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Daiwa House Industry Co Ltd (JP:1925)
:1925
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Daiwa House Industry Co (1925) AI Stock Analysis

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JP:1925

Daiwa House Industry Co

(1925)

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Neutral 68 (OpenAI - 5.2)
Rating:68Neutral
Price Target:
¥5,024.00
▲(6.51% Upside)
Action:Reiterated
Date:08/17/26
The score is primarily supported by attractive valuation (low P/E and solid dividend yield). This is offset by financial-quality concerns—particularly inconsistent free cash flow and higher leverage—which reduce balance-sheet flexibility. Technical indicators are broadly neutral and do not materially change the outlook.
Positive Factors
Steady Revenue Growth
Multi-year revenue expansion indicates continued demand across housing, leasing, and development activities. Even the slower 2026 increase supports a durable operating base, though future growth depends on project execution and market conditions.
Negative Factors
Rising Leverage
The material rise in leverage increases reliance on borrowing and reduces financial flexibility. A weaker property cycle or higher funding costs could place greater pressure on interest coverage, investment capacity, and the ability to absorb project setbacks.
Read all positive and negative factors
Positive Factors
Negative Factors
Steady Revenue Growth
Multi-year revenue expansion indicates continued demand across housing, leasing, and development activities. Even the slower 2026 increase supports a durable operating base, though future growth depends on project execution and market conditions.
Read all positive factors

Daiwa House Industry Co (1925) vs. iShares MSCI Japan ETF (EWJ)

Daiwa House Industry Co Business Overview & Revenue Model

Company Description
Daiwa House Industry Co., Ltd. is a leading global entity engaged in a broad spectrum of construction and development activities. The company's operations are segmented across various areas including individual residences, rental accommodations, c...
How the Company Makes Money
Daiwa House Industry primarily makes money through a mix of (1) development/construction sales and (2) recurring real estate leasing income, supplemented by property management and related services. Key revenue streams include: (a) Housing busines...

Daiwa House Industry Co Financial Statement Overview

Summary
Profitability and revenue trend are solid (improving margins and steady growth), but the overall profile is constrained by rising leverage and weak cash conversion. Operating cash flow is low versus profits and free cash flow swung to a large deficit in 2026, increasing financing dependence.
Income Statement
78
Positive
Balance Sheet
63
Positive
Cash Flow
34
Negative
BreakdownTTMMar 2026Mar 2026Mar 2025Mar 2024Mar 2023
Income Statement
Total Revenue5.69T5.58T5.43T5.20T4.91T4.44T
Gross Profit1.25T1.22T1.10T992.41B955.20B864.68B
EBITDA732.78B727.10B678.07B557.36B577.99B481.95B
Net Income357.52B350.57B325.06B298.75B308.40B225.27B
Balance Sheet
Total Assets8.62T8.41T7.05T6.53T6.14T5.52T
Cash, Cash Equivalents and Short-Term Investments459.86B434.57B333.60B450.58B361.66B345.20B
Total Debt3.46T3.21T2.46T2.22T1.97T1.55T
Total Liabilities5.61T5.39T4.33T4.01T3.75T3.41T
Stockholders Equity2.91T2.90T2.61T2.44T2.28T2.02T
Cash Flow
Free Cash Flow0.00-304.56B38.77B-53.75B-256.22B-74.55B
Operating Cash Flow0.00189.28B420.56B302.29B230.30B336.44B
Investing Cash Flow0.00-716.62B-481.09B-305.80B-503.32B-440.92B
Financing Cash Flow0.00621.63B-56.96B92.78B285.59B-2.08B

Daiwa House Industry Co Technical Analysis

Technical Analysis Sentiment
Negative
Last Price4717.00
Price Trends
50DMA
4636.28
Negative
100DMA
4550.46
Positive
200DMA
4852.22
Negative
Market Momentum
MACD
-14.01
Positive
RSI
42.60
Neutral
STOCH
26.26
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1925, the sentiment is Negative. The current price of 4717 is above the 20-day moving average (MA) of 4663.60, above the 50-day MA of 4636.28, and below the 200-day MA of 4852.22, indicating a bearish trend. The MACD of -14.01 indicates Positive momentum. The RSI at 42.60 is Neutral, neither overbought nor oversold. The STOCH value of 26.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:1925.

Daiwa House Industry Co Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
¥38.12B7.925.03%23.50%120.22%
68
Neutral
¥2.96T7.8912.78%3.33%4.66%16.74%
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
62
Neutral
¥41.20B8.647.04%-2.46%-26.95%
59
Neutral
¥60.53B8.349.01%4.62%24.52%5.03%
55
Neutral
¥109.34B11.616.73%3.12%10.56%44.81%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:1925
Daiwa House Industry Co
4,558.00
-668.65
-12.79%
JP:8871
GOLDCREST Co
3,210.00
-66.60
-2.03%
JP:8897
Takara Leben Co., Ltd.
455.00
76.34
20.16%
JP:1814
DAISUE CONSTRUCTION CO., LTD.
3,635.00
1,301.36
55.77%
JP:3299
Mugen Estate Co., Ltd.
1,718.00
-277.70
-13.91%

Daiwa House Industry Co Corporate Events

Daiwa House lifts FY2027 earnings and dividend outlook amid solid start
Aug 6, 2026
Daiwa House Industry raised its consolidated earnings forecast for the fiscal year ending March 2027, projecting net sales of ¥5.9 trillion and net income attributable to owners of the parent of ¥266 billion, reflecting solid first-quart...
Daiwa House lifts Q1 profits, revises dividend and guidance ahead of stock split
Aug 6, 2026
Daiwa House Industry reported solid first-quarter results for the fiscal year ending March 31, 2027, with net sales rising 9.0% year-on-year to ¥1.41 trillion and net income attributable to owners of the parent up 9.1% to ¥83.2 billion. ...
Daiwa House to Issue New Restricted Shares for Director and Executive Pay
Jul 9, 2026
Daiwa House Industry has approved the issuance of 193,904 new common shares as restricted stock and performance-linked stock compensation for 60 internal directors and executive officers, with a total value of about ¥881 million. This move is...
Daiwa House Cuts Convertible Bond Conversion Prices After Dividend and Stock Split
Jun 26, 2026
Daiwa House Industry has adjusted the conversion prices on its zero coupon convertible bonds due 2029 and 2030 to reflect an extraordinary dividend of ¥175 per share approved at the June 26, 2026 shareholders’ meeting. Following this di...
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