Youji Corporation (2152) AI Stock Analysis

Youji Corporation

(TSE/TYO:2152)

Select Model

Rating:73Outperform

Price Target:JPY 1,673.00▲(11.53% Upside)

Action:reiterated

Date:11/01/26

The score is anchored by a financially sound, low-risk business: no debt, equity covering nearly 80% of assets, operating margins above 20%, and free cash flow that converts at close to 100% of earnings, with FY2026 marking a clear rebound from a softer FY2025. A modest P/E near 14 plus a ~1.7% dividend yield adds valuation support. Holding the score back are structurally slow revenue growth, return on equity drifting into the 10% range as capital accumulates without high-return deployment, uneven free cash flow, and a technical picture that is neutral — the stock is trading around its short- and medium-term averages with no decisive momentum.

Positive Factors

Debt-free balance sheetA zero-debt balance sheet gives Youji substantial financial flexibility and reduces exposure to interest costs and refinancing pressure. Continued equity growth further strengthens its capital base, supporting resilience and the ability to fund operations or pursue growth without relying heavily on lenders.

Negative Factors

Recent cash-flow weakeningThe recent gap between operating cash flow and net income, together with an 18% TTM free-cash-flow decline, signals that cash generation has become less consistent even though profits remain healthy. Persistent weakness could constrain reinvestment and reduce the flexibility implied by strong earnings.

Youji Corporation (2152) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 16.20B
Dividend Yield: 1.73%
Average Volume (3M): 2,022
Price to Earnings (P/E): 13.9
Beta (1Y): 0.32
Revenue Growth: 3.83%
EPS Growth: 17.57%
Country: Japan
Employees: 569
Sector: Consumer Defensive
Sector Strength: 62
Industry: Education & Training Services

Youji Corporation Business Overview & Revenue Model

Company Description

Established in 1972 and headquartered in Tokyo, Japan, Youji Corporation delivers a range of physical education services aimed at children nationwide, with a particular focus on kindergarten and elementary school students. Beyond these core offerings...

Youji Corporation Financial Statement Overview

Summary

Youji combines an exceptionally strong balance sheet (score 86) — zero debt, equity funding ~78% of assets, and steadily rising shareholders' equity — with solid profitability (income statement 73): operating margins of 21–22%, mid-teens net margins, and a clear FY2026 recovery with net income up roughly 31%. Cash flow (74) is high quality, with free cash flow converting at close to 100% of net income under a capital-light model. Offsetting these strengths are low-to-mid single-digit revenue growth, return on equity that has slipped to around 10.8% as cash builds, and choppy free cash flow, with the latest trailing-twelve-month reading tracking below the prior full year.

Income Statement

73Positive

Balance Sheet

86Very Positive

Cash Flow

74Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	7.57B	7.48B	7.07B	6.95B	6.92B	6.61B
Gross Profit	2.59B	2.54B	2.34B	2.47B	2.54B	2.37B
EBITDA	1.63B	1.69B	1.29B	1.44B	1.51B	1.46B
Net Income	1.16B	1.14B	872.33M	965.06M	1.08B	954.69M
Balance Sheet
Total Assets	14.39B	14.49B	13.49B	12.75B	12.10B	11.19B
Cash, Cash Equivalents and Short-Term Investments	9.90B	9.87B	9.25B	8.94B	8.32B	7.55B
Total Debt	0	0	0	0	0	0
Total Liabilities	3.16B	3.48B	3.21B	3.15B	3.34B	3.29B
Stockholders Equity	11.23B	11.00B	10.28B	9.60B	8.75B	7.90B
Cash Flow
Free Cash Flow	870.14M	1.17B	874.31M	766.03M	971.20M	1.03B
Operating Cash Flow	898.78M	1.20B	922.54M	814.06M	1.03B	1.04B
Investing Cash Flow	81.05M	-316.25M	-360.31M	41.06M	-62.91M	-5.73M
Financing Cash Flow	-280.60M	-258.96M	-248.22M	-237.27M	-205.09M	-162.04M

Youji Corporation Technical Analysis

Technical Analysis SentimentNegative

Last Price1500.00

Price Trends

50DMA1522.20Negative

100DMA1497.90Positive

200DMA1486.81Positive

Market Momentum

MACD9.14Negative

RSI46.42Neutral

STOCH77.01Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2152, the sentiment is Negative. The current price of 1500.00 is below the 20-day moving average (MA) of 1501.15, below the 50-day MA of 1522.20, and above the 200-day MA of 1486.81, indicating a neutral trend. The MACD of 9.14 indicates Negative momentum. The RSI at 46.42 is Neutral, neither overbought nor oversold. The STOCH value of 77.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2152.

Youji Corporation Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

JP:2152 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:4718	86Outperform	JPY 52.03B	19.34	―	2.36%	7.90%	7.66%
JP:2152	73Outperform	JPY 16.20B	13.94	―	1.73%	3.83%	17.57%
JP:2415	70Outperform	JPY 16.10B	6.94	―	4.40%	1.87%	-14.94%
JP:9470	68Neutral	JPY 44.39B	12.12	―	2.84%	7.30%	12.44%
Sector *	62Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
JP:7084	59Neutral	JPY 8.76B	38.34	―	3.72%	6.93%	-5.75%
JP:7097	51Neutral	JPY 13.03B	17.91	―	1.00%	-4.32%	4.85%

* Consumer Defensive Sector Average

Performance Comparison

JP:2152 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:2152	Youji Corporation	1500.00	14.65	0.99%
JP:2415	Human Holdings Co., Ltd.	1568.00	-385.06	-19.72%
JP:4718	Waseda Academy Co., Ltd.	2759.00	447.76	19.37%
JP:7084	Kids Smile Holdings, Inc.	2687.00	419.25	18.49%
JP:7097	Sakurasaku Plus Co., Ltd.	2812.00	287.30	11.38%
JP:9470	Gakken Holdings Co., Ltd.	1020.00	21.25	2.13%

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: Nov 01, 2026

Youji Corporation AI Stock Analysis