Towa Bank, Ltd. (8558) AI Stock Analysis

• Market Cap: ¥40.12B
• Dividend Yield: 2.87%
• Average Volume (3M): 144.98K
• Price to Earnings (P/E): 24.1
• Beta (1Y): 1.01
• Revenue Growth: 16.42%
• EPS Growth: 119.62%
• Country: JP
• Employees: 1,257
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 11.43
• Shares Outstanding: 35,775,870
• 10 Day Avg. Volume: 109,450
• 30 Day Avg. Volume: 144,976
• PEG Ratio: 0.14
• Price to Book (P/B): 0.25
• Price to Sales (P/S): 0.73
• P/FCF Ratio: 0.00
• 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: 78 Outperform
• Price Target: ¥1,233.00 ▲(7.12% Upside)
• Action: Upgraded Date: 12/02/25
• Date: Action: Upgraded 12/02/25

Towa Bank's stock is rated positively due to strong technical indicators and an attractive valuation, suggesting potential undervaluation and strong market momentum. Financial performance is solid, with strong revenue growth and profitability, although leverage is a concern. The absence of earnings call and corporate events data does not impact the overall score.

Positive Factors

Sustained Revenue Growth

Consistent double-digit revenue growth indicates expanding core banking activity and customer traction among households and SMEs. Over 2-6 months this supports higher earning asset volumes and underpins recurring net interest and fee income, reinforcing long-term top-line resilience.

Negative Factors

Rising Leverage

An elevated and rising debt-to-equity ratio increases financial risk and reduces balance sheet flexibility. If credit conditions deteriorate, higher leverage magnifies losses and can force higher provisioning or constrain lending growth, impacting capital management over several quarters.

Towa Bank, Ltd. Business Overview & Revenue Model

Company Description

The Towa Bank, Ltd. provides various banking products and services. The company was founded in 1917 and is based in Maebashi, Japan....

How the Company Makes Money

Towa Bank primarily makes money through (1) net interest income and (2) non-interest income (fees and commissions), with other income sources contributing depending on market conditions. 1) Net interest income (core earnings driver): The bank rai...

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Towa Bank primarily makes money through (1) net interest income and (2) non-interest income (fees and commissions), with other income sources contributing depending on market conditions. 1) Net interest income (core earnings driver): The bank rai...

Towa Bank, Ltd. Financial Statement Overview

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	37.11B	31.14B	29.88B	29.49B	32.88B	32.62B
Gross Profit	37.11B	29.75B	29.74B	29.34B	32.67B	32.36B
EBITDA	3.90B	8.22B	5.92B	6.55B	4.85B	5.30B
Net Income	5.76B	4.52B	3.53B	4.09B	1.75B	2.50B
Balance Sheet
Total Assets	2.40T	2.38T	2.41T	2.39T	2.57T	2.55T
Cash, Cash Equivalents and Short-Term Investments	0.00	167.71B	195.49B	188.35B	376.58B	383.66B
Total Debt	125.19B	121.49B	120.39B	115.89B	292.99B	298.71B
Total Liabilities	2.30T	2.29T	2.29T	2.27T	2.44T	2.42T
Stockholders Equity	92.06B	90.64B	118.07B	117.16B	124.69B	134.61B
Cash Flow
Free Cash Flow	0.00	0.00	-1.61B	-211.22B	3.50B	175.27B
Operating Cash Flow	0.00	0.00	941.00M	-209.39B	5.00B	178.22B
Investing Cash Flow	0.00	6.16B	7.42B	22.39B	-10.91B	-33.40B
Financing Cash Flow	0.00	-15.21B	-1.12B	-169.78B	-1.30B	-1.85B

Towa Bank, Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1151.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8558, the sentiment is Positive. The current price of 1151 is above the 20-day moving average (MA) of 1033.13, above the 50-day MA of 1087.25, and above the 200-day MA of 936.37, indicating a bullish trend. The MACD of 2.89 indicates Negative momentum. The RSI at 59.36 is Neutral, neither overbought nor oversold. The STOCH value of 80.53 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8558.

Towa Bank, Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8558	78 Outperform	¥40.12B	24.09	―	2.87%	16.42%	119.62%
8537	72 Outperform	¥24.16B	7.08	―	3.50%	16.60%	-5.51%
8551	68 Neutral	¥39.36B	10.62	―	3.28%	22.26%	-12.68%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
8542	67 Neutral	¥18.64B	4.85	―	3.37%	3.70%	24.98%
8338	65 Neutral	¥51.66B	4.49	―	1.20%	8.45%	168.74%
8364	64 Neutral	¥29.75B	7.87	―	2.59%	4.90%	―

Towa Bank, Ltd. Corporate Events