BR 31 Ice Cream Co., Ltd. (2268) AI Stock Analysis

BR 31 Ice Cream Co., Ltd.

(TSE/TYO:2268)

Select Model

Rating:69Neutral

Price Target:JPY 4,440.00▲(9.63% Upside)

Action:downgraded

Date:08/04/26

The overall stock score is primarily supported by the company's robust financial performance, characterized by expanding margins, accelerating revenue, and an exceptional balance sheet. These strengths are somewhat tempered by sluggish short-term technical indicators and a moderate valuation, making it a fundamentally sound but technically consolidating investment.

Positive Factors

Steady Revenue GrowthConsistent top-line growth with a re-acceleration in 2025 indicates durable demand for the Baskin‑Robbins business in Japan. A stable and growing revenue base supports long-term operating leverage, strategic reinvestment and lowers execution risk over the next several quarters.

Negative Factors

Volatile / Compressed Free Cash FlowCompressed and volatile free cash flow reduces financial flexibility to fund dividends, buybacks, or faster debt reduction. If FCF remains thin, management may need to prioritize working capital or reinvestment, limiting strategic actions and raising execution risk over the next several quarters.

BR 31 Ice Cream Co., Ltd. (2268) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 39.03B
Dividend Yield: 2.10%
Average Volume (3M): 4,170
Price to Earnings (P/E): 21.1
Beta (1Y): 0.06
Revenue Growth: 15.17%
EPS Growth: 1.51%
Country: Japan
Employees: 301
Sector: Consumer Defensive
Sector Strength: 62
Industry: Food Distribution

BR 31 Ice Cream Co., Ltd. Business Overview & Revenue Model

Company Description

B-R 31 Ice Cream Co.,Ltd. is involved in the creation, global distribution, and retail of ice cream and associated frozen desserts. In addition to its product offerings, the company provides comprehensive services for ice cream shop operations, such...

How the Company Makes Money

The company’s primary revenue model is centered on monetizing the Baskin-Robbins brand in Japan via consumer sales and brand-channel operations. Key revenue streams are understood to include: (1) direct sales of ice cream and related menu items to co...

BR 31 Ice Cream Co., Ltd. Financial Statement Overview

Summary

The company exhibits strong financial health, driven by consistent top-line expansion, expanded gross profit margins near 49.6%, and a highly conservative balance sheet with a negligible debt-to-equity ratio of 0.14. While Free Cash Flow has compressed, surging Operating Cash Flow suggests strong core cash generation and deliberate capital reinvestment for sustained growth.

Income Statement

88Very Positive

Balance Sheet

92Very Positive

Cash Flow

75Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	38.47B	34.29B	30.69B	24.76B	22.04B	19.39B
Gross Profit	18.25B	17.02B	15.11B	11.75B	11.36B	10.95B
EBITDA	4.35B	4.06B	3.70B	3.31B	3.13B	2.55B
Net Income	1.85B	1.77B	1.54B	1.20B	1.23B	778.89M
Balance Sheet
Total Assets	32.57B	31.95B	26.44B	21.39B	19.96B	18.99B
Cash, Cash Equivalents and Short-Term Investments	8.81B	7.19B	8.03B	6.38B	5.80B	5.44B
Total Debt	1.80B	2.03B	2.46B	744.08M	974.09M	1.20B
Total Liabilities	16.45B	16.97B	12.81B	9.02B	8.56B	8.80B
Stockholders Equity	16.13B	14.98B	13.63B	12.37B	11.40B	10.19B
Cash Flow
Free Cash Flow	0	234.83M	455.23M	1.23B	887.18M	3.66B
Operating Cash Flow	0	4.46B	3.54B	2.72B	1.96B	4.04B
Investing Cash Flow	0	-4.34B	-3.24B	-1.59B	-1.30B	-661.06M
Financing Cash Flow	0	-959.58M	1.34B	-567.07M	-519.04M	-567.18M

BR 31 Ice Cream Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price4050.00

Price Trends

50DMA4051.10Negative

100DMA4066.44Negative

200DMA4039.53Positive

Market Momentum

MACD-0.37Negative

RSI48.38Neutral

STOCH29.17Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2268, the sentiment is Negative. The current price of 4050.00 is below the 20-day moving average (MA) of 4051.50, below the 50-day MA of 4051.10, and above the 200-day MA of 4039.53, indicating a neutral trend. The MACD of -0.37 indicates Negative momentum. The RSI at 48.38 is Neutral, neither overbought nor oversold. The STOCH value of 29.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2268.

BR 31 Ice Cream Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

JP:2268 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:2268	69Neutral	JPY 39.07B	21.05	―	2.10%	15.17%	1.51%
JP:8079	67Neutral	JPY 69.43B	17.35	―	2.17%	8.11%	32.31%
JP:3182	66Neutral	JPY 58.38B	11.31	―	1.22%	-5.22%	27.32%
Sector *	62Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
JP:5884	57Neutral	JPY 7.75B	122.74	―	―	22.39%	―
JP:7698	55Neutral	JPY 10.63B	35.97	―	0.77%	6.40%	-39.23%
JP:2586	52Neutral	JPY 5.57B	-32.64	―	―	-17.43%	-122.00%

* Consumer Defensive Sector Average

Performance Comparison

JP:2268 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:2268	BR 31 Ice Cream Co., Ltd.	4050.00	128.29	3.27%
JP:2586	FRUTA FRUTA, Inc.	47.00	-202.00	-81.12%
JP:3182	Oisix ra daichi, Inc.	1645.00	-57.26	-3.36%
JP:5884	KURADASHI.Co.,Ltd.	653.00	207.00	46.41%
JP:7698	Iceco Inc.	2721.00	669.37	32.63%
JP:8079	Shoei Foods Corporation	4140.00	246.56	6.33%

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 04, 2026

BR 31 Ice Cream Co., Ltd. AI Stock Analysis