Saikaya Co., Ltd. (8254) AI Stock Analysis

• Market Cap: ¥2.07B
• Dividend Yield: N/A
• Average Volume (3M): 50.52K
• Price to Earnings (P/E): 18.8
• Beta (1Y): 0.23
• Revenue Growth: -6.41%
• EPS Growth: 51.66%
• Country: JP
• Employees: 145
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Department Stores
• EPS (TTM): 2.15
• Shares Outstanding: 4,970,314
• 10 Day Avg. Volume: 31,430
• 30 Day Avg. Volume: 50,520
• PEG Ratio: 0.42
• Price to Book (P/B): 3.04
• Price to Sales (P/S): 0.52
• P/FCF Ratio: -26.96
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: ¥366.00 ▼(-1.88% Downside)

Saikaya Co., Ltd. faces significant financial challenges, primarily due to high leverage and negative cash flow trends. The technical analysis indicates a bearish trend, further impacting the stock's attractiveness. While the valuation is moderate, the lack of a dividend yield and weak financial health weigh heavily on the overall score.

Positive Factors

Improved Profit Margins

Improved profit margins indicate enhanced operational efficiency, which can lead to better profitability and financial stability over time.

Economies of Scale

Economies of scale can provide a competitive advantage by reducing costs and enabling the company to offer competitive pricing, supporting long-term growth.

Strategic Partnerships

Strong supplier relationships ensure product quality and reliability, enhancing customer loyalty and supporting sustainable revenue streams.

Negative Factors

High Leverage

High leverage increases financial risk and limits flexibility, potentially affecting the company's ability to invest in growth opportunities.

Negative Revenue Growth

Declining revenue growth can hinder long-term sustainability and competitiveness, affecting the company's market position and profitability.

Negative Cash Flow Trends

Negative cash flow trends can limit the company's ability to reinvest and grow, impacting long-term financial health and operational capabilities.

Saikaya Co., Ltd. Business Overview & Revenue Model

Company Description

Saikaya Co., Ltd. (8254) is a prominent Japanese company primarily engaged in the wholesale distribution of food products, including fresh seafood, processed foods, and other related goods. Operating within the food and beverage sector, Saikaya focuses on serving both retail and food service industries, ensuring high-quality products and a reliable supply chain. The company has established a strong reputation for its commitment to quality and customer service, contributing to its growth in the competitive market.

How the Company Makes Money

Saikaya Co., Ltd. generates revenue through the wholesale distribution of a diverse range of food products, with key revenue streams coming from the sale of fresh seafood and processed food items. The company leverages strategic partnerships with suppliers and producers to ensure a steady supply of high-quality products, which helps maintain customer loyalty and attract new clients. Additionally, Saikaya benefits from economies of scale in its operations, allowing for competitive pricing while maintaining healthy profit margins. The company may also explore value-added services such as logistics and inventory management for clients, further enhancing its revenue potential.

Saikaya Co., Ltd. Financial Statement Overview

Summary

Saikaya Co., Ltd. faces challenges with declining revenues and profitability pressures. The company is heavily leveraged, posing financial stability risks. While operating cash flow is positive, the negative free cash flow trend is concerning. The company needs to improve revenue growth and manage leverage to enhance its financial health.

Income Statement

The income statement shows a decline in revenue with a negative revenue growth rate from the previous year. Gross profit margin stands at 46.3%, and the net profit margin is 1.5%, indicating profitability but at a low level. The EBIT and EBITDA margins are 2.2% and 2.3% respectively, reflecting limited operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 14.02, suggesting significant leverage. Return on Equity (ROE) is 11.8%, which is relatively modest, while the equity ratio is only 5.2%, indicating high reliance on liabilities for financing.

Cash Flow

The cash flow statement indicates a negative free cash flow growth rate, highlighting challenges in generating free cash flow. The operating cash flow to net income ratio is 3.57, showing adequate cash generation compared to earnings, but the overall cash flow position is weak.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.59B	4.63B	4.95B	5.20B	13.81B	15.00B
Gross Profit	2.29B	2.05B	2.29B	3.12B	2.82B	3.01B
EBITDA	538.50M	537.30M	445.66M	378.40M	194.00M	-333.81M
Net Income	123.22M	110.25M	72.70M	9.74M	-509.68M	-846.53M
Balance Sheet
Total Assets	11.88B	11.89B	11.81B	12.15B	12.25B	11.21B
Cash, Cash Equivalents and Short-Term Investments	1.38B	1.43B	1.65B	1.78B	1.56B	861.79M
Total Debt	8.65B	8.65B	8.66B	8.66B	8.66B	6.72B
Total Liabilities	11.09B	11.10B	11.19B	11.58B	11.57B	10.70B
Stockholders Equity	793.08M	791.99M	617.19M	576.34M	582.00M	514.59M
Cash Flow
Free Cash Flow	0.00	-89.29M	-48.88M	295.89M	-1.08B	-481.11M
Operating Cash Flow	0.00	410.25M	259.71M	367.11M	-872.27M	-452.30M
Investing Cash Flow	0.00	-620.35M	-390.97M	-135.26M	-952.85M	-99.98M
Financing Cash Flow	0.00	-5.31M	-3.88M	-3.87M	2.45B	732.30M

Saikaya Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 373.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8254, the sentiment is Positive. The current price of 373 is below the 20-day moving average (MA) of 384.20, below the 50-day MA of 382.86, and below the 200-day MA of 427.43, indicating a neutral trend. The MACD of 6.95 indicates Negative momentum. The RSI at 74.65 is Negative, neither overbought nor oversold. The STOCH value of 90.05 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8254.

Saikaya Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8237	66 Neutral	¥95.09B	104.46	―	0.83%	1.38%	-87.76%
8244	65 Neutral	¥74.62B	12.92	―	1.09%	7.55%	89.45%
8260	64 Neutral	¥4.97B	5.19	―	1.33%	-3.57%	33.78%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
8273	61 Neutral	¥215.86B	18.12	―	3.01%	18.89%	-34.43%
8247	60 Neutral	¥2.17B	9.70	―	―	-3.35%	-63.96%
8254	46 Neutral	¥2.07B	18.78	―	―	-6.41%	51.66%