FUNLIFE HOLDINGS CO. LTD. (1418) AI Stock Analysis

FUNLIFE HOLDINGS CO. LTD.

(TSE/TYO:1418)

Select Model

Rating:73Outperform

Price Target:JPY 679.00▲(15.28% Upside)

Action:reiterated

Date:10/18/26

The score is driven primarily by improved (but not fully consistent) financial performance—stronger profitability and a healthier balance sheet, tempered by uneven revenue and historically lumpy cash flow. Technicals add support as price trends are positive across major moving averages with constructive momentum. Valuation is a key positive with a low P/E and high dividend yield.

Positive Factors

Improved profitabilityProfitability has improved materially despite choppy demand, with stronger margins and net income remaining solid in 2026. This indicates better earnings capacity and gives the company more internal resources to support operations, investment, and shareholder returns over the coming quarters.

Negative Factors

Inconsistent revenue growthThe return to revenue decline after a strong rebound shows that demand and top-line growth remain inconsistent. Uneven sales momentum can limit operating leverage, make earnings less predictable, and reduce confidence that recent profitability improvements will compound steadily over the next several quarters.

FUNLIFE HOLDINGS CO. LTD. (1418) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 9.05B
Dividend Yield: 5.94%
Average Volume (3M): 69.80K
Price to Earnings (P/E): 7.8
Beta (1Y): -0.23
Revenue Growth: -3.51%
EPS Growth: 20.83%
Country: Japan
Employees: 238
Sector: Industrials
Sector Strength: 63
Industry: Specialty Business Services

FUNLIFE HOLDINGS CO. LTD. Business Overview & Revenue Model

Company Description

Interlife Holdings Co., Ltd., operating with its subsidiaries across Japan, delivers a full spectrum of services from the design and construction to the ongoing management and upkeep of both commercial and public properties. The company's expertise i...

FUNLIFE HOLDINGS CO. LTD. Financial Statement Overview

Summary

Financials are improved but uneven. Profitability strengthened into 2025 and remained solid in 2026 (net income ~¥0.83B), and leverage improved with lower debt and higher equity in 2026. Offsetting this, revenue growth is inconsistent (down ~7.5% in 2026) and cash flow has been volatile across years despite very strong 2026 free cash flow.

Income Statement

64Positive

Balance Sheet

72Positive

Cash Flow

58Neutral

Financial statement breakdown
Breakdown	TTM	Feb 2026	Feb 2025	Feb 2024	Feb 2023	Feb 2022
Income Statement
Total Revenue	17.08B	16.34B	16.94B	12.63B	11.46B	11.79B
Gross Profit	4.01B	3.61B	3.35B	2.48B	2.28B	2.70B
EBITDA	1.59B	1.28B	989.53M	377.58M	315.02M	206.45M
Net Income	1.16B	828.03M	705.08M	384.89M	179.37M	71.66M
Balance Sheet
Total Assets	9.82B	9.27B	9.44B	8.14B	7.33B	7.56B
Cash, Cash Equivalents and Short-Term Investments	3.71B	2.64B	1.51B	1.42B	1.79B	2.23B
Total Debt	1.37B	1.46B	1.87B	1.85B	1.36B	1.29B
Total Liabilities	4.56B	4.59B	5.22B	4.50B	4.05B	3.65B
Stockholders Equity	5.26B	4.68B	4.21B	3.64B	3.28B	3.92B
Cash Flow
Free Cash Flow	0	2.19B	405.10M	-650.40M	127.70M	-872.56M
Operating Cash Flow	0	2.23B	484.88M	-622.69M	161.41M	-794.11M
Investing Cash Flow	0	-107.95M	-150.82M	-57.45M	119.95M	438.94M
Financing Cash Flow	0	-1.01B	-196.44M	261.82M	-728.46M	-588.96M

FUNLIFE HOLDINGS CO. LTD. Technical Analysis

Technical Analysis SentimentNeutral

Last Price589.00

Price Trends

50DMA593.88Negative

100DMA566.08Positive

200DMA551.21Positive

Market Momentum

MACD1.39Positive

RSI43.43Neutral

STOCH19.49Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1418, the sentiment is Neutral. The current price of 589.00 is below the 20-day moving average (MA) of 602.85, below the 50-day MA of 593.88, and above the 200-day MA of 551.21, indicating a neutral trend. The MACD of 1.39 indicates Positive momentum. The RSI at 43.43 is Neutral, neither overbought nor oversold. The STOCH value of 19.49 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:1418.

FUNLIFE HOLDINGS CO. LTD. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (63)

Financial Indicators

JP:1418 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:4346	73Outperform	JPY 9.63B	7.25	―	4.05%	8.49%	26.99%
JP:1418	73Outperform	JPY 9.68B	7.76	―	5.94%	-3.51%	20.83%
JP:6183	65Neutral	JPY 99.94B	11.56	―	4.46%	0.78%	-2.52%
Sector *	63Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
JP:4337	59Neutral	JPY 36.21B	15.38	―	1.51%	14.54%	-9.26%
JP:4376	49Neutral	JPY 10.63B	-6.79	―	―	12.16%	-17358.40%

* Industrials Sector Average

Performance Comparison

JP:1418 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:1418	FUNLIFE HOLDINGS CO. LTD.	589.00	70.46	13.59%
JP:4337	PIA Corporation	2324.00	-663.06	-22.20%
JP:4346	NEXYZ.Group Corporation	740.00	-257.47	-25.81%
JP:4376	Kufu Company Inc.	176.00	3.00	1.73%
JP:6183	BELLSYSTEM24 Holdings, Inc.	1344.00	73.91	5.82%

FUNLIFE HOLDINGS CO. LTD. Corporate Events

INTERLIFE Holdings Posts Strong Q1 Earnings and Confirms Stable Dividend Plan

Jul 22, 2026

INTERLIFE HOLDINGS CO., LTD., a Tokyo Stock Exchange-listed construction-related group, reported solid growth in its first-quarter results for the three months ended May 31, 2026. The company operates primarily in Japan, deriving its revenues from bu...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Oct 17, 2026

FUNLIFE HOLDINGS CO. LTD. AI Stock Analysis