Kiyo Bank (8370) AI Stock Analysis

• Market Cap: ¥274.38B
• Dividend Yield: 3.81%
• Average Volume (3M): 177.54K
• Price to Earnings (P/E): 12.8
• Beta (1Y): 0.98
• Revenue Growth: 17.68%
• EPS Growth: 20.15%
• Country: JP
• Employees: 2,352
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 99.27
• Shares Outstanding: 67,300,000
• 10 Day Avg. Volume: 144,490
• 30 Day Avg. Volume: 177,540
• PEG Ratio: 0.45
• Price to Book (P/B): 0.63
• Price to Sales (P/S): 1.68
• P/FCF Ratio: 3.24
• 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: 71 Outperform
• Price Target: ¥4,426.00 ▲(30.18% Upside)
• Action: Reiterated Date: 02/05/26
• Date: Action: Reiterated 02/05/26

The score is driven primarily by solid financial performance (strong revenue growth and improved cash flow), tempered by elevated balance-sheet leverage and some margin pressure. Technicals remain trend-positive but overbought signals add near-term risk, while valuation is supportive with a moderate P/E and a healthy dividend yield.

Positive Factors

Revenue Growth

Sustained double-digit top-line growth indicates expanding loan volumes and fee income, supporting longer-term earnings power. Persistent revenue expansion provides scope to absorb cost shocks, fund credit provisioning and invest in digital or branch initiatives that reinforce franchise value over months.

High Gross Profitability

Very strong gross margins reflect disciplined funding and operating cost controls, underpinning core profitability. Durable margin advantage enhances cash generation and resilience versus peers, enabling the bank to sustain investment in customer services or absorb competitive pressure without rapidly eroding returns.

Cash Flow Recovery & Conversion

Robust free cash flow recovery and healthy operating cash conversion support internal funding for lending, capital expenditures and dividends. Reliable cash generation increases financial flexibility, lowers refinancing risk and provides a durable buffer through credit cycles and interest-rate variability.

Negative Factors

High Leverage

A leverage ratio of 3.75x heightens sensitivity to credit losses and interest-rate swings, constraining capital flexibility. Elevated leverage can force higher provisioning or capital-raising in stress, limiting the bank's ability to expand lending or take strategic risks without diluting returns or breaching regulatory buffers.

Margin Pressure

Declining net margins suggest rising funding costs or competitive pressure on pricing, which can erode internal capital build and reduce reinvestment capacity. If persistent, margin compression will impair ROE improvement and limit the bank's ability to grow dividends or absorb cyclical loan losses.

Regional Concentration

Concentration in a defined geographic footprint limits diversification of credit and deposit exposures, tying performance to local economic and demographic trends. This structural concentration raises vulnerability to regional downturns and caps growth potential compared with more diversified national peers.

Kiyo Bank Business Overview & Revenue Model

Company Description

The Kiyo Bank, Ltd. provides various banking products and services to individuals, corporates, and business customers in Japan. It offers Yen, time, and foreign currency deposits; personal, home, mortgage, card, purpose, education-related, and free loans; and life, medical, cancer, student, income security, and term insurance, etc., as well as pension funds. The company also provides securities investment, domestic and foreign exchange, agency, internet banking, and ATM services; and cards, as well as engages in buying and selling government bonds, etc. It operates 112 branches in Japan, including 68 branches in Wakayama; 41 branches in Osaka prefecture; 1 branch in Tokyo; and 2 branches in Nara prefecture. The company was formerly known as Kiyo Bank Co., Ltd. and changed its name to The Kiyo Bank, Ltd. in October 2013. The Kiyo Bank, Ltd. was founded in 1883 and is headquartered in Wakayama, Japan.

How the Company Makes Money

Kiyo Bank generates revenue primarily through the interest income earned from loans provided to individuals and businesses, which constitutes a significant portion of its earnings. Additionally, the bank earns fees from various services such as account maintenance, transaction processing, and investment advisory services. The bank also benefits from investment income generated through its financial assets and securities. Strategic partnerships with local businesses and community organizations further enhance its customer base, while a focus on efficient cost management helps maintain profitability in competitive banking environments.

Kiyo Bank Financial Statement Overview

Summary

Strong revenue growth (11.48%) and very strong gross profitability support the score, and cash flow shows robust recovery and good conversion versus net income. Offsetting this, net profit and operating margins are slightly pressured year over year, and the balance sheet carries high leverage (debt-to-equity 3.75), increasing risk.

Income Statement

Kiyo Bank has shown a strong revenue growth rate of 11.48% in the latest year, indicating a positive trajectory. The gross profit margin is exceptionally high, suggesting effective cost management. However, the net profit margin has decreased slightly from the previous year, indicating some pressure on profitability. EBIT and EBITDA margins are healthy, though slightly lower than the previous year, reflecting stable operational efficiency.

Balance Sheet

The bank's debt-to-equity ratio is quite high at 3.75, indicating significant leverage, which could pose a risk if not managed properly. Return on equity is moderate at 7.49%, showing decent profitability relative to shareholder equity. The equity ratio is stable, suggesting a balanced asset structure.

Cash Flow

Kiyo Bank has demonstrated a strong recovery in free cash flow, with a significant growth rate from the previous year. The operating cash flow to net income ratio is positive, indicating good cash generation relative to net income. The free cash flow to net income ratio is high, reflecting efficient cash management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	88.27B	88.65B	68.25B	77.28B	75.19B	72.31B
Gross Profit	88.27B	80.26B	68.25B	72.90B	74.57B	71.10B
EBITDA	23.30B	26.50B	22.92B	7.45B	26.76B	23.38B
Net Income	20.22B	17.62B	15.02B	3.92B	15.46B	13.59B
Balance Sheet
Total Assets	6.00T	5.93T	5.83T	5.48T	5.88T	5.66T
Cash, Cash Equivalents and Short-Term Investments	0.00	807.02B	983.68B	1.00T	1.38T	1.22T
Total Debt	819.13B	882.76B	856.00B	594.41B	997.05B	894.03B
Total Liabilities	5.76T	5.69T	5.59T	5.26T	5.64T	5.42T
Stockholders Equity	241.42B	235.19B	237.15B	222.02B	241.14B	244.04B
Cash Flow
Free Cash Flow	0.00	45.99B	-5.16B	-585.29B	72.24B	712.94B
Operating Cash Flow	0.00	48.82B	-3.32B	-582.29B	75.53B	715.23B
Investing Cash Flow	0.00	16.95B	-130.55B	214.64B	87.36B	-2.06B
Financing Cash Flow	0.00	45.50B	89.70B	-5.61B	-4.57B	-4.39B

Kiyo Bank Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3400.00
• 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:8370, the sentiment is Positive. The current price of 3400 is below the 20-day moving average (MA) of 4144.25, below the 50-day MA of 3718.80, and above the 200-day MA of 3013.49, indicating a bullish trend. The MACD of 147.99 indicates Positive momentum. The RSI at 63.08 is Neutral, neither overbought nor oversold. The STOCH value of 49.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8370.

Kiyo Bank Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8388	71 Outperform	¥232.28B	15.28	―	2.53%	7.67%	11.03%
8544	71 Outperform	¥260.94B	20.66	―	2.13%	7.77%	5.80%
8370	71 Outperform	¥274.38B	12.78	7.61%	3.81%	17.68%	20.15%
8361	68 Neutral	¥284.71B	14.85	―	2.27%	2.68%	74.80%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
8367	65 Neutral	¥249.04B	15.01	―	3.46%	11.92%	16.40%
8386	59 Neutral	¥274.77B	16.25	―	2.55%	-0.36%	41.38%

Kiyo Bank Corporate Events

Kiyo Bank Delivers Strong Nine-Month Earnings and Lifts Dividend Payout

For the nine months ended December 31, 2025, Kiyo Bank reported strong consolidated results, with ordinary income rising 21.4% year on year to ¥82.9 billion, ordinary profit jumping 44.0% to ¥23.8 billion, and profit attributable to owners of the parent climbing 33.9% to ¥15.3 billion, while comprehensive income surged more than fourfold. The bank’s total assets increased to ¥6.10 trillion and equity edged higher, and it confirmed a higher dividend trajectory for the year ending March 31, 2026—raising the interim dividend to ¥58 per share and planning a full-year payout of ¥116—while maintaining earlier full-year forecasts that project further growth in income and profit, signaling confidence in earnings momentum and continued shareholder returns.

The most recent analyst rating on (JP:8370) stock is a Buy with a Yen4204.00 price target. To see the full list of analyst forecasts on Kiyo Bank stock, see the JP:8370 Stock Forecast page.

Kiyo Bank Finalizes Treasury Share Disposal for Employee Incentive

The Kiyo Bank, Ltd. has completed the payment procedure for the disposal of treasury shares as a restricted stock incentive for its Employee Shareholding Association. This move, initially resolved in June 2025, saw a reduction in the number of shares and total disposal value due to a partial loss of rights, reflecting the final confirmation of participating members.

The most recent analyst rating on (JP:8370) stock is a Buy with a Yen3553.00 price target. To see the full list of analyst forecasts on Kiyo Bank stock, see the JP:8370 Stock Forecast page.

Kiyo Bank Reports Robust Financial Growth in H1 2025

Kiyo Bank reported a significant increase in its financial performance for the six months ended September 30, 2025, with ordinary income rising by 15.5% and ordinary profit by 40.7% compared to the previous year. The bank’s comprehensive income surged by 158.2%, indicating strong operational growth and improved profitability, which is likely to enhance its market position and benefit stakeholders.

The most recent analyst rating on (JP:8370) stock is a Buy with a Yen3553.00 price target. To see the full list of analyst forecasts on Kiyo Bank stock, see the JP:8370 Stock Forecast page.