Daishi Hokuetsu Financial Group, Inc. (7327) AI Stock Analysis

• Market Cap: ¥381.04B
• Dividend Yield: 3.62%
• Average Volume (3M): 719.23K
• Price to Earnings (P/E): 12.0
• Beta (1Y): 1.01
• Revenue Growth: 6.67%
• EPS Growth: 51.21%
• Country: JP
• Employees: 3,549
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 48.83
• Shares Outstanding: 275,657,870
• 10 Day Avg. Volume: 848,210
• 30 Day Avg. Volume: 719,226
• PEG Ratio: 0.23
• Price to Book (P/B): 0.58
• Price to Sales (P/S): 1.51
• P/FCF Ratio: 2.97
• 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: ¥3,946.00
• Price Target Upside: 184.91% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 78 Outperform
• Price Target: ¥3,946.00 ▲(184.91% Upside)

The stock of Daishi Hokuetsu Financial Group, Inc. is supported by strong financial performance and favorable technical indicators. The fair valuation and attractive dividend yield further enhance its investment appeal. Key risks include cash flow volatility and potential overbought technical signals.

Daishi Hokuetsu Financial Group, Inc. Business Overview & Revenue Model

Company Description

Daishi Hokuetsu Financial Group, Inc., through its subsidiaries, provides various banking products and services in Japan. The company offers deposit and loan products. It also provides securities, credit cards and credit guarantee, venture capital and consulting, general leasing, computer related, and HR consulting services, as well as survey research and information provision related to the economy and society. Daishi Hokuetsu Financial Group, Inc. was founded in 1873 and is headquartered in Niigata, Japan.

How the Company Makes Money

Daishi Hokuetsu Financial Group, Inc. generates revenue through various channels inherent to the banking and financial services sector. The primary revenue streams include interest income from loans and advances to customers, and investment securities, which represent a significant portion of the group's earnings. Additionally, the company earns non-interest income through fees and commissions from services such as asset management, insurance, foreign exchange transactions, and securities trading. The group's strategic partnerships with other financial institutions and continued innovation in financial products also contribute to its revenue generation. The company's regional focus in Japan allows it to leverage local market knowledge and customer relationships to maintain a stable income flow.

Daishi Hokuetsu Financial Group, Inc. Financial Statement Overview

Summary

Daishi Hokuetsu Financial Group, Inc. exhibits strong profitability and a solid financial structure, supported by healthy income statement metrics and a stable balance sheet. The main concern is cash flow volatility, but overall financial health remains robust.

Income Statement

The income statement shows strong performance with expanding gross and net profit margins over the years. The gross profit margin has consistently been high, indicating efficient cost management. There is a positive trend in net income, demonstrating the company's growing profitability. The revenue growth rate from the previous year was significant, suggesting a robust business model. However, fluctuations in revenue over the years need attention.

Balance Sheet

The balance sheet reflects a strong equity position with a manageable debt-to-equity ratio, highlighting financial stability. The return on equity is improving, indicating effective utilization of equity. However, the total liabilities are high, suggesting potential leverage-related risks. The equity ratio is stable, underscoring a solid capital structure.

Cash Flow

The cash flow statement indicates volatility in operating cash flow, with recent negative figures raising concerns. Free cash flow has shown a positive trend after recovering from previous negative figures, which is promising. The operating cash flow to net income ratio suggests some inconsistency in converting income to cash, which might affect liquidity management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	148.81B	182.83B	170.53B	140.49B	127.50B	134.08B
Gross Profit	148.81B	147.71B	135.79B	128.35B	125.22B	129.03B
EBITDA	38.81B	48.20B	36.84B	31.91B	30.30B	23.96B
Net Income	31.39B	29.35B	21.20B	17.77B	15.14B	10.79B
Balance Sheet
Total Assets	10.85T	10.98T	11.14T	10.52T	10.67T	9.71T
Cash, Cash Equivalents and Short-Term Investments	0.00	2.15T	2.23T	2.03T	2.76T	2.06T
Total Debt	1.52T	1.52T	1.76T	1.22T	1.69T	963.47B
Total Liabilities	10.36T	10.50T	10.64T	10.10T	10.24T	9.25T
Stockholders Equity	491.93B	478.86B	499.38B	415.42B	428.46B	435.36B
Cash Flow
Free Cash Flow	0.00	92.97B	289.30B	-343.80B	794.86B	895.20B
Operating Cash Flow	0.00	95.07B	294.42B	-338.48B	797.68B	903.60B
Investing Cash Flow	0.00	186.55B	-90.17B	-380.78B	-85.51B	-78.52B
Financing Cash Flow	0.00	-9.43B	-10.51B	-8.05B	-8.94B	-5.50B

Daishi Hokuetsu Financial Group, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1385.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7327, the sentiment is Positive. The current price of 1385 is above the 20-day moving average (MA) of 1346.01, above the 50-day MA of 1289.67, and above the 200-day MA of 1062.86, indicating a bullish trend. The MACD of 29.87 indicates Negative momentum. The RSI at 60.49 is Neutral, neither overbought nor oversold. The STOCH value of 67.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7327.

Daishi Hokuetsu Financial Group, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7327	78 Outperform	¥381.04B	11.97	―	3.62%	6.67%	51.21%
8418	78 Outperform	¥345.66B	11.43	5.71%	3.33%	4.24%	23.16%
7180	74 Outperform	¥386.85B	11.42	4.32%	2.35%	8.46%	46.91%
8377	71 Outperform	¥453.79B	10.62	―	1.49%	33.00%	80.88%
8366	71 Outperform	¥301.32B	15.98	4.21%	1.33%	6.36%	67.68%
5832	63 Neutral	¥389.73B	13.98	―	3.41%	10.60%	20.32%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Daishi Hokuetsu Financial Group, Inc. Corporate Events

Daishi Hokuetsu Financial Group Reports Improved Capital Adequacy

Daishi Hokuetsu Financial Group, Inc. reported an improvement in its capital adequacy ratio for the first quarter ending June 30, 2025, indicating a stronger financial position. The consolidated capital adequacy ratio increased to 11.05%, reflecting enhanced owner’s equity and a reduction in risk assets, which suggests a positive impact on the company’s financial stability and potential for growth.

Daishi Hokuetsu Financial Group Reports Strong Q1 2025 Results

Daishi Hokuetsu Financial Group, Inc. reported a significant increase in its financial performance for the three months ended June 30, 2025, with ordinary revenues rising by 10.8% and profits attributable to owners of the parent increasing by 18.9%. The company’s financial position remains strong with a slight improvement in the capital adequacy ratio from 4.3% to 4.5%. The company also announced a forecasted dividend of 150 yen for the fiscal year ending March 31, 2026, reflecting confidence in its ongoing financial health.

Daishi Hokuetsu Financial Group Corrects Financial Results for FY 2025

Daishi Hokuetsu Financial Group, Inc. announced a correction to its consolidated financial results for the fiscal year ended March 31, 2025. The correction involves adjustments to the capital adequacy ratios and core capital components, which may impact the company’s financial stability and regulatory compliance. This correction could influence stakeholders’ perceptions and the company’s market positioning.