G-7 Holdings Inc. (7508) AI Stock Analysis

• Market Cap: ¥59.23B
• Dividend Yield: 2.98%
• Average Volume (3M): 52.82K
• Price to Earnings (P/E): 11.5
• Beta (1Y): 0.67
• Revenue Growth: 12.94%
• EPS Growth: 5.50%
• Country: JP
• Employees: 2,080
• Sector: Consumer Defensive
• Sector Strength: 41
• Industry: Grocery Stores
• EPS (TTM): 27.27
• Shares Outstanding: 44,071,453
• 10 Day Avg. Volume: 66,810
• 30 Day Avg. Volume: 52,816
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥1,510.00
• Price Target Upside: 12.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 75 Outperform
• Price Target: ¥1,510.00 ▲(12.52% Upside)

G-7 Holdings Inc. demonstrates strong financial performance with consistent revenue growth and robust profitability margins, which is the most significant factor in its overall score. The technical analysis indicates a neutral market position with some bullish momentum. The valuation is reasonable, offering a good balance between growth potential and income through dividends. The absence of earnings call data and corporate events did not impact the score.

Positive Factors

Revenue Growth

The company's consistent revenue growth indicates a strong market position and effective business strategies, which are crucial for long-term sustainability.

Profitability Margins

Stable gross profit margins suggest effective cost control and pricing strategies, supporting sustained profitability and competitive advantage.

Cash Flow Generation

Strong free cash flow growth enhances financial flexibility, allowing for reinvestment in growth opportunities and debt reduction.

Negative Factors

Net Profit Margin Decline

A decline in net profit margins could indicate rising operational costs, which may pressure future profitability if not managed effectively.

Liability Increase

Rising liabilities can lead to increased financial risk, potentially impacting the company's ability to invest in growth or weather economic downturns.

Free Cash Flow Conversion

Inefficient conversion of net income to free cash flow may limit the company's ability to fund new initiatives or return capital to shareholders.

G-7 Holdings Inc. Business Overview & Revenue Model

Company Description

G-7 Holdings Inc. is a Japan-based company primarily engaged in the operation of franchises and retail businesses. The company operates through several segments, including the Autobacs Business, which involves the sale of automotive goods and services; the Food & Restaurant Business, which includes the management of food retail chains and restaurants; and the Home & Garden Business, which covers the retail of gardening products and home improvement items. Through its diverse operations, G-7 Holdings aims to deliver quality products and services to meet the varying needs of its customers.

How the Company Makes Money

G-7 Holdings Inc. generates revenue through a multi-faceted business model that includes several key streams. The Autobacs Business segment earns income from the sale of automotive parts, accessories, and maintenance services, catering to vehicle owners seeking reliable automotive solutions. In the Food & Restaurant Business, the company profits from operating food retail chains and restaurants, offering diverse food options and dining experiences. The Home & Garden Business contributes to revenue through the sale of gardening tools, plants, and home improvement products, targeting homeowners and gardening enthusiasts. Furthermore, the company leverages strategic partnerships and franchise models to expand its market reach and enhance its service offerings, thus driving additional revenue growth.

G-7 Holdings Inc. Financial Statement Overview

Summary

G-7 Holdings Inc. exhibits strong financial health with consistent revenue growth and robust profitability margins. The balance sheet reflects a stable financial position with prudent leverage. Cash flows are positive, though there is potential for further optimization in cash conversion. Overall, the company is well-positioned in the grocery store industry, but should continue to monitor cost pressures and liabilities.

Income Statement

G-7 Holdings Inc. has demonstrated consistent revenue growth with a notable increase in total revenue from 2024 to 2025. The gross profit margin has remained stable, indicating efficient cost management. However, the net profit margin has slightly decreased, suggesting increased expenses or cost pressures. EBIT and EBITDA margins are healthy, reflecting strong operational performance.

Balance Sheet

The company maintains a solid balance sheet with a favorable debt-to-equity ratio, indicating prudent leverage management. The return on equity is strong, showcasing effective use of shareholder funds. The equity ratio is healthy, reflecting a stable financial structure. However, the increase in total liabilities warrants monitoring for potential risks.

Cash Flow

The cash flow statement reveals a positive trend in free cash flow growth, supported by strong operating cash flow. The operating cash flow to net income ratio is robust, indicating efficient cash generation. However, the free cash flow to net income ratio suggests room for improvement in converting profits into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	214.13B	214.13B	192.99B	176.92B	168.53B	163.56B
Gross Profit	51.94B	51.59B	45.69B	43.35B	42.31B	41.84B
EBITDA	10.27B	10.27B	9.67B	7.57B	9.45B	8.75B
Net Income	4.94B	4.94B	5.17B	3.82B	5.25B	4.86B
Balance Sheet
Total Assets	70.69B	70.69B	61.87B	57.20B	54.15B	51.39B
Cash, Cash Equivalents and Short-Term Investments	16.87B	16.87B	17.14B	15.69B	17.03B	16.26B
Total Debt	14.01B	14.01B	9.17B	9.30B	9.30B	9.30B
Total Liabilities	38.12B	38.12B	31.90B	30.45B	29.40B	30.13B
Stockholders Equity	32.57B	32.57B	29.97B	26.76B	24.59B	21.10B
Cash Flow
Free Cash Flow	0.00	3.72B	3.52B	1.29B	2.76B	6.72B
Operating Cash Flow	0.00	7.51B	7.39B	3.96B	5.63B	9.31B
Investing Cash Flow	0.00	-8.84B	-4.00B	-3.31B	-3.25B	-2.97B
Financing Cash Flow	0.00	999.00M	-1.94B	-2.00B	-1.62B	-6.55B

G-7 Holdings Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1342.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7508, the sentiment is Negative. The current price of 1342 is below the 20-day moving average (MA) of 1343.45, above the 50-day MA of 1332.10, and below the 200-day MA of 1357.32, indicating a neutral trend. The MACD of 3.18 indicates Positive momentum. The RSI at 51.22 is Neutral, neither overbought nor oversold. The STOCH value of 46.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7508.

G-7 Holdings Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9823	82 Outperform	¥74.89B	13.97		1.35%	17.13%	-6.33%
3539	76 Outperform	¥74.55B	12.85		1.50%	6.45%	13.26%
7508	75 Outperform	¥59.23B	11.45		2.98%	12.94%	5.50%
2742	73 Outperform	¥108.09B	12.01		1.19%	7.94%	0.06%
8198	73 Outperform	¥103.42B	10.85		2.15%	3.09%	10.80%
8167	71 Outperform	¥63.22B	11.45		3.02%	5.39%	14.57%
Sector *	62 Neutral	$20.56B	14.79	-3.30%	3.19%	1.94%	-8.41%

G-7 Holdings Inc. Corporate Events

G-7 Holdings Acquires Meat Planning Co. to Boost Meat Processing Sector

G-7 Holdings Inc. announced the acquisition of Meat Planning Co., Ltd., a company specializing in processing and wholesale of beef tongue, to enhance its meat processing and retailing capabilities. This strategic move is expected to create synergies with its subsidiary, G-7 Meat Terabayashi Co., Ltd., and is anticipated to have a negligible impact on the company’s financial results for the fiscal year ending March 31, 2026.

The most recent analyst rating on (JP:7508) stock is a Buy with a Yen1525.00 price target. To see the full list of analyst forecasts on G-7 Holdings Inc. stock, see the JP:7508 Stock Forecast page.

G-7 Holdings Reports Strong Quarterly Growth and Positive Outlook

G-7 Holdings Inc. reported a 14.4% increase in net sales for the three months ending June 30, 2025, compared to the same period in the previous year. The company also saw a 22% rise in profit attributable to owners, indicating strong financial performance. The forecast for the fiscal year ending March 31, 2026, predicts continued growth with a 7.4% increase in net sales and a 15.4% rise in profit attributable to owners. These results and forecasts suggest a positive outlook for the company, potentially strengthening its market position and benefiting stakeholders.

G-7 Holdings Completes Treasury Share Disposal for Remuneration

G-7 Holdings Inc. has completed the payment process for the disposal of 16,000 treasury shares as restricted share-based remuneration, following a resolution by the Board of Directors. This move is aimed at aligning the interests of the company’s directors and subsidiaries with its long-term goals, potentially impacting its operational and strategic positioning.

G-7 Holdings Inc. Announces Restricted Share-Based Remuneration Plan

G-7 Holdings Inc. announced the disposal of 16,000 treasury shares as restricted share-based remuneration, aiming to align the interests of its directors with shareholders by tying their compensation to stock performance. This initiative is expected to enhance corporate value and incentivize directors to contribute to the company’s growth, impacting both the company’s operational strategies and its appeal to stakeholders.