Tosei Reit Investment Corporation (3451) AI Stock Analysis

• Market Cap: ¥54.74B
• Dividend Yield: 5.19%
• Average Volume (3M): 759.00
• Price to Earnings (P/E): 19.2
• Beta (1Y): 0.22
• Revenue Growth: 3.63%
• EPS Growth: 1.58%
• Country: JP
• Employees: N/A
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): 7501.48
• Shares Outstanding: 376,455
• 10 Day Avg. Volume: 738
• 30 Day Avg. Volume: 759
• PEG Ratio: 6.32
• Price to Book (P/B): 1.10
• Price to Sales (P/S): 6.51
• P/FCF Ratio: -84.61
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 78 Outperform
• Price Target: ¥161,966 ▲(11.39% Upside)

The stock's strong technical momentum and solid financial performance drive its high score. While its valuation offers a decent yield, the elevated P/E ratio and high leverage warrant cautious optimism.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and effective business strategies, supporting long-term stability and expansion.

Profitability Margins

High profitability margins demonstrate efficient cost management and strong competitive positioning, enhancing financial resilience.

Operating Cash Flow

Strong operating cash flow indicates robust cash generation ability, supporting reinvestment and debt servicing, crucial for long-term growth.

Negative Factors

High Debt Levels

High leverage can increase financial risk, particularly in volatile markets, potentially impacting the company's financial flexibility and stability.

Negative Free Cash Flow

Negative free cash flow suggests potential liquidity challenges, limiting the company's ability to fund growth initiatives without external financing.

Capital Expenditures

While capital investments can drive growth, excessive spending may strain financial resources, affecting long-term financial health if not managed carefully.

Tosei Reit Investment Corporation Business Overview & Revenue Model

Company Description

Tosei Reit Investment Corp. is a real estate investment trust externally managed by Tosei Asset Advisors, Inc. The firm invests in relatively small- and medium-sized office buildings, retail facilities, residential properties and hotels. It invests in real estate markets of Japan. The firm was founded in November 27, 2014 and is based in Tokyo, Japan.

How the Company Makes Money

Tosei Reit generates revenue primarily through rental income from its portfolio of properties. The company leases its properties to various tenants, collecting monthly rents that contribute to its overall income. Additionally, Tosei Reit may benefit from capital appreciation of its real estate holdings over time, increasing the value of its assets. The REIT structure allows Tosei Reit to distribute a significant portion of its taxable income to shareholders in the form of dividends, further incentivizing investment. Partnerships with property management firms and real estate agencies may also enhance operational efficiency and drive additional revenue through strategic acquisitions and leasing arrangements.

Tosei Reit Investment Corporation Financial Statement Overview

Summary

The company shows strong revenue growth and profitability margins, but the moderately high debt-to-equity ratio and negative free cash flow due to high capital expenditures present some risks.

Income Statement

The income statement reflects a strong financial performance with consistent revenue growth, reaching 7.24 billion JPY in the latest period. This represents a 3.38% increase from the previous year. The gross profit margin is robust at 56.12%, while the net profit margin is also strong at 38.70%. EBIT and EBITDA margins are impressive at 47.41% and 57.55% respectively, indicating efficient cost management and high profitability.

Balance Sheet

The balance sheet shows a solid equity base with stockholders' equity at 42.99 billion JPY, representing an equity ratio of 47.79%. However, the debt-to-equity ratio stands at 1.00, which is moderately high, reflecting significant leverage that could pose risks in volatile markets. Return on equity is commendable at 6.52%, indicating effective use of shareholder funds.

Cash Flow

The cash flow statement indicates challenges in free cash flow, which is negative at -557.20 million JPY due to high capital expenditures. However, operating cash flow remains strong at 3.94 billion JPY, with a solid operating cash flow to net income ratio of 1.41, demonstrating the company's ability to generate cash from operations.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	7.24B	7.24B	7.00B	6.74B	6.47B	6.41B
Gross Profit	4.06B	4.06B	3.48B	3.80B	3.76B	3.76B
EBITDA	4.50B	4.17B	3.96B	3.84B	3.75B	3.73B
Net Income	2.88B	2.80B	2.68B	2.60B	2.58B	2.60B
Balance Sheet
Total Assets	90.11B	89.97B	86.61B	85.69B	79.99B	77.01B
Cash, Cash Equivalents and Short-Term Investments	8.67B	2.06B	2.39B	2.24B	2.65B	1.47B
Total Debt	42.90B	42.90B	41.30B	40.90B	38.50B	35.50B
Total Liabilities	47.10B	46.98B	45.34B	44.86B	42.11B	39.18B
Stockholders Equity	43.01B	42.99B	41.27B	40.83B	37.88B	37.83B
Cash Flow
Free Cash Flow	-566.08M	-557.20M	2.28B	-2.78B	925.66M	-238.52M
Operating Cash Flow	3.58B	3.94B	3.68B	3.73B	4.42B	4.76B
Investing Cash Flow	-8.19B	-4.45B	-1.36B	-6.31B	-3.50B	-4.86B
Financing Cash Flow	3.59B	368.99M	-1.97B	2.57B	283.74M	735.39M

Tosei Reit Investment Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 145400.00
• 50DMA: Negative
• 100DMA: Positive
• 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:3451, the sentiment is Positive. The current price of 145400 is below the 20-day moving average (MA) of 146655.00, below the 50-day MA of 146732.13, and above the 200-day MA of 135042.98, indicating a neutral trend. The MACD of -783.81 indicates Positive momentum. The RSI at 46.27 is Neutral, neither overbought nor oversold. The STOCH value of 52.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3451.

Tosei Reit Investment Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3476	79 Outperform	¥94.51B	18.73	―	5.31%	105.75%	8.11%
3451	78 Outperform	¥54.74B	19.20	―	5.19%	3.63%	1.58%
3488	66 Neutral	¥28.61B	16.48	―	6.02%	28.27%	4.92%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%