IwaiCosmo Holdings, Inc. (8707) AI Stock Analysis

• Market Cap: ¥67.27B
• Dividend Yield: 6.02%
• Average Volume (3M): 93.04K
• Price to Earnings (P/E): 8.2
• Beta (1Y): 1.04
• Revenue Growth: 10.85%
• EPS Growth: 30.77%
• Country: JP
• Employees: 788
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 103.64
• Shares Outstanding: 25,012,800
• 10 Day Avg. Volume: 106,760
• 30 Day Avg. Volume: 93,036
• PEG Ratio: 0.40
• Price to Book (P/B): 0.83
• Price to Sales (P/S): 2.19
• P/FCF Ratio: -8.82
• 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: 81 Outperform
• Price Target: ¥3,604.00 ▲(15.51% Upside)

IwaiCosmo Holdings scores well due to its strong technical momentum and attractive valuation. While financial performance is solid, the negative cash flow trend is a concern. The lack of earnings call data and corporate events did not impact the score.

Positive Factors

Revenue Growth

Sustained revenue growth indicates strong market demand and effective business strategies, supporting long-term financial health.

Profitability

High profit margins reflect efficient cost management and strong pricing power, enhancing the company's competitive position.

Balance Sheet Health

Low leverage provides financial stability and flexibility, allowing the company to invest in growth opportunities without excessive risk.

Negative Factors

Operating Cash Flow

Negative operating cash flow raises concerns about liquidity and the company's ability to fund operations and growth without external financing.

Cash Flow Challenges

Negative free cash flow suggests potential difficulties in covering expenses and investing in future growth, impacting long-term sustainability.

Liquidity Concerns

Ongoing liquidity issues could limit the company's ability to respond to market changes and seize new opportunities, affecting future performance.

IwaiCosmo Holdings, Inc. Business Overview & Revenue Model

Company Description

IwaiCosmo Holdings, Inc. (8707) is a diversified holding company primarily engaged in the financial services sector, with a focus on asset management, investment advisory services, and brokerage services. The company operates through various subsidiaries that offer a range of financial products and services, catering to both individual and institutional clients. IwaiCosmo Holdings aims to leverage innovative financial solutions to enhance its customers' investment portfolios while contributing to the overall growth of the financial markets.

How the Company Makes Money

IwaiCosmo Holdings generates revenue through multiple channels, including fees from asset management services, commissions from brokerage activities, and advisory fees from investment consultations. The company charges a percentage of assets under management (AUM) for its investment management services, which constitutes a significant portion of its revenue. Additionally, brokerage commissions earned from facilitating trades for clients add to the revenue stream. The company may also engage in strategic partnerships with financial institutions and technology firms to enhance its service offerings and expand its client base, further contributing to its earnings through collaborative ventures and shared revenue models.

IwaiCosmo Holdings, Inc. Financial Statement Overview

Summary

IwaiCosmo Holdings shows strong profitability with high margins and a solid balance sheet, but faces liquidity concerns due to negative operating cash flow.

Income Statement

IwaiCosmo Holdings has demonstrated robust revenue growth from 2024 to 2025, with a revenue increase of 7.15%. The company maintains a high gross profit margin of 96.36% and a net profit margin of 26.11%, indicating strong profitability and efficient cost management. Additionally, EBIT and EBITDA margins are healthy at 33.62% and 36.34%, respectively, showcasing strong operational efficiency.

Balance Sheet

The company has a solid equity base with a debt-to-equity ratio of 0.11, indicating low leverage and financial stability. The return on equity is impressive at 9.93%, reflecting effective use of shareholders' funds. The equity ratio stands at 36.50%, underscoring a healthy balance between liabilities and equity.

Cash Flow

IwaiCosmo Holdings experienced a significant decline in operating cash flow in 2025, turning negative, which is a concern. The free cash flow to net income ratio is negative, indicating cash flow challenges. However, the company is managing capital expenditures efficiently, which could help alleviate cash flow pressures in the future.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	19.16B	25.75B	24.04B	19.69B	20.71B	22.99B
Gross Profit	18.56B	25.52B	23.78B	19.43B	20.51B	23.07B
EBITDA	6.90B	9.36B	8.32B	5.46B	6.10B	7.94B
Net Income	4.90B	6.72B	5.55B	3.56B	3.76B	5.36B
Balance Sheet
Total Assets	192.50B	185.45B	208.11B	183.51B	182.48B	193.03B
Cash, Cash Equivalents and Short-Term Investments	6.96B	10.23B	10.17B	10.27B	16.58B	13.18B
Total Debt	2.00B	26.01B	30.40B	33.40B	29.04B	30.12B
Total Liabilities	126.19B	117.75B	141.77B	125.95B	125.98B	136.83B
Stockholders Equity	66.31B	67.70B	66.34B	57.56B	56.50B	56.20B
Cash Flow
Free Cash Flow	0.00	-6.41B	1.05B	-5.89B	5.93B	3.13B
Operating Cash Flow	0.00	3.13B	1.58B	-5.80B	6.36B	3.96B
Investing Cash Flow	0.00	-666.00M	3.02B	-2.39B	-1.14B	-1.02B
Financing Cash Flow	0.00	-2.82B	-1.89B	-1.73B	-2.75B	-2.47B

IwaiCosmo Holdings, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3120.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8707, the sentiment is Positive. The current price of 3120 is above the 20-day moving average (MA) of 2898.45, above the 50-day MA of 2792.27, and above the 200-day MA of 2396.66, indicating a bullish trend. The MACD of 77.60 indicates Negative momentum. The RSI at 70.75 is Negative, neither overbought nor oversold. The STOCH value of 87.02 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8707.

IwaiCosmo Holdings, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8707	81 Outperform	¥67.27B	8.24	―	6.02%	10.85%	30.77%
8622	71 Outperform	€30.43B	14.01	5.54%	5.60%	-1.80%	-1.02%
8613	71 Outperform	€62.19B	13.58	9.22%	6.40%	7.45%	45.25%
8699	68 Neutral	¥39.76B	2.16	―	0.92%	24.64%	33.45%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
8614	66 Neutral	¥39.86B	14.66	―	5.11%	6.40%	41.18%
8708	64 Neutral	¥41.66B	15.76	―	4.69%	1.14%	-16.88%

IwaiCosmo Holdings, Inc. Corporate Events

IwaiCosmo Holdings Announces Planned Interim Dividend for FY 2026

IwaiCosmo Holdings Co., Ltd. has announced a planned interim dividend of 60 yen per share for the fiscal year ending March 31, 2026, with a record date of September 30, 2025. This decision aligns with the company’s policy to return profits to shareholders based on business performance, aiming for a total return ratio of 50% or more during its Sixth Medium-Term Management Plan.

The most recent analyst rating on (JP:8707) stock is a Buy with a Yen2735.00 price target. To see the full list of analyst forecasts on IwaiCosmo Holdings, Inc. stock, see the JP:8707 Stock Forecast page.

IwaiCosmo Holdings Reports Stable Q1 Financial Performance

IwaiCosmo Holdings, Inc. announced the completion of an interim review of its consolidated financial statements for the three months ended June 30, 2025, with no revisions made to the previously disclosed figures. The company reported a slight increase in operating revenues and profits compared to the previous year, indicating stable financial performance. The announcement reflects the company’s steady position in the market, with a notable increase in profit attributable to owners of the parent, showcasing effective management and operational strategies.

IwaiCosmo Holdings Reports Modest Revenue Growth in Q2 2025

IwaiCosmo Holdings, Inc. reported its consolidated financial results for the three months ending June 30, 2025, showing a modest increase in operating revenues and profits compared to the previous year. The company achieved a 1.6% increase in operating revenues and a significant 19.7% rise in profit attributable to owners of the parent, indicating a positive financial performance. Despite the improvements, the company did not provide earnings forecasts due to the significant impact of economic and market conditions on its business performance.