet leverage and thin/compressing net margins, and further pressured by a very high P/E with a low dividend yield; technicals are neutral with only mild positive momentum.

Positive Factors

Revenue Growth

The company's consistent revenue growth indicates successful market penetration and effective adaptation to consumer preferences, supporting long-term business expansion.

Cost Management

Strong gross profit margins reflect efficient cost management, enhancing profitability and providing a buffer against market fluctuations, which is crucial for sustained financial health.

Cash Generation

Robust cash generation relative to profits ensures the company can fund operations, invest in growth opportunities, and manage debt, supporting long-term financial stability.

Negative Factors

Debt Reliance

High reliance on debt can pose financial risks, especially in volatile markets, potentially impacting the company's ability to invest in growth and weather economic downturns.

Free Cash Flow Decline

Declining free cash flow growth may limit the company's financial flexibility, affecting its ability to invest in new opportunities and manage unexpected expenses, challenging long-term growth.

Net Profit Margins

Low net profit margins indicate potential inefficiencies in operations, which could hinder profitability and competitiveness, necessitating strategic focus on margin improvement.

create restaurants holdings inc. Business Overview & Revenue Model

Company Description

create restaurants holdings inc. plans, develops, and manages food courts, izakaya bars, and dinner-time restaurants in Japan. The company operates a range of restaurants, including Japanese, Western, Chinese, and ethnic cuisines primarily under the Hina-Sushi, Shabu Sai, Harvest, Hong Kong Chonron, TANTO TANTO, Yasia-ya Mei, Kichiza, and Kagonoya brands. It also operates Toriyoshi, a poultry-specialty izakaya bar; Isomaru-suisan, a 24-hour seafood izakaya bar; and Ichigoro, a specialty dumpling izakaya bar, as well as restaurants under the ramen brand. In addition, the company operates Italian restaurants. As of February 2022, it operated 1,037 restaurants under 244 brands. create restaurants holdings inc. was incorporated in 1997 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Create Restaurants Holdings Inc. generates revenue primarily through the operation of its restaurant chains. Key revenue streams include food and beverage sales, catering services, and franchise fees from partner restaurants. The company also benefits from strategic partnerships with suppliers and distributors, which help secure favorable pricing and enhance supply chain efficiency. Additionally, seasonal promotions, loyalty programs, and special events contribute to increased customer traffic and sales, bolstering the company's overall earnings.

create restaurants holdings inc. Financial Statement Overview

Summary

Create Restaurants Holdings Inc. demonstrates strong revenue growth and profitability in its income statement, supported by effective cost management. The balance sheet shows improvement in leverage, though the company remains somewhat reliant on debt. Cash flow generation is solid, but recent declines in free cash flow growth highlight the need for strategic improvements. Overall, the company is in a stable financial position with opportunities for further strengthening.

Income Statement

The company has shown consistent revenue growth over the years, with a TTM revenue growth rate of 2.26%. Gross profit margins are strong at 66.27% for TTM, indicating effective cost management. However, net profit margins are relatively low at 3.58%, suggesting room for improvement in operational efficiency. EBIT and EBITDA margins are stable, reflecting solid operational performance.

Balance Sheet

The debt-to-equity ratio has improved over time, currently at 1.69, indicating a more balanced capital structure compared to previous years. Return on equity is healthy at 14.42%, showing effective use of shareholder funds. However, the equity ratio is relatively low, suggesting a higher reliance on debt financing, which could pose risks if not managed properly.

Cash Flow

Operating cash flow remains strong, with a solid operating cash flow to net income ratio of 0.58. Free cash flow growth has been negative recently, but the free cash flow to net income ratio is robust at 0.87, indicating good cash generation relative to profits. The company needs to focus on improving free cash flow growth to enhance financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	163.09B	156.35B	145.76B	118.24B	78.32B	74.42B
Gross Profit	107.56B	95.86B	103.83B	85.01B	56.33B	53.19B
EBITDA	24.75B	24.04B	22.75B	20.29B	24.20B	2.98B
Net Income	5.59B	5.59B	5.04B	3.38B	5.92B	-13.87B
Balance Sheet
Total Assets	139.89B	137.17B	130.82B	133.56B	133.60B	161.97B
Cash, Cash Equivalents and Short-Term Investments	20.71B	21.47B	21.30B	24.39B	21.81B	37.59B
Total Debt	66.05B	67.70B	67.77B	75.53B	84.53B	119.03B
Total Liabilities	93.45B	93.18B	91.45B	99.11B	102.88B	138.70B
Stockholders Equity	42.47B	40.17B	35.97B	29.61B	26.14B	19.41B
Cash Flow
Free Cash Flow	20.12B	22.58B	19.87B	22.78B	25.71B	-3.00B
Operating Cash Flow	24.28B	25.99B	23.29B	24.59B	27.11B	409.00M
Investing Cash Flow	-6.06B	-9.20B	-3.60B	-2.31B	-759.00M	-3.85B
Financing Cash Flow	-17.48B	-16.66B	-22.50B	-20.13B	-42.21B	22.84B

create restaurants holdings inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 776.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3387, the sentiment is Positive. The current price of 776 is above the 20-day moving average (MA) of 771.60, above the 50-day MA of 766.64, and above the 200-day MA of 741.64, indicating a bullish trend. The MACD of 4.07 indicates Negative momentum. The RSI at 62.10 is Neutral, neither overbought nor oversold. The STOCH value of 86.56 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3387.

create restaurants holdings inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9936	69 Neutral	¥195.24B	22.07	―	1.65%	9.59%	8.08%
7581	67 Neutral	¥306.97B	27.65	9.66%	0.55%	14.33%	36.83%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
3387	60 Neutral	¥334.57B	59.53	―	0.56%	9.28%	7.59%
3397	56 Neutral	¥378.24B	74.84	―	0.24%	9.19%	43.90%
7616	54 Neutral	¥188.23B	86.26	―	0.29%	8.99%	61.95%
9861	53 Neutral	¥196.14B	51.41	―	0.69%	10.75%	-14.28%

create restaurants holdings inc. Corporate Events

create restaurants holdings inc. Announces Interim Dividend for FY2026

create restaurants holdings inc. has announced an interim dividend of 4.50 yen per share for the year ending February 2026, with a record date of August 31, 2025. This decision aligns with the company’s policy of providing stable dividends, considering its business performance and financial condition. The total dividends amount to 954,992 thousand yen, reflecting an increase from the previous interim dividend. The effective date for the dividend is November 13, 2025, and the announcement follows a recent 2-for-1 stock split.

The most recent analyst rating on (JP:3387) stock is a Hold with a Yen805.00 price target. To see the full list of analyst forecasts on create restaurants holdings inc. stock, see the JP:3387 Stock Forecast page.

Create Restaurants Holdings Inc. Reports Revenue Growth and Stock Split

Create Restaurants Holdings Inc. reported its consolidated business results for the six months ending August 2025, showing an 8.8% increase in revenue compared to the previous year. Despite a slight decline in profit for the period, the company conducted a 2-for-1 stock split and announced a forecasted revenue growth of 5.5% for the fiscal year ending February 2026, indicating a positive outlook for stakeholders.

The most recent analyst rating on (JP:3387) stock is a Hold with a Yen805.00 price target. To see the full list of analyst forecasts on create restaurants holdings inc. stock, see the JP:3387 Stock Forecast page.

Create Restaurants Holdings Inc. Reports FY 2026 Q2 Financial Results and Strategic Initiatives

Create Restaurants Holdings Inc. has released its financial results for the second quarter of FY 2026, highlighting a strategic focus on expanding shareholder benefits and implementing a medium-term management plan. The company is actively managing its portfolio with store openings and closings, and is committed to sustainability initiatives, which may enhance its market position and stakeholder value.

The most recent analyst rating on (JP:3387) stock is a Hold with a Yen805.00 price target. To see the full list of analyst forecasts on create restaurants holdings inc. stock, see the JP:3387 Stock Forecast page.