Margin Recovery & ProfitabilityDaisui has moved from prior losses to positive EBIT/EBITDA and a net margin of 1.20%, showing operational fixes and cost discipline. Sustained positive margins indicate the business model can generate recurring profits, supporting reinvestment and resilience across 2–6 months if cost control holds.

Balance Sheet Strength & Low LeverageA low debt-to-equity ratio and near-50% equity ratio provide a durable financial buffer against industry volatility. Improved ROE (10.38%) shows better capital efficiency. This capital structure supports strategic investments and preserves access to financing without excessive leverage over the medium term.

Revenue And EPS Growth TrajectoryTop-line growth and strong EPS improvement point to recovering demand and operating leverage. Consistent revenue expansion alongside double-digit EPS growth suggests management is translating sales into earnings improvement, a durable sign the company can expand profitability if cash conversion trends improve.

Bears Say

Negative Operating Cash FlowNegative operating and free cash flow indicate earnings are not yet converting into cash, limiting the firm's ability to self-fund capex, dividends, or working capital needs. Persisting cash deficits force reliance on financing or asset actions and constrain durable investment capacity.

Thin Absolute MarginsGross and net margins remain low, leaving limited buffer against input cost inflation or pricing pressures typical in food distribution. Thin margins reduce capacity to absorb shocks and to invest in growth initiatives; maintaining margin improvements is critical for long-term stability.

Declining Cash Reserves & Liquidity RiskDespite a stable capital structure, falling cash reserves increase short-term liquidity vulnerability. If working capital needs rise or cash conversion stays weak, the company may need external funding, which could raise costs or restrict operational flexibility over the next several months.

7538 FAQ

What was Daisui Co., Ltd.’s price range in the past 12 months?

Daisui Co., Ltd. lowest stock price was ¥288.00 and its highest was ¥463.00 in the past 12 months.

What is Daisui Co., Ltd.’s market cap?

Daisui Co., Ltd.’s market cap is ¥5.60B.

When is Daisui Co., Ltd.’s upcoming earnings report date?

Daisui Co., Ltd.’s upcoming earnings report date is May 18, 2026 which is in 71 days.

How were Daisui Co., Ltd.’s earnings last quarter?

Daisui Co., Ltd. released its earnings results on Feb 05, 2026. The company reported ¥31.16 earnings per share for the quarter, beating the consensus estimate of N/A by ¥31.16.

Is Daisui Co., Ltd. overvalued?

According to Wall Street analysts Daisui Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Daisui Co., Ltd. pay dividends?

Daisui Co., Ltd. pays a Annually dividend of ¥6 which represents an annual dividend yield of 1.67%. See more information on Daisui Co., Ltd. dividends here

What is Daisui Co., Ltd.’s EPS estimate?

Daisui Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Daisui Co., Ltd. have?

Daisui Co., Ltd. has 13,774,819 shares outstanding.

What happened to Daisui Co., Ltd.’s price movement after its last earnings report?

Daisui Co., Ltd. reported an EPS of ¥31.16 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 4.271%.

Which hedge fund is a major shareholder of Daisui Co., Ltd.?

Currently, no hedge funds are holding shares in JP:7538

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Daisui Co., Ltd.

Daisui Co.,Ltd., together with its subsidiaries, engages in the wholesale of marine products in Japan. It also offers fresh fish, frozen fish, salted, and dried fish; and refrigeration warehousing services. The company supplies its products to supermarkets and restaurants. It also exports its products. Daisui Co.,Ltd. was incorporated in 1939 and is based in Osaka, Japan.