Daiho Corporation (1822) AI Stock Analysis

0 Followers

Daiho Corporation

(TSE/TYO:1822)

Select Model

Rating:70Outperform

Price Target:JPY 890.00▲(13.81% Upside)

Action:upgraded

Date:08/17/26

The score is driven primarily by improving profitability and a conservative balance sheet, tempered by volatile and recently weaker cash conversion. Technicals are supportive with the stock trading above major moving averages and positive momentum. Valuation is also favorable given a reasonable P/E and a strong dividend yield.

Positive Factors

Profitability RecoveryThe return to profitability and continued earnings improvement strengthen the company’s ability to fund operations internally. If sustained, this recovery can support investment, resilience and shareholder returns despite the prior loss.

Negative Factors

Declining RevenueA shrinking top line limits operating leverage and suggests that earnings recovery has not yet been supported by broad-based expansion. Sustained revenue weakness could constrain future profit growth and reduce the benefits of scale.

Daiho Corporation (1822) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 66.25B
Dividend Yield: 4.35%
Average Volume (3M): 177.85K
Price to Earnings (P/E): 13.8
Beta (1Y): 0.44
Revenue Growth: 0.75%
EPS Growth: 46.28%
Country: Japan
Employees: 1,700
Sector: Industrials
Sector Strength: 63
Industry: Engineering & Construction

Daiho Corporation Business Overview & Revenue Model

Company Description

Daiho Corporation, founded in 1949 and headquartered in Tokyo, Japan, is an engineering and construction enterprise operating both domestically and internationally. The company's operations are divided into three primary areas: Civil Engineering, Bui...

How the Company Makes Money

null

Daiho Corporation Financial Statement Overview

Summary

Profitability has recovered after the 2024 loss (net income turned positive in 2025 and improved further in 2026), and the balance sheet is conservative with low leverage (debt-to-equity ~0.10 in 2025). Offsetting this, revenue has been slightly down in 2025–2026, margins remain modest, and cash flow is inconsistent with notable swings and a sharp free-cash-flow decline in 2026 versus 2025.

Income Statement

64Positive

Balance Sheet

76Positive

Cash Flow

55Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	142.34B	139.82B	143.39B	163.22B	156.05B	156.52B
Gross Profit	13.72B	15.16B	13.14B	7.61B	11.99B	15.19B
EBITDA	6.00B	7.58B	6.71B	97.00M	6.27B	10.88B
Net Income	3.45B	4.56B	3.69B	-2.07B	2.91B	5.99B
Balance Sheet
Total Assets	142.09B	155.90B	149.84B	165.08B	170.66B	169.62B
Cash, Cash Equivalents and Short-Term Investments	27.48B	24.81B	21.67B	17.53B	28.07B	19.78B
Total Debt	6.87B	8.35B	6.92B	13.02B	6.98B	7.56B
Total Liabilities	71.91B	78.67B	76.78B	96.16B	97.42B	95.13B
Stockholders Equity	68.61B	75.50B	71.54B	67.66B	72.15B	73.65B
Cash Flow
Free Cash Flow	6.21B	3.49B	11.30B	-13.32B	11.49B	3.35B
Operating Cash Flow	6.29B	3.89B	11.78B	-11.54B	12.86B	5.54B
Investing Cash Flow	-493.00M	153.00M	-876.00M	-996.00M	758.00M	-2.19B
Financing Cash Flow	-3.25B	-1.16B	-6.62B	1.73B	-5.43B	-11.97B

Daiho Corporation Technical Analysis

Technical Analysis SentimentNeutral

Last Price782.00

Price Trends

50DMA805.70Negative

100DMA793.39Negative

200DMA782.22Negative

Market Momentum

MACD-8.08Negative

RSI47.78Neutral

STOCH58.39Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1822, the sentiment is Neutral. The current price of 782.00 is below the 20-day moving average (MA) of 782.75, below the 50-day MA of 805.70, and below the 200-day MA of 782.22, indicating a bearish trend. The MACD of -8.08 indicates Negative momentum. The RSI at 47.78 is Neutral, neither overbought nor oversold. The STOCH value of 58.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:1822.

Daiho Corporation Peers Comparison

Overall Rating

UnderperformOutperform

Sector (63)

Financial Indicators

JP:1822 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:1921	84Outperform	JPY 67.26B	11.10	―	1.80%	3.35%	-49.91%
JP:1899	77Outperform	JPY 81.08B	10.94	―	2.66%	8.48%	33.35%
JP:1888	74Outperform	JPY 44.95B	7.37	―	3.76%	19.72%	43.25%
JP:1822	70Outperform	JPY 66.24B	13.77	―	4.35%	0.75%	46.28%
JP:1799	68Neutral	JPY 66.32B	11.03	―	4.93%	14.66%	-4.83%
Sector *	63Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
JP:1815	46Neutral	JPY 64.49B	10.87	―	7.73%	-5.15%	115.86%

* Industrials Sector Average

Performance Comparison

JP:1822 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:1822	Daiho Corporation	782.00	18.33	2.40%
JP:1799	Daiichi Kensetsu Corporation	3245.00	-380.32	-10.49%
JP:1815	Tekken Corporation	2198.00	289.46	15.17%
JP:1888	Wakachiku Construction Co., Ltd.	3595.00	-839.88	-18.94%
JP:1899	Fukuda Corporation	4845.00	1256.95	35.03%
JP:1921	Tomoe Corporation	2016.00	42.84	2.17%

Daiho Corporation Corporate Events

Daiho Books Strong Q1 Profit Rebound and Sticks to Higher Dividend Plan

Aug 17, 2026

Daiho Corporation reported a solid start to the fiscal year, with net sales for the three months ended June 30, 2026 rising 11.6% year on year to ¥34.67 billion. Operating profit jumped to ¥1.01 billion from a near break-even level, ordinary profit s...

Daiho lifts profit and dividend as earnings resilience offsets softer sales

May 21, 2026

Daiho Corporation reported consolidated net sales of ¥139.8 billion for the year ended March 31, 2026, down 2.5% year on year, but improved profitability lifted operating profit 24.6% to ¥6.9 billion and ordinary profit 40.9% to ¥7.3 billion. Profit...

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: Aug 17, 2026

Daiho Corporation AI Stock Analysis