Keihanshin Building Co., Ltd. (8818) AI Stock Analysis

• Market Cap: ¥74.70B
• Dividend Yield: 2.5%
• Average Volume (3M): 67.04K
• Price to Earnings (P/E): 17.7
• Beta (1Y): 0.76
• Revenue Growth: 3.73%
• EPS Growth: 23.40%
• Country: JP
• Employees: 60
• Sector: Real Estate
• Sector Strength: 44
• Industry: Real Estate - Services
• EPS (TTM): 22.10
• Shares Outstanding: 48,811,497
• 10 Day Avg. Volume: 73,690
• 30 Day Avg. Volume: 67,036
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• 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: ¥1,701.00
• Price Target Upside: 5.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 70 Outperform
• Price Target: ¥1,701.00 ▲(5.52% Upside)

Keihanshin Building Co., Ltd. receives an overall score of 70 based on its strong financial performance and reasonable valuation, despite technical indicators showing mixed signals. The stock is financially stable with growth opportunities, making it a balanced choice for investors.

Keihanshin Building Co., Ltd. Business Overview & Revenue Model

Company Description

Keihanshin Building Co., Ltd. (8818) is a Japanese company engaged primarily in the real estate sector. The company is involved in the development, leasing, and management of commercial and residential properties. Its core services include property development, building maintenance, and real estate investment. Keihanshin Building operates within the domestic Japanese market, focusing on high-demand urban areas.

How the Company Makes Money

Keihanshin Building Co., Ltd. generates revenue through multiple streams, primarily from property leasing and sales. The company earns income by leasing out commercial and residential spaces within its developed properties, collecting rents from tenants. Additionally, Keihanshin Building engages in the sale of real estate properties, generating significant one-time revenue from these transactions. Another key revenue source is property management services, where the company provides maintenance and operational services for buildings, charging fees for these offerings. Strategic partnerships with construction companies and investors also contribute to its earnings, enabling the company to expand its portfolio and enhance its development projects.

Keihanshin Building Co., Ltd. Financial Statement Overview

Summary

Keihanshin Building Co., Ltd. demonstrates solid financial health with consistent revenue growth and strong profitability margins. The balance sheet reflects moderate leverage typical of its industry, with room for optimizing capital structure. Cash flow statements show robust cash generation, supporting future investments and debt obligations.

Income Statement

The company exhibits steady revenue growth with a 1.42% increase from 2024 to 2025. Gross profit margin is healthy at approximately 35.30%, indicating efficient cost management. Net profit margin improved to 22.41%, showcasing strong profitability. However, EBIT margin slightly decreased, highlighting potential operational efficiency challenges.

Balance Sheet

The debt-to-equity ratio is 1.11, suggesting moderate leverage, typical for the real estate industry. Return on Equity stands at 5.75%, showing a stable return on shareholder investment. Equity ratio is 43.11%, indicating a balanced capital structure, though there is room for improvement in reducing liabilities.

Cash Flow

The free cash flow grew significantly by 166.92% from 2024 to 2025, enhancing financial flexibility. The operating cash flow to net income ratio is strong at 1.66, indicating efficient cash generation. However, the free cash flow to net income ratio is lower at 0.76, suggesting potential reinvestment needs.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	19.58B	19.31B	18.88B	17.82B	15.33B
Gross Profit	6.91B	6.88B	7.08B	6.66B	6.84B
EBITDA	8.87B	9.06B	9.06B	8.86B	7.57B
Net Income	4.39B	3.79B	4.19B	5.17B	8.25B
Balance Sheet
Total Assets	177.10B	166.62B	152.32B	149.99B	154.04B
Cash, Cash Equivalents and Short-Term Investments	14.06B	8.67B	5.31B	9.88B	21.55B
Total Debt	84.35B	75.53B	67.16B	64.86B	66.65B
Total Liabilities	100.78B	91.74B	81.45B	79.48B	83.50B
Stockholders Equity	76.32B	74.87B	70.87B	70.51B	70.54B
Cash Flow
Free Cash Flow	3.36B	1.26B	-3.98B	-9.77B	-5.67B
Operating Cash Flow	7.29B	8.22B	8.92B	2.74B	7.69B
Investing Cash Flow	-8.22B	-11.27B	-12.10B	-8.65B	-5.57B
Financing Cash Flow	6.26B	6.41B	-1.38B	-5.76B	6.22B

Keihanshin Building Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1612.00
• 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:8818, the sentiment is Positive. The current price of 1612 is above the 20-day moving average (MA) of 1573.35, above the 50-day MA of 1541.70, and above the 200-day MA of 1508.03, indicating a bullish trend. The MACD of 18.53 indicates Negative momentum. The RSI at 57.74 is Neutral, neither overbought nor oversold. The STOCH value of 56.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8818.

Keihanshin Building Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8877	82 Outperform	¥79.46B	10.96		3.50%	-18.65%	-30.68%
8864	80 Outperform	¥52.99B	16.25		1.89%	28.90%	51.06%
3465	76 Outperform	¥80.39B	7.89		2.97%	24.18%	67.31%
Sector *	71 Outperform	¥233.02B	14.82	10.65%	3.45%	20.17%	27.23%
8818	70 Outperform	¥74.70B	17.70		2.50%	3.73%	23.40%
3479	67 Neutral	¥85.84B	27.70		―	91.97%	-27.47%
8841	65 Neutral	¥71.88B	38.94	1.87%	1.30%	2.97%	-62.10%

Keihanshin Building Co., Ltd. Corporate Events

Keihanshin Building Co., Ltd. Reports Modest Growth in Q1 2025

Keihanshin Building Co., Ltd. reported a slight increase in its financial performance for the three months ending June 30, 2025, with net sales rising by 5.2% and operating profit by 3.8% compared to the previous year. Despite a decrease in comprehensive income, the company maintains a stable equity-to-asset ratio and forecasts continued growth in net sales and operating profit for the fiscal year ending March 31, 2026. The company’s focus on business profit before depreciation and amortization as a key management indicator suggests a strategic emphasis on long-term asset value and operational efficiency.

Keihanshin Building Co., Ltd. Completes Treasury Share Disposal for Compensation

Keihanshin Building Co., Ltd. has completed the payment process for the disposal of 39,300 treasury shares as part of a restricted stock compensation plan. This move, resolved in a recent board meeting, aims to align the interests of the company’s directors and executive officers with those of its shareholders, potentially impacting the company’s governance and financial strategies.

Keihanshin Building Co., Ltd. Announces Treasury Share Disposal for Executive Compensation

Keihanshin Building Co., Ltd. has announced a resolution to dispose of its treasury shares as restricted stock compensation to incentivize its directors and executive officers. This move aims to promote sustainable corporate growth and align management’s interests with those of shareholders, potentially impacting the company’s operational strategies and stakeholder relations.

Keihanshin Building Co., Ltd. Reports Fiscal Year 2025 Financial Results

Keihanshin Building Co., Ltd. reported its consolidated financial results for the fiscal year ending March 31, 2025, showing a slight increase in net sales by 1.4% to ¥19,584 million. Despite a decrease in operating and ordinary profits, the company achieved a significant rise in profit attributable to owners of the parent by 15.7%. The company plans to maintain its dividend payout, reflecting a stable financial position with a slight increase in total assets and net assets. The inclusion of Keihanshin Building America Co., Ltd. in its consolidation scope indicates a strategic move to enhance its international presence.

Keihanshin Building Co., Ltd. Proposes Governance Structure Overhaul

Keihanshin Building Co., Ltd. announced a proposal to amend its Articles of Incorporation, transitioning from an Audit & Supervisory Board to an Audit & Supervisory Committee structure. This change aims to strengthen the supervisory function of the Board of Directors and improve corporate governance, impacting the company’s operational oversight and potentially enhancing stakeholder confidence.