Kozosushi Co., Ltd. (9973) AI Stock Analysis

• Market Cap: ¥4.23B
• Dividend Yield: N/A
• Average Volume (3M): 799.03K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.06
• Revenue Growth: 23.33%
• EPS Growth: -62.04%
• Country: JP
• Employees: 338
• Sector: Consumer Cyclical
• Sector Strength: 56
• Industry: Restaurants
• EPS (TTM): -1.86
• Shares Outstanding: 256,121,430
• 10 Day Avg. Volume: 1,141,950
• 30 Day Avg. Volume: 799,026
• PEG Ratio: -0.13
• Price to Book (P/B): 7.83
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -4.25
• 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

• Rating: 51 Neutral
• Price Target: ¥19.00 ▲(11.76%Upside)

Kozosushi Co., Ltd. has a low overall stock score due to significant financial weaknesses, including persistent losses and high leverage. While technical analysis shows some positive momentum, the overbought RSI suggests caution. Poor valuation metrics further weigh down the score.

Kozosushi Co., Ltd. Business Overview & Revenue Model

Company Description

Kozosushi Co., Ltd. (9973) is a Japanese company primarily engaged in the food service industry, specializing in sushi and related cuisine. The company operates a chain of sushi restaurants, offering both dine-in and takeout options, as well as catering services. Kozosushi is known for its focus on providing fresh, high-quality sushi and maintaining traditional Japanese culinary standards.

How the Company Makes Money

Kozosushi Co., Ltd. generates revenue through the operation of its sushi restaurants, which serve a wide range of sushi and Japanese dishes to customers. The company earns money primarily through the sales of meals and beverages within its restaurant locations. Additionally, Kozosushi may offer catering services for events and special occasions, contributing to its revenue streams. The company's focus on quality ingredients and traditional preparation methods helps it attract a loyal customer base, enhancing its earnings potential. Partnerships with suppliers ensure a steady supply of fresh ingredients, which is crucial for maintaining the quality and reputation of its offerings.

Kozosushi Co., Ltd. Financial Statement Overview

Summary

Kozosushi Co., Ltd. faces significant financial challenges. Despite impressive revenue growth, persistent losses, high leverage, and negative cash flow metrics highlight severe operational inefficiencies and financial instability. The company needs to improve profitability and strengthen its balance sheet for long-term viability.

Income Statement

Kozosushi Co., Ltd. has experienced significant revenue growth from 2020 to 2024, with the revenue increasing from ¥6.21 billion to ¥18.11 billion. However, the company has been consistently unprofitable, with negative EBIT and net income margins throughout the period. The net profit margin for 2024 was -4.32%, reflecting ongoing operational challenges. Despite revenue growth, profitability remains a concern.

Balance Sheet

The balance sheet shows a very high debt-to-equity ratio, as the company has minimal equity compared to its liabilities, indicating a high leverage risk. In 2024, the debt-to-equity ratio was 10.52. The equity ratio was only 1.75%, underscoring the company's reliance on debt financing. The return on equity is negative due to consistent losses, signaling poor performance in generating returns for shareholders.

Cash Flow

Kozosushi Co., Ltd. has struggled with negative free cash flow in recent years, with the free cash flow in 2024 being -¥257 million. The operating cash flow to net income ratio is negative, highlighting inefficiencies in converting sales into cash. The free cash flow to net income ratio is also negative, indicating challenges in managing capital expenditures and generating cash from operations.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
18.11B	13.05B	10.29B	8.02B	6.21B
	Gross Profit
6.81B	5.17B	5.10B	3.67B	3.18B
	EBIT
-427.30M	-237.00M	-613.96M	-38.50M	61.69M
	EBITDA
-290.00M	-145.00M	-692.56M	-399.32M	70.56M
	Net Income Common Stockholders
-782.65M	-338.00M	-953.57M	-619.62M	27.43M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.13B	997.00M	425.60M	1.52B	133.16M
	Total Assets
6.00B	5.63B	3.20B	6.20B	1.69B
	Total Debt
1.11B	1.27B	633.25M	2.23B	220.40M
	Net Debt
-18.42M	278.00M	207.65M	1.06B	87.23M
	Total Liabilities
5.87B	5.34B	2.76B	5.51B	1.38B
	Stockholders Equity
105.00M	267.00M	421.84M	684.05M	306.38M
Cash Flow		Free Cash Flow
-275.39M	151.00M	-777.83M	-161.84M	-319.80M
	Operating Cash Flow
-49.37M	203.00M	-607.00M	130.60M	-60.81M
	Investing Cash Flow
-169.82M	302.84M	-220.41M	752.01M	-227.75M
	Financing Cash Flow
359.23M	50.41M	79.19M	131.53M	182.66M

Kozosushi Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 17.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9973, the sentiment is Negative. The current price of 17 is below the 20-day moving average (MA) of 17.10, below the 50-day MA of 17.16, and below the 200-day MA of 18.28, indicating a bearish trend. The MACD of -0.07 indicates Negative momentum. The RSI at 46.31 is Neutral, neither overbought nor oversold. The STOCH value of 83.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9973.

Kozosushi Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9828	76 Outperform	¥74.12B	14.90		1.91%	9.11%	52.03%
7630	73 Outperform	¥142.86B	45.02		1.79%	10.64%	18.07%
9279	72 Outperform	¥72.30B	38.95		0.61%	24.45%	-3.83%
Sector *	62 Neutral	$6.80B	11.04	2.79%	4.42%	2.67%	-25.07%
7421	58 Neutral	¥73.61B	71.34		0.34%	1.40%	-26.08%
7616	58 Neutral	¥198.80B	251.25		0.27%	11.55%	-55.04%
9973	51 Neutral	¥4.23B	―		―	23.33%	-62.04%