TOTTORI BANK, LTD. (8383) AI Stock Analysis

• Market Cap: ¥16.94B
• Dividend Yield: 3.3%
• Average Volume (3M): 16.87K
• Price to Earnings (P/E): 10.1
• Beta (1Y): 0.68
• Revenue Growth: 11.93%
• EPS Growth: 36.32%
• Country: JP
• Employees: 634
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 89.48
• Shares Outstanding: 9,619,938
• 10 Day Avg. Volume: 14,880
• 30 Day Avg. Volume: 16,866
• PEG Ratio: 0.37
• Price to Book (P/B): 0.25
• Price to Sales (P/S): 0.81
• P/FCF Ratio: -2.74
• 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: 64 Neutral
• Price Target: ¥2,060.00 ▲(28.91% Upside)
• Action: Downgraded Date: 02/06/26
• Date: Action: Downgraded 02/06/26

The score is driven primarily by mixed financial performance: improving revenue/profitability and reduced leverage are positives, but declining operating efficiency and negative operating/free cash flow are meaningful risks. Technicals show a strong trend but overheated momentum increases near-term downside risk. Valuation is a supportive offset with a low P/E and a moderate dividend yield.

Positive Factors

Consistent Revenue Growth

Sustained revenue growth provides a durable earnings base for a regional lender. Steady top-line expansion supports net interest income and fee revenue, enabling predictable cash generation and underwriting capacity that can be deployed to finance local SMEs and community projects over the next 2–6 months.

Improved Leverage / Stronger Balance Sheet

Lower leverage increases financial resilience and regulatory headroom. A reduced debt-to-equity ratio strengthens the bank's ability to weather credit stress, maintain lending capacity, and meet capital requirements without urgent recapitalization, supporting durable strategic lending to the regional economy.

Improving Net Profit Margin

A higher net margin signals improved core profitability, whether from interest spreads or expense control. Sustained margin improvement boosts retained earnings and strengthens internal capital generation, enabling dividend support and incremental lending capacity over the medium term.

Negative Factors

Negative Operating & Free Cash Flow

Negative operating and free cash flows indicate that accounting profits are not translating into cash, constraining the bank's ability to fund loan growth, meet obligations or invest without external financing. This structural cash weakness reduces flexibility and raises funding or liquidity execution risk.

Declining EBIT/EBITDA Margins

Eroding operating margins point to rising costs or compressing spreads vs peers. If persistent, declining EBIT/EBITDA undermines operating leverage, reduces the cushion for credit losses, and limits the bank's capacity to invest in technology or branch networks essential for long-term competitiveness.

Low Return on Equity

An ROE near 2.7% is low for a bank franchise, signaling weak returns on capital. Over months this limits internal capital accumulation, may necessitate external capital for growth or higher provisioning, and constrains shareholder value creation versus peers in the regional banking sector.

TOTTORI BANK, LTD. Business Overview & Revenue Model

Company Description

The Tottori Bank, Ltd. provides various banking products and services in Japan. The company operates through Banking and Card Business segments. The Banking segment offers financial services, primarily depositing, lending, securities investment, and foreign exchange services. The Card Business segment provides credit cards. As of March 31, 2020, it operated a network of 65 branches. The company was founded in 1921 and is headquartered in Tottori, Japan.

How the Company Makes Money

TOTTORI BANK generates revenue primarily through interest income from loans and advances made to customers, which typically constitutes the bulk of its earnings. The bank charges interest on various types of loans, including personal loans, mortgages, and business loans. Additionally, the bank earns fee income from various services, such as account maintenance fees, transaction fees, and commissions from investment products. TOTTORI BANK may also engage in investment activities, earning returns on securities and other financial instruments. The bank's partnerships with local businesses and government entities foster community development and can lead to increased lending opportunities, further contributing to its revenue streams.

TOTTORI BANK, LTD. Financial Statement Overview

Summary

Income statement trends are constructive (revenue up 3.64% and net margin improved to 8.84%), and leverage has improved (debt-to-equity 0.50). However, weaker EBIT/EBITDA margins and notably negative operating and free cash flow in the latest period weigh on overall quality and sustainability.

Income Statement

Tottori Bank has shown consistent revenue growth over the years, with a 3.64% increase in the latest period. The net profit margin has improved to 8.84%, indicating enhanced profitability. However, the EBIT and EBITDA margins have decreased compared to previous years, suggesting potential operational inefficiencies.

Balance Sheet

The bank's debt-to-equity ratio has improved to 0.50, reflecting a stronger balance sheet with reduced leverage. Return on equity is modest at 2.74%, indicating moderate profitability relative to shareholder equity. The equity ratio remains stable, showcasing a solid capital structure.

Cash Flow

The cash flow situation is concerning, with negative operating and free cash flows in the latest period. The free cash flow to net income ratio is positive, but the operating cash flow to net income ratio is negative, highlighting cash flow management challenges.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	14.12B	14.65B	13.13B	12.38B	11.80B	11.85B
Gross Profit	14.77B	13.88B	12.93B	12.15B	11.49B	11.53B
EBITDA	2.14B	2.65B	2.31B	2.48B	2.04B	2.30B
Net Income	1.29B	1.31B	1.06B	1.04B	891.00M	996.00M
Balance Sheet
Total Assets	1.11T	1.11T	1.15T	1.10T	1.11T	1.09T
Cash, Cash Equivalents and Short-Term Investments	0.00	93.27B	124.76B	72.58B	99.52B	96.63B
Total Debt	24.05B	24.06B	42.06B	42.06B	63.76B	63.76B
Total Liabilities	1.07T	1.06T	1.10T	1.05T	1.06T	1.04T
Stockholders Equity	48.68B	47.99B	49.90B	47.77B	48.67B	49.34B
Cash Flow
Free Cash Flow	0.00	-4.33B	-2.65B	-38.59B	11.43B	29.26B
Operating Cash Flow	0.00	-3.98B	-1.71B	-38.20B	12.00B	29.46B
Investing Cash Flow	0.00	6.61B	-4.00B	11.73B	-8.65B	-17.48B
Financing Cash Flow	0.00	-22.53B	48.96B	-471.00M	-467.00M	-467.00M

TOTTORI BANK, LTD. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1598.00
• 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:8383, the sentiment is Neutral. The current price of 1598 is below the 20-day moving average (MA) of 1910.70, below the 50-day MA of 1745.10, and above the 200-day MA of 1423.53, indicating a neutral trend. The MACD of 30.24 indicates Positive momentum. The RSI at 46.41 is Neutral, neither overbought nor oversold. The STOCH value of 32.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:8383.

TOTTORI BANK, LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8349	72 Outperform	¥15.31B	10.05	―	3.58%	13.77%	19.08%
8537	72 Outperform	¥25.94B	10.85	―	3.50%	16.60%	-5.51%
7161	71 Outperform	¥14.82B	7.42	―	1.24%	5.92%	―
8542	69 Neutral	¥19.21B	10.12	―	3.37%	3.70%	24.98%
8563	69 Neutral	¥14.46B	10.41	―	3.74%	5.91%	5.03%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
8383	64 Neutral	¥16.94B	10.10	―	3.30%	11.93%	36.32%