Want to see JP:1720 full AI Analyst Report?
Top Page
Tokyu Construction Co., Ltd.
(1720)
Select Model
Select Model
Rating:62Neutral
Price Target:
¥1,211.00
▼(-3.51% Downside)
Action:Reiterated
Date:08/17/26
The score is driven primarily by mixed financial performance: strong FY2026 earnings recovery and a generally sound balance sheet are offset by weak and volatile cash flow conversion, which is the main risk factor. Valuation is a clear positive (low P/E and solid yield), but technicals are weak with the stock below major moving averages and negative MACD, limiting near-term momentum.
Positive Factors
Revenue and earnings recovery
The FY2026 rebound shows improved project performance translating into stronger earnings. Sustained growth would support overhead absorption and reinvestment capacity, although construction results remain dependent on future order flow and delivery.
Negative Factors
Volatile cash conversion
Weak and uneven conversion of earnings into cash raises working-capital and execution risk. Construction projects can absorb cash before milestone payments, potentially limiting funds for debt service, investment, or shareholder returns.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue and earnings recovery
The FY2026 rebound shows improved project performance translating into stronger earnings. Sustained growth would support overhead absorption and reinvestment capacity, although construction results remain dependent on future order flow and delivery.
Read all positive factors
Tokyu Construction Co., Ltd. (1720) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥122.69B
Dividend Yield3.38%
Average Volume (3M)326.24K
Price to Earnings (P/E)9.0
Beta (1Y)0.67
Revenue Growth10.80%
EPS Growth70.25%
CountryJP
Employees2,911
SectorIndustrials
Sector Strength72
IndustryEngineering & Construction
Share Statistics
EPS (TTM)131.05
Shares Outstanding106,761,210
10 Day Avg. Volume326,410
30 Day Avg. Volume326,236
Financial Highlights & Ratios
PEG Ratio0.11
Price to Book (P/B)1.34
Price to Sales (P/S)0.44
P/FCF Ratio50.68
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)125.6
Revenue Forecast (FY)¥350.00B
Tokyu Construction Co., Ltd. Business Overview & Revenue Model
Company Description
Tokyu Construction Co., Ltd. (1720) is a Japan-based construction company engaged in the planning, design, engineering, and execution of building and civil engineering works. The company operates across construction-related segments such as buildi...
How the Company Makes Money
Tokyu Construction primarily makes money by contracting to deliver construction and civil engineering projects for customers in Japan. Revenue is recognized from construction contracts tied to specific projects, with payments typically linked to p...
Tokyu Construction Co., Ltd. Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
77
Positive
Cash Flow
46
Neutral
| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 343.29B | 341.18B | 293.14B | 285.68B | 288.87B | 258.08B |
| Gross Profit | 38.53B | 37.64B | 28.72B | 26.08B | 21.88B | 9.72B |
| EBITDA | 21.76B | 21.31B | 11.49B | 11.42B | 9.10B | -3.32B |
| Net Income | 13.92B | 13.39B | 6.63B | 7.27B | 5.25B | -7.46B |
Balance Sheet | ||||||
| Total Assets | 282.97B | 310.85B | 277.80B | 264.52B | 252.43B | 237.81B |
| Cash, Cash Equivalents and Short-Term Investments | 64.24B | 49.59B | 39.67B | 32.12B | 58.71B | 38.65B |
| Total Debt | 21.04B | 37.13B | 27.20B | 55.02B | 22.21B | 22.66B |
| Total Liabilities | 170.92B | 198.17B | 175.13B | 163.73B | 156.41B | 144.74B |
| Stockholders Equity | 110.79B | 111.45B | 101.64B | 99.97B | 95.25B | 92.49B |
Cash Flow | ||||||
| Free Cash Flow | 0.00 | 2.94B | 38.53B | -55.69B | 19.73B | 10.24B |
| Operating Cash Flow | 0.00 | 6.91B | 41.20B | -54.02B | 20.39B | 12.20B |
| Investing Cash Flow | 0.00 | -2.45B | -1.59B | -1.40B | 2.40B | -476.00M |
| Financing Cash Flow | 0.00 | 5.39B | -31.88B | 28.52B | -2.76B | -7.53B |
Tokyu Construction Co., Ltd. Technical Analysis
Neutral
1255.00
Price Trends
1166.60
Positive
1231.39
Negative
1287.42
Negative
Market Momentum
2.46
Negative
58.05
Neutral
87.82
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1720, the sentiment is Neutral. The current price of 1255 is above the 20-day moving average (MA) of 1148.10, above the 50-day MA of 1166.60, and below the 200-day MA of 1287.42, indicating a neutral trend. The MACD of 2.46 indicates Negative momentum. The RSI at 58.05 is Neutral, neither overbought nor oversold. The STOCH value of 87.82 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:1720.
Tokyu Construction Co., Ltd. Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | ¥138.47B | 12.80 | ― | 3.22% | 9.21% | 31.08% | |
68 Neutral | ¥126.10B | 10.60 | ― | 2.13% | 5.58% | 96.25% | |
67 Neutral | ¥137.70B | 10.73 | ― | 3.44% | 0.23% | 7.75% | |
65 Neutral | ¥116.26B | 14.08 | ― | 3.81% | -3.34% | -30.96% | |
64 Neutral | ¥109.07B | 11.14 | ― | 3.13% | 5.67% | 19.34% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
62 Neutral | ¥122.69B | 9.03 | ― | 2.89% | 10.80% | 70.25% |
* Industrials Sector Average
JP:1720
Tokyu Construction Co., Ltd.
1,184.00
72.25
6.50%
JP:1762
Takamatsu Construction Group Co., Ltd.
4,235.00
1,007.18
31.20%
JP:1835
Totetsu Kogyo Co., Ltd.
3,985.00
-374.54
-8.59%
JP:1871
P.S. Mitsubishi Construction Co., Ltd.
2,296.00
552.47
31.69%
JP:1926
Raito Kogyo Co., Ltd.
3,835.00
629.22
19.63%
JP:5911
Yokogawa Bridge Holdings Corp.
2,966.00
312.22
11.77%
Tokyu Construction Co., Ltd. Corporate Events
Tokyu Construction Delivers Strong Q1 Profit but Keeps Full-Year Guidance Unchanged
Aug 5, 2026
Tokyu Construction reported consolidated net sales of ¥74.1 billion for the three months ended June 30, 2026, up 2.9% year on year, while operating profit rose 25.9% to ¥2.7 billion and profit attributable to owners jumped 36.9% to ¥...
Tokyu Construction Completes Restricted Share Remuneration Transaction
Jul 23, 2026
Tokyu Construction Co., Ltd. has completed the payment process for the disposal of treasury shares used as restricted share remuneration, following a June 24, 2026 resolution by its Board of Directors. The move fits within broader Japanese corpora...
Tokyu Construction Details Independent Stance Within Tokyu Group Ties
Jun 25, 2026
Tokyu Construction has clarified its position within the Tokyu Group, stating that Tokyu Corporation holds 15.1% of its voting rights and treats the builder as an equity-method affiliate, with construction orders and real estate-related dealings u...
Tokyu Construction Introduces Long-Term Restricted Stock Plan for Management
Jun 24, 2026
Tokyu Construction has approved the disposal of 42,558 treasury shares as restricted stock to four directors and four executive officers, with a total disposal value of about ¥49.5 million at ¥1,163 per share. The move is part of a newly...
Tokyu Construction Revamps Executive Structure to Strengthen Governance and Agility
Jun 24, 2026
Tokyu Construction has overhauled its executive structure following shareholder approval of its transition to a company with an Audit and Supervisory Committee, introducing a mandated executive officer (corporate officer) system and a new senior e...
Tokyu Construction to Overhaul Governance Structure With Audit and Supervisory Committee Shift
May 22, 2026
Tokyu Construction has approved a proposal to partially amend its Articles of Incorporation, aiming to strengthen corporate governance by transitioning from a company with an Audit Supervisory Board to one with an Audit and Supervisory Committee,...
Tokyu Construction Revamps Leadership and Governance Structure
May 20, 2026
Tokyu Construction Co., Ltd. has announced a leadership transition in which Managing Executive Officer Koji Hisada, currently Head of Business Administration, will become Representative Director, President and Representative Executive Officer, whi...
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.