UNITED ARROWS LTD. (7606) AI Stock Analysis

• Market Cap: ¥62.35B
• Dividend Yield: 2.51%
• Average Volume (3M): 143.66K
• Price to Earnings (P/E): 15.2
• Beta (1Y): 0.51
• Revenue Growth: 11.62%
• EPS Growth: -17.80%
• Country: JP
• Employees: 3,980
• Sector: Consumer Cyclical
• Sector Strength: 71
• Industry: Apparel - Retail
• EPS (TTM): 53.00
• Shares Outstanding: 30,213,676
• 10 Day Avg. Volume: 175,130
• 30 Day Avg. Volume: 143,663
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥2,400.00
• Price Target Upside: 12.36% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 76 Outperform
• Price Target: ¥2,400.00 ▲(12.36% Upside)

UNITED ARROWS LTD. demonstrates strong financial performance with robust revenue growth and efficient cash flow management. The technical indicators suggest a mixed outlook with potential for bullish momentum. The valuation is reasonable, offering a fair P/E ratio and a decent dividend yield. The absence of earnings call data and corporate events does not impact the score.

UNITED ARROWS LTD. Business Overview & Revenue Model

Company Description

United Arrows Ltd. plans, buys, and retails men's and women's clothing and accessories, and miscellaneous items in Japan. It operates multi-brand shops under the UNITED ARROWS, District UNITED ARROWS, LOEFF, AEWEN MATOPH, BLAMINK, BEAUTY&YOUTH UNITED ARROWS, monkey time BEAUTY&YOUTH UNITED ARROWS, 6(ROKU), H BEAUTY&YOUTH, STEVEN ALAN, UNITED ARROWS green label relaxing, Odette e Odile, DRAWER, ASTRAET, UNITED ARROWS LTD.OUTLET, California General Store, UNITED ARROWS & SONS, and CITEN brands, as well as online store under the UNITED ARROWS ONLINE brand name. The company also sells its products under the coen and CHROME HEARTS brands. United Arrows Ltd. was incorporated in 1975 and is headquartered in Tokyo, Japan.

How the Company Makes Money

UNITED ARROWS LTD. generates revenue primarily through the retail sale of apparel and accessories in its physical stores and online platforms. The company's key revenue streams include sales from its various branded stores, which are strategically positioned to target different market segments and customer demographics. Additionally, UNITED ARROWS benefits from partnerships with international brands and exclusive collaborations, allowing it to offer unique and premium products that attract a loyal customer base. The company's earnings are also supported by its effective supply chain management and ability to adapt to changing fashion trends, ensuring a steady flow of high-demand products.

UNITED ARROWS LTD. Financial Statement Overview

Summary

UNITED ARROWS LTD. exhibits strong financial health with impressive revenue growth and efficient cash flow management. The company maintains a solid equity position with minimal leverage, although there's a slight decline in net profit margin and return on equity.

Income Statement

UNITED ARROWS LTD. has demonstrated strong revenue growth, with a 12.39% increase from 2024 to 2025. The company also maintains a solid gross profit margin of 51.23% and a respectable EBIT margin of 5.29%. However, the net profit margin has slightly decreased to 2.84% in 2025 from 3.63% in 2024. Overall, the income statement shows robust growth and stable profitability.

Balance Sheet

The balance sheet reflects a robust equity position with an equity ratio of 53.92%, indicating financial stability. The debt-to-equity ratio is low at 0.03, indicating minimal leverage. However, the return on equity has decreased from 13.92% in 2024 to 11.32% in 2025, showing a slight decline in profitability relative to equity.

Cash Flow

UNITED ARROWS LTD. has demonstrated a strong operating cash flow to net income ratio of 1.66, indicating efficient cash generation relative to net income. Free cash flow increased significantly by 36.62% from 2024 to 2025, showcasing effective cash flow management. The free cash flow to net income ratio of 1.04 indicates a healthy conversion of income to cash.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	150.91B	134.27B	130.13B	118.38B	121.71B
Gross Profit	77.31B	69.46B	67.18B	59.09B	55.02B
EBITDA	9.64B	9.21B	8.43B	3.64B	-4.98B
Net Income	4.28B	4.88B	4.34B	732.00M	-7.20B
Balance Sheet
Total Assets	70.14B	60.20B	61.18B	59.70B	63.62B
Cash, Cash Equivalents and Short-Term Investments	6.67B	6.49B	8.56B	5.59B	6.60B
Total Debt	1.03B	202.00M	2.50B	7.80B	15.60B
Total Liabilities	32.32B	25.17B	27.48B	29.63B	33.77B
Stockholders Equity	37.82B	35.03B	33.70B	30.07B	29.84B
Cash Flow
Free Cash Flow	4.46B	3.26B	9.10B	5.96B	-6.76B
Operating Cash Flow	7.10B	6.34B	10.26B	6.89B	-4.28B
Investing Cash Flow	-6.24B	-2.66B	-1.25B	215.00M	-4.08B
Financing Cash Flow	-699.00M	-5.77B	-5.98B	-8.00B	9.27B

UNITED ARROWS LTD. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2136.00
• 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:7606, the sentiment is Negative. The current price of 2136 is below the 20-day moving average (MA) of 2180.80, above the 50-day MA of 2128.60, and below the 200-day MA of 2264.15, indicating a neutral trend. The MACD of 14.36 indicates Positive momentum. The RSI at 43.99 is Neutral, neither overbought nor oversold. The STOCH value of 40.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7606.

UNITED ARROWS LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8214	78 Outperform	¥148.34B	16.06		3.11%	2.37%	19.23%
7606	76 Outperform	¥62.35B	15.17		2.51%	11.62%	-17.80%
Sector *	67 Neutral	¥277.28B	14.63	6.84%	2.51%	5.14%	-22.98%
9B7	―	€676.58M	11.41	5.63%	―	―	―
2726	73 Outperform	¥487.97B	36.46		1.11%	9.20%	-0.71%
2792	69 Neutral	¥42.22B	11.31		3.63%	2.00%	-23.48%
7564	67 Neutral	¥468.44B	25.74		1.19%	5.25%	14.24%

UNITED ARROWS LTD. Corporate Events

UNITED ARROWS LTD. Reports Mixed Financial Results for Q1 2025

UNITED ARROWS LTD. reported its consolidated financial results for the three months ended June 30, 2025, showing a 7.6% increase in net sales compared to the previous year. However, the company experienced declines in operating profit, ordinary profit, and profit attributable to owners of the parent, indicating challenges in managing costs or market conditions. Despite these challenges, the company maintains a strong equity-to-asset ratio, and its financial forecasts for the fiscal year ending March 31, 2026, project growth in net sales and profits, suggesting optimism for future performance.

The most recent analyst rating on (JP:7606) stock is a Hold with a Yen2500.00 price target. To see the full list of analyst forecasts on UNITED ARROWS LTD. stock, see the JP:7606 Stock Forecast page.

UNITED ARROWS LTD. Reports Strong Sales Growth and Increased Dividends

UNITED ARROWS LTD. reported its consolidated financial results for the fiscal year ended March 31, 2025, showing a notable increase in net sales by 12.4% to ¥150,910 million and operating profit by 18.5% to ¥7,984 million. Despite a decline in profit attributable to owners of parent by 12.2%, the company improved its cash flow from operating activities and increased dividends per share, indicating a positive outlook for future growth and shareholder returns.

The most recent analyst rating on (JP:7606) stock is a Hold with a Yen2500.00 price target. To see the full list of analyst forecasts on UNITED ARROWS LTD. stock, see the JP:7606 Stock Forecast page.

UNITED ARROWS LTD. Announces Progressive Dividend Policy and Dividend Increase

UNITED ARROWS LTD. announced a change in its dividend policy to introduce a progressive dividend approach, aiming to enhance shareholder value by maintaining or increasing dividends in line with profit growth. The company also reported a dividend increase for the fiscal year ended March 31, 2025, with a year-end dividend of 46 yen per share, reflecting a stronger-than-expected business performance and a commitment to a payout ratio of 40% or higher.

UNITED ARROWS Reports Increased Sales but Decline in Profit

UNITED ARROWS LTD. reported a 12.4% increase in net sales for the fiscal year ending March 31, 2025, reaching 150,910 million yen. Despite the growth in sales and operating profit, the profit attributable to owners of the parent decreased by 12.2% to 4,282 million yen. The company plans to increase its annual dividends per share to 63 yen and forecasts further growth in net sales and profits for the next fiscal year, indicating a positive outlook for stakeholders.