San Holdings, Inc. (Japan) (9628) AI Stock Analysis

• Market Cap: ¥36.36B
• Dividend Yield: 2.61%
• Average Volume (3M): 35.96K
• Price to Earnings (P/E): 6.4
• Beta (1Y): 0.70
• Revenue Growth: 68.12%
• EPS Growth: 110.52%
• Country: JP
• Employees: 709
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Personal Products & Services
• EPS (TTM): 14.96
• Shares Outstanding: 26,136,639
• 10 Day Avg. Volume: 34,820
• 30 Day Avg. Volume: 35,960
• PEG Ratio: 0.05
• Price to Book (P/B): 0.65
• Price to Sales (P/S): 0.76
• P/FCF Ratio: 6.75
• 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: 71 Outperform
• Price Target: ¥1,638.00 ▲(9.35% Upside)

San Holdings, Inc. receives a strong overall score driven by its impressive financial performance and attractive valuation. However, bearish technical indicators and weak market momentum present significant risks. The stock's low P/E ratio and solid dividend yield offer potential upside, but caution is advised due to negative technical signals.

Positive Factors

Sustained Revenue Growth

A 42.6% year-over-year revenue gain evidences durable demand expansion and successful market penetration. Sustained top-line momentum supports scale benefits, capacity to invest in growth initiatives, and a stronger platform for margin preservation over the next several quarters.

Robust Profitability

Healthy gross and net margins plus strong EBIT/EBITDA margins indicate solid pricing power and operational efficiency. These margin levels underpin sustainable cash generation and resilience to cost pressures, supporting consistent earnings quality over a multi-quarter horizon.

Strong Cash Generation

Very strong FCF growth and operating cash covering net income show high-quality earnings and internal funding capacity. This improves ability to fund reinvestment, dividends, or debt reduction without reliance on external financing, enhancing financial flexibility sustainably.

Negative Factors

High Capital Expenditure Intensity

Sustained negative investing cash flow signals heavy capex needs; while investment can drive growth, it elevates cash conversion risk. If elevated capex persists, it may constrain free cash flow and force prioritization between growth spending, dividends, and deleveraging.

Liabilities vs Cash Liquidity Risk

Although leverage (D/E 0.48) and equity ratio look solid, comparatively high liabilities against cash reserves reduce short-term liquidity buffers. In an adverse cycle or if cash flows weaken, this could pressure working capital and limit strategic flexibility.

Capital Intensity Tempering Financial Strength

The company’s strong results are partially offset by capital intensity and liability exposure. This structural mix raises execution risk: maintaining margins and cash generation must continue to cover investment needs and liabilities, or financial metrics could deteriorate.

San Holdings, Inc. (Japan) Business Overview & Revenue Model

Company Description

SAN Holdings, Inc. provides funeral services in Japan. It operates a network of approximately 70 funeral halls. The company was founded in 1932 and is headquartered in Tokyo, Japan.

How the Company Makes Money

San Holdings, Inc. generates revenue primarily through its restaurant operations, which include sales from food and beverages served in its various dining venues. The company benefits from a high customer turnover rate and a loyal customer base, which drives consistent revenue growth. Key revenue streams include in-restaurant dining, take-out services, and catering for special events. Additionally, San Holdings may engage in strategic partnerships with suppliers and other businesses to enhance its product offerings and marketing reach. The company's focus on quality and customer satisfaction contributes to its competitive advantage, allowing it to maintain profitability in the competitive food service market.

San Holdings, Inc. (Japan) Financial Statement Overview

Summary

San Holdings, Inc. demonstrates strong financial performance with significant revenue and profit growth, efficient operations, and effective cash flow management. The income statement is robust with high profit margins, while the balance sheet shows low leverage and a strong equity base. However, high capital expenditures and potential risks from liabilities slightly temper the score.

Income Statement

San Holdings, Inc. demonstrates strong revenue growth with a 42.6% increase from 2024 to 2025, and a consistent increase over the years. The gross profit margin for 2025 is 22.45%, and the net profit margin is 14.76%, both indicating good profitability. EBIT and EBITDA margins are also healthy at 14.13% and 29.71% respectively, showcasing operational efficiency. The company's consistent revenue growth and strong profit margins contribute to a high score in this vertical.

Balance Sheet

The company maintains a robust financial position with a debt-to-equity ratio of 0.48, indicating low leverage. The return on equity (ROE) is 12.70%, reflecting efficient use of equity to generate profits. The equity ratio stands at 58.97%, showcasing a strong equity base relative to total assets. While the balance sheet is solid, the high total liabilities relative to cash reserves could pose a potential risk, slightly tempering the score.

Cash Flow

San Holdings, Inc. exhibits strong cash flow management, with a free cash flow growth rate of 82.2% from 2024 to 2025. The operating cash flow to net income ratio is 1.23, indicating that operating cash flows comfortably cover net income. Despite this strength, the investing cash flow is negative, highlighting significant capital expenditures. Overall, effective cash flow generation and management justify a high score.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	35.62B	31.98B	22.44B	21.66B	20.00B	18.87B
Gross Profit	7.72B	7.18B	5.33B	5.34B	4.72B	3.78B
EBITDA	9.54B	9.50B	4.57B	4.75B	4.04B	3.36B
Net Income	4.75B	4.72B	2.36B	2.78B	2.04B	1.56B
Balance Sheet
Total Assets	59.49B	63.05B	37.59B	36.23B	33.85B	32.39B
Cash, Cash Equivalents and Short-Term Investments	9.00B	12.66B	9.79B	9.19B	7.44B	7.04B
Total Debt	16.90B	17.79B	256.00M	268.00M	354.00M	445.76M
Total Liabilities	22.25B	25.88B	4.71B	4.61B	4.22B	3.84B
Stockholders Equity	37.24B	37.17B	32.88B	31.61B	29.63B	28.55B
Cash Flow
Free Cash Flow	0.00	3.60B	1.98B	2.26B	1.49B	1.12B
Operating Cash Flow	0.00	5.48B	3.17B	3.26B	2.99B	2.09B
Investing Cash Flow	0.00	-12.10B	-1.44B	-594.00M	-1.49B	-983.70M
Financing Cash Flow	0.00	9.65B	-1.16B	-923.00M	-1.10B	-498.79M

San Holdings, Inc. (Japan) Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1498.00
• 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:9628, the sentiment is Neutral. The current price of 1498 is above the 20-day moving average (MA) of 1492.85, above the 50-day MA of 1423.82, and above the 200-day MA of 1436.66, indicating a neutral trend. The MACD of 5.41 indicates Positive momentum. The RSI at 45.83 is Neutral, neither overbought nor oversold. The STOCH value of 35.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:9628.

San Holdings, Inc. (Japan) Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7040	75 Outperform	¥6.31B	7.49	―	3.47%	3.40%	-25.64%
9628	71 Outperform	¥36.36B	6.42	―	2.61%	68.12%	110.52%
2198	71 Outperform	¥23.47B	11.75	―	3.04%	-3.47%	14.42%
2485	64 Neutral	¥11.73B	13.16	―	4.02%	14.46%	18.48%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
2196	54 Neutral	¥3.80B	-14.76	―	―	-4.35%	-132.57%
7578	44 Neutral	¥2.10B	4.20	―	―	-15.38%	―

San Holdings, Inc. (Japan) Corporate Events

San Holdings Reports Strong Revenue Growth Amid Fiscal Adjustments

San Holdings, Inc. reported its consolidated financial results for the second quarter of the fiscal year ending August 31, 2026, showing a significant increase in operating revenue by 63% year-on-year, despite a slight decline in ordinary profit and profit attributable to owners. The company has adjusted its fiscal year-end, resulting in a 17-month accounting period, and forecasts a substantial increase in operating revenue and profit for the full fiscal year. This adjustment and the projected financial growth indicate a strategic realignment that could impact stakeholders positively.

The most recent analyst rating on (JP:9628) stock is a Buy with a Yen1628.00 price target. To see the full list of analyst forecasts on San Holdings, Inc. (Japan) stock, see the JP:9628 Stock Forecast page.