E.J Holdings Inc. (2153) AI Stock Analysis

• Market Cap: ¥29.66B
• Dividend Yield: 4.07%
• Average Volume (3M): 52.25K
• Price to Earnings (P/E): 8.5
• Beta (1Y): 0.62
• Revenue Growth: 18.41%
• EPS Growth: 7.99%
• Country: JP
• Employees: 1,713
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): -65.12
• Shares Outstanding: 18,378,920
• 10 Day Avg. Volume: 70,680
• 30 Day Avg. Volume: 52,250
• PEG Ratio: 1.43
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.58
• P/FCF Ratio: 7.91
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: ¥1,905.00 ▲(15.74% Upside)

E.J Holdings Inc. scores well due to its strong financial performance and attractive valuation, which are the most significant factors. The technical analysis indicates some short-term weakness, which slightly offsets the overall score. The absence of earnings call data and corporate events does not impact the score.

E.J Holdings Inc. Business Overview & Revenue Model

Company Description

E.J Holdings Inc. (2153) is a diversified holding company that operates across multiple sectors, including real estate, investment management, and financial services. The company focuses on acquiring and managing a portfolio of businesses with high growth potential, emphasizing strategic partnerships and sustainable practices. E.J Holdings aims to provide value to its stakeholders through innovative solutions and a commitment to excellence in service delivery.

How the Company Makes Money

E.J Holdings Inc. generates revenue primarily through its investments in various sectors. The company earns income from rental properties within its real estate portfolio, which includes commercial and residential properties. Additionally, E.J Holdings derives revenue from fees associated with its investment management services, which involve managing assets for clients and charging performance-based fees. The company may also benefit from capital gains through the sale of investments in high-performing businesses or properties. Strategic partnerships with other firms enhance its market reach and provide additional revenue opportunities, while ongoing financial services contribute to a steady stream of income.

E.J Holdings Inc. Financial Statement Overview

Summary

E.J Holdings Inc. presents a strong financial profile with robust revenue growth and healthy profitability margins. The stable balance sheet and effective cash flow management enhance its financial resilience. However, the increase in debt and fluctuations in free cash flow growth pose potential risks.

Income Statement

E.J Holdings Inc. demonstrates strong revenue growth with a 13.66% increase in the latest year, indicating robust demand and effective market positioning. The company maintains healthy profitability margins, with a gross profit margin of 32.03% and a net profit margin of 7.50%. EBIT and EBITDA margins are also solid at 10.47% and 14.38%, respectively, reflecting efficient operational management. However, the slight decline in EBIT margin from the previous year suggests potential cost pressures.

Balance Sheet

The balance sheet of E.J Holdings Inc. is stable, with a low debt-to-equity ratio of 0.22, indicating conservative leverage and financial prudence. The return on equity is strong at 9.41%, showcasing effective utilization of shareholder funds. The equity ratio stands at 65.45%, highlighting a solid capital structure. However, the increase in total debt over the past year warrants monitoring for potential financial risk.

Cash Flow

E.J Holdings Inc. exhibits impressive cash flow management, with a significant free cash flow growth rate. The operating cash flow to net income ratio of 1.29 indicates strong cash generation relative to earnings. The free cash flow to net income ratio of 0.98 further underscores the company's ability to convert earnings into cash. However, the volatility in free cash flow growth over the years suggests potential fluctuations in cash generation capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	37.57B	42.70B	37.21B	37.51B	36.67B	34.33B
Gross Profit	12.32B	13.68B	12.47B	12.30B	12.20B	11.40B
EBITDA	5.17B	6.14B	5.34B	5.23B	5.30B	4.66B
Net Income	2.80B	3.20B	3.03B	3.05B	3.12B	2.78B
Balance Sheet
Total Assets	52.15B	52.01B	41.42B	39.24B	39.24B	37.51B
Cash, Cash Equivalents and Short-Term Investments	12.36B	21.46B	19.19B	17.19B	18.09B	18.98B
Total Debt	13.17B	7.44B	193.00M	409.00M	605.00M	935.00M
Total Liabilities	21.97B	17.95B	8.83B	9.33B	11.70B	12.02B
Stockholders Equity	30.17B	34.05B	32.58B	29.91B	27.54B	25.49B
Cash Flow
Free Cash Flow	0.00	3.14B	2.74B	-32.00M	428.00M	2.82B
Operating Cash Flow	0.00	4.13B	3.94B	1.38B	956.00M	3.40B
Investing Cash Flow	0.00	-7.91B	-941.00M	-1.49B	-505.00M	-752.00M
Financing Cash Flow	0.00	5.94B	-1.06B	-924.00M	-1.31B	1.63B

E.J Holdings Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1646.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2153, the sentiment is Negative. The current price of 1646 is below the 20-day moving average (MA) of 1673.70, below the 50-day MA of 1729.74, and above the 200-day MA of 1626.17, indicating a neutral trend. The MACD of -24.23 indicates Positive momentum. The RSI at 38.13 is Neutral, neither overbought nor oversold. The STOCH value of 21.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2153.

E.J Holdings Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1780	80 Outperform	¥27.26B	9.06	―	2.05%	3.21%	4.85%
1827	76 Outperform	¥31.79B	12.55	―	2.30%	>-0.01%	-11.62%
2153	75 Outperform	¥29.66B	8.48	―	4.07%	18.41%	7.99%
1811	74 Outperform	¥59.23B	12.53	―	1.49%	5.57%	506.81%
1828	73 Outperform	¥25.25B	9.46	―	3.64%	-5.43%	34.48%
1866	72 Outperform	¥32.03B	9.67	―	8.16%	2.38%	-22.00%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

E.J Holdings Inc. Corporate Events

E.J Holdings Reports Increased Sales Amidst Profit Challenges

E.J Holdings Inc. reported a significant increase in net sales for the three months ending August 31, 2025, with a 39.1% rise compared to the previous year. Despite the increase in sales, the company faced operating and ordinary profit losses, reflecting ongoing financial challenges. The company maintains a strong equity-to-asset ratio, indicating a stable financial position. Looking forward, E.J Holdings forecasts a 10.1% increase in net sales for the fiscal year ending May 31, 2026, with expectations of improved profitability.

The most recent analyst rating on (JP:2153) stock is a Hold with a Yen1849.00 price target. To see the full list of analyst forecasts on E.J Holdings Inc. stock, see the JP:2153 Stock Forecast page.

E.J Holdings Affirms Independence Amidst Affiliation with Yakumo Co., Ltd.

E.J Holdings Inc. has announced its relationship with Yakumo Co., Ltd., an affiliated company with 22% voting rights, which is wholly owned by its President and his relatives. Despite the affiliations, E.J Holdings ensures independence in its management through a diverse board structure, including outside directors and auditors, and no employee secondments from Yakumo Co., Ltd.

The most recent analyst rating on (JP:2153) stock is a Buy with a Yen1732.00 price target. To see the full list of analyst forecasts on E.J Holdings Inc. stock, see the JP:2153 Stock Forecast page.

E.J Holdings Inc. Reappoints Directors, Confirms Independent Status

E.J Holdings Inc. announced the reappointment of its directors at the Annual General Meeting of Shareholders and the Board of Directors. The reappointments include Yuji Kotani as President and Representative Director, along with other key directors maintaining their positions. The company also noted the retirement of Director Masanori Hamano and confirmed that several outside directors and auditors meet the Tokyo Stock Exchange’s requirements for independent officers.

The most recent analyst rating on (JP:2153) stock is a Buy with a Yen1732.00 price target. To see the full list of analyst forecasts on E.J Holdings Inc. stock, see the JP:2153 Stock Forecast page.