MIGALO HOLDINGS Inc. (5535) AI Stock Analysis

• Market Cap: ¥27.17B
• Dividend Yield: 2.89%
• Average Volume (3M): 894.94K
• Price to Earnings (P/E): 17.3
• Beta (1Y): 1.43
• Revenue Growth: 6.24%
• EPS Growth: 64.65%
• Country: JP
• Employees: 320
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 10.79
• Shares Outstanding: 64,623,900
• 10 Day Avg. Volume: 1,094,560
• 30 Day Avg. Volume: 894,943
• PEG Ratio: 2.11
• Price to Book (P/B): 6.38
• Price to Sales (P/S): 1.38
• P/FCF Ratio: -9.68
• 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: 64 Neutral
• Price Target: ¥445.00 ▲(17.41% Upside)

The score is primarily driven by decent financial performance with strong revenue growth, but constrained by leverage and weak free cash flow. Technicals are mixed with negative MACD and long-term downtrend signals despite near-term strength. Valuation is supportive due to a moderate P/E and a solid dividend yield.

Positive Factors

Revenue Growth

Strong revenue growth indicates effective market strategies and potential for continued expansion, supporting long-term business stability.

Stable Margins

Stable margins reflect efficient operations and cost management, which can sustain profitability and support future growth.

Healthy Gross Profit Margin

A healthy gross profit margin indicates strong pricing power and cost control, enhancing the company's competitive position.

Negative Factors

High Leverage

High leverage can increase financial risk and limit flexibility, potentially affecting the company's ability to invest in growth opportunities.

Negative Free Cash Flow

Negative free cash flow suggests challenges in generating cash, which may hinder the company's ability to fund operations and growth.

Unfavorable Cash Conversion

An unfavorable cash conversion ratio indicates difficulties in turning profits into cash, impacting liquidity and operational flexibility.

MIGALO HOLDINGS Inc. Business Overview & Revenue Model

Company Description

MIGALO HOLDINGS Inc. engages in the real estate business in Japan. It operates in two segments, DX Promotion Business and DX Real estate Business. The company is involved in development and sale of condominiums and other properties; real estate brokerage; property and rental management; and apartment and building management activities, as well as the real estate crowdfunding business. It also engages in face recognition platform, system contract development, and cloud integration businesses. The company was founded in 2004 and is headquartered in Tokyo, Japan.

How the Company Makes Money

MIGALO HOLDINGS Inc. generates revenue through its diverse portfolio of investments. The company earns income from equity stakes in its subsidiaries and affiliated companies, which may include dividends and profit-sharing arrangements. Additionally, MIGALO may engage in strategic partnerships and joint ventures that provide lucrative revenue opportunities. The company could also benefit from capital gains realized from the appreciation of its investments. By focusing on high-growth sectors and maintaining a flexible investment strategy, MIGALO aims to maximize its returns and ensure consistent cash flow.

MIGALO HOLDINGS Inc. Financial Statement Overview

Summary

MIGALO HOLDINGS Inc. shows strong revenue growth and stable operational performance. However, high leverage and cash flow challenges pose risks. Profitability is moderate, and liquidity concerns need addressing for long-term stability.

Income Statement

MIGALO HOLDINGS Inc. has demonstrated strong revenue growth, with a notable increase from 2024 to 2025. The gross profit margin is healthy, reflecting efficient cost management. However, the net profit margin is moderate, indicating room for improvement in profitability. The EBIT and EBITDA margins are stable, suggesting consistent operational performance.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio, indicating significant leverage, which could pose financial risks. However, the return on equity is reasonable, reflecting effective use of shareholder funds. The equity ratio is moderate, suggesting a balanced approach to financing.

Cash Flow

Cash flow analysis reveals challenges, with negative free cash flow indicating potential liquidity issues. The operating cash flow to net income ratio is unfavorable, suggesting difficulties in converting profits into cash. However, the company has managed to maintain financing activities to support operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	52.31B	51.71B	42.67B	37.26B	35.19B	27.52B
Gross Profit	8.21B	8.05B	7.08B	7.00B	5.63B	5.34B
EBITDA	3.03B	2.86B	2.34B	3.03B	2.26B	2.07B
Net Income	1.53B	1.39B	1.11B	1.58B	1.22B	1.17B
Balance Sheet
Total Assets	55.49B	54.51B	48.45B	43.44B	31.98B	27.96B
Cash, Cash Equivalents and Short-Term Investments	8.04B	6.90B	8.90B	6.82B	7.91B	5.19B
Total Debt	39.65B	38.38B	32.40B	28.81B	20.06B	16.94B
Total Liabilities	43.96B	43.23B	37.99B	33.87B	23.76B	20.81B
Stockholders Equity	11.43B	11.18B	10.36B	9.48B	8.15B	7.15B
Cash Flow
Free Cash Flow	0.00	-7.36B	-742.99M	-9.38B	52.79M	-178.56M
Operating Cash Flow	0.00	-7.31B	-691.23M	-9.31B	127.48M	236.66M
Investing Cash Flow	0.00	-102.32M	-359.91M	-285.83M	28.19M	-578.20M
Financing Cash Flow	0.00	5.39B	3.13B	8.50B	2.56B	823.21M

MIGALO HOLDINGS Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 379.00
• 50DMA: Positive
• 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:5535, the sentiment is Neutral. The current price of 379 is below the 20-day moving average (MA) of 387.50, below the 50-day MA of 398.12, and below the 200-day MA of 820.84, indicating a neutral trend. The MACD of 6.92 indicates Negative momentum. The RSI at 58.44 is Neutral, neither overbought nor oversold. The STOCH value of 58.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:5535.

MIGALO HOLDINGS Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8877	79 Outperform	¥105.39B	11.56	―	3.08%	-6.27%	-11.07%
3465	77 Outperform	¥105.24B	8.91	―	2.93%	20.83%	57.13%
8818	71 Outperform	¥90.74B	19.16	―	2.19%	4.72%	47.55%
3479	65 Neutral	¥80.76B	25.89	―	―	127.32%	-22.79%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
5535	64 Neutral	¥27.17B	17.34	―	2.89%	6.24%	64.65%
8841	64 Neutral	¥80.95B	52.11	1.46%	1.18%	6.40%	230.12%

MIGALO HOLDINGS Inc. Corporate Events

MIGALO HOLDINGS Inc. Exceeds Sales Expectations and Revises Financial Forecast

MIGALO HOLDINGS Inc. announced that its net sales for the first and second quarters of the fiscal year ending March 31, 2026, exceeded expectations due to higher-than-expected sales prices of new properties. The company anticipates a concentration of property deliveries in the fourth quarter, leading to significant revenue growth. Additionally, the DX Promotion Business is expected to achieve improved profitability, prompting a revision of the full-year financial forecast. The company also addressed shareholder concerns regarding the timing of a capital increase and the sale of shares by President Nakanishi, explaining these actions as strategic decisions to improve liquidity and meet investment demands.

The most recent analyst rating on (JP:5535) stock is a Hold with a Yen428.00 price target. To see the full list of analyst forecasts on MIGALO HOLDINGS Inc. stock, see the JP:5535 Stock Forecast page.

MIGALO HOLDINGS Inc. Projects Record Financial Results for FY 2026

MIGALO HOLDINGS Inc. has revised its financial forecast for the fiscal year ending March 31, 2026, expecting to achieve record-high net sales and operating profit. The revision is driven by strong performance in its DX Promotion Business, including the expansion of the FreeiD platform, and better-than-expected earnings in the DX Real Estate Business, supported by rising real estate prices and firm demand.

The most recent analyst rating on (JP:5535) stock is a Hold with a Yen428.00 price target. To see the full list of analyst forecasts on MIGALO HOLDINGS Inc. stock, see the JP:5535 Stock Forecast page.

MIGALO HOLDINGS Inc. Reports Financial Results and Revised Forecast

MIGALO HOLDINGS Inc. reported a slight decline in net sales for the six months ending September 30, 2025, with a 1.2% decrease compared to the previous year. Despite this, the company saw growth in operating profit, ordinary profit, and profit attributable to owners, indicating a positive operational performance. The company has also revised its earnings forecast for the fiscal year ending March 31, 2026, projecting a 16% increase in net sales and a 6.9% rise in operating profit. The announcement reflects the company’s strategic adjustments and potential for growth, impacting its market positioning and shareholder value.

The most recent analyst rating on (JP:5535) stock is a Hold with a Yen489.00 price target. To see the full list of analyst forecasts on MIGALO HOLDINGS Inc. stock, see the JP:5535 Stock Forecast page.

MIGALO HOLDINGS Inc. Announces New Share Issuance to Boost DX and Real Estate Ventures

MIGALO HOLDINGS Inc. has announced the issuance of 266,300 new shares through a third-party allotment, part of a broader capital increase strategy that includes public and secondary offerings. The proceeds, totaling approximately 2.92 billion yen, will be allocated to capital expenditures and working capital for its DX Promotion and Real Estate businesses, potentially strengthening its market position and operational capabilities.

The most recent analyst rating on (JP:5535) stock is a Hold with a Yen489.00 price target. To see the full list of analyst forecasts on MIGALO HOLDINGS Inc. stock, see the JP:5535 Stock Forecast page.