Joyful Honda Co. Ltd. (3191) AI Stock Analysis

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Joyful Honda Co. Ltd.

(TSE/TYO:3191)

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Rating:71Outperform

Price Target:JPY 2,504.00▲(11.49% Upside)

Action:upgraded

Date:11/05/26

The score is primarily supported by strong balance-sheet health and resilient profitability, which offset the key risk of inconsistent cash-flow generation. Technical indicators are broadly neutral (limited momentum), while valuation is reasonable and helped by the dividend yield.

Positive Factors

Conservative balance sheetLow leverage and a steadily expanding equity base give Joyful Honda financial flexibility. The reduced debt burden can support resilience during weaker trading conditions and preserve capacity to fund store operations, investment, and shareholder returns without excessive financing pressure.

Negative Factors

Volatile cash generationMaterial swings in operating and free cash flow make cash conversion less predictable than reported profitability. Variability can complicate investment planning, working-capital management, and shareholder distributions because internally generated funding is not consistently available at the same level.

Joyful Honda Co. Ltd. (3191) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 134.11B
Dividend Yield: 3.74%
Average Volume (3M): 139.73K
Price to Earnings (P/E): 14.9
Beta (1Y): 0.25
Revenue Growth: 5.08%
EPS Growth: 11.77%
Country: Japan
Employees: 1,973
Sector: General
Sector Strength: 55
Industry: Home Improvement

Joyful Honda Co. Ltd. Business Overview & Revenue Model

Company Description

Joyful Honda Co., Ltd. is a leading Japanese retailer specializing in home improvement products and services. The company operates a network of home centers that offer an extensive array of goods, including construction and renovation essentials like...

How the Company Makes Money

Joyful Honda primarily makes money through retail sales in its large-format stores, where revenue is generated from selling merchandise across multiple categories (e.g., DIY/home improvement materials, gardening, household goods, interiors/furniture,...

Joyful Honda Co. Ltd. Financial Statement Overview

Summary

Overall financials are solid, led by a conservatively financed balance sheet (low leverage, growing equity). Income statement trends are steady but not accelerating: revenue is only modestly improving and profitability has softened from 2022 peaks. Cash flow is the main constraint, with operating and free cash flow showing meaningful year-to-year volatility that reduces predictability.

Income Statement

74Positive

Balance Sheet

86Very Positive

Cash Flow

62Positive

Financial statement breakdown
Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	142.20B	139.89B	135.74B	133.32B	129.26B	129.05B
Gross Profit	49.63B	48.86B	44.52B	43.35B	42.97B	42.81B
EBITDA	14.59B	12.06B	14.98B	16.65B	15.23B	16.64B
Net Income	9.02B	9.00B	8.33B	9.09B	8.53B	11.10B
Balance Sheet
Total Assets	166.18B	167.67B	167.30B	161.30B	162.31B	157.16B
Cash, Cash Equivalents and Short-Term Investments	22.48B	25.19B	32.26B	27.46B	35.02B	42.52B
Total Debt	8.62B	9.84B	14.73B	9.18B	12.29B	16.46B
Total Liabilities	40.05B	41.23B	45.51B	40.32B	42.98B	41.34B
Stockholders Equity	126.13B	126.44B	121.79B	120.98B	119.33B	115.82B
Cash Flow
Free Cash Flow	0	2.27B	7.13B	3.87B	1.08B	2.23B
Operating Cash Flow	0	7.28B	9.07B	12.67B	9.81B	7.84B
Investing Cash Flow	0	-5.13B	-2.33B	-9.06B	-7.74B	1.37B
Financing Cash Flow	0	-9.40B	-2.03B	-11.18B	-9.57B	-12.22B

Joyful Honda Co. Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price2246.00

Price Trends

50DMA2267.44Negative

100DMA2271.47Negative

200DMA2190.78Positive

Market Momentum

MACD2.57Positive

RSI45.31Neutral

STOCH25.90Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3191, the sentiment is Negative. The current price of 2246.00 is below the 20-day moving average (MA) of 2298.35, below the 50-day MA of 2267.44, and above the 200-day MA of 2190.78, indicating a neutral trend. The MACD of 2.57 indicates Positive momentum. The RSI at 45.31 is Neutral, neither overbought nor oversold. The STOCH value of 25.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3191.

Joyful Honda Co. Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:3191 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:3050	76Outperform	JPY 225.02B	13.75	―	2.94%	5.43%	-7.20%
JP:7516	76Outperform	JPY 149.73B	9.68	―	2.85%	6.28%	2.40%
JP:3191	71Outperform	JPY 135.89B	14.87	―	3.74%	5.08%	11.77%
JP:8218	60Neutral	JPY 195.57B	11.92	―	1.44%	2.97%	8.67%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:9903	45Neutral	JPY 5.87B	19.16	―	3.56%	-1.59%	-36.98%
JP:2790	43Neutral	JPY 55.33B	131.59	0.24%	3.01%	-0.01%	-103.07%

* General Sector Average

Performance Comparison

JP:3191 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:3191	Joyful Honda Co. Ltd.	2246.00	241.97	12.07%
JP:2790	NAFCO Co., Ltd.	1928.00	-4.70	-0.24%
JP:3050	DCM Holdings Co., Ltd.	1632.00	186.29	12.89%
JP:7516	Kohnan Shoji Co., Ltd.	4730.00	1045.53	28.38%
JP:8218	KOMERI CO., LTD.	3945.00	705.26	21.77%
JP:9903	Kanseki Co., Ltd.	842.00	1.46	0.17%

Joyful Honda Co. Ltd. Corporate Events

Joyful Honda Reports ¥34.3 Billion in First-Quarter Sales

Nov 2, 2026

Joyful Honda Co., Ltd. is a Japanese home-center retailer focused on home-improvement, gardening, do-it-yourself and household merchandise for consumers and local communities. For the three months ended September 20, 2026, the company reported net sa...

Joyful Honda Tightens Governance Code After Cross-Shareholding Review

Sep 17, 2026

Joyful Honda has resolved at its Board of Directors meeting to partially revise its Initiatives for Corporate Governance Code, reflecting its ongoing emphasis on transparent, sound management and enhanced oversight. The changes are intended to align...

Joyful Honda Begins Consolidated Reporting After Honda Co. Acquisition

Aug 14, 2026

Joyful Honda Co., Ltd., a Japanese home improvement and general retail chain, serves consumers with a wide range of DIY, housing, and lifestyle products through large-scale stores. The company focuses on cultivating loyal customers by offering an ext...

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: Nov 05, 2026

Joyful Honda Co. Ltd. AI Stock Analysis