High Margins And Operational EfficiencySustained high gross margin and healthy EBIT/EBITDA margins indicate durable pricing power and efficient operations. This margin profile provides a structural earnings buffer, supports reinvestment and dividends, and helps the company weather cyclical downturns over the coming months.

Strengthened Balance Sheet And ROEMaterial deleveraging and a strong ROE reflect improved financial stability and efficient capital use. Lower leverage increases strategic flexibility for capex, M&A or payouts, and reduces refinancing risk—advantages that remain relevant over a multi-month horizon.

Robust Cash Generation MetricsOperating cash flow and free cash flow well above net income signal high earnings quality and solid cash conversion. Even with a small FCF dip, the strong cash generation supports dividends, debt reduction and reinvestment, underpinning durable financial flexibility.

Bears Say

Declining EPSA meaningful decline in EPS is a durable concern if it persists, as it can reflect one-time charges, lower operating leverage, or rising costs. Continued EPS erosion would limit the company's ability to fund growth initiatives, maintain payouts, and sustain investor returns.

Modest Top-line GrowthRevenue growth around mid-single digits suggests limited organic expansion versus higher-growth peers. Over a multi-month horizon this modest top-line trajectory can constrain scale economies and the firm's ability to materially expand market share without strategic shifts or new product initiatives.

Large Gap Between Gross And Net MarginsA wide spread between gross and net margins implies substantial operating or non-operating costs that erode sales into profit. Structurally high overhead or other cost items could limit free cash flow growth and reduce flexibility unless the company addresses cost efficiency.

5845 FAQ

What was Zenhoren Co., Ltd.’s price range in the past 12 months?

Zenhoren Co., Ltd. lowest stock price was ¥659.00 and its highest was ¥1084.00 in the past 12 months.

What is Zenhoren Co., Ltd.’s market cap?

Zenhoren Co., Ltd.’s market cap is ¥26.06B.

When is Zenhoren Co., Ltd.’s upcoming earnings report date?

Zenhoren Co., Ltd.’s upcoming earnings report date is May 14, 2026 which is in 66 days.

How were Zenhoren Co., Ltd.’s earnings last quarter?

Zenhoren Co., Ltd. released its earnings results on Feb 13, 2026. The company reported ¥8.62 earnings per share for the quarter, beating the consensus estimate of N/A by ¥8.62.

Is Zenhoren Co., Ltd. overvalued?

According to Wall Street analysts Zenhoren Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Zenhoren Co., Ltd. pay dividends?

Zenhoren Co., Ltd. pays a Annually dividend of ¥40 which represents an annual dividend yield of 3.49%. See more information on Zenhoren Co., Ltd. dividends here

What is Zenhoren Co., Ltd.’s EPS estimate?

Zenhoren Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Zenhoren Co., Ltd. have?

Zenhoren Co., Ltd. has 26,653,000 shares outstanding.

What happened to Zenhoren Co., Ltd.’s price movement after its last earnings report?

Zenhoren Co., Ltd. reported an EPS of ¥8.62 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -2.964%.

Which hedge fund is a major shareholder of Zenhoren Co., Ltd.?

Currently, no hedge funds are holding shares in JP:5845

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Zenhoren Co., Ltd.

Zenhoren Co.,Ltd. provides rent liability guarantee services in Japan. It offers rent guarantee services for residential buildings, stores and offices, parking lots, warehouses and trunk rooms, and fire insurance and real estate companies, as well as tuition fee guarantee services. The company was incorporated in 2001 and is headquartered in Naha, Japan.