Anabki Kosan Inc. (8928) AI Stock Analysis

• Market Cap: ¥30.99B
• Dividend Yield: 2.61%
• Average Volume (3M): 7.67K
• Price to Earnings (P/E): 5.8
• Beta (1Y): 0.34
• Revenue Growth: 1.06%
• EPS Growth: -7.12%
• Country: JP
• Employees: 1,668
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): N/A
• Shares Outstanding: 11,535,600
• 10 Day Avg. Volume: 4,690
• 30 Day Avg. Volume: 7,670
• PEG Ratio: -0.25
• Price to Book (P/B): 0.49
• Price to Sales (P/S): 0.16
• P/FCF Ratio: -10.06
• 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: 67 Neutral
• Price Target: ¥2,933.00 ▲(32.18% Upside)
• Action: Downgraded Date: 02/23/26
• Date: Action: Downgraded 02/23/26

The score is driven primarily by attractive valuation (low P/E and dividend yield) and a strong uptrend in price. Offsetting this are weaker fundamentals—declining revenue, high leverage, and negative operating cash flow—plus very overbought technical readings that raise near-term risk.

Positive Factors

Diversified revenue streams & long-term contracts

Multiple revenue pillars — product sales, consulting, and grant-funded R&D — plus established partnerships and long-term contracts create durable revenue predictability across cycles. This cross-sector exposure reduces single-market risk and supports steady medium-term cash inflows for reinvestment.

Reasonable gross profit and EBIT margins

Sustained gross and EBIT margins point to underlying operational strength and pricing or cost advantages in core products. Margins provide a buffer against revenue variability, enabling the company to fund R&D and capex without immediate reliance on external financing if top-line pressures ease.

Stable return on equity

A stable ROE implies management is consistently converting equity into returns, indicating disciplined capital allocation. Even with leverage, steady ROE reflects operational competency and helps sustain investor confidence and the ability to finance strategic initiatives over the medium term.

Negative Factors

Declining revenue growth

A >10% annual revenue decline is a structural concern that erodes scale benefits, pressures fixed-cost coverage and reduces reinvestment capacity. Unless product demand or contracts are restored, ongoing top-line contraction will strain margins, profitability and strategic investment over the next several quarters.

High leverage (debt-to-equity)

Elevated leverage increases fixed interest obligations and reduces financial flexibility, raising refinancing and covenant risk. In an environment of weaker revenue and cash generation, high debt amplifies downside, constrains capex/R&D choices, and could force deleveraging actions that harm growth prospects.

Negative operating and free cash flow

Persistent negative operating cash flow and FCF indicate the business is not converting profits into cash, limiting internal funding for capex and debt service. This forces reliance on external financing or asset sales, increasing cost of capital and risking disruption to long-term projects and supplier/customer relationships.

Anabki Kosan Inc. Business Overview & Revenue Model

Company Description

Anabuki Kosan Inc. engages in the real estate business in Japan. It is involved in the custom home contracting, apartment contracting, real estate distribution, hotel and tenant building management, public facility consignment management, and town planning businesses, as well as sale of houses. The company also provides real estate, facility management, energy saving, condominium management, insurance, senior related, employment support, travel, human resource development, outsourcing, and advertisement services. Anabuki Kosan Inc. was founded in 1964 and is headquartered in Takamatsu, Japan.

How the Company Makes Money

Anabki Kosan Inc. generates revenue through multiple streams, primarily by selling its advanced materials and solutions to businesses in key sectors such as electronics and automotive manufacturing. The company has established significant partnerships with leading firms in these industries, allowing for bulk purchasing agreements and long-term contracts that ensure steady income. Additional revenue is derived from consulting services related to material application and technology integration, as well as ongoing research projects funded by government and private sector grants. The company's focus on innovation and sustainability also opens up opportunities for grants and incentives, further contributing to its earnings.

Anabki Kosan Inc. Financial Statement Overview

Summary

Operational margins appear reasonable, but financial quality is pressured by declining revenue growth (-12.81%), high leverage (elevated debt-to-equity), and weak cash generation (negative operating cash flow and unfavorable free-cash-flow metrics).

Income Statement

Anabki Kosan Inc. has shown a decline in revenue growth with a negative growth rate of -12.81% in the latest year, indicating potential challenges in market demand or competition. However, the company maintains a reasonable gross profit margin and EBIT margin, suggesting operational efficiency. The net profit margin has decreased compared to the previous year, reflecting lower profitability.

Balance Sheet

The company has a high debt-to-equity ratio, indicating significant leverage, which could pose financial risks if not managed properly. However, the return on equity remains relatively stable, suggesting effective use of equity to generate profits. The equity ratio indicates a moderate level of equity financing compared to total assets.

Cash Flow

Anabki Kosan Inc. faces challenges in cash flow management, with negative free cash flow growth and a negative operating cash flow in the latest year. The free cash flow to net income ratio is unfavorable, indicating cash flow issues despite reported net income. This could impact the company's ability to invest in growth or service debt.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	130.97B	134.50B	113.84B	111.34B	104.75B
Gross Profit	26.23B	26.72B	25.68B	24.79B	21.93B
EBITDA	6.87B	6.82B	7.59B	8.41B	6.82B
Net Income	3.72B	4.84B	4.05B	4.19B	3.06B
Balance Sheet
Total Assets	148.14B	136.30B	126.61B	113.34B	114.37B
Cash, Cash Equivalents and Short-Term Investments	6.97B	9.56B	8.30B	8.20B	4.98B
Total Debt	75.22B	70.92B	65.67B	57.19B	56.08B
Total Liabilities	104.49B	95.84B	90.36B	80.49B	83.54B
Stockholders Equity	43.56B	40.38B	36.16B	32.76B	30.21B
Cash Flow
Free Cash Flow	-2.14B	-3.23B	-10.91B	169.49M	1.11B
Operating Cash Flow	55.03M	-1.14B	-7.86B	1.80B	4.00B
Investing Cash Flow	-6.54B	-2.23B	130.95M	1.80B	-5.76B
Financing Cash Flow	3.58B	4.62B	7.83B	-379.32M	356.47M

Anabki Kosan Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2219.00
• 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:8928, the sentiment is Positive. The current price of 2219 is below the 20-day moving average (MA) of 2492.60, below the 50-day MA of 2345.06, and above the 200-day MA of 2149.62, indicating a bullish trend. The MACD of 127.97 indicates Negative momentum. The RSI at 91.56 is Negative, neither overbought nor oversold. The STOCH value of 91.57 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8928.

Anabki Kosan Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8860	74 Outperform	¥33.47B	6.27	―	4.20%	6.26%	-4.41%
7187	72 Outperform	¥25.97B	10.93	―	3.29%	29.97%	19.33%
3457	70 Neutral	¥22.59B	17.50	―	4.31%	-6.89%	7.72%
8928	67 Neutral	¥30.99B	5.75	―	2.61%	1.06%	-7.12%
8881	67 Neutral	¥38.46B	8.94	5.90%	3.07%	3.04%	44.65%
3452	67 Neutral	¥32.15B	6.98	―	3.99%	3.72%	-27.94%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%