Hirogin Holdings, Inc. (7337) AI Stock Analysis

• Market Cap: ¥589.05B
• Dividend Yield: 3.21%
• Average Volume (3M): 730.89K
• Price to Earnings (P/E): 14.6
• Beta (1Y): 1.23
• Revenue Growth: 19.82%
• EPS Growth: 29.59%
• Country: JP
• Employees: 3,682
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 41.95
• Shares Outstanding: 305,327,900
• 10 Day Avg. Volume: 707,000
• 30 Day Avg. Volume: 730,886
• PEG Ratio: 0.33
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 1.95
• P/FCF Ratio: -19.83
• 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): 136.15
• Revenue Forecast (FY): ¥120.70B

• Rating: 70 Outperform
• Price Target: ¥2,088.00 ▲(25.82% Upside)
• Action: Upgraded Date: 11/28/25
• Date: Action: Upgraded 11/28/25

Hirogin Holdings, Inc. scores well due to strong technical indicators and a reasonable valuation. However, financial performance is hindered by high leverage and negative cash flow, which are significant risks. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Sustained Revenue Growth

A ~21% reported revenue increase evidences durable top-line expansion across banking, asset management and insurance. Over a 2–6 month horizon this growth supports scale economics, expands fee and interest income potential, and provides capacity to fund strategic initiatives and capital needs.

Healthy Net Profit Margin

An 18.58% net profit margin indicates robust profitability and effective cost control across diverse financial businesses. Durable margins help generate internal capital for reserves, dividends and reinvestment, improving resilience to cyclical credit or funding pressures over the medium term.

Diversified Revenue Model

Multiple revenue streams—interest income, banking fees, asset management commissions and insurance revenue—reduce reliance on any single market cycle. Structural diversification supports steadier cash flows, cross-sell opportunities and risk mitigation versus peers focused on a single product line.

Negative Factors

High Leverage

A D/E of 3.97 signals material leverage that constrains flexibility. Persistently high leverage raises interest expense sensitivity to rate moves and increases solvency risk if asset quality or earnings deteriorate, making capital management and buffer building critical over the next several months.

Weak Operating Cash Flow

Negative operating cash flow and a decline in free cash flow growth point to cash generation issues despite a strong FCF-to-net-income ratio. Persistent cash deficits can force external funding, limit lending or investment capacity, and heighten liquidity risk if market conditions tighten.

Compressed Operating Margins

A declining EBIT margin suggests rising costs or pressure on core operating efficiency. If margin compression continues, it can erode the benefits of revenue growth, reduce retained earnings available for capital buffers, and increase vulnerability to credit or funding shocks.

Hirogin Holdings, Inc. Business Overview & Revenue Model

Company Description

Hirogin Holdings, Inc. operates as a bank holding company for The Hiroshima Bank, Ltd. that provides various financial services in Hiroshima, Okayama, Yamaguchi, and Ehime prefectures. It offers deposits and loans, financial instruments, leasing and auto leasing, receivables management, asset management, and consulting services, as well as IT-related services. The company was founded in 1878 and is headquartered in Hiroshima, Japan.

How the Company Makes Money

Hirogin Holdings generates revenue through multiple key streams, including interest income from loans and mortgages, fees from banking services, and commissions from asset management and insurance products. The company earns interest by lending to customers and businesses, with a portion of deposits used to fund these loans. Additionally, Hirogin Holdings collects service fees for account maintenance, transaction processing, and investment advisory services. Significant partnerships with other financial institutions and technology firms also enhance its service offerings and contribute to its earnings, enabling the company to leverage innovative solutions and expand its market reach.

Hirogin Holdings, Inc. Financial Statement Overview

Summary

Hirogin Holdings, Inc. exhibits strong revenue growth and profitability with a net profit margin of 18.58%. However, the company faces challenges due to a high debt-to-equity ratio of 3.97 and negative cash flow, which could impact long-term financial stability.

Income Statement

Hirogin Holdings, Inc. has demonstrated strong revenue growth of 21% in the most recent year, indicating robust business expansion. The net profit margin of 18.58% is healthy, reflecting efficient cost management. However, the EBIT margin has decreased compared to previous years, suggesting potential challenges in operational efficiency.

Balance Sheet

The company has a high debt-to-equity ratio of 3.97, indicating significant leverage, which could pose risks if not managed properly. Return on equity is moderate at 7.10%, showing decent profitability relative to shareholder equity. The equity ratio of 4.16% suggests a low proportion of equity financing, which may impact financial stability.

Cash Flow

The negative operating cash flow and free cash flow indicate cash management challenges. The free cash flow to net income ratio is strong at 1.28, suggesting that the company is generating cash relative to its net income. However, the negative growth in free cash flow is a concern for future liquidity.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	161.19B	187.79B	173.80B	147.64B	133.40B	106.02B
Gross Profit	161.19B	148.84B	140.22B	126.81B	129.43B	101.43B
EBITDA	50.29B	58.30B	46.65B	24.51B	39.11B	35.64B
Net Income	36.87B	35.84B	27.69B	12.51B	22.91B	21.57B
Balance Sheet
Total Assets	12.32T	12.13T	12.79T	11.50T	11.60T	11.01T
Cash, Cash Equivalents and Short-Term Investments	0.00	1.73T	2.84T	2.19T	2.58T	2.58T
Total Debt	2.10T	2.00T	2.70T	1.06T	1.20T	1.02T
Total Liabilities	11.80T	11.63T	12.26T	11.00T	11.11T	10.49T
Stockholders Equity	524.32B	504.54B	535.11B	498.47B	496.06B	516.76B
Cash Flow
Free Cash Flow	0.00	-18.47B	661.83B	-478.07B	208.88B	1.46T
Operating Cash Flow	0.00	-14.42B	673.40B	-468.74B	216.89B	1.49T
Investing Cash Flow	0.00	-202.52B	-119.39B	65.83B	-198.33B	-370.40B
Financing Cash Flow	0.00	57.39B	94.02B	-8.10B	-22.64B	-9.31B

Hirogin Holdings, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1659.50
• 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:7337, the sentiment is Positive. The current price of 1659.5 is below the 20-day moving average (MA) of 1889.40, below the 50-day MA of 1746.53, and above the 200-day MA of 1443.90, indicating a bullish trend. The MACD of 46.25 indicates Positive momentum. The RSI at 57.44 is Neutral, neither overbought nor oversold. The STOCH value of 27.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7337.

Hirogin Holdings, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7327	79 Outperform	¥561.52B	12.72	―	3.15%	12.71%	71.94%
7337	70 Outperform	¥589.05B	14.62	―	3.21%	19.82%	29.59%
8418	70 Outperform	¥538.04B	14.90	6.09%	2.93%	5.87%	50.22%
8377	69 Neutral	¥758.84B	14.65	―	1.41%	28.83%	105.24%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
7180	66 Neutral	¥587.26B	14.31	4.93%	2.02%	12.96%	44.62%
5832	66 Neutral	¥589.50B	14.82	―	2.93%	9.27%	19.72%

Hirogin Holdings, Inc. Corporate Events

Hirogin Holdings Posts Stable Capital Ratios Amid Rising Risk-Weighted Assets

Hirogin Holdings reported a consolidated domestic-standard capital adequacy ratio of 11.27% for the third quarter of FY2025, slightly down from 11.37% at the end of September, as risk-weighted assets rose faster than capital. Basic core capital increased to ¥517.1 billion, while total risk-weighted assets reached ¥4,157.5 billion, indicating continued balance-sheet expansion alongside solid but marginally diluted capital buffers.

For core subsidiary Hiroshima Bank, the consolidated capital adequacy ratio remained stable at 10.54%, with both basic core capital and risk-weighted assets increasing, and the non-consolidated ratio edged up to 10.49%. The figures suggest the group is maintaining sound regulatory capital levels under the domestic standard while supporting asset growth, a key consideration for regulators, creditors, and investors monitoring its risk profile and lending capacity.

The most recent analyst rating on (JP:7337) stock is a Buy with a Yen2117.00 price target. To see the full list of analyst forecasts on Hirogin Holdings, Inc. stock, see the JP:7337 Stock Forecast page.

Hirogin Holdings Lifts Nine-Month Profit and Confirms Outlook, Plans Higher Dividend

Hirogin Holdings reported solid consolidated results for the nine months ended December 31, 2025, with ordinary income rising 16.4% year on year to ¥173.6 billion and ordinary profit up 12.0% to ¥47.3 billion. Profit attributable to owners of the parent increased 13.6% to ¥33.0 billion, lifting basic earnings per share to ¥109.72, while comprehensive income surged more than sixfold. The balance sheet expanded, with total assets reaching ¥12.7 trillion and equity climbing to ¥559.4 billion, improving the equity-to-asset ratio to 4.4%. The company maintained its full-year forecast, targeting ordinary profit of ¥57.0 billion and profit attributable to owners of the parent of ¥40.0 billion, and plans to raise the annual dividend to ¥54 per share for the year ending March 31, 2026, signaling confidence in earnings strength and continued shareholder returns.

The most recent analyst rating on (JP:7337) stock is a Buy with a Yen1922.00 price target. To see the full list of analyst forecasts on Hirogin Holdings, Inc. stock, see the JP:7337 Stock Forecast page.

Hirogin Holdings to Buy Additional Shares for Expanded Executive Stock Compensation Plan

Hirogin Holdings has decided to acquire additional shares of its own stock through an existing stock-based compensation trust for directors and executive officers of the holding company and The Hiroshima Bank. The move follows a prior shareholder-approved increase in the three-year stock-based compensation ceiling from 900 million yen to 1.0 billion yen to reinforce the executive structure needed for the group’s new mid-term management plan starting in FY2024. Within this expanded compensation framework, the trust will purchase up to 150 million yen of common shares on the market between January 20 and 23, 2026, using remaining cash in the trust, with the acquired shares intended for delivery to an enlarged pool of eligible executives, thereby further aligning management incentives with the group’s medium- to long-term performance and corporate value.

The most recent analyst rating on (JP:7337) stock is a Hold with a Yen1675.00 price target. To see the full list of analyst forecasts on Hirogin Holdings, Inc. stock, see the JP:7337 Stock Forecast page.

Hirogin Holdings Completes ¥5 Billion Share Buyback Program

Hirogin Holdings, Inc. has completed a share buyback authorized by its board in May 2025, acquiring 744,500 common shares on the Tokyo Stock Exchange between December 1 and December 23, 2025, for a total of approximately ¥1.16 billion. Cumulatively under this resolution, the company has repurchased 3,448,400 shares for about ¥5.0 billion, effectively reaching the upper limit of its planned acquisition costs, a move that is likely aimed at enhancing capital efficiency and shareholder value through reduction of shares outstanding.

The most recent analyst rating on (JP:7337) stock is a Buy with a Yen1698.00 price target. To see the full list of analyst forecasts on Hirogin Holdings, Inc. stock, see the JP:7337 Stock Forecast page.

Hirogin Holdings Announces Acquisition of Own Shares

Hirogin Holdings, Inc. announced the acquisition of 913,500 of its own common shares through market purchases on the Tokyo Stock Exchange, amounting to 1,336,158,000 yen. This is part of a broader strategy approved by its Board of Directors to acquire up to 6,000,000 shares by March 2026, aiming to enhance shareholder value and optimize capital structure.

The most recent analyst rating on (JP:7337) stock is a Buy with a Yen1698.00 price target. To see the full list of analyst forecasts on Hirogin Holdings, Inc. stock, see the JP:7337 Stock Forecast page.

Hirogin Holdings Announces Issuance of Unsecured Bonds

Hirogin Holdings, Inc. has announced the issuance conditions for its 1st and 2nd unsecured bonds, targeting institutional and individual investors respectively. The bonds, with a total issue amount of 30 billion yen, have been rated AA- and A+ by Japanese credit agencies, reflecting a strong credit position, and are expected to enhance the company’s financial flexibility and market presence.

The most recent analyst rating on (JP:7337) stock is a Hold with a Yen1484.00 price target. To see the full list of analyst forecasts on Hirogin Holdings, Inc. stock, see the JP:7337 Stock Forecast page.