Takasho Co., Ltd. (7590) AI Stock Analysis

• Market Cap: ¥7.96B
• Dividend Yield: 1.1%
• Average Volume (3M): 38.86K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.73
• Revenue Growth: 3.61%
• EPS Growth: 24.24%
• Country: JP
• Employees: 901
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Home Improvement
• EPS (TTM): -9.57
• Shares Outstanding: 17,590,115
• 10 Day Avg. Volume: 46,120
• 30 Day Avg. Volume: 38,863
• PEG Ratio: -0.13
• Price to Book (P/B): 0.54
• Price to Sales (P/S): 0.34
• P/FCF Ratio: -8.83
• 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): 3,852.15
• Revenue Forecast (FY): ¥3.53T

• Rating: 44 Neutral
• Price Target: ¥413.00 ▼(-3.73% Downside)

Takasho Co., Ltd. faces significant financial challenges, with declining profitability and cash flow issues being the most impactful factors. Technical analysis suggests neutral to bearish momentum, and valuation metrics highlight concerns with a negative P/E ratio. The lack of earnings call data and corporate events does not provide additional insights.

Positive Factors

Revenue Growth

Consistent revenue growth, albeit slight, indicates the company's ability to maintain its market presence and customer base, which is crucial for long-term sustainability.

Capital Structure

A moderate debt-to-equity ratio reflects a balanced approach to leverage, providing financial stability and flexibility for future investments.

Gross Profit Margin

A stable gross profit margin suggests effective cost management, which is essential for maintaining profitability in the long run.

Negative Factors

Cash Flow Challenges

Significant cash flow challenges indicate potential liquidity issues, which can hinder the company's ability to invest in growth opportunities and meet financial obligations.

Profitability Issues

Low profitability metrics highlight operational inefficiencies, which can impact the company's ability to generate sustainable earnings and shareholder value.

Return on Equity

A negative return on equity suggests inefficiencies in generating returns for shareholders, which can affect investor confidence and long-term growth prospects.

Takasho Co., Ltd. Business Overview & Revenue Model

Company Description

Takasho Co.,Ltd. engages in import and export of garden supplies in Japan and internationally. The company is also involved in the planning, design, and development of exterior products, such as indoor and outdoor garden and greening related products. In addition, it provides and processes CAD and CG software. The company was founded in 1935 and is headquartered in Kainan, Japan.

How the Company Makes Money

Takasho generates revenue through multiple streams including direct sales of its outdoor living products to consumers and businesses, as well as through partnerships with retailers and distributors. The company benefits from a robust distribution network that allows it to reach a wide customer base, both domestically and internationally. Additionally, Takasho may engage in custom projects and collaborations with landscaping firms, further enhancing its income sources. Seasonal demand for gardening and outdoor products also plays a significant role in its revenue fluctuations, contributing to earnings during peak periods such as spring and summer.

Takasho Co., Ltd. Financial Statement Overview

Summary

Takasho Co., Ltd. is experiencing financial difficulties, with declining profitability and cash flow issues. Despite a stable capital structure, the negative return on equity and cash flow challenges pose significant risks. The company needs to address operational inefficiencies and improve cash generation to enhance financial stability.

Income Statement

Takasho Co., Ltd. has shown a slight revenue growth of 2.41% in the latest year, but profitability metrics are concerning. The company has a negative net profit margin of -1.22% and an EBIT margin of 1.11%, indicating operational challenges. The gross profit margin remains relatively stable at 42.18%, suggesting some efficiency in managing production costs. However, the declining EBITDA margin from previous years highlights potential issues in managing operating expenses.

Balance Sheet

The company's debt-to-equity ratio is moderate at 0.46, indicating a balanced approach to leverage. However, the negative return on equity of -1.93% suggests inefficiencies in generating returns for shareholders. The equity ratio stands at 52.96%, reflecting a solid capital structure with a significant portion of assets financed by equity.

Cash Flow

Takasho Co., Ltd. faces significant cash flow challenges, with a negative free cash flow growth rate of -307.46% and negative operating cash flow. The high free cash flow to net income ratio of 2.90 indicates reliance on non-operational sources for cash, which could be unsustainable in the long term.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	20.12B	19.89B	19.41B	20.35B	20.78B	18.49B
Gross Profit	8.58B	8.39B	8.34B	9.01B	9.06B	8.26B
EBITDA	1.33B	1.03B	1.20B	1.79B	2.25B	1.91B
Net Income	-184.85M	-242.93M	-75.58M	518.96M	1.00B	952.89M
Balance Sheet
Total Assets	24.59B	23.81B	23.13B	23.64B	23.67B	19.69B
Cash, Cash Equivalents and Short-Term Investments	5.03B	3.65B	3.80B	4.21B	5.60B	3.94B
Total Debt	5.78B	5.79B	5.04B	4.70B	4.27B	5.55B
Total Liabilities	12.37B	11.06B	10.63B	10.25B	10.60B	10.17B
Stockholders Equity	12.09B	12.62B	12.38B	13.28B	12.96B	9.43B
Cash Flow
Free Cash Flow	0.00	-773.30M	373.04M	-1.09B	827.80M	1.46B
Operating Cash Flow	0.00	-266.49M	1.13B	-465.65M	1.48B	1.90B
Investing Cash Flow	0.00	-884.18M	-599.27M	-615.95M	-708.13M	-438.18M
Financing Cash Flow	0.00	599.95M	-701.89M	-470.62M	741.86M	-307.05M

Takasho Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 429.00
• 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:7590, the sentiment is Positive. The current price of 429 is below the 20-day moving average (MA) of 432.25, below the 50-day MA of 430.92, and above the 200-day MA of 420.46, indicating a bullish trend. The MACD of 5.08 indicates Negative momentum. The RSI at 68.73 is Neutral, neither overbought nor oversold. The STOCH value of 91.77 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7590.

Takasho Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9976	72 Outperform	¥5.58B	11.98	―	3.86%	4.17%	10.59%
9835	62 Neutral	¥3.94B	23.65	―	2.05%	-0.69%	-64.22%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
8208	61 Neutral	―	―	―	―	-3.21%	56.44%
9903	55 Neutral	¥5.92B	12.25	―	2.32%	-1.54%	―
7450	48 Neutral	¥10.71B	-5.06	―	0.50%	-0.60%	-386.40%
7590	44 Neutral	¥7.96B	―	―	1.10%	3.61%	24.24%

Takasho Co., Ltd. Corporate Events

Takasho Co., Ltd. Reports Strong First Half Financial Performance

Takasho Co., Ltd. reported a 2.2% increase in net sales for the first half of the fiscal year ending January 2026, reaching 10,929 million yen. The company also saw a significant rise in net income attributable to owners of the parent, which increased by 102.2% to 114 million yen. Despite a slight decrease in shareholders’ equity ratio from 53.0% to 49.1%, the company revised its full-year forecast upwards, expecting a 9.3% increase in net sales and a substantial rise in ordinary income by 461.0%.

The most recent analyst rating on (JP:7590) stock is a Hold with a Yen425.00 price target. To see the full list of analyst forecasts on Takasho Co., Ltd. stock, see the JP:7590 Stock Forecast page.

Takasho Co., Ltd. Revises Financial Forecast Upward for FY 2026

Takasho Co., Ltd. has revised its financial forecast upward for the fiscal year ending January 20, 2026, due to strong performance in its Pro-Use segment and growth in its subsidiary, TAKASHO DIGITEC CO., LTD. The company anticipates increased operating and net profits, driven by improved gross profit margins and lower than expected selling and administrative expenses.

The most recent analyst rating on (JP:7590) stock is a Hold with a Yen425.00 price target. To see the full list of analyst forecasts on Takasho Co., Ltd. stock, see the JP:7590 Stock Forecast page.

Takasho Co., Ltd. Reports Foreign Exchange Losses

Takasho Co., Ltd. has reported non-operating expenses due to foreign exchange losses for the second quarter of the fiscal year ending January 20, 2026. The company recorded significant losses in the first quarter and additional losses in the interim period due to fluctuations in exchange rates, impacting their financial performance.

The most recent analyst rating on (JP:7590) stock is a Hold with a Yen425.00 price target. To see the full list of analyst forecasts on Takasho Co., Ltd. stock, see the JP:7590 Stock Forecast page.