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Hakuten Corporation (2173) AI Stock Analysis

JP:2173

Hakuten Corporation

(TSE/TYO:2173)

Select Model
Rating:82Outperform
Price Target:JPY 906.00â–²(16.01% Upside)
Action:reiterated
Date:08/19/26

The strong overall score of 82 is predominantly driven by Hakuten Corporation's outstanding financial fundamentals and highly attractive valuation. The company boasts robust top-line growth, excellent cash flow conversion, a low P/E ratio, and a rewarding dividend yield. These significant strengths are partially offset by a sluggish technical profile, as the stock remains in a longer-term downtrend despite recent signs of short-term stabilization.

Positive Factors
Accelerating growth and marginsAccelerating revenue and expanding gross, EBIT, and net margins indicate stronger operating performance and improved earnings conversion. If sustained, this combination can support reinvestment, strengthen competitive execution, and provide a more durable earnings base over the next several quarters.
Negative Factors
Historical earnings cyclicalityThe prior loss-making year and negative operating margins show that profitability has not been consistently resilient across cycles. This history indicates earnings may remain exposed to changes in demand, making recent margin expansion less dependable if operating conditions weaken over the medium term.

Hakuten Corporation (2173) vs. iShares MSCI Japan ETF (EWJ)

-10%0%10%20%30%40%50%60%70%JP:2173+21.49%EWJ+15.87%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 12.26B
Dividend Yield
4.23%
Average Volume (3M)
11.58K
Price to Earnings (P/E)
6.9
Beta (1Y)
0.56
Revenue Growth
26.42%
EPS Growth
58.92%
Country
Japan
Employees
586
Sector
Communication Services
Sector Strength
60
Industry
Advertising Agencies

Hakuten Corporation Business Overview & Revenue Model

Company Description

Hakuten Corporation, established in 1967 and headquartered in Tokyo, Japan, delivers a comprehensive array of marketing solutions throughout the Japanese market. Their extensive service portfolio includes orchestrating various promotional events for...

Hakuten Corporation Financial Statement Overview

Summary

Hakuten Corporation exhibits exceptional financial health across all pillars. It delivered a robust 22.2% revenue growth and expanding profitability margins. The balance sheet is pristine with a low debt-to-equity ratio of 0.25 and an exceptional ROE of 38.3%, supported by stellar cash flow generation that converts 98% of net income into free cash flow.

Income Statement

92Very Positive

Balance Sheet

94Very Positive

Cash Flow

95Very Positive
Financial statement breakdown
BreakdownTTMDec 2025Mar 2025Dec 2023Mar 2023Mar 2022
Income Statement
Total Revenue24.13B23.34B18.85B17.52B13.94B10.63B
Gross Profit7.59B7.49B5.69B5.29B3.88B3.13B
EBITDA2.54B2.75B1.53B1.51B827.80M644.24M
Net Income1.78B1.91B999.21M905.25M553.63M760.81M
Balance Sheet
Total Assets8.86B10.18B7.90B7.67B4.94B4.78B
Cash, Cash Equivalents and Short-Term Investments3.35B4.50B2.64B2.53B1.03B1.58B
Total Debt1.05B1.27B1.74B2.21B1.09B1.05B
Total Liabilities3.47B5.18B4.54B5.03B2.95B3.03B
Stockholders Equity5.38B5.00B3.35B2.64B1.99B1.74B
Cash Flow
Free Cash Flow02.65B997.51M707.27M-56.88M421.93M
Operating Cash Flow02.70B1.10B1.09B114.07M487.78M
Investing Cash Flow0-53.03M-169.32M-625.07M-334.39M513.70M
Financing Cash Flow0-799.59M-816.53M1.03B-328.90M-1.44B

Hakuten Corporation Technical Analysis

Technical Analysis SentimentNeutral
Last Price781.00

Price Trends

50DMA750.98Positive
100DMA718.73Positive
200DMA816.93Negative

Market Momentum

MACD9.74Positive
RSI55.09Neutral
STOCH39.37Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2173, the sentiment is Neutral. The current price of 781.00 is below the 20-day moving average (MA) of 783.45, above the 50-day MA of 750.98, and below the 200-day MA of 816.93, indicating a neutral trend. The MACD of 9.74 indicates Positive momentum. The RSI at 55.09 is Neutral, neither overbought nor oversold. The STOCH value of 39.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2173.

Hakuten Corporation Peers Comparison

Overall Rating

UnderperformOutperform
Sector (60)

Financial Indicators

JP:2173 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:2173JP:217382OutperformJPY 12.60B6.87―4.23%26.42%58.92%
JP:4293JP:429376OutperformJPY 97.92B16.89―5.78%7.63%69.82%
JP:6535JP:653571OutperformJPY 26.36B8.83―5.92%2.87%0.67%
JP:2122JP:212267NeutralJPY 8.89B16.31―2.29%10.50%―
Sector *60Neutral$48.67B4.58-11.27%4.14%2.83%-41.78%
JP:2491JP:249149NeutralJPY 13.12B-3.57―7.88%-59.47%-181.86%
JP:6094JP:609448NeutralJPY 8.85B4.54――10.01%―

* Communication Services Sector Average

Performance Comparison

-25%0%25%50%JP:2173JP:2122JP:2491JP:4293JP:6094JP:6535Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:2173 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:2173Hakuten Corporation781.00145.8322.96%
JP:2122Interspace Co., Ltd.1312.0089.597.33%
JP:2491ValueCommerce Co., Ltd.406.00-233.20-36.48%
JP:4293Septeni Holdings Co., Ltd.467.0081.5821.17%
JP:6094FreakOut Holdings, Inc.495.003.000.61%
JP:6535i-mobile Co., Ltd.456.00-99.01-17.84%
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 19, 2026