Want to see JP:7506 full AI Analyst Report?
Top Page
HOUSE OF ROSE Co.,Ltd.
(7506)
Select Model
Select Model
Rating:42Neutral
Price Target:
¥1,297.00
▼(-6.22% Downside)
Action:Reiterated
Date:05/16/26
The score is weighed down primarily by the sharp drop in profitability and the shift to negative operating/free cash flow, despite a very low-leverage balance sheet. Technicals also reflect a weak trend (below major moving averages with negative MACD). Valuation is a major headwind given the extremely high P/E, with only limited support from the dividend yield.
Positive Factors
High gross margins
A sustained ~70% gross margin signals durable product-level profitability and pricing power in cosmetics. This margin cushion supports recovery in operating profits if SG&A is controlled, funds product development, and helps absorb cost volatility without immediate margin erosion.
Negative Factors
Collapsed operating profitability
Operating margin compression to near zero materially reduces resilience to revenue shocks and leaves little room to cover fixed costs or invest. Persistently low operating profitability undermines ROE and reduces capacity to rebuild competitive initiatives without structural margin recovery.
Read all positive and negative factors
Positive Factors
Negative Factors
High gross margins
A sustained ~70% gross margin signals durable product-level profitability and pricing power in cosmetics. This margin cushion supports recovery in operating profits if SG&A is controlled, funds product development, and helps absorb cost volatility without immediate margin erosion.
Read all positive factors
HOUSE OF ROSE Co.,Ltd. (7506) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥6.51B
Dividend Yield1.82%
Average Volume (3M)1.62K
Price to Earnings (P/E)3847.2
Beta (1Y)0.18
Revenue Growth-0.45%
EPS Growth-97.90%
CountryJP
Employees1,068
SectorConsumer Cyclical
Sector Strength84
IndustryDepartment Stores
Share Statistics
EPS (TTM)118.22
Shares Outstanding4,703,063
10 Day Avg. Volume1,330
30 Day Avg. Volume1,620
Financial Highlights & Ratios
PEG Ratio-38.63
Price to Book (P/B)1.17
Price to Sales (P/S)0.55
P/FCF Ratio-31.69
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
HOUSE OF ROSE Co.,Ltd. Business Overview & Revenue Model
Company Description
Headquartered in Tokyo, Japan, HOUSE OF ROSE Co.,Ltd. operates a chain of cosmetic retail stores throughout the country. These outlets offer an extensive selection of products, encompassing skincare, makeup, body and hair care essentials, bath ite...
How the Company Makes Money
HOUSE OF ROSE generates revenue primarily by selling its branded cosmetics and personal care products to consumers. Key revenue streams include: (1) Direct retail sales through company-operated stores, where the company earns product sales revenue...
HOUSE OF ROSE Co.,Ltd. Financial Statement Overview
Summary
Income Statement
42
Neutral
Balance Sheet
78
Positive
Cash Flow
30
Negative
| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 11.96B | 11.54B | 11.59B | 11.99B | 11.91B | 11.28B |
| Gross Profit | 8.50B | 8.15B | 8.10B | 8.38B | 8.34B | 7.96B |
| EBITDA | 379.76M | 164.20M | 280.17M | 507.92M | 325.33M | 403.04M |
| Net Income | 555.94M | 1.67M | 79.62M | 122.01M | 511.95M | 103.92M |
Balance Sheet | ||||||
| Total Assets | 8.96B | 7.98B | 8.36B | 8.72B | 8.89B | 8.98B |
| Cash, Cash Equivalents and Short-Term Investments | 2.82B | 2.67B | 3.03B | 3.15B | 3.30B | 3.02B |
| Total Debt | 37.56M | 32.17M | 73.01M | 80.16M | 386.85M | 811.74M |
| Total Liabilities | 3.26B | 2.50B | 2.71B | 2.99B | 3.14B | 3.66B |
| Stockholders Equity | 5.70B | 5.48B | 5.65B | 5.73B | 5.74B | 5.33B |
Cash Flow | ||||||
| Free Cash Flow | 0.00 | -201.94M | 31.51M | 471.66M | 291.36M | 305.95M |
| Operating Cash Flow | 0.00 | -144.00M | 63.39M | 490.06M | 322.86M | 310.16M |
| Investing Cash Flow | 0.00 | -56.67M | 2.14M | -194.39M | 583.64M | 392.20M |
| Financing Cash Flow | 0.00 | -158.40M | -182.44M | -449.58M | -628.98M | -760.27M |
HOUSE OF ROSE Co.,Ltd. Technical Analysis
Positive
1383.00
Price Trends
1358.30
Positive
1374.11
Positive
1374.62
Positive
Market Momentum
6.42
Negative
78.57
Negative
97.53
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7506, the sentiment is Positive. The current price of 1383 is above the 20-day moving average (MA) of 1361.10, above the 50-day MA of 1358.30, and above the 200-day MA of 1374.62, indicating a bullish trend. The MACD of 6.42 indicates Negative momentum. The RSI at 78.57 is Negative, neither overbought nor oversold. The STOCH value of 97.53 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7506.
HOUSE OF ROSE Co.,Ltd. Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
80 Outperform | ¥1.35T | 17.92 | 9.37% | 2.59% | -1.78% | 51.07% | |
68 Neutral | ¥341.19B | 10.86 | 4.97% | 2.01% | -0.23% | -17.40% | |
64 Neutral | ¥1.98T | 29.22 | 17.34% | 0.72% | 16.81% | 28.07% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
60 Neutral | ¥786.97B | 28.59 | 7.58% | 2.58% | -2.32% | -30.08% | |
59 Neutral | ¥673.97B | -180.68 | 9.06% | 1.84% | 1.79% | -114.35% | |
42 Neutral | ¥6.51B | 3,847.22 | ― | 1.82% | -0.45% | -97.90% |
* Consumer Cyclical Sector Average
JP:7506
HOUSE OF ROSE Co.,Ltd.
1,385.00
39.19
2.91%
JP:3099
Isetan Mitsukoshi Holdings
3,841.00
1,750.99
83.78%
JP:3086
J FRONT RETAILING Co
3,168.00
1,207.37
61.58%
JP:7453
Ryohin Keikaku Co
3,623.00
192.70
5.62%
JP:8233
Takashimaya Company
2,291.00
1,191.09
108.29%
JP:8242
H2O Retailing Corporation
2,797.00
871.34
45.25%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.