Keiyo Bank, Ltd. (8544) AI Stock Analysis

• Market Cap: ¥157.50B
• Dividend Yield: 2.57%
• Average Volume (3M): 282.25K
• Price to Earnings (P/E): 13.9
• Beta (1Y): 1.13
• Revenue Growth: 6.37%
• EPS Growth: -11.55%
• Country: JP
• Employees: 1,832
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 33.93
• Shares Outstanding: 131,427,860
• 10 Day Avg. Volume: 328,530
• 30 Day Avg. Volume: 282,250
• PEG Ratio: 0.44
• Price to Book (P/B): 0.36
• Price to Sales (P/S): 1.46
• P/FCF Ratio: 3.69
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: ¥1,484.00 ▲(12.34% Upside)

Keiyo Bank's stock is supported by strong technical indicators and a reasonable valuation, making it attractive for investors. However, financial performance is mixed due to high leverage and cash flow volatility, which could pose risks if not addressed.

Keiyo Bank, Ltd. Business Overview & Revenue Model

Company Description

Keiyo Bank, Ltd. (8544) is a Japan-based banking institution primarily engaged in providing a range of financial services. The bank operates through various segments, including retail banking, corporate banking, and asset management, catering to individual customers, small and medium-sized enterprises, and large corporations. Its core products include deposit accounts, loans, credit cards, foreign exchange services, and investment products, aimed at facilitating personal and business financial needs.

How the Company Makes Money

Keiyo Bank generates revenue primarily through net interest income, which is earned from the difference between interest rates on loans and deposits. The bank provides various types of loans, including personal loans, business loans, and mortgages, which contribute significantly to its earnings. Additionally, the bank earns fee-based income from services such as account maintenance fees, transaction fees, and investment advisory services. Significant partnerships with local businesses and government entities also enhance its revenue through increased lending opportunities and fee income from collaborative financial solutions. Furthermore, the bank may engage in securities trading and investment, providing an additional revenue stream through capital gains and dividends.

Keiyo Bank, Ltd. Financial Statement Overview

Summary

Keiyo Bank demonstrates solid revenue growth and profitability, with a strong net profit margin. However, the high leverage and fluctuating cash flows present potential risks. The bank needs to focus on improving operational efficiency and managing its debt levels to ensure long-term financial stability.

Income Statement

Keiyo Bank has shown consistent revenue growth with a 4.77% increase in the latest year. The net profit margin is healthy at 18.37%, indicating strong profitability. However, the EBIT and EBITDA margins have declined compared to previous years, which could suggest rising operational costs or other inefficiencies.

Balance Sheet

The bank's debt-to-equity ratio is relatively high at 2.26, indicating significant leverage, which could pose a risk if not managed properly. Return on equity is modest at 4.20%, suggesting moderate efficiency in generating profits from shareholders' equity. The equity ratio is stable, reflecting a balanced asset structure.

Cash Flow

Operating cash flow has improved significantly, turning positive after a negative previous year, which is a positive sign for liquidity. The free cash flow to net income ratio is strong at 0.93, indicating good cash generation relative to net income. However, the volatility in free cash flow growth rates over the years suggests potential instability in cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	72.40B	75.31B	65.37B	64.88B	61.24B	58.58B
Gross Profit	72.42B	73.64B	64.75B	64.88B	61.79B	57.53B
EBITDA	11.99B	22.24B	18.91B	18.63B	19.80B	14.59B
Net Income	11.45B	12.76B	10.88B	10.39B	11.19B	7.38B
Balance Sheet
Total Assets	6.60T	6.56T	6.55T	6.58T	6.90T	5.55T
Cash, Cash Equivalents and Short-Term Investments	0.00	917.71B	1.05T	1.23T	1.72T	514.41B
Total Debt	664.14B	685.98B	737.66B	495.90B	1.38T	216.60B
Total Liabilities	6.28T	6.25T	6.22T	6.28T	6.61T	5.25T
Stockholders Equity	311.99B	303.98B	322.75B	290.54B	290.77B	293.10B
Cash Flow
Free Cash Flow	0.00	29.78B	1.84B	-517.96B	1.33T	361.81B
Operating Cash Flow	0.00	32.08B	-181.72B	-510.17B	1.33T	366.40B
Investing Cash Flow	0.00	-232.97B	-1.38B	26.68B	-118.57B	-99.75B
Financing Cash Flow	0.00	72.00B	-4.35B	-3.72B	-4.27B	-2.25B

Keiyo Bank, Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1321.00
• 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:8544, the sentiment is Positive. The current price of 1321 is above the 20-day moving average (MA) of 1283.85, above the 50-day MA of 1247.27, and above the 200-day MA of 995.25, indicating a bullish trend. The MACD of 21.88 indicates Negative momentum. The RSI at 60.76 is Neutral, neither overbought nor oversold. The STOCH value of 65.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8544.

Keiyo Bank, Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8336	78 Outperform	¥138.50B	10.24	―	2.99%	5.74%	10.39%
8544	75 Outperform	¥157.50B	13.89	―	2.57%	6.37%	-11.55%
7389	70 Outperform	¥197.29B	24.94	―	2.51%	1.98%	-10.03%
8388	70 Outperform	¥145.81B	11.75	―	2.53%	3.78%	1.63%
8386	69 Neutral	¥154.40B	11.16	―	2.60%	-6.76%	34.71%
7381	68 Neutral	¥146.97B	13.95	―	2.50%	8.43%	38.21%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Keiyo Bank, Ltd. Corporate Events

Keiyo Bank Revises Financial Forecasts Upward Amid Strong Performance

Keiyo Bank, Ltd. has revised its financial forecasts for the six months ending September 30, 2025, showing significant increases in both consolidated and non-consolidated profits compared to previous forecasts. This upward revision is attributed to higher net interest income and securities-related gains, coupled with lower credit costs, indicating a strong financial performance and positive outlook for the bank.

The most recent analyst rating on (JP:8544) stock is a Buy with a Yen1385.00 price target. To see the full list of analyst forecasts on Keiyo Bank, Ltd. stock, see the JP:8544 Stock Forecast page.

Keiyo Bank Reports Q1 2025 Financial Results with Increased Income

Keiyo Bank reported a 6% increase in ordinary income for the three months ending June 30, 2025, compared to the previous year, despite a decline in ordinary profit and profit attributable to owners. The bank’s financial position showed a slight improvement in total assets and net assets, with an increased equity-to-asset ratio. The forecast for the fiscal year ending March 31, 2026, indicates a modest growth in ordinary profit and profit attributable to owners, suggesting a cautious but optimistic outlook for the bank’s financial performance.