TOKYU REIT (8957) AI Stock Analysis

• Market Cap: ¥199.00B
• Dividend Yield: 3.87%
• Average Volume (3M): 1.55K
• Price to Earnings (P/E): 20.8
• Beta (1Y): 0.26
• Revenue Growth: 21.72%
• EPS Growth: 5.02%
• Country: JP
• Employees: 45
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Diversified
• EPS (TTM): 5027.00
• Shares Outstanding: 961,371
• 10 Day Avg. Volume: 1,525
• 30 Day Avg. Volume: 1,547
• PEG Ratio: 4.00
• Price to Book (P/B): 1.55
• Price to Sales (P/S): 10.84
• P/FCF Ratio: 10.29
• 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: 69 Neutral
• Price Target: ¥220,196 ▲(6.37% Upside)

TOKYU REIT's overall stock score is driven by its solid financial performance and reasonable valuation. While technical indicators show a moderate upward trend, the lack of revenue growth remains a concern. The attractive dividend yield adds to the stock's appeal, balancing growth and income potential.

Positive Factors

Operational Efficiency

TOKYU REIT's strong profitability and operational efficiency indicate effective management and cost control, supporting long-term stability.

Cash Flow Performance

Improved cash flow performance enhances financial flexibility, allowing for reinvestment and debt management, crucial for sustainable growth.

Balance Sheet Health

A stable balance sheet with manageable debt levels provides a solid foundation for future investments and risk management.

Negative Factors

Revenue Growth Decline

Declining revenue growth can hinder long-term expansion and market competitiveness, potentially impacting future profitability.

Volatile Free Cash Flow

Volatility in free cash flow can affect the company's ability to fund operations and investments, posing risks to financial stability.

Decreased Return on Equity

A decrease in return on equity suggests challenges in generating shareholder returns, which may affect investor confidence over time.

TOKYU REIT Business Overview & Revenue Model

Company Description

TOKYU REIT, Inc. was incorporated to invest in real estate on June 20, 2003 under the Law Concerning Investment Trusts and Investment Corporations of Japan (Law No. 198 of 1952, as amended), or the Investment Trust Law. Such corporations are commonly referred to as Japanese Real Estate Investment Trusts, or J-REITs.

How the Company Makes Money

TOKYU REIT generates revenue primarily through rental income from its portfolio of properties. The bulk of its earnings comes from leasing space to tenants in its commercial and residential properties, which provides a steady cash flow. Additionally, the company may benefit from capital appreciation of its real estate assets over time, which can positively impact the valuation of the REIT and subsequently the returns for its shareholders. TOKYU REIT's revenue model also includes potential income from property management services and fees associated with asset acquisition and disposition. Partnerships with local real estate firms and management companies may further enhance its operational capabilities and market reach, contributing to overall revenue growth.

TOKYU REIT Financial Statement Overview

Summary

TOKYU REIT demonstrates a solid financial foundation with strong profitability and operational efficiency. While revenue growth has been a challenge, the company maintains healthy margins and a stable balance sheet. Cash flow performance has improved significantly, although some volatility remains.

Income Statement

The income statement shows a mixed performance. While the company has maintained strong gross and net profit margins, there is a notable decline in revenue growth, with a -14.56% rate in the most recent year. This decline could be a concern if it continues. However, the EBIT and EBITDA margins remain robust, indicating operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a manageable debt-to-equity ratio, although it has slightly increased over the years. The equity ratio is healthy, suggesting a solid capital structure. Return on equity has decreased slightly, indicating a potential area for improvement in generating returns for shareholders.

Cash Flow

The cash flow statement indicates strong free cash flow growth, rebounding significantly from previous negative figures. The operating cash flow to net income ratio is healthy, suggesting good cash generation relative to earnings. However, the free cash flow to net income ratio has been volatile, which could pose risks if not stabilized.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	19.54B	17.69B	18.63B	20.25B	20.31B	16.68B
Gross Profit	10.89B	9.04B	11.79B	13.87B	14.12B	10.21B
EBITDA	12.52B	10.66B	11.93B	13.84B	13.99B	10.55B
Net Income	9.59B	9.59B	9.16B	11.15B	11.41B	7.62B
Balance Sheet
Total Assets	244.31B	244.31B	249.95B	241.45B	224.64B	235.04B
Cash, Cash Equivalents and Short-Term Investments	3.68B	3.68B	1.10B	5.56B	3.09B	987.62M
Total Debt	106.50B	106.50B	111.50B	104.50B	93.00B	105.60B
Total Liabilities	120.70B	120.70B	125.30B	118.64B	105.10B	119.51B
Stockholders Equity	123.61B	123.61B	124.65B	122.82B	119.54B	115.53B
Cash Flow
Free Cash Flow	18.02B	18.64B	-4.15B	-1.87B	23.68B	-9.22B
Operating Cash Flow	19.44B	19.44B	13.78B	19.54B	53.14B	11.77B
Investing Cash Flow	-1.34B	-1.34B	-17.30B	-20.27B	-30.95B	-20.29B
Financing Cash Flow	-15.62B	-15.62B	-330.60M	3.60B	-20.00B	6.44B

TOKYU REIT Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 207000.00
• 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:8957, the sentiment is Positive. The current price of 207000 is above the 20-day moving average (MA) of 206595.00, above the 50-day MA of 203770.00, and above the 200-day MA of 192756.93, indicating a bullish trend. The MACD of 1144.57 indicates Positive momentum. The RSI at 54.41 is Neutral, neither overbought nor oversold. The STOCH value of 42.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8957.

TOKYU REIT Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3296	79 Outperform	¥174.19B	16.01	―	4.70%	50.47%	26.45%
8966	75 Outperform	¥199.24B	21.18	―	4.96%	13.33%	8.96%
8957	69 Neutral	¥199.00B	20.76	7.82%	3.87%	21.72%	5.02%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
8956	65 Neutral	¥210.75B	24.79	―	4.51%	65.46%	-0.92%
8968	64 Neutral	¥166.55B	20.69	―	4.47%	17.32%	17.54%

TOKYU REIT Corporate Events

TOKYU REIT Refinances Long-Term Debt and Trims Interest-Bearing Liabilities

TOKYU REIT has arranged a new ¥3 billion unsecured, unguaranteed long-term loan from Sumitomo Mitsui Trust Bank, with a seven-year term maturing in December 2032 and a floating rate based on three‑month JBA yen TIBOR plus 0.42%, to fund the repayment of an existing long-term borrowing maturing on December 29, 2025. The proceeds, together with cash on hand, will be used to fully repay a ¥3.5 billion fixed-rate loan taken out in 2021, reducing total interest-bearing debt by ¥500 million to ¥105.5 billion and slightly lowering the REIT’s leverage while extending its debt maturity profile, which may support more stable funding and risk management for unitholders over the medium term.

The most recent analyst rating on (JP:8957) stock is a Hold with a Yen220196.00 price target. To see the full list of analyst forecasts on TOKYU REIT stock, see the JP:8957 Stock Forecast page.

TOKYU REIT Announces Shelf Registration for Investment Bonds

TOKYU REIT, Inc. has submitted a shelf registration statement for issuing investment corporation bonds with a planned total issue amount of ¥100,000 million. The proceeds are intended for acquiring specified assets, managing operations, repaying debt, and other operational needs, which could enhance the company’s financial flexibility and operational capabilities.

The most recent analyst rating on (JP:8957) stock is a Buy with a Yen215232.00 price target. To see the full list of analyst forecasts on TOKYU REIT stock, see the JP:8957 Stock Forecast page.