Marui Group Co (8252) AI Stock Analysis

• Market Cap: ¥543.43B
• Dividend Yield: 4.53%
• Average Volume (3M): 870.37K
• Price to Earnings (P/E): 20.2
• Beta (1Y): 0.42
• Revenue Growth: 11.63%
• EPS Growth: 27.70%
• Country: JP
• Employees: 4,290
• Sector: Financial
• Sector Strength: 87
• Industry: Financial - Credit Services
• EPS (TTM): 139.13
• Shares Outstanding: 208,660,420
• 10 Day Avg. Volume: 452,350
• 30 Day Avg. Volume: 870,373
• PEG Ratio: 6.57
• Price to Book (P/B): 2.18
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.37
• 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: ¥2,986.90
• Price Target Upside: 5.69% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Marui Group Co has a stable financial foundation with strong profitability and revenue growth. The high debt levels and negative cash flow are concerns that need addressing. The technical analysis shows positive price momentum, and the valuation is reasonable with an attractive dividend yield. Focus should be on improving cash flow and managing leverage to sustain long-term growth.

Marui Group Co Business Overview & Revenue Model

Company Description

Marui Group Co., Ltd., an investment holding company, engages in the retailing and FinTech businesses in Japan. The company engages in the rental and the management of commercial property, purchasing and sale of clothes and accessories, space production, advertising, fashion distribution, general building management, etc.; and provision of credit card services, cash advance services, rent guarantee services, information system services, real estate rental, etc. It is involved in the operation of Marui/Modi stores, online shopping and mail-order, specialty store, credit loan, collection and management of receivables, design and interior decoration, planning and making of advertisement, trucking, forwarding, software development, building management, and security service businesses. Marui Group Co., Ltd. was founded in 1931 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Marui Group primarily generates revenue through its retail and fintech operations. The Retailing segment contributes to revenue through sales from its department stores, where it sells an array of consumer goods. The FinTech segment is a significant revenue stream, primarily through credit card services, which include issuing and managing credit cards. The company earns through interest income, commission fees, and charges associated with credit card usage. Additionally, Marui Group engages in leasing and property management, adding to its revenue base. Strategic partnerships with other financial institutions and retailers enhance its market reach and customer base, contributing further to its earnings.

Marui Group Co Financial Statement Overview

Summary

Marui Group Co displays solid profitability with strong margins and revenue growth, highlighted by a gross profit margin of 87.0% and a net profit margin of 10.3%. However, high leverage with a debt-to-equity ratio of 2.99 and declining free cash flow pose potential risks. The company needs to address cash flow challenges while maintaining its revenue growth trajectory.

Income Statement

The company shows a strong gross profit margin of 87.0% TTM, indicating effective cost management. The net profit margin is healthy at 10.3% TTM. Revenue growth is robust with a 7.3% increase from the previous year, reflecting positive business expansion. EBIT and EBITDA margins are solid at 18.0% and 23.2% respectively, showcasing operational efficiency. However, a declining trend in total revenue from 2020 to 2021 presents a potential risk.

Balance Sheet

The debt-to-equity ratio is high at 2.99 TTM, indicating significant leverage, which poses a risk. ROE stands at 10.6% TTM, showing decent profitability for shareholders. The equity ratio is moderate at 21.2% TTM, reflecting a balanced capital structure. The increasing trend in total debt over the years requires monitoring.

Cash Flow

The free cash flow has decreased significantly, showing a negative free cash flow TTM, indicating potential liquidity issues. The operating cash flow to net income ratio is negative, which raises concerns about cash generation. However, the company has demonstrated positive free cash flow growth in previous years and strong financing activities, suggesting a capability to manage short-term financial needs.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
252.51B	235.23B	217.85B	209.32B	220.83B	247.58B
	Gross Profit
219.64B	205.62B	191.74B	181.07B	178.33B	195.67B
	EBIT
45.39B	41.02B	38.77B	36.78B	15.31B	41.94B
	EBITDA
58.69B	51.94B	49.58B	48.01B	25.79B	51.14B
	Net Income Common Stockholders
26.03B	24.67B	21.47B	17.79B	2.27B	25.40B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
67.60B	64.56B	52.43B	39.72B	41.19B	40.84B
	Total Assets
1.16T	1.00T	961.95B	920.03B	901.07B	885.97B
	Total Debt
734.64B	594.36B	583.06B	527.16B	484.58B	479.83B
	Net Debt
667.04B	529.80B	530.63B	487.44B	443.39B	439.00B
	Total Liabilities
914.19B	749.87B	715.39B	657.98B	610.37B	595.64B
	Stockholders Equity
245.75B	253.25B	246.14B	261.61B	290.18B	289.79B
Cash Flow		Free Cash Flow
-98.97B	23.21B	7.02B	2.99B	11.82B	28.93B
	Operating Cash Flow
-89.59B	38.00B	16.72B	11.52B	22.19B	39.91B
	Investing Cash Flow
-15.87B	-18.27B	-22.38B	-13.76B	-16.24B	-20.32B
	Financing Cash Flow
108.50B	-7.88B	18.26B	770.00M	-5.60B	-25.49B

Marui Group Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2826.00
• 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:8252, the sentiment is Positive. The current price of 2826 is below the 20-day moving average (MA) of 2841.08, above the 50-day MA of 2720.00, and above the 200-day MA of 2472.42, indicating a neutral trend. The MACD of 39.67 indicates Positive momentum. The RSI at 53.43 is Neutral, neither overbought nor oversold. The STOCH value of 72.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8252.

Marui Group Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8252	71 Outperform	¥543.43B	20.24	10.51%	4.53%	11.63%	27.70%
Sector *	64 Neutral	$12.74B	9.85	7.88%	17015.07%	12.17%	-6.02%

Marui Group Co Corporate Events

Marui Group Advances Treasury Stock Acquisition

Marui Group Co., Ltd. has announced the progress of its treasury stock acquisition, reporting the purchase of 1,201,800 shares valued at approximately 3.25 billion yen during April 2025. This acquisition is part of a broader strategy approved by the Board of Directors to buy back up to 11 million shares, with a total potential value of 20 billion yen, aimed at enhancing shareholder value and optimizing capital structure.

Marui Group Advances Treasury Stock Acquisition

Marui Group Co., Ltd. announced the progress of its treasury stock acquisition, purchasing 1,467,700 shares valued at 3,907,607,200 yen from March 1 to March 31, 2025. This acquisition is part of a larger plan authorized by the Board to acquire up to 11 million shares, with the company having already acquired 6,009,100 shares as of March 31, 2025, representing a 54.63% progress rate.

Marui Group Advances Treasury Stock Acquisition

Marui Group Co., Ltd. has announced the progress of its treasury stock acquisition, purchasing 1,034,800 shares worth approximately 2.68 billion yen between February 1 and February 28, 2025. This acquisition is part of a larger plan authorized by the Board of Directors to buy back up to 11 million shares, valued at up to 20 billion yen, by May 15, 2025, reflecting a strategic move to optimize capital structure and potentially enhance shareholder value.

Marui Group Completes Treasury Stock Disposal with Minimal Impact

Marui Group Co., Ltd. has completed the payment procedure for the disposal of treasury stock as restricted stock, initially resolved in a board meeting on November 12, 2024. The number of shares disposed of and their total value were reduced due to a partial forfeiture of rights, as 80 employees either declined the allotment or were no longer eligible. This change is expected to have minimal impact on the company’s current fiscal year business results.

Marui Group Updates Treasury Share Disposal Plan

Marui Group Co., Ltd. announced corrections to its previously stated plan for the disposal of treasury shares as restricted stock for employees. The corrected figures indicate a reduction in the number of shares to be disposed of from 31,200 to 30,450, with the total disposal value adjusted accordingly. This adjustment reflects a decrease in the number of employees covered by the system from 208 to 203, impacting the overall distribution of shares.

Marui Group Reports Strong Nine-Month Financial Performance

Marui Group reported solid financial results for the nine months ending December 31, 2024, with a notable increase in operating revenue and profit compared to the previous year. The company is optimistic about its full-year forecast, predicting continued growth in operating revenue and profit, reflecting positively on its market positioning and stakeholder value.