Wagokoro Co., Ltd. (9271) AI Stock Analysis

• Market Cap: ¥8.27B
• Dividend Yield: N/A
• Average Volume (3M): 97.58K
• Price to Earnings (P/E): 11.6
• Beta (1Y): 0.70
• Revenue Growth: 30.82%
• EPS Growth: 77.42%
• Country: JP
• Employees: 39
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): 37.03
• Shares Outstanding: 6,511,724
• 10 Day Avg. Volume: 54,110
• 30 Day Avg. Volume: 97,583
• PEG Ratio: 0.10
• Price to Book (P/B): 4.38
• Price to Sales (P/S): 1.99
• P/FCF Ratio: 13.53
• 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: 76 Outperform
• Price Target: ¥1,327.00 ▲(54.12% Upside)
• Action: Reiterated Date: 02/25/26
• Date: Action: Reiterated 02/25/26

The score is driven primarily by improved financial performance (profitability, balance-sheet repair, and positive cash flow) and strong technical trend signals. Valuation appears supportive with a low P/E, while the main offset is the company’s recent history of volatility and past financial stress.

Positive Factors

Sustained revenue growth

Three-year top-line expansion shows the business successfully scaled product demand and distribution. Durable revenue momentum supports reinvestment in assortment and channels, lowering execution risk over the next 2–6 months as the company leverages higher volumes and fixed-cost absorption.

Healthy gross and net margins

High gross and solid net margins indicate favorable product economics and retail/wholesale pricing power. Margins provide a buffer versus cost volatility and support sustained cash generation, enabling strategic marketing and inventory investment without immediate margin pressure.

Material balance-sheet repair

Sharp deleveraging and rebuilt equity materially improve financial flexibility, lowering refinancing and covenant risk. A stronger capital base supports growth capex, supplier terms, and resilience through demand cycles, making the company structurally better positioned than during prior stress years.

Negative Factors

Historical financial volatility

Prior periods of losses and negative equity indicate recurring operational or demand vulnerabilities. This history reduces confidence in consistency of results and raises the chance that a market or execution setback could reverse recent improvements within a multi-quarter horizon.

Inconsistent cash-flow quality

While cash generation is now positive, uneven OCF versus reported earnings and prior cash burn highlight working-capital and execution risk. If inventory or receivables swing, free-cash-flow could deteriorate quickly, constraining reinvestment or forcing short-term financing.

Niche product and channel concentration

Dependence on themed merchandise sold through a few channels and limited disclosure on partner concentration raises demand and counterparty risks. Small scale and narrow assortment focus could limit pricing leverage and amplify impact from shifts in consumer tastes or partner contract changes.

Wagokoro Co., Ltd. Business Overview & Revenue Model

Company Description

Wagokoro Co., Ltd. engages in retail, services, and OEM businesses in Japan. The company operates stores, which offers Japanese accessories, hairpins, Japanese umbrellas, and yukatas; and sells its products through physical stores, e-commerce sites, mail order sites, and exhibition halls. It also rents Kimono; manufacture and sells silver accessories, stone bracelets, lapel and pin badges, sunglasses/glasses, buckles, boxes, hats, jewelry, leather products, and chopsticks; and provides luggage storage services. In addition, the company renovates vacant houses; and operates real estate leasing and accommodation facilities. Wagokoro Co., Ltd. was founded in 1997 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Wagokoro Co., Ltd. generates revenue through multiple streams, including direct sales of its food products to retailers and wholesalers, as well as online sales through its e-commerce platform. The company has established strategic partnerships with local restaurants and culinary schools to enhance brand visibility and product adoption. Additionally, Wagokoro benefits from export opportunities, supplying its products to international markets, thus diversifying its revenue base. The focus on premium and artisanal products allows the company to maintain higher price points, contributing to its profitability.

Wagokoro Co., Ltd. Financial Statement Overview

Summary

Strong turnaround with sharp revenue growth and a return to solid profitability, improving leverage, and positive operating/free cash flow in 2024–2025. Score is held back by the severity of prior losses, earlier negative equity, and historically volatile cash flow quality.

Income Statement

Profitability and growth have improved sharply after earlier losses. Revenue rose from 1.33B (2023) to 2.09B (2024) and 2.78B (2025), with 2024 showing strong margins (about 68% gross margin and ~19% net margin). The key weakness is historical volatility—results were deeply negative in 2020–2022 and only recently stabilized, which raises confidence risk if demand weakens.

Balance Sheet

Leverage has improved materially as equity rebuilt: debt-to-equity moved from very elevated levels in 2023 (over 4x) to under 1x in 2024 (~0.79x), alongside a large jump in equity by 2025 (to ~1.27B). Total debt also trended down from 2022–2025. The main concern is the company’s recent history of negative equity (2020–2022) and rapid balance-sheet swings, which signals past financial stress even though current positioning looks healthier.

Cash Flow

Cash generation has turned positive and strengthened: operating cash flow improved from negative levels in 2021–2023 to +198M (2024) and +610M (2025), with free cash flow also positive in 2024–2025 (142M and 410M). However, cash flow quality has been inconsistent—2024 operating cash flow was meaningfully below net income, and prior years showed large cash burn, indicating higher execution and working-capital risk than a consistently cash-generative retailer.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.37B	2.78B	2.09B	1.33B	996.84M	902.14M
Gross Profit	1.65B	1.96B	1.42B	908.00M	749.89M	706.66M
EBITDA	514.66M	593.62M	444.06M	35.16M	-38.83M	-527.18M
Net Income	468.09M	706.85M	398.33M	-13.00M	-82.88M	-554.76M
Balance Sheet
Total Assets	1.53B	1.87B	1.28B	1.02B	665.80M	566.85M
Cash, Cash Equivalents and Short-Term Investments	346.32M	599.86M	190.41M	284.00M	122.64M	126.83M
Total Debt	430.68M	353.50M	433.41M	526.00M	589.74M	590.44M
Total Liabilities	692.65M	598.34M	707.11M	883.00M	1.11B	1.00B
Stockholders Equity	814.84M	1.27B	547.42M	124.04M	-457.63M	-447.94M
Cash Flow
Free Cash Flow	0.00	409.88M	141.88M	-410.00M	-189.00M	-364.84M
Operating Cash Flow	0.00	610.15M	197.85M	-345.00M	-126.13M	-311.23M
Investing Cash Flow	0.00	-144.79M	-192.41M	-26.27M	49.19M	69.88M
Financing Cash Flow	0.00	-55.92M	-99.17M	533.00M	72.75M	114.97M

Wagokoro Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 861.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9271, the sentiment is Positive. The current price of 861 is below the 20-day moving average (MA) of 1065.60, below the 50-day MA of 965.10, and above the 200-day MA of 755.85, indicating a bullish trend. The MACD of 77.03 indicates Negative momentum. The RSI at 69.96 is Neutral, neither overbought nor oversold. The STOCH value of 73.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9271.

Wagokoro Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9271	76 Outperform	¥8.27B	11.58	―	―	30.82%	77.42%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
3607	58 Neutral	¥3.06B	5.95	―	3.19%	2.81%	59.43%
8013	57 Neutral	¥2.46B	152.63	―	―	2.54%	―
2778	52 Neutral	¥1.87B	-27.35	―	―	-6.40%	-590.11%
7603	47 Neutral	¥3.79B	-1.60	―	―	-7.88%	-11.22%
9878	41 Neutral	¥1.96B	-1.82	―	2.14%	-25.92%	-1005.20%