Izumi Co., Ltd. (8273) AI Stock Analysis

• Market Cap: ¥218.01B
• Dividend Yield: 3.01%
• Average Volume (3M): 168.90K
• Price to Earnings (P/E): 19.3
• Beta (1Y): 0.19
• Revenue Growth: 18.89%
• EPS Growth: -34.43%
• Country: JP
• Employees: 4,400
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Department Stores
• EPS (TTM): N/A
• Shares Outstanding: 71,665,200
• 10 Day Avg. Volume: 209,380
• 30 Day Avg. Volume: 168,900
• PEG Ratio: -0.44
• Price to Book (P/B): 0.77
• Price to Sales (P/S): 0.42
• P/FCF Ratio: 9.74
• 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: 63 Neutral
• Price Target: ¥3,222.00 ▲(7.40% Upside)

The score is driven primarily by mixed financial performance: strong top-line growth and a stable balance sheet are offset by sharply weaker current profitability, lower returns, and uneven free-cash-flow quality. Technicals add modest support with neutral-to-positive momentum but a still-lagging longer-term trend. Valuation is reasonable with a moderate dividend yield, but not notably compelling given the margin compression.

Positive Factors

Robust revenue growth and healthy gross margin

Sustained top-line growth with a ~36% gross margin supports durable scale advantages in procurement and merchandising. Over 2–6 months this underpins reinvestment in stores and e-commerce, cushions cost swings, and signals continued customer demand for core retail offerings.

Manageable leverage and stable balance sheet

A moderate debt-to-equity ratio provides financial flexibility and lowers refinancing risk, allowing management to fund operations, capex, or strategic initiatives without stressing liquidity. This balance-sheet stability supports resilience across economic cycles.

Positive operating and free cash flow

Consistent positive OCF and FCF indicate the core supermarket business converts sales into cash, enabling dividends, debt servicing, and reinvestment. Even if growth is uneven, persistent cash generation is a durable foundation for capital allocation and shareholder support.

Negative Factors

Sharp margin compression

A rapid fall in operating and net margins suggests structural pressure on profitability—rising costs, margin erosion, or weaker pricing power. If sustained, this reduces internal funding, limits pricing flexibility, and weakens competitive positioning over the medium term.

Volatile and weak free-cash-flow growth

Irregular FCF growth raises uncertainty about the durability of cash generation despite positive absolute FCF. This volatility can constrain consistent investment, dividend policy, and debt repayment plans, and makes long-term planning and capital allocation harder.

Modest returns on equity

Low ROE points to limited effectiveness in converting equity into profits, implying asset or pricing inefficiencies. Over a multi-month horizon, persistently low returns can pressure investor confidence and limit the company’s ability to attract capital for growth.

Izumi Co., Ltd. Business Overview & Revenue Model

Company Description

Izumi Co., Ltd. operates a chain of stores in Japan. The company operates shopping centers under the Youme Town name; neighborhood shopping centers under the Youme Mall name; and food supermarkets under the Youme Mart name. As of May 31, 2021, it operated 194 stores, including 65 shopping centers, 119 food supermarkets, 3 neighborhood shopping centers, and 7 other stores. The company was incorporated in 1942 and is headquartered in Hiroshima, Japan.

How the Company Makes Money

Izumi Co., Ltd. generates revenue primarily through the sales of goods in its retail stores and online platform. The company has established a diverse range of revenue streams, including direct product sales, private-label merchandise, and seasonal promotions. Additionally, Izumi may engage in partnerships with suppliers and manufacturers, which can provide it with favorable purchasing terms and exclusive product offerings. The company's ability to attract customers through strategic marketing initiatives and loyalty programs also contributes to its earnings, as does its focus on enhancing the shopping experience both in-store and online.

Izumi Co., Ltd. Financial Statement Overview

Summary

Strong TTM revenue growth (+23.9%) and healthy gross margin (~36%), but profitability has deteriorated sharply (TTM EBIT margin ~0.3%, net margin ~2.1% vs FY2024 ~4.3%). Balance sheet leverage is manageable (debt-to-equity ~0.41) but returns are modest (ROE ~4.1%). Cash flow is positive (TTM OCF ~¥37.9B, FCF ~¥20.0B) yet uneven, with moderate cash conversion (FCF ~53% of net income) and weak recent FCF growth.

Income Statement

TTM (Trailing-Twelve-Months) revenue growth is strong (+23.9%), and gross margin remains healthy (~36%). However, profitability has compressed sharply versus recent annual results: TTM EBIT margin is near breakeven (~0.3%) and net margin is low (~2.1%), down from FY2024’s stronger net margin (~4.3%). This suggests higher costs, weaker pricing power, or one-off pressures that are weighing on earnings despite top-line momentum.

Balance Sheet

Leverage looks manageable with debt-to-equity around 0.41 in TTM (Trailing-Twelve-Months), improved from FY2025 (~0.49) and supported by a sizable equity base. Return on equity is steady but modest (~4.1% TTM), well below FY2023–FY2024 levels, indicating weaker earnings efficiency. Overall, the balance sheet appears stable, though returns have cooled meaningfully.

Cash Flow

Operating cash flow is positive (TTM ~¥37.9B) and free cash flow remains positive (TTM ~¥20.0B), but cash conversion is only moderate with free cash flow covering ~53% of net income. Free cash flow growth is volatile and recently weak (TTM negative growth), which adds uncertainty around the durability of cash generation even as reported earnings remain positive.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	567.86B	524.14B	471.17B	460.14B	676.80B	679.78B
Gross Profit	204.62B	190.29B	195.36B	189.53B	179.46B	181.57B
EBITDA	23.66B	41.46B	46.97B	51.22B	51.39B	52.39B
Net Income	11.16B	11.92B	20.48B	23.19B	23.20B	23.05B
Balance Sheet
Total Assets	598.22B	569.61B	489.51B	478.54B	468.80B	489.69B
Cash, Cash Equivalents and Short-Term Investments	18.62B	15.72B	12.00B	10.33B	11.62B	25.31B
Total Debt	118.71B	139.45B	77.73B	76.55B	99.36B	109.41B
Total Liabilities	296.14B	270.39B	195.28B	200.44B	206.37B	244.28B
Stockholders Equity	288.17B	285.52B	280.56B	265.03B	248.69B	232.49B
Cash Flow
Free Cash Flow	19.97B	22.54B	3.12B	26.17B	2.24B	34.40B
Operating Cash Flow	37.85B	40.28B	31.56B	38.31B	18.58B	48.32B
Investing Cash Flow	-17.86B	-91.64B	-24.75B	-10.04B	-14.25B	-6.63B
Financing Cash Flow	-16.97B	55.07B	-5.15B	-29.56B	-18.02B	-25.36B

Izumi Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3000.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8273, the sentiment is Negative. The current price of 3000 is below the 20-day moving average (MA) of 3069.00, below the 50-day MA of 3009.26, and below the 200-day MA of 3134.33, indicating a neutral trend. The MACD of 23.69 indicates Positive momentum. The RSI at 45.00 is Neutral, neither overbought nor oversold. The STOCH value of 17.98 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:8273.

Izumi Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9956	79 Outperform	¥182.85B	11.80	―	2.18%	6.30%	27.88%
2659	73 Outperform	¥183.60B	15.84	7.56%	2.70%	2.28%	3.61%
8242	66 Neutral	¥255.25B	17.23	4.97%	2.01%	2.00%	-68.35%
8273	63 Neutral	¥218.01B	19.34	―	3.01%	18.89%	-34.43%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
8278	61 Neutral	¥180.39B	47.31	―	1.44%	1.48%	-33.32%
3222	53 Neutral	¥181.91B	91.62	―	1.77%	30.67%	―

Izumi Co., Ltd. Corporate Events

Izumi Completes ¥1.8 Billion Share Buyback to Boost Capital Efficiency

Izumi Co., Ltd. has completed the repurchase of 600,000 of its own common shares, equivalent to 0.85% of its outstanding shares (excluding treasury stock), for a total acquisition price of 1.824 billion yen through the Tokyo Stock Exchange’s ToSTNeT-3 off-auction own share repurchase trading system on January 14, 2026. The buyback, authorized by a board resolution the previous day, was driven by shareholder intentions to sell and the company’s policy of improving capital efficiency and strengthening shareholder returns, reflecting its broader strategy to enhance corporate value amid evolving expectations around strategic shareholdings in Japan.

The most recent analyst rating on (JP:8273) stock is a Hold with a Yen3165.00 price target. To see the full list of analyst forecasts on Izumi Co., Ltd. stock, see the JP:8273 Stock Forecast page.

Izumi Sets Price for Up to ¥1.8 Billion Share Buyback via ToSTNeT-3

Izumi Co., Ltd. has set the purchase price for its planned share buyback at 3,040 yen per share, matching the January 13, 2026 closing price, under the Tokyo Stock Exchange’s off-auction own share repurchase trading system (ToSTNeT-3). The company aims to acquire up to 600,000 common shares, representing about 0.85% of its outstanding shares excluding treasury stock, for a maximum total consideration of 1.824 billion yen, with results to be announced after trading on January 14, 2026; the move is expected to enhance capital efficiency and shareholder returns, though the final number of shares acquired may vary depending on market conditions.

The most recent analyst rating on (JP:8273) stock is a Hold with a Yen3165.00 price target. To see the full list of analyst forecasts on Izumi Co., Ltd. stock, see the JP:8273 Stock Forecast page.

Izumi to Buy Back Up to ¥2.2 Billion in Shares via ToSTNeT-3

Izumi Co., Ltd. has resolved at its board meeting on January 13, 2026 to acquire up to 600,000 of its own common shares, equivalent to 0.85% of its outstanding shares (excluding treasury shares), for a maximum total of ¥2.232 billion. The shares will be repurchased via the Tokyo Stock Exchange’s ToSTNeT-3 off-auction own share repurchase system in a single 8:45 a.m. session on January 14, 2026 at today’s closing price, with the company noting that the move responds to shareholders indicating an intent to sell, aligns with broader trends to reduce strategic shareholdings, and is aimed at boosting shareholder returns, improving capital efficiency, and supporting flexible capital policy and medium- to long-term corporate value.

The most recent analyst rating on (JP:8273) stock is a Hold with a Yen3165.00 price target. To see the full list of analyst forecasts on Izumi Co., Ltd. stock, see the JP:8273 Stock Forecast page.

Izumi Co., Ltd. Delivers Revenue Growth as Retail-Peripheral Businesses Boost Earnings Mix

Izumi Co., Ltd. reported solid top-line growth for the third quarter and full-year periods, with operating revenue rising to ¥416.9 billion for the latest nine-month period (up 11.7% year on year) and ¥524.1 billion for the full term, driven chiefly by its retail operations, which account for more than 95% of operating revenue. Gross profit and operating profit both increased year on year, but profit attributable to owners of the parent declined slightly for the nine-month period, reflecting higher selling, general and administrative expenses, increased interest expenses, and a sharp drop in extraordinary income versus the previous year. Segment data show that retail-peripheral operations, including finance, store management, and food services, delivered faster operating profit growth than the core retail segment, highlighting the growing contribution of ancillary businesses to group earnings. Major subsidiaries such as Izumi Techno and Izumi Food Service posted revenue gains, while regional supermarket units Youme Mart Kumamoto and Youme Mart Kitakyushu showed notable improvements in operating profit, indicating progress in integrating and strengthening regional retail platforms under the group.

The most recent analyst rating on (JP:8273) stock is a Hold with a Yen3165.00 price target. To see the full list of analyst forecasts on Izumi Co., Ltd. stock, see the JP:8273 Stock Forecast page.

Izumi Co., Ltd. Announces Strategic Company Split to Enhance Efficiency

Izumi Co., Ltd. announced a strategic move to transfer the operations of Youme Mart Shimonoseki Station to its wholly-owned subsidiary, Youme Mart Kitakyushu Co., Ltd., through an absorption-type company split. This decision aims to enhance operational efficiency in the Kitakyushu and Shimonoseki area, aligning with the company’s strategy to strengthen its market position and streamline operations. The transfer is set to be effective from March 1, 2026, and involves no distribution of shares or compensation.

The most recent analyst rating on (JP:8273) stock is a Hold with a Yen3317.00 price target. To see the full list of analyst forecasts on Izumi Co., Ltd. stock, see the JP:8273 Stock Forecast page.

Izumi Co., Ltd. Announces Stock Split and Shareholder Program Changes

Izumi Co., Ltd. has announced a stock split, amendments to its Articles of Incorporation, and changes to its shareholder benefit program. The stock split aims to increase liquidity and attract a broader investor base by reducing the price per investment unit. The amendments to the Articles of Incorporation will adjust the total number of authorized shares, and the shareholder benefit program will be revised in line with the stock split. These changes are expected to impact the company’s market positioning and shareholder engagement positively.

The most recent analyst rating on (JP:8273) stock is a Hold with a Yen3317.00 price target. To see the full list of analyst forecasts on Izumi Co., Ltd. stock, see the JP:8273 Stock Forecast page.