Kenedix Office Investment Corporation (8972) AI Stock Analysis

• Market Cap: €677.17B
• Dividend Yield: 4.8%
• Average Volume (3M): 9.12K
• Price to Earnings (P/E): 19.9
• Beta (1Y): 0.27
• Revenue Growth: 41.48%
• EPS Growth: -28.91%
• Country: JP
• Employees: 33
• Sector: Real Estate
• Sector Strength: 48
• Industry: REIT - Diversified
• EPS (TTM): 4153.00
• Shares Outstanding: 4,079,309
• 10 Day Avg. Volume: 8,966
• 30 Day Avg. Volume: 9,124
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: €182,000.00
• Price Target Upside: 9.64% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 73 Outperform
• Price Target: ―

Kenedix Office Investment Corporation is in a strong financial position, highlighted by robust revenue growth and profitability metrics. The stock shows a positive technical trend and is fairly valued with an attractive dividend yield. The primary caution is the negative free cash flow due to high capital expenditures, suggesting aggressive reinvestment. Overall, the company presents a solid investment opportunity, though investors should monitor cash flow management.

Kenedix Office Investment Corporation Business Overview & Revenue Model

Company Description

Kenedix Office Investment Corporation ("the Investment Corporation") was established on May 6, 2005, in accordance with the Act on Investment Trusts and Investment Corporations (Act No. 198 of the year 1951, including amendments thereafter) ("Investment Trust Act"). On July 21, 2005, the Investment Corporation was listed on the Real Estate Investment Trust Market of the Tokyo Stock Exchange, Inc. ("the Tokyo Stock Exchange") with a total of 75,400 investment units issued and outstanding (Securities Code: 8972). Subsequently, the Investment Corporation raised funds through eight public offerings and such. As a result, as of the end of the fiscal period under review (October 31, 2020), the number of investment units issued and outstanding totaled 428,510 units. The Investment Corporation entrusts Kenedix Real Estate Fund Management, Inc. ("the Asset Management Company") with its asset management and strives to maximize unitholder profits by securing stable earnings and sustainable growth of investment assets. To this end, the Investment Corporation adopts the basic policy of conducting flexible and dynamic investment that seeks to respond to the environment and market trends, endeavors to ensure a timely response to opportunities, and form a portfolio.

How the Company Makes Money

Kenedix Office Investment Corporation generates revenue primarily through rental income from its portfolio of office properties. The company leases office spaces to a diverse range of tenants, ensuring a steady cash flow. Additionally, Kenedix Office Investment Corporation may engage in property sales when strategically beneficial, which can provide significant capital gains. The company's revenue is also bolstered by property management fees, which are earned by providing operational and management services to the properties in its portfolio. Strategic partnerships with property management firms and real estate brokers further enhance its ability to maintain high occupancy rates and optimize asset performance, contributing to its overall earnings.

Kenedix Office Investment Corporation Financial Statement Overview

Summary

Kenedix Office Investment Corporation shows strong revenue growth and profitability metrics, with high operational efficiency and effective leverage management. The balance sheet reflects a stable financial position with a prudent equity ratio. Although operating cash flows are robust, negative free cash flow suggests aggressive reinvestment strategies, warranting cautious optimism.

Income Statement

The company has shown significant revenue growth with a 109% increase over the previous year. The gross profit margin stands at 60.6%, and the net profit margin is an impressive 63.3%. The EBIT margin is at 47.2%, and EBITDA margin is at 81.6%, indicating strong operational efficiency. These metrics reflect robust profitability and operational health, although the high net profit margin suggests potential non-operational income impact.

Balance Sheet

The debt-to-equity ratio is approximately 0.86, indicating a balanced approach to leveraging. The equity ratio is 51.2%, reflecting a solid equity base relative to total assets. Return on equity is notably high at 77.7%, driven by strong net income. While the balance sheet shows strength, the high ROE may include non-operational factors, suggesting cautious optimism.

Cash Flow

Operating cash flow to net income ratio is 1.16, indicating healthy cash generation relative to income. However, free cash flow is negative, resulting from substantial capital expenditures, reflecting potential reinvestment for growth. The free cash flow to net income ratio is negative, suggesting caution in cash flow management despite strong operational cash flows.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	78.06B	78.06B	33.95B	32.16B	31.33B	31.99B
Gross Profit	47.34B	47.34B	18.27B	17.14B	17.20B	17.89B
EBITDA	63.37B	63.66B	21.18B	19.70B	19.66B	20.14B
Net Income	49.24B	49.40B	13.78B	12.95B	12.93B	13.49B
Balance Sheet
Total Assets	1.25T	1.24T	475.37B	473.01B	456.33B	459.72B
Cash, Cash Equivalents and Short-Term Investments	61.86B	24.86B	28.94B	20.38B	19.27B	16.13B
Total Debt	557.93B	548.40B	214.95B	214.95B	198.75B	201.75B
Total Liabilities	606.12B	606.12B	243.84B	243.45B	225.78B	229.05B
Stockholders Equity	631.44B	635.86B	231.52B	229.56B	230.54B	230.67B
Cash Flow
Free Cash Flow	23.99B	-18.14B	20.04B	-1.16B	18.52B	-2.90B
Operating Cash Flow	73.11B	57.06B	21.88B	20.90B	20.88B	24.50B
Investing Cash Flow	-49.33B	-73.68B	-675.89M	-20.12B	-2.16B	-26.34B
Financing Cash Flow	-23.64B	-5.85B	-12.63B	1.19B	-16.20B	4.66B

Kenedix Office Investment Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 166000.00
• 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:8972, the sentiment is Positive. The current price of 166000 is above the 20-day moving average (MA) of 162275.00, above the 50-day MA of 158006.00, and above the 200-day MA of 148228.35, indicating a bullish trend. The MACD of 2713.63 indicates Negative momentum. The RSI at 70.11 is Negative, neither overbought nor oversold. The STOCH value of 81.82 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8972.

Kenedix Office Investment Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8972	73 Outperform	€677.17B	19.94	5.41%	4.80%	41.48%	-28.91%
Sector *	61 Neutral	kr18.21B	20.03	2.74%	2.58%	2.23%	228.27%
JPRRF	―	$2.70B	25.30	5.84%	3.78%	―	―
SKUEF	―	$2.18B	―	7.47%	―	―	―
UUICF	―	$3.63B	22.06	6.80%	4.90%	―	―
2ES	―	€1.88B	17.26	7.72%	―	―	―
8984	66 Neutral	¥595.61B	25.77		4.94%	22.58%	8.16%

Kenedix Office Investment Corporation Corporate Events

KDX Realty Announces 2,800 Million Yen Debt Financing

KDX Realty Investment Corporation announced a debt financing initiative totaling 2,800 million yen, aimed at refinancing existing borrowings. This move is part of the company’s strategic financial management to maintain its current debt levels without increasing its overall liabilities, ensuring stability in its financial operations.

The most recent analyst rating on (JP:8972) stock is a Hold with a Yen155000.00 price target. To see the full list of analyst forecasts on Kenedix Office Investment Corporation stock, see the JP:8972 Stock Forecast page.

Kenedix Office Investment Corporation Secures Green Loan for Sustainable Growth

Kenedix Office Investment Corporation announced a debt financing initiative totaling 6,500 million yen, structured as a green loan. This move aligns with their Sustainability Finance Framework, which has been highly rated for its environmental standards. The funds will be used for repayment purposes, and the initiative reflects KDXR’s commitment to sustainable finance, potentially strengthening its market position and appealing to environmentally-conscious investors.

The most recent analyst rating on (JP:8972) stock is a Hold with a Yen155000.00 price target. To see the full list of analyst forecasts on Kenedix Office Investment Corporation stock, see the JP:8972 Stock Forecast page.

Kenedix Office Investment Proposes Amendments and Director Reappointments

Kenedix Office Investment Corporation has announced proposed amendments to its Articles of Incorporation and the reappointment of directors, which will be voted on at the upcoming General Meeting of Unitholders. The amendments aim to clarify tax exemption statuses, update provisions following a merger, and address asset acquisition and disposition procedures, potentially impacting the company’s operational clarity and financial management. The reappointment of directors is intended to align their terms of office, ensuring continuity in leadership.

The most recent analyst rating on (JP:8972) stock is a Hold with a Yen155000.00 price target. To see the full list of analyst forecasts on Kenedix Office Investment Corporation stock, see the JP:8972 Stock Forecast page.

Kenedix Office Investment Corporation Announces Property Disposition for Portfolio Optimization

Kenedix Office Investment Corporation has announced the disposition of the COMBOX Komyoike property, a retail facility in the Senboku New Town Komyoike Area. The decision to sell is part of a strategy to enhance portfolio quality by reshuffling assets, considering market trends and property characteristics. The anticipated sale price exceeds the property’s book value and appraisal value, promising a gain on the sale, which reflects positively on the company’s financial strategy and market positioning.

The most recent analyst rating on (JP:8972) stock is a Hold with a Yen155000.00 price target. To see the full list of analyst forecasts on Kenedix Office Investment Corporation stock, see the JP:8972 Stock Forecast page.

KDX Realty Investment Corporation Reports Stable Distributions Amid Revenue Decline

KDX Realty Investment Corporation reported its financial results for the fiscal period ending April 30, 2025, showing a slight decrease in operating revenues and net income compared to the previous period. Despite the decline, the company maintained a stable distribution per unit and a strong financial position, with total assets slightly increasing. The forecast for the upcoming fiscal periods indicates a further decline in operating revenues and net income, reflecting potential challenges in the market environment.

The most recent analyst rating on (JP:8972) stock is a Hold with a Yen155000.00 price target. To see the full list of analyst forecasts on Kenedix Office Investment Corporation stock, see the JP:8972 Stock Forecast page.

Kenedix Office Investment Corporation Announces Key Management Change

Kenedix Office Investment Corporation announced a significant change in its asset management team, appointing Shin Yamamoto as the new Head of Strategic Planning for the Listed REIT Department, effective July 1, 2025. This change is expected to influence the company’s strategic direction and operations, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (JP:8972) stock is a Hold with a Yen155000.00 price target. To see the full list of analyst forecasts on Kenedix Office Investment Corporation stock, see the JP:8972 Stock Forecast page.

KDX Realty Finalizes Interest Rate for Debt Financing Series 0032

KDX Realty Investment Corporation has finalized the interest rate for its debt financing series 0032, securing a fixed rate of 1.07712% for a loan amount of 2 billion yen from SBI Shinsei Bank. This financial move, set to mature in April 2029, is part of KDXR’s ongoing strategy to manage its debt portfolio effectively, maintaining its position in the real estate investment market without altering the existing risk profile.

The most recent analyst rating on (JP:8972) stock is a Hold with a Yen155000.00 price target. To see the full list of analyst forecasts on Kenedix Office Investment Corporation stock, see the JP:8972 Stock Forecast page.

KDX Realty Secures 2 Billion Yen Social Loan for Sustainable Investments

KDX Realty Investment Corporation has announced a debt financing initiative, securing 2,000 million yen through a social loan from SBI Shinsei Bank. This financing will support the repayment of borrowings related to environmentally certified property acquisitions, aligning with KDXR’s Sustainability Finance Framework, which has received a high sustainability rating from the Japan Credit Rating Agency.

The most recent analyst rating on (JP:8972) stock is a Hold with a Yen155000.00 price target. To see the full list of analyst forecasts on Kenedix Office Investment Corporation stock, see the JP:8972 Stock Forecast page.