Kawanishi Warehouse Co., Ltd. (9322) AI Stock Analysis

• Market Cap: ¥21.50B
• Dividend Yield: 1.13%
• Average Volume (3M): 7.47K
• Price to Earnings (P/E): 30.7
• Beta (1Y): 0.72
• Revenue Growth: 3.37%
• EPS Growth: 9.00%
• Country: JP
• Employees: 617
• Sector: Industrials
• Sector Strength: 72
• Industry: Specialty Business Services
• EPS (TTM): 21.00
• Shares Outstanding: 8,258,322
• 10 Day Avg. Volume: 18,850
• 30 Day Avg. Volume: 7,470
• PEG Ratio: -1.68
• Price to Book (P/B): 0.37
• Price to Sales (P/S): 0.31
• P/FCF Ratio: 8.21
• 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: 65 Neutral
• Price Target: ¥3,016.00 ▲(17.13% Upside)
• Action: Downgraded Date: 11/26/25
• Date: Action: Downgraded 11/26/25

The overall stock score of 64.5 reflects a stable financial performance and strong technical momentum, tempered by valuation concerns. The company's solid financial foundation and cash flow management are positive, but the high P/E ratio and overbought technical indicators suggest caution. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Cash generation quality

High operating cash flow relative to reported earnings (OCF/Net Income 3.3) and positive free cash flow conversion (FCF/Net Income 1.3) indicate durable cash-generation. This supports capex, working capital needs and discretionary uses (debt service, dividends) over the medium term.

Conservative leverage

A debt/equity ratio around 0.40 and an equity ratio north of 55% point to conservative financing and balance-sheet resilience. That structural financial flexibility helps the company absorb demand swings, fund facility upgrades, and pursue selective investments without stressing liquidity over several quarters.

Stable logistics business model

Core revenue derives from recurring warehousing, handling and distribution services tied to customers' supply chains. This fee-based, sticky model benefits from steady demand for inventory custody and fulfillment, making cash flows and revenue streams more predictable across economic cycles.

Negative Factors

Thin net margins

Net margins near 3% and modest gross margins reflect limited pricing power or high operating costs in warehousing/handling. Over the medium term this compresses retained earnings available for reinvestment, restricts buffer against cost inflation, and limits improvement in shareholder returns.

Slow revenue growth

Low single-digit revenue growth signals limited top-line expansion versus peers. In a capital-intensive logistics sector, modest topline momentum constrains scale economies and the ability to lift margins materially, reducing the runway for stronger earnings growth within a 2–6 month horizon.

Low return on equity

ROE of roughly 3.5% indicates the business generates limited returns on shareholder capital. Persistently low ROE suggests either overcapitalized assets or insufficient operating leverage, which can hamper long-term shareholder value creation unless operational efficiency or growth accelerates.

Kawanishi Warehouse Co., Ltd. Business Overview & Revenue Model

Company Description

Kawanishi Warehouse Co.,Ltd. provides logistic services in Japan and internationally. The company offers frozen and refrigerated warehouses, as well as normal warehouses that include constant temperature and humidity warehouses, room temperature warehouses, fumigated warehouses, and auto-rack warehouses. It also provides transport and delivery services, including marine container, to-door, refrigerated, and consolidated cargo transport services; port transport services comprising ship's agent services, import and export procedures, and export packing services; and international logistics that include intermodal transport services and air freight handling services, as well as cargo management logistics services. In addition, the company offers distribution processing services, such as assortment of automobile related products, sorting work for beans, label and price tag affixing for a range of products, and arrangement of gift sets; and customs clearance services. Further, it provides trunk room for storage and recycling of confidential documents. Kawanishi Warehouse Co.,Ltd. was founded in 1918 and is headquartered in Kobe, Japan.

How the Company Makes Money

Kawanishi Warehouse makes money primarily by charging fees for logistics services it performs for customers. Key revenue streams typically include (1) warehousing income from providing storage space and inventory custody/management over time, (2) handling income for inbound/outbound cargo operations such as receiving, picking, packing, loading/unloading, and other on-site processing, and (3) transportation/distribution-related income for arranging or executing delivery and shipment movements tied to warehouse operations. Additional revenue can come from value-added logistics services linked to warehousing (e.g., documentation support, simple processing, or other ancillary services) when offered as part of a customer’s logistics program. Significant partnerships, customer concentration, segment-level revenue breakdowns, and the exact service mix are null.

Kawanishi Warehouse Co., Ltd. Financial Statement Overview

Summary

Kawanishi Warehouse Co., Ltd. demonstrates a stable financial position with balanced revenue growth and strong cash flow generation. While profitability metrics suggest moderate efficiency, the company's solid balance sheet and effective cash management practices provide a strong foundation for future growth and financial resilience.

Income Statement

The company's income statement indicates stable but slow revenue growth, with a slight increase in total revenue from the previous year. Gross profit margin stands at 14.8%, and net profit margin is 2.9%, suggesting moderate profitability. EBIT and EBITDA margins are at 4.0% and 10.1% respectively, showing an efficient operational performance but with room for improvement in net income growth.

Balance Sheet

The balance sheet reveals a solid equity base with a debt-to-equity ratio of 0.40, indicating a balanced approach to financing. The return on equity is relatively low at 3.5%, highlighting a potential area for enhancing shareholder returns. Equity ratio at 55.5% reflects a strong asset base supported by equity, suggesting financial stability.

Cash Flow

Cash flow analysis shows a healthy operating cash flow to net income ratio of 3.3, reflecting strong cash generation ability. Free cash flow to net income ratio is 1.3, indicating effective capital expenditure management. The free cash flow showed significant improvement, with a growth rate of -39.6% compared to the previous year, reflecting strategic financial management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	25.84B	25.54B	24.99B	27.11B	23.62B	21.06B
Gross Profit	3.94B	3.79B	3.74B	3.49B	3.02B	2.66B
EBITDA	2.34B	2.34B	2.45B	2.03B	1.79B	1.45B
Net Income	756.69M	746.44M	796.77M	1.49B	523.15M	542.24M
Balance Sheet
Total Assets	37.19B	38.38B	38.14B	37.84B	36.88B	33.62B
Cash, Cash Equivalents and Short-Term Investments	4.73B	5.27B	5.61B	5.03B	4.11B	5.01B
Total Debt	8.29B	8.54B	9.48B	10.34B	10.85B	9.44B
Total Liabilities	13.18B	13.96B	14.59B	15.92B	16.80B	14.37B
Stockholders Equity	21.09B	21.31B	20.62B	19.28B	17.64B	17.03B
Cash Flow
Free Cash Flow	0.00	966.62M	1.60B	1.69B	-2.18B	-1.33B
Operating Cash Flow	0.00	2.45B	2.15B	2.68B	1.32B	1.37B
Investing Cash Flow	0.00	-1.18B	-749.77M	-1.65B	-2.13B	-2.47B
Financing Cash Flow	0.00	-1.14B	-1.03B	-948.09M	1.21B	-336.57M

Kawanishi Warehouse Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2575.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9322, the sentiment is Neutral. The current price of 2575 is below the 20-day moving average (MA) of 2874.75, below the 50-day MA of 2866.38, and above the 200-day MA of 1909.16, indicating a neutral trend. The MACD of -7.58 indicates Positive momentum. The RSI at 43.42 is Neutral, neither overbought nor oversold. The STOCH value of 18.84 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:9322.

Kawanishi Warehouse Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7811	83 Outperform	¥16.41B	6.60	―	3.62%	7.07%	79.18%
9307	78 Outperform	¥16.30B	15.74	―	1.49%	1.23%	0.12%
9324	66 Neutral	¥68.24B	12.14	―	2.18%	12.03%	30.12%
9319	65 Neutral	¥35.52B	18.51	―	2.59%	4.02%	18.12%
9322	65 Neutral	¥21.50B	30.65	―	1.13%	3.37%	9.00%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
9313	56 Neutral	¥6.04B	19.21	―	2.29%	0.08%	105.25%