Medipal Holdings (7459) AI Stock Analysis

• Market Cap: ¥500.07B
• Dividend Yield: 2.32%
• Average Volume (3M): 365.88K
• Price to Earnings (P/E): 14.1
• Beta (1Y): 0.47
• Revenue Growth: 3.88%
• EPS Growth: -10.72%
• Country: JP
• Employees: 13,075
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Distribution
• EPS (TTM): 60.63
• Shares Outstanding: 215,975,040
• 10 Day Avg. Volume: 365,940
• 30 Day Avg. Volume: 365,883
• PEG Ratio: -8.97
• Price to Book (P/B): 0.79
• Price to Sales (P/S): 0.13
• P/FCF Ratio: 9.42
• 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: 68 Neutral
• Price Target: ¥2,720.00 ▼(-1.32% Downside)

Medipal Holdings' overall stock score is driven by its solid financial performance and reasonable valuation. The technical analysis indicates a bearish trend, which slightly offsets the positive financial outlook. The lack of earnings call data and corporate events does not impact the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a positive trajectory and the company's ability to expand its market presence and product adoption.

Balance Sheet Health

Minimal leverage and financial risk provide Medipal Holdings with a strong foundation for sustainable growth and financial stability.

Cash Generation Ability

Strong cash generation relative to net income enhances Medipal Holdings' ability to invest in growth opportunities and maintain financial health.

Negative Factors

Operational Efficiency

Low operational efficiency can limit profitability and competitiveness, indicating a need for strategic improvements to enhance margins.

Free Cash Flow Volatility

Fluctuating cash flow stability can impact the company's ability to consistently fund operations and strategic initiatives, posing a risk to financial planning.

Profit Margins

Low net profit margins may constrain Medipal Holdings' ability to generate significant profits, affecting long-term financial performance and shareholder returns.

Medipal Holdings Business Overview & Revenue Model

Company Description

Medipal Holdings Corporation engages in the prescription pharmaceutical wholesale business in Japan. It procures healthcare products related to diagnostics, testing, treatment, and administration comprises medical equipment and medical materials, and clinical diagnostic reagents for use from the pre-symptomatic stage; handles PMS services on contract for manufacturers; and invests in orphan drugs and other products. The company is also involved in the wholesale of cosmetics, daily necessities, and OTC pharmaceuticals; animal health products for companion animals; food processing raw materials for agriculture, fisheries, and livestock; and livestock feed additives, seasonings, veterinary medical equipment, packaging materials, industrial chemicals, and other products. In addition, it engages in the contract-based epidemiological studies, clinical studies, etc.; creation of a computerized medical supply database and master product databases for medical facilities; health insurance claims reviews, medical coding dispatch, outsourcing, and remote education activities; life and non-life insurance agency business; cleaning management; management and operation of distribution centers; commissioned delivery and worker dispatch business; and planning, management, administration, and product and service development for the class A health dispensing pharmacies service brand. Medipal Holdings Corporation serves hospitals, clinics, dispensing pharmacies, drugstores, home centers, convenience stores, supermarkets, discount stores, animal hospitals, livestock and fishery businesses, and processed food manufacturers. The company was formerly known as Mediceo Paltac Holdings Co., Ltd. and changed its name to Medipal Holdings Corporation in October 2009. Medipal Holdings Corporation was founded in 1898 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Medipal Holdings generates revenue through several key streams, primarily from the sale of medical supplies and pharmaceuticals to healthcare institutions. The company's revenue model is supported by a strong distribution network, which allows it to reach a wide array of clients in the healthcare sector. Additionally, Medipal Holdings benefits from partnerships with various manufacturers and suppliers, ensuring access to a broad portfolio of products. The company also engages in value-added services such as logistics and inventory management for its clients, further contributing to its earnings. By focusing on both product sales and service offerings, Medipal Holdings maintains a diversified revenue base that helps mitigate market risks.

Medipal Holdings Financial Statement Overview

Summary

Medipal Holdings shows strong revenue growth and a robust balance sheet with minimal leverage. However, there is room for improvement in operational efficiency and cash flow stability.

Income Statement

Medipal Holdings has shown a strong revenue growth rate of 5.57% in the latest year, indicating a positive trajectory. The gross profit margin is stable at around 6.6%, and the net profit margin is consistent at approximately 1.1%. However, the EBIT and EBITDA margins are relatively low, suggesting room for improvement in operational efficiency.

Balance Sheet

The company's balance sheet is robust, with a very low debt-to-equity ratio of 0.0067, indicating minimal leverage and financial risk. The return on equity is healthy at 6.5%, reflecting effective use of shareholder funds. The equity ratio is strong, suggesting a solid capital structure.

Cash Flow

Medipal Holdings has demonstrated strong free cash flow growth, although the operating cash flow to net income ratio is modest at 0.06. The free cash flow to net income ratio is high at 0.85, indicating good cash generation relative to net income. However, the volatility in free cash flow growth rates suggests potential fluctuations in cash flow stability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.71T	3.67T	3.56T	3.36T	3.29T	3.21T
Gross Profit	254.44B	242.25B	246.66B	224.31B	217.44B	214.26B
EBITDA	90.71B	95.16B	92.73B	84.74B	71.64B	64.08B
Net Income	40.86B	40.28B	41.47B	38.81B	29.42B	23.93B
Balance Sheet
Total Assets	1.85T	1.82T	1.80T	1.70T	1.71T	1.68T
Cash, Cash Equivalents and Short-Term Investments	246.03B	261.41B	230.47B	195.03B	261.92B	241.52B
Total Debt	38.85B	4.17B	1.46B	7.38B	30.08B	30.58B
Total Liabilities	1.09T	1.07T	1.06T	1.02T	1.06T	1.04T
Stockholders Equity	616.58B	619.57B	600.35B	561.36B	530.30B	523.01B
Cash Flow
Free Cash Flow	0.00	51.70B	42.45B	2.64B	42.34B	18.78B
Operating Cash Flow	0.00	60.56B	61.84B	16.15B	61.22B	34.45B
Investing Cash Flow	0.00	-3.36B	-7.82B	-39.49B	-24.34B	-2.94B
Financing Cash Flow	0.00	-25.95B	-25.25B	-43.54B	-16.47B	-16.00B

Medipal Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2756.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7459, the sentiment is Positive. The current price of 2756.5 is above the 20-day moving average (MA) of 2686.28, above the 50-day MA of 2605.57, and above the 200-day MA of 2437.27, indicating a bullish trend. The MACD of 38.72 indicates Negative momentum. The RSI at 61.39 is Neutral, neither overbought nor oversold. The STOCH value of 84.68 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7459.

Medipal Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2784	78 Outperform	¥464.86B	18.03	4.94%	2.71%	5.11%	-20.51%
9987	69 Neutral	$354.50B	14.92	7.09%	1.60%	1.37%	-1.55%
7459	68 Neutral	¥500.07B	14.06	6.39%	2.32%	3.88%	-10.72%
3151	67 Neutral	¥59.35B	6.46	―	4.40%	2.23%	72.07%
3349	60 Neutral	¥608.38B	19.54	―	0.98%	3.73%	18.84%
8129	60 Neutral	¥310.48B	14.55	―	1.79%	2.31%	19.86%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Medipal Holdings Corporate Events

Medipal Holdings Reports Mixed Financial Results for H1 FY2026

Medipal Holdings Corporation reported its consolidated financial results for the first half of the fiscal year ending March 31, 2026, showing a 4% increase in net sales to ¥1,897,562 million compared to the same period last year. Despite the rise in sales, the company experienced a decline in operating profit by 7.7% to ¥25,083 million, and a slight decrease in ordinary profit by 2.3% to ¥34,269 million. The comprehensive income saw a significant drop of 29% year-on-year. The financial position indicates a slight increase in total assets and net assets, with a decrease in the net worth ratio. Cash flows from operating activities decreased, while cash and cash equivalents at the end of the period increased. Dividend payments per share were slightly increased, reflecting a stable financial strategy.

Medipal Holdings Advances Treasury Stock Acquisition

Medipal Holdings Corporation announced the progress of its treasury stock acquisition, having purchased 400,000 shares for approximately JPY 1.07 billion between September 1 and September 30, 2025. This move is part of a larger plan resolved in May 2025 to acquire up to 4 million shares, aiming to strengthen shareholder value and optimize capital structure.