Chugin Financial Group,Inc. (5832) AI Stock Analysis

• Market Cap: ¥511.77B
• Dividend Yield: 2.93%
• Average Volume (3M): 331.95K
• Price to Earnings (P/E): 16.4
• Beta (1Y): 1.19
• Revenue Growth: 9.27%
• EPS Growth: 19.72%
• Country: JP
• Employees: 2,988
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 42.08
• Shares Outstanding: 184,771,450
• 10 Day Avg. Volume: 358,280
• 30 Day Avg. Volume: 331,950
• PEG Ratio: 0.36
• Price to Book (P/B): 0.55
• Price to Sales (P/S): 2.44
• P/FCF Ratio: 1.58
• 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: 67 Neutral
• Price Target: ¥3,026.00 ▲(46.64% Upside)

The score is driven primarily by improving FY2025 profitability and revenue recovery, supported by bullish technical momentum. Offsetting factors are the more levered balance sheet and historically inconsistent cash generation, while valuation appears broadly reasonable with a ~3% dividend yield.

Positive Factors

FY2025 Earnings Rebound

A sharp revenue and profitability recovery in FY2025 demonstrates the business can generate materially higher earnings when conditions improve. Higher margins and renewed net income strengthen retained earnings, enabling reinvestment in lending, technology and product offerings to support sustained franchise competitiveness.

Scale Expansion

Growing total assets indicate an expanding lending and deposit base, which supports revenue capacity and diversification across retail and corporate loans. Scale advantages can improve funding efficiency, product distribution and relationship banking that underpin longer-term competitive positioning in regional markets.

Diversified Revenue Streams

A mix of net interest income, fees, trading and other operating income reduces reliance on any single revenue source. This structural diversification helps stabilize earnings across rate cycles, supports cross‑sell opportunities and cushions the franchise from sector or product-specific shocks over the medium term.

Negative Factors

Rising Leverage

Material increases in leverage reduce financial flexibility and amplify vulnerability to credit or funding shocks. With leverage tripling since 2020, the bank faces higher interest and refinancing risk, which can constrain capital actions and increase sensitivity to deteriorating asset quality in adverse macro scenarios.

Inconsistent Cash Generation

Volatile operating and free cash flows imply that reported earnings do not consistently convert to cash. This undermines predictable internal funding for loan growth, dividends and capital expenditures, forcing reliance on external financing and raising execution risk for strategic investments over the medium term.

Uneven Revenue Trend

Recurrent top-line volatility indicates sensitivity to cyclical or structural pressures, limiting visibility into sustainable growth. Persistent uneven revenue makes long-range planning harder, can depress return on invested capital during down cycles, and challenges consistent margin expansion efforts.

Chugin Financial Group,Inc. Business Overview & Revenue Model

Company Description

Chugin Financial Group, Inc. (5832) is a financial services company headquartered in Japan. The company operates primarily in the banking sector, offering a range of financial products and services. Its core offerings include retail and corporate banking services, asset management, and financial advisory services. The group serves a diverse clientele, including individuals, businesses, and institutional clients, leveraging its extensive network and expertise in financial markets.

How the Company Makes Money

Chugin Financial Group, Inc. generates revenue through various financial services, with a primary focus on traditional banking operations. Key revenue streams include interest income from loans and advances to customers, fees from financial advisory and asset management services, and transaction fees from payment and settlement services. The company also earns money through investments in securities and other financial instruments. Partnerships with other financial institutions and collaborations with businesses enhance its service offerings and contribute to its earnings. Additionally, the group's strategic initiatives to expand digital banking capabilities and enhance customer engagement support its revenue growth.

Chugin Financial Group,Inc. Financial Statement Overview

Summary

FY2025 shows a strong earnings rebound (revenue +46.5%, higher net and EBIT margins, and net income up to ¥27.4B), but this is tempered by rising leverage (debt-to-equity ~3.48x) and historically volatile operating/free cash flow, which reduces consistency and financial flexibility.

Income Statement

Revenue rebounded sharply in FY2025 (+46.5%) after a volatile prior period, while profitability improved meaningfully: net margin rose to ~22.3% (from ~18.8% in FY2024) and EBIT margin expanded to ~25.7%. Net income also stepped up to ¥27.4B from ¥21.4B. Offsetting this strength, the multi-year revenue pattern is uneven (declines in FY2020, FY2021, FY2024), indicating less consistent top-line stability.

Balance Sheet

The balance sheet shows rising leverage over time, with debt-to-equity increasing to ~3.48x in FY2025 (from ~2.88x in FY2024 and ~1.11x in FY2020), which reduces flexibility if credit conditions tighten. Profitability on equity improved to ~5.1% in FY2025 versus ~3.7% in FY2024, but remains moderate for the level of leverage. Total assets continued to expand, supporting scale, yet the higher leverage profile is the key constraint on the score.

Cash Flow

Cash generation is inconsistent. FY2025 showed a strong rebound with operating cash flow of ¥201.5B and free cash flow of ¥190.5B, with free cash flow roughly in line with net income (~0.95x). However, the prior years were weak/volatile, including negative operating and free cash flow in FY2024 and FY2022, and near-zero operating cash flow with negative free cash flow in FY2023—suggesting earnings-to-cash conversion is not reliably steady year to year.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	128.03B	123.09B	113.71B	157.42B	116.87B	107.33B
Gross Profit	128.03B	123.09B	174.20B	157.42B	116.87B	107.33B
EBITDA	44.40B	31.66B	28.29B	14.56B	29.87B	25.39B
Net Income	27.92B	27.43B	21.39B	20.49B	18.37B	14.42B
Balance Sheet
Total Assets	11.24T	11.05T	10.76T	9.85T	10.21T	9.15T
Cash, Cash Equivalents and Short-Term Investments	0.00	0.00	1.42T	1.51T	1.76T	-1.03T
Total Debt	1.89T	1.89T	1.67T	1.08T	1.64T	730.75B
Total Liabilities	10.67T	10.50T	10.18T	9.32T	9.66T	8.59T
Stockholders Equity	566.12B	542.37B	581.11B	527.95B	552.41B	562.20B
Cash Flow
Free Cash Flow	0.00	190.50B	-143.96B	-2.10B	-7.53B	17.54B
Operating Cash Flow	0.00	201.50B	-140.46B	46.00M	-4.90B	20.14B
Investing Cash Flow	0.00	-265.07B	-198.39B	119.18B	-335.52B	-515.57B
Financing Cash Flow	0.00	253.74B	248.12B	-368.95B	1.10T	929.65B

Chugin Financial Group,Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2063.50
• 50DMA: Positive
• 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:5832, the sentiment is Positive. The current price of 2063.5 is below the 20-day moving average (MA) of 2685.93, below the 50-day MA of 2493.08, and above the 200-day MA of 2042.96, indicating a bullish trend. The MACD of 80.36 indicates Positive momentum. The RSI at 67.46 is Neutral, neither overbought nor oversold. The STOCH value of 69.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5832.

Chugin Financial Group,Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7327	79 Outperform	¥505.39B	11.33	―	3.15%	12.71%	71.94%
8418	77 Outperform	¥480.17B	12.69	6.09%	2.93%	5.87%	50.22%
7180	75 Outperform	¥507.16B	13.67	4.93%	2.02%	12.96%	44.62%
8410	70 Neutral	¥290.16B	18.72	―	3.66%	3.30%	79.42%
8377	69 Neutral	¥643.39B	12.34	―	1.41%	28.83%	105.24%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
5832	67 Neutral	¥511.77B	16.35	―	2.93%	9.27%	19.72%

Chugin Financial Group,Inc. Corporate Events

Chugin Financial Group Increases Dividend Forecasts Amid Profit Growth

Chugin Financial Group, Inc. announced an increase in its dividend forecasts for the fiscal year ending March 31, 2026, following improved profit results. The company has revised its year-end dividend per share from ¥37.0 to ¥42.0, resulting in an annual dividend of ¥79.0 per share, reflecting its commitment to shareholder returns and capital efficiency.

Chugin Financial Group Reports Strong Financial Growth and Revised Dividend Forecast

Chugin Financial Group, Inc. reported its consolidated financial results for the six months ended September 30, 2025, showing significant growth in ordinary income and profit attributable to owners of the parent, with increases of 11.2% and 18.8% respectively, compared to the same period in 2024. The company also announced a revision in its dividend forecast, indicating a positive outlook for the fiscal year ending March 31, 2026, which may impact stakeholders positively by enhancing shareholder value.