FJ NEXT HOLDINGS CO. LTD. (8935) AI Stock Analysis

• Market Cap: ¥63.67B
• Dividend Yield: 3.64%
• Average Volume (3M): 52.79K
• Price to Earnings (P/E): 8.3
• Beta (1Y): 0.77
• Revenue Growth: 15.82%
• EPS Growth: 22.32%
• Country: JP
• Employees: 557
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 155.07
• Shares Outstanding: 34,646,500
• 10 Day Avg. Volume: 39,130
• 30 Day Avg. Volume: 52,790
• PEG Ratio: 14.72
• Price to Book (P/B): 0.54
• Price to Sales (P/S): 0.35
• P/FCF Ratio: -2.80
• 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: 77 Outperform
• Price Target: ¥2,154.00 ▲(48.76% Upside)
• Action: Reiterated Date: 02/04/26
• Date: Action: Reiterated 02/04/26

The score is driven primarily by strong profitability and balance sheet stability, supported by attractive valuation (low P/E and solid dividend yield). The main constraints are cash flow volatility (including negative operating cash flow in 2025) and technically overbought conditions (high RSI) that can elevate near-term risk.

Positive Factors

Sustained revenue growth

A ~12% reported revenue growth reflects sustained top-line expansion tied to core real estate operations. Persistent revenue gains support recurring project pipelines and boost long-term earnings capacity, improving ability to fund developments and shareholder returns.

Stable profitability and operating efficiency

Stable gross and net margins plus strong EBIT/EBITDA margins indicate durable operating efficiency. Consistent profitability improves free cash generation potential across cycles, supporting investment in projects and resilience to revenue variability in coming months.

Strong balance sheet and low leverage

Rising equity and low debt-to-equity offer financial flexibility to fund new developments, withstand cyclical downturns and access capital at better terms. A solid balance sheet reduces refinancing risk and underpins durable investment capacity over the medium term.

Negative Factors

Volatile operating cash flow (2025 negative)

A materially negative operating cash flow in 2025 signals uneven cash conversion from earnings and project timing mismatches. Persistent volatility raises financing needs, pressures liquidity planning, and could constrain development funding or dividend policy without stabilization.

Fluctuating asset-to-liability profile

Variability in asset-to-liability ratios suggests sensitivity to asset valuations or timing of project completions. Such balance sheet fluctuation can increase collateral or covenant risks, complicating financing and capital allocation decisions over the medium term.

Concentration in residential condominium development

Heavy focus on residential condominiums concentrates revenue and earnings on the housing cycle and local market conditions. This structural exposure raises vulnerability to regulatory, policy or demand shifts in housing that can persist for months and affect backlog and sales pacing.

FJ NEXT HOLDINGS CO. LTD. Business Overview & Revenue Model

Company Description

FJ NEXT Holdings Co., Ltd. engages in the planning, development, sale, and brokerage of real estate properties in Japan. It is also involved in the development of condominiums and resorts; real estate management activities; design, construction, and renovation of building and detached houses; construction management and consulting business; and operation of inns under the Ito Yuki Tei, Ito Yuki Tei Kawana Bettei, Gyokuhokan, and Seiryuso names. In addition, the company engages in non-life insurance agency business; restaurant business; and provision of financial services, such as loans. The company was formerly known as FJ Next Co., Ltd. and changed its name to FJ NEXT Holdings Co., Ltd. in October 2021. FJ NEXT Holdings Co., Ltd. was incorporated in 1980 and is headquartered in Tokyo, Japan.

How the Company Makes Money

FJ NEXT HOLDINGS generates revenue primarily through the development and leasing of residential and commercial properties. Its revenue model is centered around the sale of newly constructed homes, rental income from leased properties, and property management fees. The company also engages in real estate investment projects, which contribute to its earnings through appreciation in property values and returns on investment. Key partnerships with construction firms and financial institutions enhance its operational capabilities and financial stability, allowing it to undertake larger projects and access funding for development initiatives.

FJ NEXT HOLDINGS CO. LTD. Financial Statement Overview

Summary

Strong income statement trends (consistent revenue growth, stable margins, good operating efficiency) and a solid balance sheet (rising equity, low leverage) are partly offset by cash flow risk, including a significant negative operating cash flow in 2025 and overall volatility.

Income Statement

The company has shown consistent revenue growth over the years, with a significant increase from 2024 to 2025. Gross profit margin is stable, and there is a consistent net profit margin, indicating good profitability. The EBIT and EBITDA margins reflect strong operating efficiency and cash flow generation from operations.

Balance Sheet

The balance sheet reveals a strong equity base with a steady increase in stockholders' equity over the years. The debt-to-equity ratio is low, indicating financial stability and low leverage risk. However, the company's total assets to total liabilities have fluctuated, reflecting potential volatility in asset management.

Cash Flow

The cash flow statement shows variability, with a significant negative operating cash flow in 2025. While there was a positive free cash flow in 2024, the volatility in cash flow from year to year raises concerns about cash management. The company needs to stabilize its cash flow generation to ensure long-term sustainability.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	120.03B	112.43B	100.41B	84.69B	82.26B	72.99B
Gross Profit	22.75B	20.64B	20.17B	18.85B	19.74B	17.11B
EBITDA	11.60B	9.85B	9.79B	8.62B	9.50B	7.73B
Net Income	7.70B	6.48B	6.45B	5.62B	6.34B	4.98B
Balance Sheet
Total Assets	107.00B	105.48B	95.28B	88.94B	82.66B	84.38B
Cash, Cash Equivalents and Short-Term Investments	28.38B	24.47B	34.60B	32.25B	35.59B	23.14B
Total Debt	20.94B	18.23B	12.75B	13.47B	12.64B	20.82B
Total Liabilities	33.00B	32.55B	27.25B	25.92B	23.74B	30.51B
Stockholders Equity	74.00B	72.92B	68.03B	63.02B	58.92B	53.87B
Cash Flow
Free Cash Flow	0.00	-13.98B	4.62B	-4.57B	22.12B	7.87B
Operating Cash Flow	0.00	-13.88B	4.67B	-4.53B	22.21B	8.07B
Investing Cash Flow	0.00	4.91B	-5.04B	1.93B	7.00M	-89.00M
Financing Cash Flow	0.00	3.84B	-2.29B	-738.00M	-9.68B	-6.78B

FJ NEXT HOLDINGS CO. LTD. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1448.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8935, the sentiment is Positive. The current price of 1448 is below the 20-day moving average (MA) of 1786.65, below the 50-day MA of 1597.18, and above the 200-day MA of 1421.72, indicating a bullish trend. The MACD of 94.34 indicates Negative momentum. The RSI at 76.52 is Negative, neither overbought nor oversold. The STOCH value of 67.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8935.

FJ NEXT HOLDINGS CO. LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8935	77 Outperform	¥63.67B	8.32	―	3.64%	15.82%	22.32%
8864	70 Outperform	¥51.42B	18.50	―	2.93%	26.99%	-26.97%
3245	69 Neutral	¥54.77B	11.62	―	5.74%	67.46%	68.52%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
2975	64 Neutral	¥56.98B	13.40	―	2.81%	21.69%	30.92%
3252	62 Neutral	¥73.66B	9.56	―	2.89%	-3.09%	-35.66%
3486	61 Neutral	¥38.83B	8.40	―	6.11%	81.19%	250.41%

FJ NEXT HOLDINGS CO. LTD. Corporate Events

FJ NEXT Raises FY2026 Earnings Forecast on Strong Profit Growth Outlook

FJ NEXT HOLDINGS CO. LTD., a Japanese real estate and housing-related group, is engaged in developing, selling, and managing residential properties and associated services for investors in the domestic market.

The company has issued a revised forecast for the fiscal year ending March 31, 2026, projecting consolidated net sales of ¥139.0 billion, up 23.6% year on year, and operating and ordinary income of ¥13.5 billion, both rising over 40%, with net income attributable to shareholders expected to grow 38.8% to ¥9.0 billion, or ¥274.86 per share. The scope of consolidation and accounting policies remain unchanged, share count is largely stable with a modest reduction in treasury stock, and the update reflects stronger anticipated earnings without indicating any major structural or accounting changes that could distort comparability for investors and other stakeholders.

The most recent analyst rating on (JP:8935) stock is a Hold with a Yen1836.00 price target. To see the full list of analyst forecasts on FJ NEXT HOLDINGS CO. LTD. stock, see the JP:8935 Stock Forecast page.

FJ Next Lifts Earnings Outlook and Boosts Dividend on Strong Business Trends

FJ Next Holdings significantly upgraded its full-year consolidated forecast for the fiscal year ending March 31, 2026, projecting net sales of ¥139.0 billion and net income attributable to shareholders of ¥9.0 billion, up 11.2% and 36.4%, respectively, from its previous outlook and exceeding results from the prior fiscal year. Reflecting the stronger earnings outlook, the company also raised its year-end dividend forecast from ¥28 to ¥34 per share, including a ¥6 special dividend, lifting the expected annual dividend to ¥62 per share and signaling a more shareholder‑friendly capital return policy supported by improved business performance.

The most recent analyst rating on (JP:8935) stock is a Buy with a Yen1815.00 price target. To see the full list of analyst forecasts on FJ NEXT HOLDINGS CO. LTD. stock, see the JP:8935 Stock Forecast page.