YU-WA Creation Holdings Co., Ltd. (7615) AI Stock Analysis

• Market Cap: ¥1.77B
• Dividend Yield: 6.32%
• Average Volume (3M): 790.11K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.54
• Revenue Growth: -14.14%
• EPS Growth: 71.50%
• Country: JP
• Employees: 437
• Sector: Consumer Cyclical
• Sector Strength: 75
• Industry: Apparel - Retail
• EPS (TTM): 6.92
• Shares Outstanding: 15,298,400
• 10 Day Avg. Volume: 575,080
• 30 Day Avg. Volume: 790,113
• 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: ¥129.00
• Price Target Upside: 2.38% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 52 Neutral
• Price Target: ¥178.00 ▲(41.27% Upside)

The overall stock score of 52 reflects significant financial challenges, including declining revenues and profitability issues, which are partially offset by strong gross margins. Technical analysis indicates bullish momentum, but the stock is overbought, suggesting caution. Valuation concerns, highlighted by a negative P/E ratio and lack of dividend yield, further weigh on the score.

YU-WA Creation Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

YU-WA Creation Holdings Co., Ltd. is a Japanese company engaged in the wholesale distribution of a wide range of products. The company operates in sectors including consumer electronics, home appliances, and other related consumer goods. It provides a diverse portfolio of products sourced from various manufacturers and suppliers, catering to retail businesses and direct consumers.

How the Company Makes Money

YU-WA Creation Holdings Co., Ltd. generates its revenue primarily through the wholesale distribution of consumer electronics and home appliances. The company purchases these products from manufacturers and suppliers and sells them to retailers and other businesses. It benefits from economies of scale and a broad distribution network, allowing it to offer competitive pricing and maintain robust sales volumes. Additionally, the company may form strategic partnerships with key suppliers to secure favorable terms and exclusive distribution rights, further enhancing its revenue potential.

YU-WA Creation Holdings Co., Ltd. Financial Statement Overview

Summary

YU-WA Creation Holdings Co., Ltd. is experiencing a challenging financial trajectory with declining revenues, consistent losses, and weakening balance sheet strength. Operational inefficiencies and cash flow issues pose significant concerns for the company's financial stability.

Income Statement

YU-WA Creation Holdings Co., Ltd. has faced significant challenges in maintaining stable revenue and profitability. The revenue has been on a declining trend from 2020 to 2025, with a decrease from 10.5 billion in 2020 to 5.16 billion in 2025. The company consistently reports a negative net income, indicating ongoing profitability issues. Notably, the gross profit margin remains relatively strong at around 58.7% in 2025, but the EBIT and net profit margins are negative, reflecting operational inefficiencies.

Balance Sheet

The balance sheet shows a concerning trend of decreasing stockholders' equity from 5.34 billion in 2020 to 1.98 billion in 2025, pointing to weakening financial health. The company has managed to maintain a low debt-to-equity ratio due to high equity levels earlier in the period, but this is deteriorating as equity decreases. The equity ratio has also declined, indicating increased financial leverage and potential risks.

Cash Flow

Cash flow analysis reveals persistent negative operating cash flow, indicating cash generation issues from core operations. Free cash flow has been consistently negative, although there is a slight improvement in 2025 compared to 2024. The operating cash flow to net income ratio and free cash flow to net income ratio are unfavorable, suggesting difficulties in converting earnings into cash.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	5.16B	7.02B	8.33B	8.48B	7.67B
Gross Profit	3.03B	3.72B	5.17B	5.22B	4.81B
EBITDA	-891.27M	-1.20B	-348.68M	-108.39M	243.06M
Net Income	-923.11M	-1.34B	-468.98M	-185.18M	77.48M
Balance Sheet
Total Assets	7.28B	8.91B	10.90B	11.86B	12.21B
Cash, Cash Equivalents and Short-Term Investments	1.67B	2.48B	3.23B	3.97B	4.28B
Total Debt	606.76M	1.34B	1.47B	1.43B	1.31B
Total Liabilities	5.30B	6.20B	6.79B	7.07B	6.88B
Stockholders Equity	1.98B	2.71B	4.11B	4.79B	5.33B
Cash Flow
Free Cash Flow	-398.42M	-702.45M	-502.39M	-451.49M	-738.92M
Operating Cash Flow	-268.01M	-641.49M	-444.00M	-334.98M	-651.05M
Investing Cash Flow	13.53M	77.99M	-59.17M	-742.00K	433.77M
Financing Cash Flow	-554.21M	-193.17M	-233.27M	17.40M	923.45M

YU-WA Creation Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 126.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7615, the sentiment is Positive. The current price of 126 is above the 20-day moving average (MA) of 98.20, above the 50-day MA of 94.98, and above the 200-day MA of 86.97, indicating a bullish trend. The MACD of 8.66 indicates Negative momentum. The RSI at 90.37 is Negative, neither overbought nor oversold. The STOCH value of 81.25 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7615.

YU-WA Creation Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9271	73 Outperform	¥3.60B	7.69		―	37.51%	176.25%
Sector *	63 Neutral	AU$3.11B	28.69	25.32%	4.52%	2.39%	-30.11%
2778	54 Neutral	¥1.78B	―		―	-6.82%	-146.83%
7615	52 Neutral	¥1.77B	―		6.32%	-14.14%	71.50%
8013	49 Neutral	¥2.28B	23.46		―	0.39%	-288.31%
7603	46 Neutral	¥9.12B	―		―	-10.95%	-19.17%
9878	38 Underperform	¥2.07B	―		1.44%	-20.86%	-2441.42%