Yakuodo Holdings Co., Ltd. (7679) AI Stock Analysis

• Market Cap: ¥42.50B
• Dividend Yield: 1.3%
• Average Volume (3M): 46.97K
• Price to Earnings (P/E): 9.7
• Beta (1Y): 0.50
• Revenue Growth: 6.65%
• EPS Growth: 12.77%
• Country: JP
• Employees: 978
• Sector: Healthcare
• Sector Strength: 39
• Industry: Medical - Pharmaceuticals
• EPS (TTM): 68.06
• Shares Outstanding: 19,740,220
• 10 Day Avg. Volume: 57,050
• 30 Day Avg. Volume: 46,970
• PEG Ratio: 1.50
• Price to Book (P/B): 1.59
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 17.71
• 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: ¥2,510.00
• Price Target Upside: 13.11% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 80 Outperform
• Price Target: ¥2,510.00 ▲(13.11%Upside)

The strong technical analysis and solid valuation of Yakuodo Holdings contribute significantly to its overall score. Financial performance is robust, with impressive revenue growth and profitability improvements. Despite some concerns about cash flow volatility, the company's effective conversion of earnings into cash is reassuring. The stock's bullish momentum, coupled with reasonable valuation metrics, positions it well for investors seeking growth with a balanced risk profile.

Yakuodo Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

Yakuodo Holdings Co., Ltd. (7679) is a Japan-based company primarily engaged in the retail industry, focusing on the operation of drugstores. The company offers a wide range of products, including pharmaceuticals, cosmetics, daily necessities, and food items. Yakuodo Holdings operates a chain of drugstores under the Yakuodo brand, catering to health and wellness needs of its customers while also providing a diverse selection of everyday goods.

How the Company Makes Money

Yakuodo Holdings Co., Ltd. generates revenue primarily through the sale of products in its drugstore chain. The company's revenue streams include the sale of pharmaceuticals, which constitutes a significant portion of its income, as well as cosmetics, daily necessities, and food products. By offering a diverse product lineup, Yakuodo attracts a wide customer base, ensuring a stable flow of income. Additionally, the company may engage in strategic partnerships or collaborations with suppliers to optimize procurement and cost management, thereby enhancing profitability. Yakuodo Holdings' earnings are also influenced by its ability to expand its retail footprint and enhance customer engagement through loyalty programs and promotions.

Yakuodo Holdings Co., Ltd. Financial Statement Overview

Summary

Yakuodo Holdings shows strong financial performance with consistent revenue growth and improved profitability margins. The balance sheet indicates a healthy financial position with a solid equity base, though attention to debt management is advised. Cash flow management poses challenges due to free cash flow volatility, but effective earnings conversion into cash is a positive sign.

Income Statement

Yakuodo Holdings has demonstrated consistent revenue growth, with a notable increase from ¥128.79 billion in 2023 to ¥151.96 billion in 2025. The gross profit margin has remained stable, averaging around 19.5% over the years. Net profit margins have improved, reaching 2.81% in 2025, indicating better cost management and operational efficiency. Furthermore, both EBIT and EBITDA margins show an upward trend, suggesting robust core business profitability.

Balance Sheet

The company's balance sheet reflects a stable financial structure with a debt-to-equity ratio improving over time, reaching 0.49 in 2025. The return on equity (ROE) has shown a positive trajectory, indicating effective utilization of shareholder funds. The equity ratio of 46.34% in 2025 suggests a solid equity base, providing a cushion against potential financial risks. However, the company should continue monitoring its debt levels to ensure long-term financial stability.

Cash Flow

Yakuodo Holdings experienced fluctuations in free cash flow, with growth from negative figures in 2022 to a positive ¥569 million in 2025. The operating cash flow to net income ratio suggests that the company is efficiently converting its earnings into cash. Nonetheless, the volatility in free cash flow growth rates indicates potential challenges in cash management, which the company needs to address to ensure sustainable cash flow generation.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	149.92B	151.96B	142.24B	128.79B	120.31B	110.53B
Gross Profit	29.96B	29.66B	30.68B	28.25B	27.24B	25.66B
EBITDA	8.04B	8.71B	8.16B	7.56B	6.67B	7.10B
Net Income	3.85B	4.28B	3.83B	3.24B	2.96B	3.29B
Balance Sheet
Total Assets	81.61B	79.98B	70.78B	67.71B	62.30B	60.64B
Cash, Cash Equivalents and Short-Term Investments	10.29B	7.17B	4.95B	5.28B	4.25B	9.14B
Total Debt	14.96B	18.19B	13.60B	15.75B	15.61B	16.30B
Total Liabilities	45.44B	42.91B	37.47B	37.77B	34.76B	35.61B
Stockholders Equity	36.17B	37.06B	33.31B	29.94B	27.53B	25.02B
Cash Flow
Free Cash Flow	0.00	569.00M	3.47B	2.70B	-2.49B	876.00M
Operating Cash Flow	0.00	4.49B	5.63B	6.41B	3.69B	5.21B
Investing Cash Flow	0.00	-4.57B	-2.27B	-4.11B	-6.63B	-4.98B
Financing Cash Flow	0.00	2.30B	-3.69B	-1.27B	-1.95B	6.95B

Yakuodo Holdings Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2219.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7679, the sentiment is Neutral. The current price of 2219 is below the 20-day moving average (MA) of 2261.20, above the 50-day MA of 2141.46, and above the 200-day MA of 2041.41, indicating a neutral trend. The MACD of 19.99 indicates Positive momentum. The RSI at 42.74 is Neutral, neither overbought nor oversold. The STOCH value of 21.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7679.

Yakuodo Holdings Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7679	80 Outperform	¥42.50B	9.67		1.30%	6.65%	12.77%
3148	78 Outperform	¥204.20B	14.62		2.10%	8.98%	0.10%
3549	76 Outperform	¥418.81B	21.88		0.35%	14.79%	35.84%
9267	75 Outperform	¥125.70B	18.46		0.32%	7.83%	14.06%
2664	69 Neutral	¥62.26B	12.76		2.87%	0.65%	3.63%
Sector *	65 Neutral	€6.58B	20.31	-1.30%	2.21%	-0.16%	-45.39%
3544	65 Neutral	¥11.46B	14.96		1.20%	4.87%	63.01%

Yakuodo Holdings Co., Ltd. Corporate Events

Yakuodo Holdings Reports Sales Growth and Store Expansion in June 2025

Yakuodo Holdings Co., Ltd. reported a positive trend in its monthly sales flash report for June 2025, with net sales and customer numbers increasing year-on-year. The company opened three new stores in June, bringing the total number of stores to 412, which indicates a strategic expansion in Tochigi and Ibaraki Prefectures. This growth reflects the company’s robust market positioning and commitment to increasing its footprint in the retail sector.

Yakuodo Holdings Reports Positive Financial Growth in Q1 2025

Yakuodo Holdings Co., Ltd. reported a 7.6% increase in net sales for the three months ending May 31, 2025, compared to the same period in 2024. The company also saw improvements in operating profit and ordinary profit, indicating a positive trend in financial health. The forecast for the fiscal year ending February 28, 2026, shows expected growth in net sales and profits, suggesting a strong market position and potential benefits for stakeholders.

Yakuodo Holdings Reappoints Directors to Ensure Continuity

Yakuodo Holdings Co., Ltd. announced the reappointment of six directors and three audit and supervisory committee members during its 6th Annual General Meeting of Shareholders. This decision, also mirrored by its subsidiary Yakuodo Co. Ltd., reflects the company’s commitment to maintaining its current leadership structure, which may ensure continuity in its strategic direction and operational stability.

Yakuodo Holdings Reports Sales Growth and Store Expansion in April 2025

Yakuodo Holdings Co., Ltd. reported a year-on-year increase in net sales, number of customers, and average customer spend for both all stores and existing stores as of April 2025. The company opened two new stores in April, bringing the total number of stores to 406, indicating a strategic expansion in its retail footprint. This expansion is likely to strengthen its market position and increase accessibility for customers, with no store closures reported.

Yakuodo Holdings Announces Tentative Director Appointments

Yakuodo Holdings Co., Ltd. has announced a tentative decision regarding the appointment of directors for both the company and its subsidiary, Yakuodo Co. Ltd. The formal decision will be made at the upcoming Annual General Meeting of Shareholders on May 27, 2025. The announcement includes the reappointment of key directors, indicating stability and continuity in leadership, which could positively impact the company’s operations and reassure stakeholders.