Joshin Denki Co., Ltd. (8173) AI Stock Analysis

• Market Cap: ¥72.68B
• Dividend Yield: 5.6%
• Average Volume (3M): 82.24K
• Price to Earnings (P/E): 19.4
• Beta (1Y): 0.37
• Revenue Growth: 5.91%
• EPS Growth: -21.23%
• Country: JP
• Employees: 4,245
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Department Stores
• EPS (TTM): 35.04
• Shares Outstanding: 28,000,000
• 10 Day Avg. Volume: 50,600
• 30 Day Avg. Volume: 82,240
• PEG Ratio: -0.55
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 0.14
• P/FCF Ratio: 5.51
• 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): 117.9
• Revenue Forecast (FY): ¥417.00B

• Rating: 60 Neutral
• Price Target: ¥2,536.00 ▼(-6.52% Downside)
• Action: Reiterated Date: 10/23/25
• Date: Action: Reiterated 10/23/25

Joshin Denki's overall stock score of 60 is primarily driven by strong technical momentum, with the stock price trending above key moving averages and supported by positive indicators like RSI and MACD. Financial performance is mixed, with robust cash flow offset by weak profitability and revenue stagnation. Valuation is reasonable, bolstered by an attractive dividend yield of 5.62%. The score reflects cautious optimism, with technical strength as the key positive factor.

Positive Factors

Stable Balance Sheet

A stable balance sheet with a healthy equity ratio suggests the company has a solid asset base relative to liabilities, providing financial stability and resilience against market fluctuations.

Diversified Revenue Model

A diversified revenue model with multiple streams, including services and warranties, enhances financial stability and reduces dependency on any single income source, supporting long-term growth.

Partnerships with Manufacturers

Strategic partnerships with major manufacturers enable Joshin Denki to offer exclusive products, enhancing competitive advantage and driving sales, which supports sustainable revenue growth.

Negative Factors

Declining Revenue

A declining revenue trend indicates potential challenges in maintaining market share and competitiveness, which could impact long-term growth and profitability if not addressed.

Cash Flow Volatility

Volatile cash flow can hinder the company's ability to invest in growth opportunities and manage operations efficiently, posing risks to financial stability and operational flexibility.

Declining Profit Margins

Decreasing profit margins suggest rising costs relative to revenue, which can pressure profitability and necessitate cost management improvements to sustain long-term financial health.

Joshin Denki Co., Ltd. Business Overview & Revenue Model

Company Description

Joshin Denki Co., Ltd. engages in the sale, delivery, installation, maintenance, and repair of home appliances, information and communication equipment, entertainment products, and housing equipment and related products. It operates through a network of 220 stores and 24 service centers in Japan. The company was formerly known as Joshin Denki Sangyo Co., Ltd. and changed its name to Joshin Denki Co., Ltd. in April 1958. Joshin Denki Co., Ltd. was founded in 1948 and is headquartered in Osaka, Japan.

How the Company Makes Money

Joshin Denki generates revenue primarily through the sale of electronics and home appliances in its retail stores and online platform. The company has a diversified revenue model that includes direct product sales, service offerings such as installation and repair services, and additional revenue from warranty and insurance plans for electronics. Key revenue streams are derived from in-store sales, which are bolstered by seasonal promotions and discounts, as well as online sales which have seen growth due to increasing e-commerce trends. Partnerships with major electronics manufacturers allow Joshin Denki to offer exclusive products and promotions, enhancing its competitive edge and driving sales. The company also benefits from a loyalty program that encourages repeat purchases and enhances customer retention.

Joshin Denki Co., Ltd. Financial Statement Overview

Summary

Joshin Denki's financial performance is mixed. Strong cash flow growth (Free Cash Flow at 10.1B) is a positive, but thin profit margins (Net Profit Margin at 0.8%) and slight revenue decline (-0.1% YoY) drag down the income statement. The balance sheet shows moderate stability with a Debt-to-Equity Ratio of 0.45, though low ROE (3.3%) is a concern. The score reflects resilience in cash generation but highlights profitability challenges.

Income Statement

Joshin Denki's income statement reflects mixed performance. The Gross Profit Margin for the latest annual period (2025-03-31) is a solid 25.3%, but the Net Profit Margin is low at 0.8%, indicating thin profitability. Revenue has declined slightly by 0.1% year-over-year, signaling stagnation. EBIT Margin at 0.9% and EBITDA Margin at 2.9% are also weak, suggesting limited operational efficiency. While gross margins hold steady, the declining net income and revenue trends pose concerns.

Balance Sheet

The balance sheet shows moderate stability for Joshin Denki. The Debt-to-Equity Ratio of 0.45 in the latest period (2025-03-31) indicates reasonable leverage, though total debt remains significant at 47.2 billion. Return on Equity (ROE) is low at 3.3%, reflecting limited profitability from equity. The Equity Ratio of 45.2% suggests a balanced capital structure. While the company maintains a fair equity base, the high debt levels and low ROE highlight areas of concern.

Cash Flow

Joshin Denki's cash flow performance is relatively strong. Free Cash Flow improved significantly to 10.1 billion in the latest period (2025-03-31) from a negative 4.3 billion previously, reflecting a robust growth trajectory. The Operating Cash Flow to Net Income Ratio of 4.8 indicates strong cash generation relative to earnings. Additionally, the Free Cash Flow to Net Income Ratio of 3.0 further supports cash flow health. However, historical fluctuations in free cash flow suggest potential inconsistency risks.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	433.27B	403.26B	403.69B	408.46B	409.51B	449.12B
Gross Profit	106.00B	102.21B	105.12B	103.80B	98.43B	112.15B
EBITDA	12.58B	11.79B	13.68B	13.36B	15.25B	21.88B
Net Income	3.81B	3.41B	4.89B	4.97B	6.39B	8.87B
Balance Sheet
Total Assets	246.88B	236.29B	238.15B	227.84B	222.33B	210.32B
Cash, Cash Equivalents and Short-Term Investments	5.35B	7.71B	3.89B	2.77B	2.36B	8.77B
Total Debt	42.88B	47.68B	54.07B	47.31B	42.05B	37.86B
Total Liabilities	143.22B	131.63B	133.54B	127.14B	123.68B	111.01B
Stockholders Equity	103.66B	104.67B	104.61B	100.70B	98.64B	99.30B
Cash Flow
Free Cash Flow	13.19B	10.06B	-4.27B	-2.17B	-7.34B	19.47B
Operating Cash Flow	18.01B	16.37B	2.28B	7.12B	1.44B	25.84B
Investing Cash Flow	-1.57B	-1.81B	-4.81B	-9.07B	-9.57B	-6.12B
Financing Cash Flow	-16.03B	-10.74B	3.65B	2.36B	1.87B	-14.43B

Joshin Denki Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2713.00
• 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:8173, the sentiment is Neutral. The current price of 2713 is below the 20-day moving average (MA) of 2809.95, below the 50-day MA of 2764.12, and above the 200-day MA of 2574.54, indicating a neutral trend. The MACD of 4.50 indicates Positive momentum. The RSI at 46.15 is Neutral, neither overbought nor oversold. The STOCH value of 46.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:8173.

Joshin Denki Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3099	73 Outperform	$981.01B	9.13	9.37%	2.59%	-1.22%	-10.82%
8233	71 Outperform	¥529.23B	14.44	9.06%	1.84%	0.42%	20.25%
3086	66 Neutral	¥614.60B	22.09	7.58%	2.58%	6.52%	-31.67%
8242	66 Neutral	¥282.27B	2.68	4.97%	2.01%	2.00%	-68.35%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
8173	60 Neutral	¥72.68B	19.35	―	5.60%	5.91%	-21.23%
8267	58 Neutral	$5.24T	-128.08	2.27%	0.52%	4.92%	1.25%

Joshin Denki Co., Ltd. Corporate Events

Joshin Denki to Make DO Reform a Subsidiary to Expand Renovation Business

Joshin Denki has resolved to acquire all shares of DO Reform Co., Ltd., which will take over the long-established renovation business of HOUSE DO JAPAN in Kyoto and Nara, thereby making DO Reform a subsidiary. By combining DO Reform’s three-decade track record and expertise in large-scale and customized renovations with Joshin’s strong customer base and regional dominance in Kansai, the company aims to expand its renovation operations, create new demand, and enhance the overall corporate value of the Joshin Group.

The most recent analyst rating on (JP:8173) stock is a Buy with a Yen2708.00 price target. To see the full list of analyst forecasts on Joshin Denki Co., Ltd. stock, see the JP:8173 Stock Forecast page.

Joshin Denki Announces Wide-Ranging Executive and Management Reshuffle for 2026

Joshin Denki Co., Ltd. announced a broad set of executive and managerial personnel changes effective January 1, 2026, and March 31, 2026, aimed at strengthening its marketing, logistics, retail strategy, ICT/DX, e-commerce, and solutions businesses. Several executive officers, including Kensuke Motoi and Nobuhiro Eriguchi, are being promoted to managing executive officer roles and given expanded oversight of key functions such as marketing and logistics strategy, retail operations across Japan’s major regions, ICT & DX, CRM/MA, and EC business, while others are being reassigned to focus on solution business, mobile business, smart life services, and logistics management. The changes also reorganize regional area managers and logistics leadership, align Joshin Service Co., Ltd.’s management with Joshin Denki’s smart life and solutions strategies, and include the planned retirement of Managing Executive Officer Koichi Yokoyama, signaling a leadership realignment to support the company’s evolving retail and digital transformation strategies.

The most recent analyst rating on (JP:8173) stock is a Buy with a Yen2708.00 price target. To see the full list of analyst forecasts on Joshin Denki Co., Ltd. stock, see the JP:8173 Stock Forecast page.

Joshin Denki Reports Increased Sales but Decline in Profitability for H1 2025

Joshin Denki Co., Ltd. reported its consolidated financial results for the six months ended September 30, 2025, showing a 9.6% increase in net sales compared to the previous year. Despite the rise in sales, the profit attributable to owners decreased by 13.7%, reflecting challenges in maintaining profitability. The company also announced a dividend payment plan for the fiscal year ending March 31, 2026, with no revisions to the previously announced forecast.

The most recent analyst rating on (JP:8173) stock is a Buy with a Yen2708.00 price target. To see the full list of analyst forecasts on Joshin Denki Co., Ltd. stock, see the JP:8173 Stock Forecast page.