TSUKADA GLOBAL HOLDINGS Inc (2418) AI Stock Analysis

• Market Cap: ¥31.20B
• Dividend Yield: 1.88%
• Average Volume (3M): 136.26K
• Price to Earnings (P/E): 4.8
• Beta (1Y): 0.81
• Revenue Growth: 16.16%
• EPS Growth: 13.88%
• Country: JP
• Employees: 2,296
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Personal Products & Services
• EPS (TTM): 86.64
• Shares Outstanding: 48,960,000
• 10 Day Avg. Volume: 110,100
• 30 Day Avg. Volume: 136,263
• PEG Ratio: 0.46
• Price to Book (P/B): 0.65
• Price to Sales (P/S): 0.33
• P/FCF Ratio: -581.68
• 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: ¥608.19
• Price Target Upside: -7.00% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 67 Neutral
• Price Target: ¥608.00 ▼(-7.03% Downside)

The overall stock score of 67 reflects a strong valuation due to a low P/E ratio and reasonable dividend yield, which are the most significant factors. Financial performance is solid but tempered by high leverage and negative free cash flow. Technical analysis indicates potential oversold conditions, suggesting caution in the short term.

TSUKADA GLOBAL HOLDINGS Inc Business Overview & Revenue Model

Company Description

TSUKADA GLOBAL HOLDINGS Inc., through its subsidiaries, engages in the planning, development, and ownership of guest houses, hotels, and restaurants in Japan and internationally. It operates through three segments: Wedding business, Hotel business, and Wellness & Relaxation business. The company plans and operates wedding ceremonies and banquets; and provides wedding dress, beauty care and hair makeup, flower decoration, moderator, wedding ceremony and reception, and photography and videography services, as well as rents wedding dresses, formal wear, jewelry, and clothing goods. It also manages and operates hotels and restaurants under the InterContinental Tokyo Bay, The Strings by InterContinental Tokyo, The Strings Hotel Yagoto Nagoya, The Strings Hotel Nagoya, The Strings Omotesandoh, VINO BUONO, Mangiare, and SHIKITEI names. In addition, the company operates reflexology salons and a reflexology school under the Queensway name, as well as Beauty & Relax SPA-HERBS, a spa complex; and BEST STYLE FITNESS, a fitness club. Further, it is involved in the travel business; and plans and manages parties and events. The company was formerly known as Best Bridal Inc. and changed its name to TSUKADA GLOBAL HOLDINGS Inc. in July 2014. TSUKADA GLOBAL HOLDINGS Inc. was incorporated in 1995 and is based in Tokyo, Japan.

How the Company Makes Money

TSUKADA GLOBAL HOLDINGS Inc primarily generates revenue through its wedding and hospitality services. The company's core revenue streams include fees from wedding planning and execution, which encompass everything from venue rental to event coordination. Additionally, TSUKADA GLOBAL HOLDINGS earns money through its hotel and restaurant operations, offering accommodations, dining, and event hosting services. The company may also engage in partnerships with vendors and suppliers to enhance its offerings and optimize costs. Significant factors contributing to its earnings include the scale and frequency of weddings and events, as well as occupancy rates and customer spending in their hospitality venues.

TSUKADA GLOBAL HOLDINGS Inc Financial Statement Overview

Summary

TSUKADA GLOBAL HOLDINGS Inc demonstrates a solid financial recovery with strong revenue and profit growth, improved margins, and efficient use of equity. However, high leverage and negative free cash flow present potential risks. Continued focus on managing liabilities and converting operating profits into positive free cash flow will be crucial for sustained financial health.

Income Statement

The company has shown a strong recovery from previous losses with substantial revenue growth of 10.56% in the latest year, and a significant improvement in net income. Gross profit margin stands at 40.22% and net profit margin at 8.10%, indicating healthy profitability. The EBIT margin improved to 11.66% and the EBITDA margin to 17.82%, reflecting efficient operations. However, past volatility and negative earnings in earlier years pose a concern.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of 1.84, indicating a balanced use of leverage. Return on Equity has improved to 15.97%, showcasing effective use of shareholders' equity. The equity ratio is at 28.85%, suggesting a stable equity foundation, though the high total liabilities in relation to assets may pose potential risks.

Cash Flow

Operating cash flow is strong at 10.39 billion, with an operating cash flow to net income ratio above 2, indicating good cash generation relative to earnings. However, free cash flow remains negative due to significant capital expenditures, which could impact liquidity if not managed carefully. The free cash flow has improved significantly from previous years, showing positive trends.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	68.74B	63.55B	57.47B	51.70B	33.43B	27.11B
Gross Profit	28.24B	25.56B	21.66B	17.48B	6.17B	1.36B
EBITDA	12.22B	11.32B	9.31B	8.30B	-2.56B	-8.43B
Net Income	6.50B	5.15B	4.73B	1.50B	-6.14B	-10.63B
Balance Sheet
Total Assets	135.40B	111.71B	93.15B	87.47B	90.90B	99.81B
Cash, Cash Equivalents and Short-Term Investments	23.19B	21.18B	19.00B	21.24B	18.07B	23.76B
Total Debt	76.82B	59.40B	49.21B	47.49B	52.87B	55.73B
Total Liabilities	97.40B	77.68B	65.73B	64.39B	70.26B	73.38B
Stockholders Equity	35.36B	32.23B	27.20B	22.87B	20.45B	26.27B
Cash Flow
Free Cash Flow	0.00	-36.00M	-907.00M	6.03B	-1.79B	-17.80B
Operating Cash Flow	0.00	10.39B	8.07B	7.96B	-899.00M	-8.87B
Investing Cash Flow	0.00	-11.13B	-11.76B	2.08B	-1.92B	-7.70B
Financing Cash Flow	0.00	2.73B	1.17B	-5.42B	-2.98B	10.54B

TSUKADA GLOBAL HOLDINGS Inc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 654.00
• 50DMA: Negative
• 100DMA: Positive
• 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:2418, the sentiment is Neutral. The current price of 654 is below the 20-day moving average (MA) of 679.70, below the 50-day MA of 685.18, and above the 200-day MA of 573.48, indicating a neutral trend. The MACD of -11.25 indicates Positive momentum. The RSI at 39.96 is Neutral, neither overbought nor oversold. The STOCH value of 31.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2418.

TSUKADA GLOBAL HOLDINGS Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2198	70 Outperform	¥23.36B	20.03	―	3.02%	-1.02%	-32.57%
4331	69 Neutral	¥12.06B	4.18	―	4.82%	0.81%	61.06%
2418	67 Neutral	¥31.20B	4.78	20.87%	1.88%	16.16%	13.88%
9160	65 Neutral	¥8.37B	9.27	―	―	11.07%	5.85%
2438	64 Neutral	¥6.05B	37.95	―	1.95%	0.84%	-256.50%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
2196	57 Neutral	¥2.73B	21.55	―	―	-3.96%	-73.55%

TSUKADA GLOBAL HOLDINGS Inc Corporate Events

Tsukada Global Holdings Issues Correction to Earnings Report

Tsukada Global Holdings Inc. has issued a correction to its Consolidated Earnings Report for the three months ended March 31, 2025, due to errors in the supplementary information regarding wedding and hotel orders. The corrections indicate a reduction in the number of wedding and hotel orders received compared to the initially reported figures, which may impact the company’s short-term financial outlook and stakeholder expectations.

Tsukada Global Holdings Sees Sales Rise Despite Profit Decline in Q1 2025

Tsukada Global Holdings Inc. reported an 18% increase in net sales for the first quarter of 2025, though profit attributable to owners dropped by 72.4% compared to the previous year. The company maintains its earnings forecast for the fiscal year, anticipating a modest growth in net sales and operating income, despite a challenging financial performance in the first quarter.