Sugi Holdings Co (7649) AI Stock Analysis

• Market Cap: $633.28B
• Dividend Yield: 0.97%
• Average Volume (3M): 634.13K
• Price to Earnings (P/E): 14.6
• Beta (1Y): 0.15
• Revenue Growth: 21.81%
• EPS Growth: 67.76%
• Country: JP
• Employees: 8,724
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Pharmaceuticals
• EPS (TTM): 40.85
• Shares Outstanding: 189,992,510
• 10 Day Avg. Volume: 884,930
• 30 Day Avg. Volume: 634,130
• PEG Ratio: 1.13
• Price to Book (P/B): 1.95
• Price to Sales (P/S): 0.56
• P/FCF Ratio: 36.72
• Enterprise Value/Market Cap: 0.96
• Enterprise Value/Revenue: 0.66
• Enterprise Value/Gross Profit: 2.08
• Enterprise Value/Ebitda: 9.94
• 1Y Price Target: $4,271.26
• Price Target Upside: 18.68% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: ¥4,223.00 ▲(17.34% Upside)

Sugi Holdings Co's strong financial performance is the most significant factor, supported by stable growth and efficient operations. Technical analysis shows positive momentum but warns of potential overbought conditions. Valuation is fair, with a reasonable P/E ratio and modest dividend yield. The absence of earnings call and corporate events data does not impact the score.

Sugi Holdings Co Business Overview & Revenue Model

Company Description

Sugi Holdings Co.,Ltd. operates drugstores in Japan. It also provides visiting nursing services and home care support services. As of June 1, 2019, the company operated 1,190 stores. Sugi Holdings Co.,Ltd. was founded in 1976 and is headquartered in Obu, Japan.

How the Company Makes Money

Sugi Holdings generates revenue primarily through the sale of pharmaceutical products and health-related goods in its drugstore chain. Key revenue streams include retail sales from prescription medications, over-the-counter drugs, cosmetics, and dietary supplements. The company benefits from a loyal customer base and a strong presence in the Japanese market, which contributes to consistent sales growth. Additionally, Sugi Holdings engages in strategic partnerships with pharmaceutical manufacturers and suppliers, enabling them to offer exclusive products and promotions. The company's focus on expanding its pharmacy operations and enhancing its service offerings, such as health consultations, further bolsters its revenue model.

Sugi Holdings Co Financial Statement Overview

Summary

Sugi Holdings Co exhibits a solid financial performance with strong revenue growth, stable profit margins, and robust cash flow generation. The balance sheet is stable with a conservative debt profile, indicating low financial risk.

Income Statement

Sugi Holdings Co has demonstrated strong revenue growth, with a notable increase in total revenue from 2024 to 2025. Gross profit margin and net profit margin have been stable, reflecting efficient cost management. EBIT and EBITDA margins are healthy, suggesting robust operational performance. The company's consistent revenue growth trajectory is a positive sign for future profitability.

Balance Sheet

The company's balance sheet reflects a strong equity position with a stable debt-to-equity ratio, indicating a conservative leverage strategy. The equity ratio is healthy, suggesting a solid financial foundation. However, there was a minor increase in total liabilities, which should be monitored for potential risks. Overall, the balance sheet suggests financial stability and low financial risk.

Cash Flow

Sugi Holdings Co has shown a strong free cash flow growth rate, indicating improved cash generation capabilities. The operating cash flow to net income ratio is stable, reflecting efficient cash management. The company has maintained a positive free cash flow to net income ratio, highlighting its ability to generate cash relative to its profitability. Cash flow trends suggest robust liquidity and financial flexibility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	922.52B	878.02B	744.48B	667.65B	625.48B	602.51B
Gross Profit	290.66B	275.04B	228.84B	202.52B	191.49B	181.29B
EBITDA	60.96B	56.18B	46.24B	40.56B	38.74B	41.48B
Net Income	40.79B	25.69B	21.98B	19.01B	19.39B	21.12B
Balance Sheet
Total Assets	540.12B	495.12B	390.56B	351.89B	334.76B	345.93B
Cash, Cash Equivalents and Short-Term Investments	87.98B	52.79B	47.43B	70.64B	71.83B	95.84B
Total Debt	43.61B	45.35B	837.00M	1.95B	2.31B	2.26B
Total Liabilities	271.55B	244.41B	157.20B	135.36B	120.87B	145.30B
Stockholders Equity	268.57B	250.70B	233.36B	216.54B	213.89B	200.63B
Cash Flow
Free Cash Flow	0.00	13.31B	6.34B	16.77B	-16.20B	12.46B
Operating Cash Flow	0.00	36.94B	39.04B	38.28B	7.17B	34.03B
Investing Cash Flow	0.00	-33.28B	-30.98B	-23.26B	-23.89B	-29.25B
Financing Cash Flow	0.00	11.63B	-5.28B	-14.21B	-5.29B	-5.27B

Sugi Holdings Co Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 3599.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7649, the sentiment is Neutral. The current price of 3599 is below the 20-day moving average (MA) of 3607.35, above the 50-day MA of 3512.88, and above the 200-day MA of 3307.22, indicating a neutral trend. The MACD of 36.04 indicates Positive momentum. The RSI at 51.06 is Neutral, neither overbought nor oversold. The STOCH value of 17.03 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7649.

Sugi Holdings Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7649	75 Outperform	$633.28B	14.63	15.71%	0.97%	21.81%	67.76%
3141	72 Outperform	¥646.79B	33.60	―	1.14%	7.79%	-13.09%
9989	69 Neutral	¥497.28B	15.67	11.50%	3.06%	6.32%	8.19%
3391	67 Neutral	$655.71B	29.99	―	1.75%	―	―
3549	67 Neutral	¥375.48B	22.90	―	0.38%	15.81%	27.05%
3349	60 Neutral	¥555.13B	17.83	―	1.01%	3.73%	18.84%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Sugi Holdings Co Corporate Events

Sugi Holdings Reports Strong Financial Growth and Strategic Merger

Sugi Holdings Co., Ltd. reported a substantial increase in its consolidated financial results for the six months ending August 31, 2025, with net sales rising by 20.9% year-on-year to ¥500,172 million and profit attributable to owners of the parent surging by 119.1% to ¥28,616 million. The company also announced a merger with Sugi Pharmacy Co., Ltd. as the surviving entity, which may impact its operational structure and market positioning.

Sugi Holdings Reports Strong Sales Growth in August 2025

In August 2025, Sugi Holdings Co. reported a 2.4% increase in sales for existing stores, driven by a 1.4% rise in the drugstore segment and a 6.1% boost in the prescription business. On an all-store basis, total sales surged by 13.9%, with the drugstore business growing by 4.9% and the prescription business by an impressive 48.5%. The company opened nine new stores and closed four, bringing the total number of outlets to 2,279 by the end of the month. These developments indicate a strong market position and growth trajectory for Sugi Holdings, likely benefiting stakeholders and enhancing its competitive edge in the industry.

SUGI Holdings Secures Loan Agreement with Financial Covenants

SUGI Holdings Co., Ltd. has entered into a loan agreement with Aozora Bank, Ltd. for JPY 30,000 million, with a repayment deadline set for September 17, 2032. The agreement includes financial covenants to maintain certain financial metrics, such as net assets and profit levels, and requires a long-term issuer rating of BBB or higher. The company anticipates that the agreement will have a minor impact on its consolidated business results for the fiscal year ending in February 2026.