T.O.Holdings CO. LTD. (9812) AI Stock Analysis

• Market Cap: ¥1.78B
• Dividend Yield: 0.2%
• Average Volume (3M): 11.31K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.98
• Revenue Growth: -9.71%
• EPS Growth: -280.94%
• Country: JP
• Employees: 480
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction Materials
• EPS (TTM): N/A
• Shares Outstanding: 8,926,896
• 10 Day Avg. Volume: 16,250
• 30 Day Avg. Volume: 11,310
• PEG Ratio: 2.98
• Price to Book (P/B): 5.24
• Price to Sales (P/S): 0.10
• P/FCF Ratio: 4.17
• 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: 40 Underperform
• Price Target: ¥274.00 ▲(5.79% Upside)
• Action: Downgraded Date: 11/07/25
• Date: Action: Downgraded 11/07/25

The overall stock score is primarily impacted by the company's weak financial performance and bearish technical indicators. The negative P/E ratio and low dividend yield further contribute to the low valuation score, making the stock unattractive at this time.

Positive Factors

Cash Flow Generation

Improved operating cash flow indicates strong cash generation relative to earnings, providing a buffer against financial instability.

Business Model Diversification

Diversified revenue streams from real estate and financial instruments enhance resilience against sector-specific downturns.

Strategic Market Positioning

Strategic positioning in urban development and commercial properties supports long-term growth in dynamic Asian markets.

Negative Factors

High Leverage

High leverage increases financial risk, potentially limiting the company's ability to invest in growth opportunities and manage downturns.

Declining Revenue

Consistent revenue decline suggests challenges in maintaining market share and competitiveness, impacting long-term profitability.

Negative Profitability

Negative profitability reflects operational inefficiencies and could hinder reinvestment in business growth and innovation.

T.O.Holdings CO. LTD. Business Overview & Revenue Model

Company Description

T.O. Holdings Co.,Ltd., through its subsidiaries, engages in the distribution of clothing, furniture, home appliances, household appliances, mobile phone agency, and credit card business in Japan and internationally. It also offers consumer loans; sells DIY supplies and groceries; sells DVD / CD rentals, books/magazines, etc.; and sells timber, building materials, system kitchens, unit baths, and toilets. In addition, the company is involved in the civil engineering, pavement, and construction works, such as buildings and commercial facilities; leasing business of land and buildings, comprising of condominiums, detached houses, offices, warehouses, etc.; automobile sales and automobile repair business; and operation of sports clubs and swimming schools. Further, it engages in the provision of fire and automobile insurance, non-life insurance agency business, life insurance business, and leasing business, as well as sell and lease office equipment such as printers and multifunction devices, and mail order sales of office supplies and field supplies. Additionally, the company provides consultation services on new car sales, used car handling, inspection, maintenance, catalogs, quotes, and test drive searches services; and women's and men's fashion, accessories, bags, wallets, women's and men's shoes, jewelry, precious metals, cosmetics, home renovation, 100 yen shops, furniture, interiors, bedding, cafes and cakes, relaxation salons, and food. The company was formerly known as T.O. Ogasawara Co., Ltd. and changed its name to T.O. Holdings Co.,Ltd. in June 2017. T.O. Holdings Co.,Ltd. was founded in 1950 and is headquartered in Hakodate, Japan.

How the Company Makes Money

T.O.Holdings generates revenue through multiple streams, primarily from its real estate investments and development projects. The company earns income by leasing commercial and residential properties, as well as from the sale of developed properties. Additionally, T.O.Holdings may engage in joint ventures or partnerships with other real estate developers and investors, sharing profits from collaborative projects. The company's investment portfolio also includes financial instruments which may yield dividends and capital gains, further contributing to its overall earnings. Strategic acquisitions and market positioning enhance its ability to capitalize on favorable economic conditions, thus bolstering its revenue generation.

T.O.Holdings CO. LTD. Financial Statement Overview

Summary

The company faces significant financial challenges with declining revenues, negative profitability, and high leverage. While cash flow generation shows some positive trends, the overall financial health is concerning due to high debt levels and inconsistent profitability.

Income Statement

The company has faced declining revenue over the past few years, with a negative revenue growth rate of -3.29% in the latest period. Gross profit margin remains relatively stable, but net profit margin has turned negative, indicating profitability challenges. The EBIT and EBITDA margins are low, reflecting operational inefficiencies.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio, indicating significant leverage and potential financial risk. Return on equity is negative, reflecting poor profitability relative to shareholder equity. The equity ratio is low, suggesting limited equity financing and potential solvency concerns.

Cash Flow

Operating cash flow has improved, but free cash flow growth is volatile, with a recent spike due to a low base effect. The operating cash flow to net income ratio is strong, indicating good cash generation relative to reported earnings. However, the free cash flow to net income ratio is inconsistent, reflecting fluctuating cash flow performance.

Breakdown	TTM	May 2025	May 2024	May 2023	May 2022	May 2021
Income Statement
Total Revenue	23.42B	24.19B	25.61B	26.49B	27.70B	30.86B
Gross Profit	5.70B	5.77B	5.62B	6.53B	6.60B	7.22B
EBITDA	690.17M	756.88M	878.22M	323.76M	840.40M	1.21B
Net Income	-67.91M	-7.58M	111.53M	-521.64M	-28.26M	123.29M
Balance Sheet
Total Assets	16.73B	17.00B	17.83B	19.60B	20.71B	21.71B
Cash, Cash Equivalents and Short-Term Investments	696.00M	683.49M	474.76M	1.14B	766.51M	800.47M
Total Debt	10.57B	11.53B	11.84B	13.78B	13.91B	14.86B
Total Liabilities	16.17B	16.40B	17.22B	19.13B	19.63B	21.42B
Stockholders Equity	422.00M	461.52M	453.37M	329.88M	913.24M	291.22M
Cash Flow
Free Cash Flow	0.00	578.84M	421.08M	512.13M	307.58M	2.13B
Operating Cash Flow	0.00	1.06B	734.64M	873.59M	678.95M	3.03B
Investing Cash Flow	0.00	-471.08M	616.39M	-287.91M	-199.96M	437.69M
Financing Cash Flow	0.00	-382.95M	-2.02B	-189.21M	-532.95M	-3.55B

T.O.Holdings CO. LTD. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 259.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9812, the sentiment is Negative. The current price of 259 is below the 20-day moving average (MA) of 284.00, below the 50-day MA of 273.72, and below the 200-day MA of 305.86, indicating a neutral trend. The MACD of -0.15 indicates Positive momentum. The RSI at 48.33 is Neutral, neither overbought nor oversold. The STOCH value of 25.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9812.

T.O.Holdings CO. LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9767	70 Outperform	¥3.09B	9.87	―	2.13%	4.48%	5.88%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
7896	60 Neutral	¥2.48B	-88.48	―	3.86%	2.13%	156.83%
5386	58 Neutral	¥2.93B	18.61	―	1.59%	-4.01%	-41.29%
5928	51 Neutral	¥3.27B	17.20	―	2.96%	-8.43%	135.83%
6173	41 Neutral	¥1.33B	-1.32	―	―	-41.75%	-116.16%
9812	40 Underperform	¥1.78B	-16.70	―	0.20%	-9.71%	-280.94%