Aeon Hokkaido Corporation (7512) AI Stock Analysis

• Market Cap: ¥123.21B
• Dividend Yield: 1.8%
• Average Volume (3M): 90.27K
• Price to Earnings (P/E): 34.2
• Beta (1Y): 0.20
• Revenue Growth: 6.03%
• EPS Growth: -41.79%
• Country: JP
• Employees: 1,390
• Sector: Consumer Cyclical
• Sector Strength: 59
• Industry: Department Stores
• EPS (TTM): 12.18
• Shares Outstanding: 139,420,290
• 10 Day Avg. Volume: 85,290
• 30 Day Avg. Volume: 90,273
• PEG Ratio: 1.10
• Price to Book (P/B): 1.77
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 19.17
• 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

• Rating: 70 Outperform
• Price Target: ―

Aeon Hokkaido Corporation's overall stock score reflects its strong revenue growth and stable balance sheet, balanced by challenges in profitability and capital management. The technical indicators are positive, indicating potential for price appreciation. However, the high P/E ratio suggests overvaluation, which is a risk if growth does not meet expectations. Investors should monitor operational efficiency improvements and leverage management.

Aeon Hokkaido Corporation Business Overview & Revenue Model

Company Description

Aeon Hokkaido Corporation operates as a subsidiary of the Aeon Group, a leading retail and financial services group in Japan. The company is primarily engaged in the operation of retail stores, including supermarkets and general merchandise stores, across the Hokkaido region. Aeon Hokkaido focuses on providing a wide range of products, including groceries, apparel, home goods, and electronics, catering to the everyday needs of consumers in the area.

How the Company Makes Money

Aeon Hokkaido Corporation generates revenue through the sale of goods in its retail stores, which form the core of its business model. The company operates a network of supermarkets and general merchandise stores, providing a broad selection of products to meet the needs of local consumers. Revenue is primarily driven by consumer spending in these stores. Aeon Hokkaido benefits from its affiliation with the Aeon Group, leveraging group-wide procurement and supply chain efficiencies to optimize costs and enhance product offerings. Additional revenue streams may include private label products and promotional activities conducted in partnership with suppliers. The company's performance is influenced by factors such as consumer trends, regional economic conditions, and its ability to maintain a competitive edge in the retail market.

Aeon Hokkaido Corporation Financial Statement Overview

Summary

Aeon Hokkaido Corporation demonstrates strong revenue growth and a stable balance sheet, but faces challenges in maintaining profitability and managing capital expenditures. The increasing leverage and declining profit margins suggest a need for strategic adjustments to sustain growth and improve financial health. The company should focus on enhancing operational efficiency and optimizing capital allocation to bolster its financial standing.

Income Statement

The company shows a positive revenue growth trend with revenue increasing from 204,510 million JPY in 2020 to 377,482 million JPY in 2025. However, there is a notable decrease in EBIT and EBITDA margins over the years, indicating a potential challenge in maintaining operational efficiency. The net profit margin has also been declining, which may impact profitability if not addressed.

Balance Sheet

The balance sheet reflects a strong equity base with stockholders' equity rising from 47,670 million JPY in 2020 to 73,063 million JPY in 2025. However, the debt-to-equity ratio has increased over time, suggesting higher leverage and potential risk if revenue growth does not keep pace with debt obligations. The equity ratio remains healthy, indicating a stable financial position.

Cash Flow

The cash flow statements indicate fluctuating free cash flow, with negative free cash flow reported in recent years. This is primarily due to significant capital expenditures, which could hinder future liquidity if not managed carefully. The operating cash flow remains positive, indicating core business operations are generating cash, albeit at a lower ratio to net income compared to previous years.

Breakdown
Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
377.48B	356.01B	339.66B	340.80B	338.46B
	Gross Profit
105.84B	100.95B	102.26B	100.13B	99.81B
	EBIT
7.89B	10.39B	8.35B	6.66B	9.37B
	EBITDA
12.31B	15.09B	13.32B	11.10B	13.64B
	Net Income Common Stockholders
3.61B	6.19B	4.71B	3.83B	5.85B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
4.37B	3.84B	3.90B	3.77B	6.30B
	Total Assets
187.26B	156.27B	152.97B	152.09B	144.26B
	Total Debt
46.44B	29.09B	29.63B	35.53B	19.93B
	Net Debt
42.07B	25.25B	25.73B	31.76B	13.62B
	Total Liabilities
114.20B	84.61B	85.81B	88.02B	82.39B
	Stockholders Equity
73.06B	71.67B	67.16B	64.08B	61.87B
Cash Flow		Free Cash Flow
-4.94B	4.04B	6.19B	-12.79B	6.90B
	Operating Cash Flow
12.87B	12.23B	14.88B	868.00M	13.68B
	Investing Cash Flow
-34.00B	-7.86B	-8.81B	-13.53B	-7.05B
	Financing Cash Flow
21.67B	-4.43B	-5.94B	10.13B	-4.25B

Aeon Hokkaido Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 886.00
• 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:7512, the sentiment is Positive. The current price of 886 is above the 20-day moving average (MA) of 884.15, above the 50-day MA of 872.78, and above the 200-day MA of 868.79, indicating a bullish trend. The MACD of 3.31 indicates Positive momentum. The RSI at 60.94 is Neutral, neither overbought nor oversold. The STOCH value of 62.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7512.

Aeon Hokkaido Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8255	75 Outperform	¥102.90B	11.09		2.43%	4.31%	21.77%
2653	73 Outperform	¥91.96B	14.92		1.70%	4.17%	-13.52%
8273	71 Outperform	¥232.37B	19.51		2.77%	11.24%	-41.84%
7512	70 Outperform	¥123.21B	34.22		1.80%	6.03%	-41.79%
Sector *	63 Neutral	$6.98B	11.41	2.80%	4.24%	2.68%	-24.94%
3222	62 Neutral	¥179.75B	168.91		1.74%	14.80%	-135.81%
8278	58 Neutral	¥173.89B	45.54		1.50%	0.99%	-48.66%