Taiko Bank, Ltd. (8537) AI Stock Analysis

• Market Cap: ¥17.06B
• Dividend Yield: 3.6%
• Average Volume (3M): 37.78K
• Price to Earnings (P/E): 7.0
• Beta (1Y): 0.85
• Revenue Growth: 14.06%
• EPS Growth: 20.87%
• Country: JP
• Employees: 793
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 90.46
• Shares Outstanding: 9,671,400
• 10 Day Avg. Volume: 33,130
• 30 Day Avg. Volume: 37,780
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥1,793.00
• Price Target Upside: -0.72% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 72 Outperform
• Price Target: ¥1,793.00 ▼(-0.72% Downside)

The overall score is driven by strong financial performance and attractive valuation. The technical analysis suggests bullish momentum but warns of overbought conditions. The absence of earnings call and corporate events data limits the analysis to financial and market metrics.

Taiko Bank, Ltd. Business Overview & Revenue Model

Company Description

Taiko Bank, Ltd. (8537) is a regional financial institution based in Japan, primarily engaged in providing a wide range of banking services to individual and corporate clients. The bank offers various financial products, including savings and checking accounts, loans, credit facilities, and investment services. Taiko Bank focuses on serving local communities and small to medium-sized enterprises (SMEs) by delivering personalized banking solutions tailored to their needs.

How the Company Makes Money

Taiko Bank, Ltd. generates revenue primarily through interest income from loans and advances offered to individuals and businesses. The bank earns interest on various loan products, including personal loans, mortgages, and commercial loans, which constitute a significant portion of its income. Additionally, Taiko Bank generates fee-based income from services such as account maintenance fees, transaction fees, and advisory services related to investment products. The bank also earns income through its treasury operations, which involve managing its investment portfolio and trading activities. Partnerships with other financial institutions and participation in local economic development initiatives further support its revenue generation.

Taiko Bank, Ltd. Financial Statement Overview

Summary

Taiko Bank, Ltd. shows solid profitability with strong income statement performance, including a high gross profit margin and improved net profit margin. However, inconsistent revenue growth and a low equity ratio present potential risks.

Income Statement

The income statement shows a solid gross profit margin of 94.24%, indicating strong revenue retention. The net profit margin improved significantly to 12.51%, reflecting enhanced profitability. Although the revenue grew by 10.21% from 2024 to 2025, this growth has been inconsistent over the years. The EBIT and EBITDA margins are healthy at 22.89%, showing effective operational management.

Balance Sheet

The balance sheet is stable with a moderate debt-to-equity ratio of 1.56, suggesting prudent financial leverage. However, the equity ratio is relatively low at 4.47%, which may indicate potential risks in asset financing. Return on equity is commendable at 3.33%, showing decent returns for shareholders.

Cash Flow

Cash flow analysis reveals strong free cash flow growth of 24.26%, indicating improved cash generation. The operating cash flow to net income ratio is robust at 5.68, reflecting efficient cash operations. However, the free cash flow to net income ratio is significantly higher at 5.43, highlighting a potential emphasis on cash over profit.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	20.19B	19.95B	19.82B	19.64B	19.06B	19.87B
Gross Profit	20.19B	18.80B	18.10B	19.42B	18.39B	19.08B
EBITDA	16.18B	4.57B	3.26B	2.53B	3.57B	3.12B
Net Income	2.49B	2.50B	1.72B	1.28B	2.04B	1.57B
Balance Sheet
Total Assets	1.68T	1.68T	1.63T	1.61T	1.70T	1.71T
Cash, Cash Equivalents and Short-Term Investments	127.11B	127.11B	85.98B	104.37B	237.74B	231.90B
Total Debt	116.85B	116.85B	94.47B	63.97B	168.21B	117.34B
Total Liabilities	1.60T	1.60T	1.55T	1.53T	1.62T	1.63T
Stockholders Equity	74.98B	74.98B	77.65B	73.11B	76.98B	79.23B
Cash Flow
Free Cash Flow	0.00	13.54B	11.56B	-139.63B	-4.52B	142.68B
Operating Cash Flow	0.00	14.19B	1.60B	-139.40B	-4.19B	143.44B
Investing Cash Flow	0.00	846.00M	-19.40B	6.62B	10.63B	-1.67B
Financing Cash Flow	0.00	-649.00M	-592.00M	-589.00M	-592.00M	-736.00M

Taiko Bank, Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1806.00
• 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:8537, the sentiment is Positive. The current price of 1806 is above the 20-day moving average (MA) of 1766.10, above the 50-day MA of 1649.74, and above the 200-day MA of 1458.28, indicating a bullish trend. The MACD of 47.49 indicates Positive momentum. The RSI at 60.28 is Neutral, neither overbought nor oversold. The STOCH value of 32.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8537.

Taiko Bank, Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8563	75 Outperform	¥10.14B	7.15		4.00%	2.44%	10.20%
8383	73 Outperform	¥12.69B	9.82		3.69%	9.46%	9.41%
8349	72 Outperform	¥12.89B	11.15		3.68%	7.67%	-26.27%
8537	72 Outperform	¥17.06B	6.96		3.60%	14.06%	20.87%
8542	69 Neutral	¥16.01B	11.13		3.59%	2.61%	-7.91%
8364	69 Neutral	¥22.68B	10.28		3.07%	0.44%	―
Sector *	68 Neutral	$17.80B	11.87	10.23%	3.74%	9.69%	1.18%