Okuwa Co., Ltd. (8217) AI Stock Analysis

• Market Cap: ¥38.04B
• Dividend Yield: 2.77%
• Average Volume (3M): 83.09K
• Price to Earnings (P/E): 172.6
• Beta (1Y): 0.18
• Revenue Growth: 1.48%
• EPS Growth: -346.93%
• Country: JP
• Employees: 2,112
• Sector: Consumer Cyclical
• Sector Strength: 64
• Industry: Department Stores
• EPS (TTM): -4.68
• Shares Outstanding: 41,937,298
• 10 Day Avg. Volume: 122,100
• 30 Day Avg. Volume: 83,090
• PEG Ratio: -1.06
• Price to Book (P/B): 0.49
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -55.23
• 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: 56 Neutral
• Price Target: ―

Okuwa Co., Ltd. faces significant challenges with declining revenue and profitability, impacting its financial performance. However, its technical indicators show strong upward momentum, despite overbought conditions. The valuation remains unattractive due to a negative P/E ratio, though a reasonable dividend yield offers some investor appeal. The overall score reflects both financial challenges and positive market momentum.

Okuwa Co., Ltd. Business Overview & Revenue Model

Company Description

Okuwa Co., Ltd. (8217) is a Japanese retail company primarily engaged in the operation of supermarkets and grocery stores. The company provides a wide range of products including fresh produce, processed foods, daily necessities, and household goods. With a strong presence in several regions of Japan, Okuwa aims to cater to the daily needs of its customers by offering quality products at competitive prices.

How the Company Makes Money

Okuwa Co., Ltd. makes money primarily through its retail operations. The company's revenue model is based on the sale of a wide variety of consumer goods in its supermarkets and grocery stores. Key revenue streams include the sale of fresh produce, packaged foods, beverages, household items, and other daily essentials. Okuwa may also generate income through private label products, which can offer higher margins compared to national brands. Additionally, strategic partnerships with suppliers and efficient supply chain management contribute to cost savings and profitability. The company focuses on enhancing customer experience and loyalty through promotional activities, membership programs, and customer service initiatives.

Okuwa Co., Ltd. Financial Statement Overview

Summary

Okuwa Co., Ltd. faces significant challenges in revenue growth and profitability, impacting its income statement. The balance sheet remains relatively stable, supported by an adequate equity position, though cash flow issues present potential risks. Efforts to improve operational efficiency and manage expenses could enhance future financial performance.

Income Statement

Okuwa Co., Ltd. has experienced a decline in total revenue over the past years, with a notable decrease from 2021 to 2025. The gross profit margin remains relatively stable, but the company has faced challenges in maintaining profitability, with a negative net income in the most recent year. EBIT and EBITDA margins have also decreased, indicating pressure on operational efficiency.

Balance Sheet

The balance sheet shows a stable equity position with a moderate debt-to-equity ratio. However, there is an observed decrease in stockholders' equity over time. Despite these challenges, the company maintains a reasonable equity ratio, indicating a solid asset base relative to liabilities.

Cash Flow

Cash flow analysis reveals a deterioration in free cash flow, turning negative in recent years. The operating cash flow to net income ratio indicates operational cash generation issues, compounded by high capital expenditures. This poses a risk to the company's liquidity position if the trend continues.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	250.15B	247.38B	246.88B	266.53B	279.22B
Gross Profit	78.01B	78.12B	78.56B	81.74B	85.51B
EBITDA	8.16B	9.71B	9.68B	11.69B	14.10B
Net Income	-2.38B	1.00B	928.00M	1.52B	3.79B
Balance Sheet
Total Assets	128.63B	132.50B	132.53B	133.51B	137.86B
Cash, Cash Equivalents and Short-Term Investments	11.52B	16.55B	15.75B	17.03B	18.59B
Total Debt	21.91B	21.38B	21.15B	20.52B	22.46B
Total Liabilities	54.10B	53.82B	54.60B	55.34B	60.12B
Stockholders Equity	74.22B	78.39B	77.66B	77.92B	77.53B
Cash Flow
Free Cash Flow	-2.28B	1.95B	-695.00M	438.00M	7.38B
Operating Cash Flow	6.60B	9.69B	5.93B	8.59B	13.77B
Investing Cash Flow	-8.74B	-7.94B	-6.68B	-7.02B	-5.03B
Financing Cash Flow	-2.88B	-954.00M	-535.00M	-3.14B	-6.51B

Okuwa Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 957.00
• 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:8217, the sentiment is Positive. The current price of 957 is above the 20-day moving average (MA) of 952.75, above the 50-day MA of 927.80, and above the 200-day MA of 876.32, indicating a bullish trend. The MACD of 11.40 indicates Positive momentum. The RSI at 53.52 is Neutral, neither overbought nor oversold. The STOCH value of 31.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8217.

Okuwa Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8255	75 Outperform	¥104.02B	11.21		2.51%	4.31%	21.79%
8273	65 Neutral	¥228.80B	18.99		2.81%	18.53%	-36.19%
Sector *	63 Neutral	$16.82B	11.32	-7.02%	2.91%	1.72%	-24.85%
2653	62 Neutral	¥98.94B	16.13		1.75%	4.66%	3.70%
3222	62 Neutral	¥177.60B	174.74		1.76%	23.04%	―
8278	58 Neutral	¥172.07B	35.36		1.49%	1.54%	-15.67%
8217	56 Neutral	¥38.04B	172.60		2.77%	1.48%	-346.93%

Okuwa Co., Ltd. Corporate Events

OKUWA Co., Ltd. Completes Treasury Stock Disposal to Executives

OKUWA Co., Ltd. has completed the disposal of 17,800 shares of its treasury stock as restricted stock to its directors and executive officers. This strategic move, approved by the Board of Directors, is aimed at aligning the interests of the company’s leadership with its shareholders, potentially enhancing corporate governance and performance.

Okuwa Co., Ltd. Announces Treasury Share Acquisition

Okuwa Co., Ltd. has announced the acquisition of 140,500 of its common shares at a total cost of 127,987,300 yen during May 2025. This move is part of a broader strategy authorized by the Board of Directors to acquire up to 1.4 million shares by April 2026, potentially impacting the company’s share value and market positioning.

Okuwa Co., Ltd. Reports Progress in Treasury Share Acquisition

Okuwa Co., Ltd. announced the acquisition of 277,800 treasury shares at a cost of 244,387,000 yen through market purchases on the Tokyo Stock Exchange. This move is part of a broader strategy approved by the Board of Directors to acquire up to 1,400,000 shares, aiming to enhance shareholder value and optimize capital structure.

Okuwa Co., Ltd. Announces Disposal of Treasury Stock as Part of Leadership Incentive Plan

Okuwa Co., Ltd. announced a resolution to dispose of treasury stock as restricted stock to its directors and executive officers, aiming to align their interests with those of shareholders and promote sustainable growth. This strategic move is part of a broader compensation plan designed to enhance corporate value and ensure long-term commitment from its leadership, potentially impacting the company’s market positioning and stakeholder relations positively.