Ikka Holdings Co.,Ltd. (7127) AI Stock Analysis

• Market Cap: ¥5.17B
• Dividend Yield: N/A
• Average Volume (3M): 11.79K
• Price to Earnings (P/E): 8.4
• Beta (1Y): 0.25
• Revenue Growth: 12.42%
• EPS Growth: 4.67%
• Country: JP
• Employees: 349
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Personal Products & Services
• EPS (TTM): 20.65
• Shares Outstanding: 7,345,400
• 10 Day Avg. Volume: 6,100
• 30 Day Avg. Volume: 11,786
• PEG Ratio: 0.09
• Price to Book (P/B): 5.28
• Price to Sales (P/S): 0.46
• P/FCF Ratio: -14.70
• 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: 40 Underperform
• Price Target: ¥652.00 ▼(-3.98% Downside)
• Action: Downgraded Date: 10/18/25
• Date: Action: Downgraded 10/18/25

The overall stock score of 40 for Ikka Holdings Co.,Ltd. is driven primarily by weak financial performance, with negative profitability, high debt, and liquidity issues. Technical indicators show bearish trends, and a negative P/E ratio further weighs on the score.

Positive Factors

Revenue Growth

The company's consistent revenue growth indicates a robust business model and effective market strategies, enhancing its competitive position.

Cash Generation

Positive operational cash flow reflects strong core business performance, providing the company with the ability to invest in growth and manage debt.

Product Offering

A diverse product range enhances market appeal and customer retention, supporting long-term revenue stability and growth.

Negative Factors

High Leverage

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

Negative Profitability

Sustained negative profitability can erode shareholder value and hinder the company's ability to reinvest in its business.

Negative Free Cash Flow

Negative free cash flow suggests challenges in covering capital expenditures, which may constrain future growth and financial health.

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

Company Description

Ikka Holdings Co.,Ltd. engages in dinning and wedding business in Japan. It manages 69 stores wedding facilities as well as 1 other facility. The company was founded in 1997 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Ikka Holdings generates revenue through multiple streams, primarily from rental income generated by its real estate holdings. This includes leasing residential and commercial properties to tenants, which provides a steady flow of cash. Additionally, the company earns income from property management services and development projects, where it either sells newly developed properties or partners with other firms to enhance value. Investments in other companies and financial instruments also contribute to its earnings, allowing Ikka Holdings to diversify its income sources. Strategic partnerships with other real estate and investment firms help expand its market reach and enhance profitability.

Ikka Holdings Co.,Ltd. Financial Statement Overview

Summary

Ikka Holdings Co.,Ltd. shows weak financial performance. Revenue growth of 9.3% is a positive, but negative profitability margins (-1.7% Net Profit Margin), high leverage (Debt-to-Equity Ratio of 3.8), and negative Free Cash Flow (-318.6M) highlight significant operational and liquidity challenges.

Income Statement

Ikka Holdings Co.,Ltd. shows a mixed performance in its income statement. Revenue has grown by 9.3% from 2024 to 2025, reflecting a positive trajectory. Gross Profit Margin remains strong at 66.2% in 2025. However, profitability is a concern with a negative Net Profit Margin of -1.7% and a negative EBIT Margin of -0.7% in 2025, indicating operational challenges or cost pressures despite revenue growth.

Balance Sheet

The balance sheet of Ikka Holdings Co.,Ltd. reveals stability concerns. The Debt-to-Equity Ratio is high at 3.8 in 2025, suggesting significant leverage and potential financial risk. The Equity Ratio is low at 15.5%, indicating limited shareholder equity relative to total assets. While total assets have grown, the high debt levels weigh heavily on financial health.

Cash Flow

Cash flow performance for Ikka Holdings Co.,Ltd. is weak. Free Cash Flow turned negative at -318.6 million in 2025, a sharp decline from 226.0 million in 2024, resulting in a Free Cash Flow Growth Rate of -241.0%. The Operating Cash Flow to Net Income Ratio cannot be meaningfully assessed due to negative net income. This indicates liquidity challenges and potential difficulties in funding operations or investments.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	10.37B	10.09B	9.23B	8.38B	4.42B	3.43B
Gross Profit	6.82B	6.68B	6.13B	5.52B	2.84B	2.09B
EBITDA	216.71M	114.48M	447.27M	384.28M	530.48M	-1.07B
Net Income	-140.67M	-172.20M	79.00M	80.05M	189.55M	-949.78M
Balance Sheet
Total Assets	5.85B	5.71B	5.38B	4.77B	4.70B	4.26B
Cash, Cash Equivalents and Short-Term Investments	1.33B	1.45B	1.58B	1.18B	1.09B	632.24M
Total Debt	3.34B	3.42B	3.02B	2.62B	2.90B	3.09B
Total Liabilities	4.94B	4.81B	4.32B	3.83B	4.10B	3.91B
Stockholders Equity	905.86M	887.27M	1.05B	929.98M	598.39M	353.75M
Cash Flow
Free Cash Flow	0.00	-318.60M	225.98M	193.45M	1.06B	-1.98B
Operating Cash Flow	0.00	182.59M	537.02M	483.30M	1.15B	-1.41B
Investing Cash Flow	0.00	-670.61M	-417.90M	-340.92M	-563.37M	-620.15M
Financing Cash Flow	0.00	356.12M	269.77M	-53.24M	-140.04M	1.97B

Ikka Holdings Co.,Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 679.00
• 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:7127, the sentiment is Positive. The current price of 679 is below the 20-day moving average (MA) of 710.85, below the 50-day MA of 701.26, and below the 200-day MA of 684.68, indicating a bullish trend. The MACD of 2.86 indicates Positive momentum. The RSI at 56.81 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7127.

Ikka Holdings Co.,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7523	73 Outperform	¥13.66B	5.41	―	2.67%	1.90%	7.25%
9160	65 Neutral	¥7.12B	6.24	―	―	12.19%	28.25%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
2305	58 Neutral	¥33.05B	5.66	―	2.48%	-4.39%	31.40%
7502	58 Neutral	¥1.71B	12.62	―	2.62%	11.55%	28.89%
7372	57 Neutral	¥1.84B	1.82	―	―	8.17%	37.03%
7127	40 Underperform	¥5.17B	8.38	―	―	12.42%	4.67%