KOSAIDO Holdings Co.Ltd. (7868) AI Stock Analysis

• Market Cap: ¥69.07B
• Dividend Yield: 2.62%
• Average Volume (3M): 727.28K
• Price to Earnings (P/E): 15.6
• Beta (1Y): 0.50
• Revenue Growth: 8.02%
• EPS Growth: -2.32%
• Country: JP
• Employees: 1,100
• Sector: Industrials
• Sector Strength: 87
• Industry: Specialty Business Services
• EPS (TTM): 1.26
• Shares Outstanding: 144,332,640
• 10 Day Avg. Volume: 1,043,370
• 30 Day Avg. Volume: 727,283
• PEG Ratio: 0.11
• Price to Book (P/B): 0.15
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.15
• 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

• Rating: 71 Outperform
• Price Target: ¥526.00 ▲(10.50%Upside)

KOSAIDO Holdings' strong financial performance, characterized by revenue growth and stable profitability, is the most significant factor in its score. The technical analysis shows a short-term positive trend, although caution is advised over the long term. Valuation metrics suggest the stock is fairly priced. However, the need for improvement in cash flow management tempers the overall score.

KOSAIDO Holdings Co.Ltd. Business Overview & Revenue Model

Company Description

KOSAIDO Holdings Co., Ltd. is a diversified Japanese company engaged in multiple sectors, including printing, human resources, and real estate. The company provides a range of services such as commercial printing, staffing solutions, and management of office buildings. KOSAIDO is known for leveraging its expertise in these areas to deliver comprehensive solutions tailored to meet the needs of its diverse clientele.

How the Company Makes Money

KOSAIDO Holdings Co., Ltd. generates revenue through its varied business operations. The company earns income from its commercial printing services, which include the production and distribution of printed materials for advertising and business purposes. In the human resources sector, KOSAIDO provides staffing and recruitment services, generating fees from client companies seeking talent acquisition solutions. Additionally, the company manages real estate properties, earning rental income and fees from property management services. Key partnerships with corporate clients and the strategic management of its diversified portfolio contribute significantly to KOSAIDO's revenue streams.

KOSAIDO Holdings Co.Ltd. Financial Statement Overview

Summary

KOSAIDO Holdings demonstrates strong financial performance with significant revenue growth and stable profitability. The balance sheet reflects financial stability, but the company faces challenges in cash flow management with negative free cash flow growth.

Income Statement

KOSAIDO Holdings has demonstrated a strong revenue growth trajectory, with a notable increase in total revenue from 36.2 billion to 38.3 billion yen in the most recent year. The gross profit margin has improved to 42.15%, indicating efficient cost management. While the net profit margin stands at 11.66%, the EBIT margin increased to 21.67%, reflecting enhanced operational efficiency. However, the EBITDA margin slightly decreased to 25.09%. Overall, the income statement shows a positive growth trend with stable profitability.

Balance Sheet

The balance sheet of KOSAIDO Holdings is robust, characterized by a healthy equity ratio of 61.84% which indicates strong financial stability. The debt-to-equity ratio of 0.47 suggests prudent leverage management. Return on equity is at 9.34%, indicating effective use of equity to generate profits. Overall, the balance sheet reflects a stable and well-capitalized financial position, with a low-risk profile.

Cash Flow

The cash flow statement presents challenges with negative free cash flow growth, moving from a positive 6.98 billion yen to a negative 10.73 billion yen. The operating cash flow to net income ratio is negative, highlighting issues in converting profits to cash flow. Moreover, the free cash flow to net income ratio is negative. Despite these challenges, the company shows potential for cash flow improvement with strategic financial management adjustments.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	38.57B	38.30B	36.20B	36.67B	35.36B	31.50B
Gross Profit	16.57B	16.15B	14.22B	12.28B	10.87B	8.86B
EBITDA	10.67B	9.61B	8.85B	6.77B	6.51B	2.63B
Net Income	6.26B	4.46B	4.34B	4.04B	3.64B	854.00M
Balance Sheet
Total Assets	77.25B	77.26B	77.50B	71.13B	73.74B	64.59B
Cash, Cash Equivalents and Short-Term Investments	14.10B	15.71B	22.97B	18.70B	21.66B	14.15B
Total Debt	23.31B	22.59B	22.13B	23.40B	28.57B	25.37B
Total Liabilities	29.38B	29.31B	29.96B	29.70B	36.22B	32.97B
Stockholders Equity	47.72B	47.76B	47.30B	41.26B	37.43B	31.51B
Cash Flow
Free Cash Flow	0.00	-10.73B	6.98B	4.42B	2.65B	2.01B
Operating Cash Flow	0.00	-8.45B	10.00B	6.29B	3.66B	3.11B
Investing Cash Flow	0.00	4.09B	-9.02B	-3.94B	-700.00M	56.00M
Financing Cash Flow	0.00	-2.94B	-712.00M	-5.40B	5.54B	-15.84B

KOSAIDO Holdings Co.Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 476.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7868, the sentiment is Positive. The current price of 476 is above the 20-day moving average (MA) of 453.30, above the 50-day MA of 474.14, and below the 200-day MA of 499.30, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 57.99 is Neutral, neither overbought nor oversold. The STOCH value of 86.47 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7868.

KOSAIDO Holdings Co.Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7914	79 Outperform	¥42.27B	11.23		3.08%	3.08%	131.08%
7868	71 Outperform	¥69.07B	15.62		2.62%	8.02%	-2.32%
7946	70 Neutral	¥892.83M	14.59		2.60%	5.17%	-57.42%
7805	68 Neutral	¥3.40B	8.60		1.89%	-7.15%	39.05%
Sector *	67 Neutral	€8.25B	18.61	6.19%	2.68%	2.39%	-39.55%
7916	60 Neutral	¥4.14B	58.60		3.70%	0.38%	24.47%
7893	58 Neutral	¥27.96B	62.00		1.46%	2.92%	-74.66%

KOSAIDO Holdings Co.Ltd. Corporate Events

KOSAIDO Holdings Reports Strong Financial Growth and Strategic Realignment

KOSAIDO Holdings Co., Ltd. reported a significant increase in its consolidated financial results for the fiscal year ended March 31, 2025, with net sales rising by 8% and operating profit increasing by 55.9% compared to the previous year. The company has also undergone significant changes in its scope of consolidation, with the inclusion of three new companies and the exclusion of three others, indicating a strategic shift in its operational focus.