TOTTORI BANK, LTD. (8383) AI Stock Analysis

• Market Cap: ¥15.96B
• Dividend Yield: 3.3%
• Average Volume (3M): 16.87K
• Price to Earnings (P/E): 4.3
• Beta (1Y): 0.70
• 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: ¥1,840.00 ▲(15.14% 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

Revenue and Net Margin Improvement

Consistent revenue growth and a higher net profit margin indicate improving core profitability driven by lending and fee activities. This strengthens earnings resilience, supports internal capital accumulation and loss absorption, and is durable if loan and fee growth persist.

Improved Balance Sheet Leverage

Lower leverage (debt/equity 0.50) improves balance-sheet resilience and reduces funding vulnerability. Reduced reliance on debt increases capacity to absorb credit shocks, maintain regulatory capital and support strategic lending or shareholder returns over the medium term.

Diversified Revenue Streams

A diversified mix—net interest income, fees and securities income—reduces dependence on any single revenue source. Fee and securities income can smooth earnings across rate cycles, supporting steadier cash generation and resilience in the bank's regional franchise.

Negative Factors

Weak Cash Flow

Negative operating and free cash flows indicate earnings are not converting to cash, pressuring liquidity and raising reliance on deposits or market funding. Persistent cash outflows can limit loan growth, capital spending and shareholder returns over the medium term.

Declining Operating Margins

Falling EBIT/EBITDA margins suggest rising operating costs or an adverse revenue mix that erodes core earnings power. Sustained margin compression reduces profitability sustainability and weakens the bank's ability to invest or expand without improving efficiency.

Modest Return on Equity

A ROE of 2.74% implies relatively low profitability versus shareholder capital. Persistently low ROE limits retained earnings accumulation, constrains dividend capacity and reduces strategic flexibility for growth or capital deployment over several quarters.

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, LTD. makes money mainly through (1) net interest income, (2) fee and commission income, and (3) other financial income (including securities-related income), with operating expenses and credit costs reducing profitability. 1) Net interest income (interest spread): The bank collects interest on loans and other interest-earning assets (e.g., loans to businesses and consumers, and certain securities) and pays interest on funding sources (primarily customer deposits and other borrowings). The difference between interest revenue and interest expense (the net interest margin/spread) is typically the largest earnings driver for a regional bank. 2) Fees and commissions (non-interest income): The bank earns service revenue from activities such as payment and settlement services (e.g., remittances and transfers), account-related fees, ATM-related fees, and commissions from distributing or brokering financial products (for example, investment trusts, insurance products, or other third-party financial products). The exact product mix and fee categories for TOTTORI BANK, LTD. are not available here; if needed, they should be confirmed from its investor materials or financial statements. 3) Securities and treasury/investment activities: Like many banks, it may invest in securities and manage a portfolio for liquidity and yield (such as domestic bonds and other instruments). Income can come from interest/dividends, realized gains/losses on sales, and valuation-related effects depending on accounting treatment. Specific portfolio composition and contribution for TOTTORI BANK, LTD. are not available here. 4) Credit costs and risk management impact earnings: Profitability is materially influenced by loan performance—provisions for possible loan losses and write-offs reduce earnings during periods of borrower stress. Conversely, lower credit costs support higher profits. Significant partnerships or special revenue arrangements: null

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: Negative
• Last Price: 1598.00
• 50DMA: Negative
• 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 Negative. The current price of 1598 is below the 20-day moving average (MA) of 1834.10, below the 50-day MA of 1787.96, and above the 200-day MA of 1447.17, indicating a neutral trend. The MACD of -20.04 indicates Positive momentum. The RSI at 42.17 is Neutral, neither overbought nor oversold. The STOCH value of 43.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:8383.

TOTTORI BANK, LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8537	72 Outperform	¥23.65B	7.08	―	3.50%	16.60%	-5.51%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
8542	67 Neutral	¥18.60B	4.85	―	3.37%	3.70%	24.98%
8365	66 Neutral	¥12.22B	21.28	―	2.68%	5.57%	-23.26%
8563	66 Neutral	¥12.91B	7.04	―	3.74%	5.91%	5.03%
8383	64 Neutral	¥15.96B	4.33	―	3.30%	11.93%	36.32%
8562	53 Neutral	¥12.66B	8.11	―	1.89%	8.11%	68.98%