Uchiyama Holdings Co., Ltd. (6059) AI Stock Analysis

• Market Cap: ¥7.31B
• Dividend Yield: 2.71%
• Average Volume (3M): 15.13K
• Price to Earnings (P/E): 16.3
• Beta (1Y): 0.42
• Revenue Growth: 1.26%
• EPS Growth: 562.09%
• Country: JP
• Employees: 2,269
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Care Facilities
• EPS (TTM): 5.67
• Shares Outstanding: 21,618,800
• 10 Day Avg. Volume: 20,580
• 30 Day Avg. Volume: 15,133
• PEG Ratio: <0.01
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 0.21
• P/FCF Ratio: -7.54
• 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: 69 Neutral
• Price Target: ¥423.00 ▲(14.63% Upside)
• Action: Reiterated Date: 10/23/25
• Date: Action: Reiterated 10/23/25

Uchiyama Holdings' stock is supported by strong technical indicators and attractive valuation, despite mixed financial performance. The bullish momentum and low P/E ratio are significant positives, while cash flow challenges and declining gross margins are risks to monitor.

Positive Factors

Reduced leverage

Lower debt-to-equity reduces financial risk and improves resilience to downturns. Persistently reduced leverage enhances borrowing flexibility, lowers interest burden, and supports longer-term investment or M&A optionality without materially increasing insolvency risk.

Improving profitability

A meaningful rise in net margin alongside revenue growth signals operational recovery and better cost control at the bottom line. Sustained margin improvement can fund reinvestment, support dividends, and strengthen retained earnings over multiple quarters.

Stronger equity base

A growing equity base and ~46% equity ratio provide a durable capital buffer, lowering solvency risk. This structural strength supports capital allocation flexibility, underpins creditworthiness, and cushions operational volatility over the medium term.

Negative Factors

Negative free cash flow

Persistent negative free cash flow undermines the firm's ability to self-fund capex, pay dividends, or reduce debt. Over several quarters this increases reliance on external financing, raising refinancing and liquidity risk and constraining strategic flexibility.

Declining gross margins

Compression in gross margin points to cost pressures or pricing weakness at the core business level. If persistent, lower gross margins reduce operating leverage and limit the durability of net margin gains, making profitability more vulnerable to revenue swings.

Weaker cash conversion

Deteriorating conversion of earnings into cash signals lower quality of reported profits and raises short-term liquidity concerns. Long-term, this can hinder investment, increase working capital funding needs, and force reliance on debt or equity issuance.

Uchiyama Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

UCHIYAMA HOLDINGS Co.,Ltd. offers nursing care services in Japan. It is also involved in the real estate, karaoke, restaurant, and hotel businesses. The company was founded in 2006 and is headquartered in Kitakyushu, Japan.

How the Company Makes Money

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Uchiyama Holdings Co., Ltd. Financial Statement Overview

Summary

Uchiyama Holdings shows moderate growth with revenue increase and improved net profit margin. However, declining gross margins and cash flow constraints are areas of concern. The company has reduced leverage, enhancing financial stability.

Income Statement

Uchiyama Holdings shows moderate growth with a revenue increase from 2024 to 2025, yet profitability metrics such as Gross Profit Margin and Net Profit Margin are under pressure. The Gross Profit Margin decreased from 7.29% in 2024 to 6.16% in 2025, indicating cost pressures. The Net Profit Margin, however, improved significantly to 7.05% in 2025 from 0.74% in 2024, mainly due to increased net income. EBIT and EBITDA margins reflect a similar trend of recovery but remain areas of concern compared to previous years.

Balance Sheet

The balance sheet of Uchiyama Holdings reflects a stable equity position with Stockholders' Equity increasing over the years. The Debt-to-Equity Ratio decreased to 0.89 in 2025 from 1.09 in 2024, indicating reduced leverage. The Return on Equity (ROE) improved significantly to 14.40% in 2025, reflecting enhanced profitability. The Equity Ratio stands at 45.86%, showing a robust capital structure, though moderate debt levels remain a potential risk factor.

Cash Flow

Cash flow analysis reveals challenges in generating free cash flow, with a negative Free Cash Flow in 2025. The Free Cash Flow Growth Rate is negative, reflecting constraints in cash generation. The Operating Cash Flow to Net Income Ratio deteriorated due to reduced cash inflows from operations, highlighting potential liquidity concerns. However, the Free Cash Flow to Net Income Ratio improved, suggesting better alignment of cash flow with profitability despite the negative free cash flow.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	29.24B	29.11B	28.84B	26.91B	24.96B	23.80B
Gross Profit	2.00B	1.79B	2.10B	754.80M	1.06B	600.31M
EBITDA	1.26B	1.37B	1.53B	617.62M	569.32M	-475.15M
Net Income	2.20B	2.05B	213.91M	-400.58M	-650.04M	-2.23B
Balance Sheet
Total Assets	30.22B	31.06B	31.12B	30.07B	30.57B	29.75B
Cash, Cash Equivalents and Short-Term Investments	10.13B	11.62B	10.96B	9.55B	12.05B	10.87B
Total Debt	11.82B	12.62B	13.49B	13.51B	13.26B	12.15B
Total Liabilities	15.86B	16.82B	18.76B	17.81B	17.69B	16.08B
Stockholders Equity	14.36B	14.24B	12.37B	12.26B	12.89B	13.67B
Cash Flow
Free Cash Flow	0.00	-794.54M	1.09B	-2.46B	476.90M	-2.52B
Operating Cash Flow	0.00	254.63M	1.99B	7.28M	1.72B	-857.32M
Investing Cash Flow	0.00	1.74B	-708.82M	-2.59B	-1.51B	-1.27B
Financing Cash Flow	0.00	-1.10B	-255.61M	-20.18M	917.86M	2.27B

Uchiyama Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 369.00
• 50DMA: Negative
• 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:6059, the sentiment is Negative. The current price of 369 is below the 20-day moving average (MA) of 390.45, below the 50-day MA of 391.44, and above the 200-day MA of 347.01, indicating a neutral trend. The MACD of -1.56 indicates Positive momentum. The RSI at 41.32 is Neutral, neither overbought nor oversold. The STOCH value of 34.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6059.

Uchiyama Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2374	75 Outperform	¥30.30B	16.98	―	2.48%	3.88%	0.31%
2425	75 Outperform	¥2.99B	27.02	―	2.56%	-3.06%	-38.56%
6062	72 Outperform	¥43.63B	11.61	―	2.63%	0.30%	-31.28%
6059	69 Neutral	¥7.31B	16.25	―	2.71%	1.26%	562.09%
6197	68 Neutral	¥93.70B	16.02	―	2.47%	1.86%	1370.48%
2373	60 Neutral	¥5.84B	23.20	―	4.07%	6.08%	38.00%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%