Hyakugo Bank (8368) AI Stock Analysis

• Market Cap: $180.80B
• Dividend Yield: 3.4%
• Average Volume (3M): 535.38K
• Price to Earnings (P/E): 9.8
• Beta (1Y): 1.09
• Revenue Growth: 7.03%
• EPS Growth: 8.58%
• Country: JP
• Employees: 2,792
• Sector: Financial
• Sector Strength: 82
• Industry: Banks - Regional
• EPS (TTM): 13.96
• Shares Outstanding: 254,119,000
• 10 Day Avg. Volume: 423,680
• 30 Day Avg. Volume: 535,383
• PEG Ratio: 0.79
• Price to Book (P/B): 0.24
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.17
• 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: 71 Outperform
• Price Target: ―

Hyakugo Bank exhibits solid financial performance with strong revenue growth and profitability. However, cash flow challenges need to be addressed. The technical analysis indicates neutral trends with potential downward momentum. The stock appears undervalued with an attractive dividend yield, enhancing its investment appeal.

Hyakugo Bank Business Overview & Revenue Model

Company Description

The Hyakugo Bank, Ltd. provides various banking and financial services in Japan. The company also offers credit card and guarantee, leasing, regional industry survey and consulting-related, computer information processing, financial instruments transaction, cash examination and arrangement, collateralized real estate survey and appraisal, and employment placement and labor management services. In addition, it provides printing, storage, and administrative services for documents, account books, etc.; and management and administrative services for bank notes, bonds, etc. As of March 31, 2020, the company operated 85 branches and 30 sub-branches in Mie prefecture; 21 branches in Aichi prefectures; 1 branch in Wakayama prefecture; 2 branches in Tokyo and Osaka; and 3 representative offices in Singapore, Shanghai, and Bangkok, as well as 205 ATMs. The company was formerly known as 105th National Chartered Bank and changed its name to The Hyakugo Bank, Ltd. in 1897. The Hyakugo Bank, Ltd. was founded in 1878 and is headquartered in Tsu, Japan.

How the Company Makes Money

Hyakugo Bank generates revenue through various streams, primarily from interest income on loans and advances, fees and commissions from a variety of financial services, and investment income. Interest income forms the largest portion of its revenue, derived from personal and business loans, mortgages, and other credit facilities offered to customers. Additionally, the bank earns fees from transaction services, wealth management, and advisory services. Investment income is generated from the bank's portfolio of securities and other financial instruments. The bank's strategic focus on regional development and relationship banking helps maintain strong customer loyalty and a stable revenue base. Key partnerships with local businesses and entities also contribute to its earnings, fostering community growth and financial stability.

Hyakugo Bank Financial Statement Overview

Summary

Overall, Hyakugo Bank demonstrates solid revenue growth and profitability, supported by a strong gross profit margin. The balance sheet is robust with a healthy equity ratio, but high leverage could pose risks. The main concern lies in cash flow management, where zero cash flow in the TTM period suggests challenges in liquidity and operational flexibility. Continuous monitoring and strategic adjustments are recommended to sustain growth and improve cash flow generation.

Income Statement

Hyakugo Bank's income statement reveals a robust financial performance in the TTM period with a significant revenue growth rate of approximately 4.51% from the previous year. The gross profit margin is exceptionally high at 102.58%, showcasing efficient cost management. The net profit margin is strong at 15.48%, indicating profitability. However, the EBIT margin at 39.18% and EBITDA margin at 3.92% reflect operational efficiency, although there's room for improvement in EBITDA performance.

Balance Sheet

The balance sheet shows a healthy equity ratio of 6.13%, suggesting a stable financial position with sufficient capital structure. The debt-to-equity ratio is high at 1.37, indicating moderate leverage that could pose potential risks if not managed carefully. Return on equity (ROE) stands at 3.58%, reflecting moderate shareholder value creation.

Cash Flow

Cash flow analysis indicates challenges with cash generation as both operating cash flow and free cash flow are zero in the TTM period. This lack of positive cash flow may constrain flexibility in financing operations or investments. The free cash flow to net income ratio is consequently low, highlighting potential issues in converting earnings into cash.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	109.37B	120.03B	104.64B	91.51B	90.90B	85.71B
Gross Profit	112.19B	0.00	104.64B	91.51B	91.55B	85.71B
EBITDA	10.69B	22.29B	20.07B	24.40B	23.16B	22.51B
Net Income	16.92B	18.04B	14.28B	14.49B	13.40B	12.96B
Balance Sheet
Total Assets	7.71T	7.43T	8.10T	7.52T	7.75T	7.45T
Cash, Cash Equivalents and Short-Term Investments	823.40B	0.00	1.41T	1.35T	1.87T	1.57T
Total Debt	646.13B	703.60B	1.37T	837.85B	1.13T	900.78B
Total Liabilities	7.24T	7.00T	7.60T	707.66B	7.35T	7.06T
Stockholders Equity	472.82B	435.45B	496.92B	392.03B	401.85B	394.68B
Cash Flow
Free Cash Flow	0.00	34.40B	-30.39B	-559.28B	53.00B	580.59B
Operating Cash Flow	0.00	38.59B	-25.44B	-556.45B	55.95B	583.74B
Investing Cash Flow	0.00	-193.28B	-18.11B	38.60B	249.80B	114.02B
Financing Cash Flow	0.00	-590.64B	138.16B	-2.91B	-2.82B	-2.41B

Hyakugo Bank Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 713.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8368, the sentiment is Positive. The current price of 713 is above the 20-day moving average (MA) of 696.00, above the 50-day MA of 692.66, and above the 200-day MA of 642.14, indicating a bullish trend. The MACD of 1.87 indicates Negative momentum. The RSI at 61.02 is Neutral, neither overbought nor oversold. The STOCH value of 79.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8368.

Hyakugo Bank Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8367	72 Outperform	¥138.19B	9.89		4.95%	38.28%	247.94%
8368	71 Outperform	$180.80B	9.78	3.81%	3.40%	7.03%	8.58%
Sector *	64 Neutral	$6.68B	11.24	6.71%	5.07%	25.00%	2.19%
KIYOF		$887.67M	―	7.36%	104004.68%	―	―
7173	72 Outperform	¥198.68B	6.37		2.60%	1.66%	23.00%
7389	70 Outperform	¥128.19B	14.09		3.83%	-3.64%	9.50%
7380	67 Neutral	¥187.65B	8.70		3.98%	-3.87%	9.41%