Kantsu Co., Ltd. (9326) AI Stock Analysis

• Market Cap: ¥4.60B
• Dividend Yield: 2.35%
• Average Volume (3M): 36.07K
• Price to Earnings (P/E): 25.2
• Beta (1Y): 0.50
• Revenue Growth: 17.65%
• EPS Growth: -5123.90%
• Country: JP
• Employees: 225
• Sector: Industrials
• Sector Strength: 72
• Industry: Integrated Freight & Logistics
• EPS (TTM): 4.32
• Shares Outstanding: 10,308,150
• 10 Day Avg. Volume: 26,100
• 30 Day Avg. Volume: 36,066
• PEG Ratio: <0.01
• Price to Book (P/B): 1.68
• Price to Sales (P/S): 0.23
• P/FCF Ratio: -8.29
• 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): 47.9
• Revenue Forecast (FY): ¥17.30B

• Rating: 41 Neutral
• Price Target: ¥436.00 ▼(-5.22% Downside)
• Action: Reiterated Date: 12/03/25
• Date: Action: Reiterated 12/03/25

Kantsu Co., Ltd. is facing significant financial and technical challenges. The financial performance is notably weak, with profitability and cash flow issues. Technical indicators suggest bearish momentum, and the valuation is unattractive due to negative earnings. These factors collectively contribute to a low overall stock score.

Positive Factors

Revenue Growth

A reported ~21% revenue growth is a durable indicator of demand for the company’s logistics services. Sustained top-line expansion provides a foundation to leverage fixed-costs, improve operating leverage, and support investments to stabilize margins over the next several quarters.

Equity Funding Buffer

A relatively stable equity ratio implies the company retains a moderate equity base funding assets. That structural capital buffer improves creditor confidence and supports access to financing solutions, helping manage leverage while executing restructuring or growth initiatives.

Low Market Volatility

A low beta (~0.50) indicates lower sensitivity to market swings and more predictable equity volatility. Over 2–6 months this can aid planning and capital-raising by reducing financing cost volatility and supporting steadier strategic execution amid industry cyclical moves.

Negative Factors

High Leverage

High debt-to-equity raises long-term financial risk by increasing interest burdens and refinancing exposure. It constrains strategic flexibility, limits the ability to invest in operations or absorb shocks, and amplifies default risk if cash generation does not recover sustainably.

Weak Cash Generation

Declining operating cash flow and negative free cash flow are structural red flags that limit reinvestment and debt servicing capacity. Persistent cash deficits force reliance on external funding, curtail capital expenditures, and impede execution of long-term operational improvements.

Poor Profitability

Negative net income and EBIT with compressing gross margins signal entrenched profitability issues. Continued losses erode equity, reduce internal funding for growth or efficiencies, and make sustained turnaround more difficult without material cost, pricing, or structural changes.

Kantsu Co., Ltd. Business Overview & Revenue Model

Company Description

Kantsu Co., Ltd. (9326) is a prominent player in the manufacturing and distribution sector, specializing in various industrial materials and components. The company operates primarily in the technology and construction industries, providing essential products such as high-quality steel, metal alloys, and other construction materials. Kantsu Co., Ltd. is known for its commitment to innovation and sustainability, ensuring that its offerings meet modern industry standards and customer demands.

How the Company Makes Money

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Kantsu Co., Ltd. Financial Statement Overview

Summary

Kantsu Co., Ltd. faces significant financial challenges, particularly in profitability and cash flow management. High leverage and declining revenue growth further exacerbate these issues, suggesting a need for strategic adjustments to sustain operations and improve financial health.

Income Statement

The income statement reveals weak profitability with a negative net income and EBIT in the most recent year. Gross profit margin has decreased from previous years, and the revenue growth rate has slowed significantly. These indicators suggest challenges in maintaining cost efficiency and achieving growth.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio, indicating potential risk from high leverage. However, the equity ratio is relatively stable, suggesting that the company maintains a moderate level of assets funded by equity. Stockholders' equity has been eroded, reflecting recent financial losses.

Cash Flow

The cash flow statement highlights a decline in operating cash flow and negative free cash flow, signaling cash flow management issues. The free cash flow to net income ratio is concerning due to negative values, indicating the need for improved cash generation relative to earnings.

Breakdown	TTM	Feb 2025	Feb 2024	Feb 2023	Feb 2022	Feb 2021
Income Statement
Total Revenue	15.59B	15.27B	11.94B	10.49B	10.10B	9.53B
Gross Profit	1.03B	1.13B	1.45B	1.37B	1.57B	1.11B
EBITDA	115.57M	-560.86M	497.90M	1.38B	1.03B	674.70M
Net Income	-896.73M	-848.22M	49.69M	628.12M	463.99M	283.01M
Balance Sheet
Total Assets	11.66B	10.44B	10.43B	9.58B	9.56B	7.56B
Cash, Cash Equivalents and Short-Term Investments	3.03B	2.18B	2.56B	3.43B	3.22B	2.59B
Total Debt	7.37B	6.21B	5.65B	4.27B	5.19B	4.68B
Total Liabilities	9.68B	8.35B	7.40B	6.32B	6.83B	5.97B
Stockholders Equity	1.98B	2.09B	3.02B	3.26B	2.73B	1.60B
Cash Flow
Free Cash Flow	0.00	-423.91M	-676.25M	-752.12M	268.43M	-482.09M
Operating Cash Flow	0.00	-96.15M	-54.30M	216.64M	805.46M	187.54M
Investing Cash Flow	0.00	-700.17M	-2.12B	1.01B	-1.09B	-650.44M
Financing Cash Flow	0.00	652.26M	1.09B	-1.02B	900.11M	675.74M

Kantsu Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 460.00
• 50DMA: Negative
• 100DMA: Negative
• 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:9326, the sentiment is Negative. The current price of 460 is above the 20-day moving average (MA) of 456.23, above the 50-day MA of 459.16, and above the 200-day MA of 421.00, indicating a neutral trend. The MACD of -3.13 indicates Positive momentum. The RSI at 43.56 is Neutral, neither overbought nor oversold. The STOCH value of 75.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9326.

Kantsu Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9306	80 Outperform	¥14.18B	8.60	―	3.04%	4.45%	29.58%
9312	75 Outperform	¥19.18B	6.27	―	2.46%	7.13%	16.09%
9304	73 Outperform	¥79.78B	6.51	―	3.48%	4.17%	24.54%
9351	73 Outperform	¥15.43B	7.26	―	3.85%	4.96%	38.47%
9310	68 Neutral	¥76.54B	9.20	―	3.63%	2.67%	18.02%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
9326	41 Neutral	¥4.60B	25.18	―	2.35%	17.65%	-5123.90%