Taiheiyo Kouhatsu Incorporated (8835) AI Stock Analysis

• Market Cap: ¥5.92B
• Dividend Yield: 5.12%
• Average Volume (3M): 12.63K
• Price to Earnings (P/E): 13.3
• Beta (1Y): 0.42
• Revenue Growth: 4.53%
• EPS Growth: -21.01%
• Country: JP
• Employees: 672
• Sector: Industrials
• Sector Strength: 72
• Industry: Conglomerates
• EPS (TTM): 19.15
• Shares Outstanding: 7,783,448
• 10 Day Avg. Volume: 13,490
• 30 Day Avg. Volume: 12,630
• PEG Ratio: -0.36
• Price to Book (P/B): 0.35
• Price to Sales (P/S): 0.13
• P/FCF Ratio: -55.98
• 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: ¥752.00
• Price Target Upside: -1.18% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: ¥752.00 ▼(-1.18% Downside)

The stock's overall score is driven primarily by its stable financial performance and attractive valuation. While technical indicators suggest stable momentum, the company's profitability pressures and high leverage warrant cautious optimism. The absence of recent earnings call data and corporate events simplifies the assessment, focusing the analysis on fundamental and technical factors.

Taiheiyo Kouhatsu Incorporated Business Overview & Revenue Model

Company Description

Taiheiyo Kouhatsu Incorporated engages in the coal and mining equipment sale business in Japan. The company is also involved in the condominium/building management; real estate rent/brokerage; shipping; building materials and oil sale; and insurance agency businesses, as well as provision of nursing home services for the elderly. In addition, it manufactures and sells charcoal fertilizer, slaked lime, and stone powder; and offers general freight vehicle transportation services, such as warehousing, construction, and design of various plant facilities, as well as provides information processing services. The company was founded in 1920 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Taiheiyo Kouhatsu makes money through several key revenue streams. In the real estate sector, the company generates income from the development and sale of residential and commercial properties, as well as leasing activities. This includes managing and renting out office spaces, residential units, and commercial facilities. In the energy sector, the company earns revenue from its coal mining operations, supplying coal to various industries. Additionally, it is involved in renewable energy projects, which contribute to its income through the generation and sale of electricity. Taiheiyo Kouhatsu also benefits from strategic partnerships and collaborations that enhance its market reach and operational efficiency, thereby supporting its financial performance.

Taiheiyo Kouhatsu Incorporated Financial Statement Overview

Summary

Taiheiyo Kouhatsu Incorporated shows stable revenue growth but faces profitability pressures due to declining profit margins. The balance sheet is stable but high leverage is a concern. Cash flow inconsistencies highlight the need for improved capital management.

Income Statement

The company has shown consistent revenue growth over the past years from 2021 to 2025. However, the gross profit margin decreased from 2021 to 2025, and net profit margin also saw a decline, indicating pressure on profitability. Despite a slight recovery in revenue, EBIT and EBITDA margins have compressed, affecting overall profitability.

Balance Sheet

The balance sheet reflects a stable equity base with a moderate debt-to-equity ratio. However, total debt remains significant compared to equity, suggesting potential leverage risk. The equity ratio shows a stable contribution of equity to total assets.

Cash Flow

Cash flow analysis highlights inconsistent free cash flow generation, with recent years showing negative free cash flow. Operating cash flow to net income ratio indicates adequate cash generation relative to net income, but overall free cash flow remains a concern. The company needs to improve its capital expenditure efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	43.92B	42.08B	41.10B	51.02B	32.85B	27.82B
Gross Profit	4.50B	4.37B	4.79B	4.86B	3.96B	3.85B
EBITDA	1.92B	1.79B	2.08B	2.22B	1.63B	1.79B
Net Income	453.00M	382.00M	626.00M	694.00M	367.00M	446.00M
Balance Sheet
Total Assets	47.06B	47.74B	44.85B	45.69B	44.65B	43.67B
Cash, Cash Equivalents and Short-Term Investments	6.32B	5.32B	5.19B	5.89B	5.72B	6.30B
Total Debt	16.68B	18.01B	17.19B	17.23B	18.33B	17.37B
Total Liabilities	31.14B	31.64B	28.64B	29.90B	29.51B	28.60B
Stockholders Equity	15.49B	15.66B	15.78B	15.31B	14.68B	14.58B
Cash Flow
Free Cash Flow	0.00	-97.00M	-185.00M	1.68B	-1.87B	-1.20B
Operating Cash Flow	0.00	906.00M	503.00M	2.33B	398.00M	711.00M
Investing Cash Flow	0.00	-1.03B	-741.00M	-613.00M	-1.60B	-1.52B
Financing Cash Flow	0.00	235.00M	-472.00M	-1.56B	622.00M	627.00M

Taiheiyo Kouhatsu Incorporated Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 761.00
• 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:8835, the sentiment is Neutral. The current price of 761 is below the 20-day moving average (MA) of 778.75, above the 50-day MA of 757.72, and above the 200-day MA of 702.32, indicating a neutral trend. The MACD of 3.72 indicates Positive momentum. The RSI at 39.33 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:8835.

Taiheiyo Kouhatsu Incorporated Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2734	75 Outperform	¥67.78B	14.08	6.25%	3.10%	7.61%	-11.92%
7130	74 Outperform	¥75.00B	8.70	9.58%	2.59%	27.80%	12.67%
7119	72 Outperform	¥14.76B	24.69	7.38%	2.61%	4.58%	13.71%
8835	72 Outperform	¥5.92B	13.32	―	5.12%	4.53%	-21.01%
3232	71 Outperform	¥52.43B	9.02	9.64%	2.94%	0.70%	11.52%
3004	66 Neutral	¥9.03B	5.22	15.04%	4.04%	2.65%	18.63%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%