WACOAL HOLDINGS (3591) AI Stock Analysis

• Market Cap: ¥229.38B
• Dividend Yield: 2.29%
• Average Volume (3M): 120.81K
• Price to Earnings (P/E): 21.4
• Beta (1Y): 0.60
• Revenue Growth: -6.04%
• EPS Growth: 146.54%
• Country: JP
• Employees: 17,408
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): 7.19
• Shares Outstanding: 52,500,000
• 10 Day Avg. Volume: 112,160
• 30 Day Avg. Volume: 120,813
• PEG Ratio: -0.21
• Price to Book (P/B): 1.43
• Price to Sales (P/S): 1.58
• P/FCF Ratio: 112.43
• 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: 53 Neutral
• Price Target: ¥4,568.00 ▲(2.67% Upside)

WACOAL HOLDINGS' overall stock score is primarily influenced by its stable financial performance, despite challenges in revenue growth and cash flow. Technical analysis indicates bearish momentum, which negatively impacts the score. Valuation metrics suggest moderate valuation, providing limited upside potential. The absence of earnings call data and notable corporate events means these factors do not influence the score.

Positive Factors

Strong Margins

WACOAL's strong gross profit margin indicates effective cost management and pricing power, which supports long-term profitability and competitiveness.

Solid Balance Sheet

A low debt-to-equity ratio and strong equity ratio suggest financial stability and flexibility, allowing WACOAL to invest in growth opportunities.

Improved Profitability

Improved return on equity reflects enhanced profitability and efficient use of shareholder capital, which can attract more investors.

Negative Factors

Revenue Decline

A decline in revenue suggests challenges in sales growth, which could impact future profitability and market position if not addressed.

Cash Flow Concerns

Declining free cash flow growth indicates potential issues in cash generation, which could affect WACOAL's ability to fund operations and investments.

Moderate Cash Generation

A moderate operating cash flow to net income ratio suggests limited cash generation from operations, potentially constraining financial flexibility.

WACOAL HOLDINGS Business Overview & Revenue Model

Company Description

Wacoal Holdings Corp. engages in the manufacture, wholesale, and retail sale of intimate apparel, outerwear, sportswear, and other textile products and accessories in Japan, Asia, Oceania, the Americas, and Europe. It operates through Wacoal Business (Domestic), Wacoal Business (Overseas), Peach John Business, and Other Businesses segments. The company offers women's foundation garments, including brassieres and girdles; and lingerie, such as slips, bra-slips, and women's briefs. It also designs, manufactures, and sells nightwear, children's underwear, hosiery, and other apparel and textile goods, as well as provides various other services. In addition, the company engages in the restaurant businesses; cultural and service-related operations; construction of stores and interior design; and production and sale of mannequins. Wacoal Holdings Corp. was founded in 1946 and is headquartered in Kyoto, Japan.

How the Company Makes Money

WACOAL HOLDINGS generates revenue primarily through the sale of its intimate apparel products. The company's revenue model is focused on both direct-to-consumer sales through its branded retail stores and e-commerce platforms, as well as wholesale distribution to department stores and specialty retailers. Key revenue streams include the sales of bras, panties, and shapewear, which are often marketed under various brand names, including Wacoal, Playtex, and Vanity Fair. Additionally, WACOAL benefits from strategic partnerships with various retailers that enhance its market reach. The company's emphasis on product innovation and quality helps maintain customer loyalty and allows for premium pricing, which further contributes to its earnings. Seasonal collections and marketing campaigns also play a crucial role in driving sales and brand awareness.

WACOAL HOLDINGS Financial Statement Overview

Summary

Wacoal Holdings presents a stable financial outlook with strengths in profitability and a conservative balance sheet. The company faces challenges in revenue growth and operational efficiency, as indicated by moderate margins and declining revenue. Cash flow generation is improving, but further optimization is needed.

Income Statement

Wacoal Holdings shows a mixed performance in its income statement. The TTM data indicates a strong gross profit margin of 56.5%, reflecting efficient cost management. However, the net profit margin is relatively low at 10.2%, and revenue has declined by 0.87% compared to the previous period. The EBIT and EBITDA margins are moderate, suggesting room for improvement in operational efficiency. Overall, the company demonstrates stability in profitability but faces challenges in revenue growth.

Balance Sheet

The balance sheet of Wacoal Holdings is solid, with a low debt-to-equity ratio of 0.12, indicating conservative leverage. The return on equity is moderate at 8.75%, showing decent profitability relative to shareholder equity. The equity ratio stands at 71.5%, highlighting a strong equity base. The company maintains a stable financial position with low leverage risk, although there is potential to enhance returns on equity.

Cash Flow

Cash flow analysis reveals a significant improvement in free cash flow growth, up by 103.8% in the TTM period, indicating enhanced cash generation capabilities. The operating cash flow to net income ratio is 0.17, suggesting moderate cash conversion efficiency. The free cash flow to net income ratio is 0.60, reflecting a healthy cash flow relative to net income. While cash flow generation is improving, the company could further optimize its cash conversion processes.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	171.24B	173.90B	187.21B	188.59B	172.86B	152.20B
Gross Profit	97.14B	97.44B	104.08B	106.40B	96.25B	84.41B
EBITDA	25.60B	17.30B	3.06B	9.79B	15.90B	17.00B
Net Income	10.63B	6.99B	-8.63B	-1.64B	4.61B	7.03B
Balance Sheet
Total Assets	282.64B	272.18B	294.03B	285.30B	303.25B	322.76B
Cash, Cash Equivalents and Short-Term Investments	42.36B	23.42B	33.55B	26.78B	39.37B	65.25B
Total Debt	24.00B	31.54B	20.64B	20.41B	24.55B	55.10B
Total Liabilities	79.17B	77.29B	78.89B	72.18B	77.19B	104.14B
Stockholders Equity	200.54B	191.82B	211.83B	209.83B	217.99B	215.61B
Cash Flow
Free Cash Flow	4.20B	2.44B	7.91B	2.29B	3.26B	-1.34B
Operating Cash Flow	7.97B	4.94B	11.29B	7.33B	13.01B	4.26B
Investing Cash Flow	29.22B	9.38B	14.05B	3.90B	-3.10B	-2.56B
Financing Cash Flow	-36.69B	-22.93B	-20.21B	-22.54B	-36.35B	33.60B

WACOAL HOLDINGS Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4449.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3591, the sentiment is Negative. The current price of 4449 is below the 20-day moving average (MA) of 4550.00, below the 50-day MA of 5012.54, and below the 200-day MA of 5142.30, indicating a bearish trend. The MACD of -170.70 indicates Negative momentum. The RSI at 33.09 is Neutral, neither overbought nor oversold. The STOCH value of 35.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3591.

WACOAL HOLDINGS Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3569	75 Outperform	¥167.12B	12.09	10.24%	2.43%	6.08%	8.55%
7447	73 Outperform	¥48.63B	23.84	―	5.17%	3.48%	-6.35%
8016	72 Outperform	¥96.97B	10.49	11.49%	5.56%	16.27%	17.45%
3201	72 Outperform	¥109.04B	15.66	―	2.66%	7.56%	-17.12%
3002	66 Neutral	¥137.89B	52.28	2.34%	3.38%	>-0.01%	-49.83%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
3591	53 Neutral	¥229.38B	21.42	5.31%	2.29%	-6.04%	146.54%

WACOAL HOLDINGS Corporate Events

Wacoal Holdings Completes Treasury Stock Purchase

Wacoal Holdings Corp. announced the completion of a treasury stock purchase, acquiring 438,400 shares for approximately 2.5 billion yen through market transactions on the Tokyo Stock Exchange. This move is part of a broader strategy approved by the board to purchase up to 5.8 million shares, aiming to enhance shareholder value and optimize capital structure.

Wacoal Holdings Revises Earnings Forecast and Delays Management Plan Amid Market Challenges

Wacoal Holdings has revised its consolidated earnings forecast for the fiscal year ending March 2026, citing sluggish sales in major markets and challenges faced by its subsidiaries, including a fire at a UK logistics warehouse. The company has also postponed its next Medium-Term Management Plan announcement due to the deteriorating market environment and plans to reassess its strategies to enhance corporate value.

Wacoal Holdings Announces Stable Interim Dividend of 50 Yen Per Share

Wacoal Holdings Corp. announced a resolution to distribute an interim dividend of 50.00 yen per share, maintaining the same dividend as the previous year. This decision aligns with the company’s policy of stable profit distribution while focusing on increasing enterprise value and net income per share through active investments.

Wacoal Holdings Reports Strong Profit Growth Despite Revenue Dip

Wacoal Holdings reported its consolidated financial results for the six months ended September 30, 2025, showing a slight decline in revenue by 2.9% compared to the previous year. However, the company experienced significant growth in business profit, operating profit, and profit before tax, with increases of 32.2%, 86.5%, and 57.4% respectively. The company’s financial condition improved with an increase in total assets and equity, and it maintained its dividend payout, reflecting stability and potential for future growth.

Wacoal Holdings Revises Earnings Forecast Amid Market Challenges

Wacoal Holdings has revised its consolidated earnings forecast for the second quarter of the fiscal year ending March 2026, citing a 9.4% decline in revenue compared to previous estimates. The shortfall is attributed to sluggish sales in major markets, particularly in women’s innerwear, and challenges in the U.S. retail environment. Despite some brand promotions and a recovery in e-commerce shipments in Europe after a warehouse fire, the company did not meet its sales targets. The forecast for the full fiscal year is under review, with further announcements expected in November.

Wacoal Holdings Announces Treasury Stock Buyback

Wacoal Holdings Corp. announced the purchase of 431,200 shares of its common stock for approximately 2.5 billion yen as part of a treasury stock buyback program. This move is part of a broader strategy approved by the board to purchase up to 5.8 million shares, aiming to enhance shareholder value and optimize capital structure.

Wacoal Holdings Announces Treasury Stock Purchase

Wacoal Holdings Corp. announced the purchase of 233,100 shares of its own common stock, amounting to 1,336,281,400 yen, as part of a previously resolved plan to buy back up to 5,800,000 shares. This move is part of a strategic initiative to manage capital structure and potentially enhance shareholder value, reflecting the company’s commitment to optimizing its financial operations and market positioning.