LA Holdings Co.,Ltd AI Stock Analysis
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LA Holdings Co.,Ltd (2986) AI Stock Analysis
LA Holdings Co.,Ltd
(TSE/TYO:2986)
LA Holdings earns a moderate score, weighed down primarily by its financial profile. Deeply negative operating (-¥11.4B) and free cash flow (-¥13.9B), combined with ¥65.6B of debt, mean strong reported profits are not translating into cash and growth remains reliant on external funding. Margin compression and a -3.2% revenue dip add to the caution, though robust multi-year revenue growth, a 20.5% ROE and an improving debt-to-equity ratio provide meaningful offsets. Supporting the score are constructive technicals, with the price above all major moving averages and positive MACD momentum, and an attractive valuation featuring a 14.1x P/E and a high 8.0% dividend yield, the sustainability of which bears watching given the cash flow picture.
LA Holdings Co.,Ltd (2986) vs. iShares MSCI Japan ETF (EWJ)
- Market Cap
- JPY 59.70B
- Dividend Yield
- 8.94%
- Average Volume (3M)
- 154.79K
- Price to Earnings (P/E)
- 12.6
- Beta (1Y)
- 0.60
- Revenue Growth
- -6.62%
- EPS Growth
- -32.62%
- Country
- Japan
- Employees
- 118
- Sector
- Real Estate
- Sector Strength
- 65
- Industry
- Real Estate - Services
LA Holdings Co.,Ltd Business Overview & Revenue Model
Company Description
LA Holdings Co., Ltd. and its affiliated companies are actively involved in the Japanese real estate market, focusing on the creation, marketing, and leasing of both newly built and renovated properties. Their business operations encompass property s...
LA Holdings Co.,Ltd Financial Statement Overview
Summary
A mixed and increasingly strained financial profile. The income statement (62) is the strongest element: revenue expanded from ¥13.8B in 2020 to ¥46.5B in 2025 with net income reaching ¥6.1B and solid EBIT/EBITDA margins near 21.5%/22%, but margins have compressed (gross margin from 35% to 28.7%) and revenue slipped -3.2% in the latest year. The balance sheet (48) shows aggressive debt-funded expansion, with total debt rising to ¥65.6B; leverage of 2.2x debt-to-equity has improved but remains elevated, creating refinancing risk, partially offset by a 20.5% return on equity. Cash flow (35) is the clear weak point, with operating cash flow negative since 2021 at -¥11.4B and free cash flow at -¥13.9B in 2025, meaning reported profits are not converting into cash and the business depends on external financing.
Income Statement
62PositiveBalance Sheet
48NeutralCash Flow
35Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 17.14B | 46.54B | 44.71B | 31.50B | 18.25B | 14.68B |
| Gross Profit | 5.74B | 13.34B | 11.39B | 8.51B | 6.02B | 5.14B |
| EBITDA | 4.08B | 10.11B | 7.67B | 5.63B | 5.19B | 3.30B |
| Net Income | 2.29B | 6.14B | 4.71B | 3.29B | 3.38B | 1.96B |
Balance Sheet | ||||||
| Total Assets | 104.06B | 101.95B | 71.25B | 61.21B | 50.67B | 36.33B |
| Cash, Cash Equivalents and Short-Term Investments | 18.90B | 23.06B | 13.55B | 12.78B | 9.48B | 6.81B |
| Total Debt | 70.52B | 65.60B | 47.95B | 42.76B | 35.40B | 25.75B |
| Total Liabilities | 74.84B | 72.00B | 53.12B | 46.00B | 39.25B | 28.99B |
| Stockholders Equity | 29.23B | 29.95B | 18.13B | 15.21B | 11.42B | 7.34B |
Cash Flow | ||||||
| Free Cash Flow | -9.75B | -13.85B | -2.36B | -4.27B | -4.76B | -6.75B |
| Operating Cash Flow | -7.29B | -11.39B | -1.76B | -3.20B | -3.06B | -5.36B |
| Investing Cash Flow | -2.26B | -2.26B | -708.53M | -1.40B | -1.48B | -1.17B |
| Financing Cash Flow | 23.17B | 23.17B | 3.20B | 7.77B | 6.93B | 10.50B |
LA Holdings Co.,Ltd Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2986, the sentiment is Negative. The current price of 2603.00 is below the 20-day moving average (MA) of 2641.50, below the 50-day MA of 2755.34, and below the 200-day MA of 2883.74, indicating a bearish trend. The MACD of -50.69 indicates Negative momentum. The RSI at 42.84 is Neutral, neither overbought nor oversold. The STOCH value of 46.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2986.
LA Holdings Co.,Ltd Peers Comparison
Overall Rating
JP:347981Outperform
JP:887776Outperform
JP:893471.9Outperform
JP:325270Outperform
JP:881868Neutral- JP:298659Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| JP:3479 | 81Outperform | JPY 89.66B | 6.18 | ― | ― | 50.70% | 364.91% |
| JP:8877 | 76Outperform | JPY 80.70B | 6.22 | ― | 4.88% | 49.56% | 42.33% |
| JP:8934 | 72Outperform | JPY 135.83B | 7.34 | 13.71% | 3.29% | 9.20% | -16.20% |
| JP:3252 | 70Outperform | JPY 63.29B | 6.13 | ― | 4.26% | 87.05% | 146.41% |
| JP:8818 | 68Neutral | JPY 86.63B | 10.83 | ― | 2.75% | 1.72% | 65.38% |
| Sector * | 65Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% |
| JP:2986 | 59Neutral | JPY 59.57B | 12.61 | ― | 8.94% | -6.62% | -32.62% |
* Real Estate Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| JP:2986 | LA Holdings Co.,Ltd | 2603.00 | 97.09 | 3.87% | |
| JP:8934 | Sun Frontier Fudousan Co | 2374.00 | 104.47 | 4.60% | |
| JP:3252 | JINUSHI Co.,Ltd. | 2934.00 | 157.97 | 5.69% | |
| JP:3479 | TKP Corp | 2124.00 | 440.00 | 26.13% | |
| JP:8818 | Keihanshin Building Co., Ltd. | 908.00 | 33.52 | 3.83% | |
| JP:8877 | ESLEAD CORPORATION | 5230.00 | -698.89 | -11.79% |
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: Sep 29, 2026