Takara Holdings Inc. (2531) AI Stock Analysis

• Market Cap: ¥343.36B
• Dividend Yield: 1.76%
• Average Volume (3M): 945.69K
• Price to Earnings (P/E): 22.6
• Beta (1Y): 0.32
• Revenue Growth: 8.25%
• EPS Growth: -6.60%
• Country: JP
• Employees: 5,492
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Alcoholic
• EPS (TTM): 16.39
• Shares Outstanding: 197,252,040
• 10 Day Avg. Volume: 502,110
• 30 Day Avg. Volume: 945,690
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥1,365.00
• Price Target Upside: -22.38% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: ¥1,365.00 ▼(-22.38% Downside)

Takara Holdings Inc. is supported by solid financial performance and a stable valuation, though technical indicators show neutral momentum. The company should focus on enhancing cash flow management to strengthen its financial health further.

Takara Holdings Inc. Business Overview & Revenue Model

Company Description

Takara Holdings Inc., together with its subsidiaries, primarily manufactures and sells alcoholic beverages, seasonings, and raw alcohol worldwide. The company offers shochu, sake, light-alcohol refreshers, seasonings, Japanese alcoholic beverages, and whisky; research reagents and scientific instruments; contract research services; and gene therapy commercialization services. It is involved in the import, export, and wholesale of alcoholic beverages, food products, seasonings, etc.; and printing, real estate leasing, marketing research, sales promotion planning, temporary staffing, transportation, warehousing, automobile service, non-life insurance agency, travel agent, etc. activities. In addition, the company engages in the wholesale of glass bottles; and sale of feed. Takara Holdings Inc. was founded in 1842 and is headquartered in Kyoto, Japan.

How the Company Makes Money

Takara Holdings Inc. generates revenue through its diverse portfolio, primarily focusing on its Alcoholic Beverage Business and Food and Seasonings Business. The Alcoholic Beverage segment is a significant contributor to its earnings, with sales of traditional Japanese sake, shochu, and other spirits, both domestically and internationally. The Food and Seasonings segment also plays a crucial role, offering products like soy sauce and various seasonings that cater to both individual consumers and food service industries. Additionally, the company capitalizes on its biotechnology sector, which, although smaller, leverages fermentation technology to develop and market health-related products. Strategic partnerships and distribution networks, both within Japan and globally, further bolster Takara Holdings' revenue streams, ensuring a steady flow of income from multiple regions and markets.

Takara Holdings Inc. Financial Statement Overview

Summary

Takara Holdings Inc. demonstrates consistent revenue growth and strong balance sheet fundamentals. However, challenges in cost management and liquidity due to high capital expenditures indicate areas for improvement.

Income Statement

Takara Holdings Inc. has demonstrated consistent revenue growth over the years, with a notable increase from 2021 to 2025. The gross profit margin and net profit margin have remained stable, indicating strong operational efficiency. However, the EBIT and EBITDA margins have shown some fluctuations, suggesting potential challenges in cost management. Overall, the company exhibits a solid income statement performance with room for improvement in profitability management.

Balance Sheet

The company maintains a robust balance sheet with a healthy equity ratio and a manageable debt-to-equity ratio. The increasing stockholders' equity and total assets over the years highlight financial stability and growth. However, the slight increase in total debt in recent years warrants cautious monitoring. Overall, the balance sheet reflects financial strength and stability with prudent leverage management.

Cash Flow

Takara Holdings Inc. has experienced variability in free cash flow, with a notable decline in recent years. Despite a strong operating cash flow, the negative free cash flow indicates high capital expenditures, which could affect liquidity. The operating cash flow to net income ratio suggests efficient cash generation, yet the company should focus on improving free cash flow management for better financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	362.69B	362.69B	339.37B	350.67B	300.92B	278.44B
Gross Profit	119.65B	119.65B	113.93B	119.94B	113.54B	115.59B
EBITDA	35.04B	38.59B	37.87B	48.06B	50.59B	29.86B
Net Income	16.20B	16.20B	16.18B	21.21B	20.77B	10.57B
Balance Sheet
Total Assets	477.59B	477.59B	437.47B	399.17B	362.44B	306.92B
Cash, Cash Equivalents and Short-Term Investments	83.30B	83.30B	95.08B	96.82B	81.62B	67.38B
Total Debt	65.60B	65.60B	47.80B	44.56B	53.75B	43.75B
Total Liabilities	176.68B	176.68B	157.00B	143.86B	137.88B	115.38B
Stockholders Equity	245.23B	245.23B	228.67B	203.95B	180.42B	156.88B
Cash Flow
Free Cash Flow	0.00	-3.99B	9.97B	34.86B	1.61B	13.19B
Operating Cash Flow	0.00	16.16B	29.18B	45.48B	16.38B	27.10B
Investing Cash Flow	0.00	-41.56B	-19.99B	-10.47B	-10.40B	-6.74B
Financing Cash Flow	0.00	6.55B	-13.45B	-22.21B	4.13B	-1.51B

Takara Holdings Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1758.50
• 50DMA: Positive
• 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:2531, the sentiment is Positive. The current price of 1758.5 is above the 20-day moving average (MA) of 1733.30, above the 50-day MA of 1473.04, and above the 200-day MA of 1285.96, indicating a bullish trend. The MACD of 77.86 indicates Positive momentum. The RSI at 67.93 is Neutral, neither overbought nor oversold. The STOCH value of 74.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2531.

Takara Holdings Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2531	74 Outperform	¥343.36B	22.60		1.76%	8.25%	-6.60%
2587	70 Outperform	1.45T	16.42	7.23%	2.45%	1.56%	-3.00%
2503	67 Neutral	1.77T	32.85	4.80%	3.32%	5.26%	-60.98%
2502	65 Neutral	2.71T	15.41	6.53%	2.98%	0.86%	0.55%
2579	60 Neutral	475.18B	-7.92	-15.37%	2.11%	2.65%	-1191.54%
2501	60 Neutral	578.71B	169.25	1.77%	0.70%	0.01%	-82.82%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%