Transaction Co., Ltd. (7818) AI Stock Analysis

• Market Cap: ¥65.30B
• Dividend Yield: 2.57%
• Average Volume (3M): 182.34K
• Price to Earnings (P/E): 12.4
• Beta (1Y): 0.28
• Revenue Growth: 10.64%
• EPS Growth: -7.53%
• Country: JP
• Employees: 481
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Household & Personal Products
• EPS (TTM): 21.65
• Shares Outstanding: 57,550,800
• 10 Day Avg. Volume: 207,660
• 30 Day Avg. Volume: 182,340
• PEG Ratio: 1.81
• Price to Book (P/B): 3.59
• Price to Sales (P/S): 2.57
• P/FCF Ratio: 17.59
• 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): 75.6
• Revenue Forecast (FY): ¥30.20B

• Rating: 80 Outperform
• Price Target: ¥1,405.00 ▲(27.96% Upside)
• Action: Reiterated Date: 01/04/26
• Date: Action: Reiterated 01/04/26

The score is driven primarily by strong fundamentals—improving margins, strong ROE, and extremely low leverage—partially offset by uneven cash-flow history. Technicals are mildly positive but not yet supported by longer-term trends, while valuation is fair with a modest dividend yield.

Positive Factors

Improving operating profitability (EBIT margin expansion)

EBIT margin expanded from ~14% in 2020 to ~22% in 2025, reflecting sustained operational improvement. Higher, stable operating margins enhance earnings durability, increase free-cash-flow potential and provide a structural buffer versus cost shocks, strengthening long-term profitability.

Negative Factors

Volatile cash flow history

Operating and free cash flow have shown material swings (sharp 2022 drop, 2024 FCF decline), which undermines confidence in consistent cash conversion despite a 2025 rebound. Persistent volatility can constrain reinvestment, dividends or cushioning for cyclical pressure over the medium term.

Transaction Co., Ltd. Business Overview & Revenue Model

Company Description

TRANSACTION CO.,Ltd. plans, designs, manufactures, and sells consumer products in Japan and internationally. The company offers event products, such as T-shirts, towels, and penlights; animation or game goods; sales promotion goods; notebooks; bag...

Read more

TRANSACTION CO.,Ltd. plans, designs, manufactures, and sells consumer products in Japan and internationally. The company offers event products, such as T-shirts, towels, and penlights; animation or game goods; sales promotion goods; notebooks; bag...

How the Company Makes Money

Transaction Co., Ltd. generates revenue primarily by providing payment-related services to merchants and/or service providers. Key revenue streams typically include fees tied to payment processing/settlement, service usage fees for operating payme...

Read more

Transaction Co., Ltd. generates revenue primarily by providing payment-related services to merchants and/or service providers. Key revenue streams typically include fees tied to payment processing/settlement, service usage fees for operating payme...

Transaction Co., Ltd. Financial Statement Overview

Breakdown	Aug 2025	Aug 2024	Aug 2023	Aug 2022	Aug 2021
Income Statement
Total Revenue	27.45B	25.05B	22.96B	18.27B	17.14B
Gross Profit	10.79B	9.81B	9.04B	7.16B	6.65B
EBITDA	5.94B	5.41B	4.79B	3.35B	2.94B
Net Income	4.08B	3.76B	3.31B	2.20B	2.06B
Balance Sheet
Total Assets	23.80B	22.32B	20.60B	16.65B	14.49B
Cash, Cash Equivalents and Short-Term Investments	6.61B	5.99B	6.87B	4.63B	5.45B
Total Debt	434.61M	768.14M	763.65M	622.45M	802.02M
Total Liabilities	4.13B	4.17B	4.36B	3.30B	3.16B
Stockholders Equity	19.66B	18.15B	16.24B	13.35B	11.33B
Cash Flow
Free Cash Flow	4.01B	2.31B	3.58B	190.44M	2.28B
Operating Cash Flow	4.25B	3.02B	3.77B	239.58M	2.31B
Investing Cash Flow	-547.22M	-1.72B	-1.48B	-213.75M	-465.36M
Financing Cash Flow	-2.95B	-1.52B	-555.70M	-819.30M	-709.84M

Transaction Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1098.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7818, the sentiment is Negative. The current price of 1098 is below the 20-day moving average (MA) of 1209.65, below the 50-day MA of 1245.18, and below the 200-day MA of 1172.32, indicating a bearish trend. The MACD of -30.59 indicates Positive momentum. The RSI at 37.02 is Neutral, neither overbought nor oversold. The STOCH value of 12.28 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7818.

Transaction Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7818	80 Outperform	¥65.30B	12.40	―	2.57%	10.64%	-7.53%
4919	71 Outperform	¥86.98B	22.92	7.23%	3.53%	3.05%	-32.61%
4923	66 Neutral	¥34.73B	6.92	―	1.81%	0.22%	4.15%
3180	64 Neutral	¥19.64B	22.30	―	1.11%	13.45%	-5.58%
4933	64 Neutral	¥20.55B	33.88	―	0.91%	13.12%	27.53%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
6630	48 Neutral	¥41.05B	-33.63	―	1.23%	-14.80%	89.50%

Transaction Co., Ltd. Corporate Events