ROUND ONE (4680) AI Stock Analysis

• Market Cap: ¥238.99B
• Dividend Yield: 1.51%
• Average Volume (3M): 2.72M
• Price to Earnings (P/E): 29.5
• Beta (1Y): 0.88
• Revenue Growth: 11.92%
• EPS Growth: 33.70%
• Country: JP
• Employees: 2,108
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): 9.47
• Shares Outstanding: 289,161,960
• 10 Day Avg. Volume: 2,737,220
• 30 Day Avg. Volume: 2,717,036
• PEG Ratio: -16.06
• Price to Book (P/B): 3.95
• Price to Sales (P/S): 1.49
• P/FCF Ratio: 6.21
• 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): 67.44
• Revenue Forecast (FY): ¥191.09B

• Rating: 67 Neutral
• Price Target: ¥897.00 ▼(-10.25% Downside)
• Action: Reiterated Date: 12/05/25
• Date: Action: Reiterated 12/05/25

ROUND ONE's overall stock score is driven by its strong financial performance, which is the most significant factor. The technical analysis indicates a bearish trend, which is a concern, while the valuation is fair but not particularly compelling. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Cash generation

Consistent operating cash flow and positive free cash flow growth indicate the business generates reliable internal funding. That durable cash generation supports reinvestment in locations and attractions, funds debt servicing, and provides flexibility for capex or shareholder returns over the next several quarters.

Margin and operational efficiency

Healthy gross and net margins alongside strong EBIT/EBITDA margins point to effective cost management and profitable unit economics. Durable margin strength across venues supports resilience to modest traffic dips and underpins sustainable profitability and cash conversion over a multi-month horizon.

Stable equity position and improving ROE

A stable equity ratio and rising ROE suggest improved capital efficiency and a balanced capital structure. This enhances the firm's ability to fund expansion internally, absorb shocks, and maintain strategic investments without over-reliance on external financing in the medium term.

Negative Factors

Moderate leverage

A moderate debt-to-equity profile indicates the company uses leverage to grow, which can compress flexibility if revenue weakens. Elevated leverage raises interest and refinancing risk, potentially limiting capex or dividends and requiring careful monitoring of maturities and cash coverage over the coming months.

Limited investor guidance and disclosure

Absence of earnings call transcripts or forward guidance reduces visibility into management's near-term plans and outlook. For investors this makes forecasting and assessing strategic priorities harder and can prolong uncertainty about operational actions or capital allocation over the next several reporting cycles.

Exposure to discretionary leisure demand

As an operator of leisure venues, revenue depends on discretionary consumer spending and foot traffic. In economic slowdowns or shifts in consumer behavior, visit frequency and spend per visit can fall, pressuring utilization, margins and cash flow for several quarters.

ROUND ONE Business Overview & Revenue Model

Company Description

Round One Corporation operates indoor complex leisure facilities. It operates bowling, amusement, karaoke, and sports leisure facilities. The company was founded in 1980 and is headquartered in Osaka, Japan.

How the Company Makes Money

Round One makes money primarily by operating entertainment venues and collecting customer spending across multiple in-store categories. Key revenue streams include: (1) amusement/arcade game revenue from coin- or card-based gameplay and prize-related play; (2) bowling revenue from lane usage fees and related packages; (3) other in-venue attractions and activity fees offered within its multi-entertainment format; and (4) food and beverage sales within its locations. The company’s earnings are driven by venue traffic, customer time-spent per visit, repeat visitation, pricing/promotional strategy (e.g., time-based packages), and the scale and utilization of its store network across Japan and overseas markets. Specific material partnerships contributing to earnings: null.

ROUND ONE Financial Statement Overview

Summary

ROUND ONE is in a solid financial position with strong revenue and profit margin growth. The balance sheet is stable with manageable debt, and cash flow generation is robust, supporting future investments.

Income Statement

ROUND ONE has shown significant improvement in revenue over the years with a solid revenue growth rate from the previous year. The gross profit margin and net profit margin are healthy, indicating effective cost management. The EBIT and EBITDA margins demonstrate strong operational efficiency. Overall, the income statement reflects a positive growth trajectory and profitability improvement.

Balance Sheet

The company's balance sheet displays a moderate debt-to-equity ratio, suggesting a balanced approach to leveraging. The equity ratio is stable, enhancing financial stability. Return on equity has improved, reflecting better utilization of shareholders' equity. However, the company should monitor its debt levels to maintain financial health.

Cash Flow

ROUND ONE demonstrates strong cash flow performance with consistent operating cash flow growth. The free cash flow growth rate indicates efficient capital expenditure management. The ratios of operating cash flow and free cash flow to net income are favorable, showcasing robust cash generation relative to earnings. Continued focus on cash flow optimization will further strengthen financial flexibility.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	180.15B	177.06B	159.18B	142.05B	96.42B	60.97B
Gross Profit	37.89B	34.74B	30.60B	21.36B	2.02B	-16.24B
EBITDA	68.29B	71.84B	65.60B	36.74B	14.72B	-3.76B
Net Income	15.44B	15.40B	14.66B	9.74B	3.94B	-17.97B
Balance Sheet
Total Assets	255.23B	293.95B	272.83B	183.24B	160.53B	153.84B
Cash, Cash Equivalents and Short-Term Investments	51.71B	51.15B	36.46B	29.11B	46.32B	44.85B
Total Debt	157.72B	157.22B	141.25B	99.41B	74.61B	84.17B
Total Liabilities	186.99B	227.06B	207.17B	122.06B	105.92B	112.95B
Stockholders Equity	68.25B	66.88B	65.66B	61.18B	54.60B	40.89B
Cash Flow
Free Cash Flow	0.00	42.60B	47.40B	24.00B	21.05B	-13.94B
Operating Cash Flow	0.00	63.95B	62.89B	35.83B	28.30B	-7.53B
Investing Cash Flow	0.00	-23.99B	-15.39B	-11.91B	-8.47B	-6.34B
Financing Cash Flow	0.00	-25.09B	-41.05B	-42.11B	-19.30B	24.09B

ROUND ONE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 999.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4680, the sentiment is Negative. The current price of 999.4 is above the 20-day moving average (MA) of 944.22, below the 50-day MA of 1025.87, and below the 200-day MA of 1215.14, indicating a bearish trend. The MACD of -50.86 indicates Positive momentum. The RSI at 24.79 is Positive, neither overbought nor oversold. The STOCH value of 0.91 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4680.

ROUND ONE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7458	70 Outperform	¥169.19B	12.35	―	3.40%	6.12%	-3.75%
4680	67 Neutral	¥238.99B	29.55	―	1.51%	11.92%	33.70%
7832	62 Neutral	¥2.67T	18.69	15.67%	1.94%	9.86%	-1.06%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
4661	59 Neutral	¥4.37T	23.18	12.54%	0.48%	10.59%	13.93%
9166	53 Neutral	¥108.15B	32.53	―	―	62.69%	-37.72%
4343	52 Neutral	¥45.91B	49.41	―	―	6.00%	-184.09%

ROUND ONE Corporate Events

Round One’s Japan Sales Edge Higher in February, Fiscal-Year Growth Remains Solid

Round One reported February 2026 total sales in Japan of ¥8.2 billion, up 0.4% year on year at existing stores, with bowling and karaoke posting solid gains while amusement and Spo-cha saw modest declines. Cumulatively for the fiscal year to date, total sales at all domestic stores reached ¥97.4 billion, a 6.9% increase driven by broad-based growth across segments, underscoring resilient consumer demand for entertainment despite recent softness in some categories.

Existing-store bowling sales in February rose 8.8% and karaoke climbed 5.5%, offsetting a 3.8% drop in amusement and a 0.9% dip in Spo-cha, leaving overall momentum still positive. The data suggest Round One is sustaining a strong recovery trajectory in its core Japanese business, although the February slowdown in amusement and Spo-cha may signal a more mixed near-term operating environment for certain entertainment formats.

The most recent analyst rating on (JP:4680) stock is a Buy with a Yen1199.00 price target. To see the full list of analyst forecasts on ROUND ONE stock, see the JP:4680 Stock Forecast page.

ROUND ONE Expands Footprint and Adopts IFRS for Greater Transparency

ROUND ONE Corporation reported that it has opened new facilities in Willowbrook, Harris County, Texas, and in Sendai Izumi, Miyagi, in late December 2025, underscoring its continued expansion in both the United States and Japan. The company also announced it has voluntarily adopted International Financial Reporting Standards for its consolidated financial statements starting with the fiscal year ended March 31, 2025, aiming to enhance the comparability of its financial information and improve management efficiency, a move that may align it more closely with global peers and provide greater transparency for investors.

The most recent analyst rating on (JP:4680) stock is a Buy with a Yen1199.00 price target. To see the full list of analyst forecasts on ROUND ONE stock, see the JP:4680 Stock Forecast page.

Round One Posts Broad-Based Same-Store Sales Growth in Japan for January 2026

Round One Corporation reported steady growth in its Japan operations for January 2026, with total sales at existing stores rising 7.4 percent year on year to ¥10.7 billion. Revenue increased across all major segments, including bowling, amusement, karaoke, Spo-cha and other services, underscoring broad-based strength in consumer demand.

Cumulatively for the fiscal year ending March 2026, existing-store sales in Japan climbed 7.5 percent to ¥89.2 billion, reflecting consistent gains throughout the year. The sustained improvement in same-store performance highlights the company’s solid recovery trajectory in the domestic leisure market and suggests a firmer competitive position in Japan’s amusement and entertainment sector.

The most recent analyst rating on (JP:4680) stock is a Buy with a Yen1199.00 price target. To see the full list of analyst forecasts on ROUND ONE stock, see the JP:4680 Stock Forecast page.

Round One Posts Double-Digit December Sales Growth Across Japan Entertainment Centers

Round One reported solid growth in Japan for December 2025, with total sales up 12.7% year-on-year at existing stores, driven by double-digit increases in bowling, amusement, and Spo-cha, and supported by gains in karaoke and other categories. For the fiscal year to date through December, cumulative domestic sales rose 7.5%, reflecting broad-based demand across its entertainment offerings and confirming a sustained recovery in customer traffic that strengthens the company’s operating momentum heading into the remainder of the fiscal year.

The most recent analyst rating on (JP:4680) stock is a Hold with a Yen1183.00 price target. To see the full list of analyst forecasts on ROUND ONE stock, see the JP:4680 Stock Forecast page.