SATUDORA HOLDINGS CO., LTD. (3544) AI Stock Analysis

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SATUDORA HOLDINGS CO., LTD.

(TSE/TYO:3544)

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Rating:48Neutral

Price Target:JPY 1,234.00▼(-1.75% Downside)

Action:reiterated

Date:09/25/26

The score is held back primarily by weak financial quality (thin, volatile profitability; high leverage; and reduced/variable free cash flow) and an expensive valuation (P/E ~104 with only ~1% yield). Technicals are comparatively supportive, with price above longer-term moving averages and neutral momentum, but not strong enough to offset the fundamental and valuation risks.

Positive Factors

Steady Revenue GrowthBroadly stable to growing revenue indicates continued demand for the group’s drugstore, health, beauty, and daily-necessity offerings. This provides a durable operating base and supports ongoing store activity, even though the latest growth rate has moderated materially.

Negative Factors

Thin, Declining ProfitabilityVery low net margins leave limited protection against weaker demand or higher costs, while the sharp decline in net income shows earnings are vulnerable despite stable revenue. This restricts internal reinvestment capacity and makes sustained improvement in operating efficiency important.

SATUDORA HOLDINGS CO., LTD. (3544) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 17.21B
Dividend Yield: 0.96%
Average Volume (3M): 15.17K
Price to Earnings (P/E): 104.3
Beta (1Y): 0.02
Revenue Growth: -0.23%
EPS Growth: -77.29%
Country: Japan
Employees: 1,099
Sector: General
Sector Strength: 55
Industry: Medical - Pharmaceuticals

SATUDORA HOLDINGS CO., LTD. Business Overview & Revenue Model

Company Description

Satudora Holdings Co., Ltd. is a Japanese enterprise primarily focused on operating drugstores and dispensing pharmacies. Its business operations are structured into two main divisions: Retail Business and IT Solution Business. Beyond its core retail...

How the Company Makes Money

SATUDORA HOLDINGS primarily makes money through retail sales generated by its drugstore operations. The main revenue stream is product sales to consumers in its stores, typically spanning (where disclosed) pharmaceuticals/OTC medicines, health and be...

SATUDORA HOLDINGS CO., LTD. Financial Statement Overview

Summary

Revenue is steady to modestly growing, but profitability is structurally thin and weakened in the latest year (net margin ~0.4% with net income down in 2026). Leverage has improved but remains elevated (~1.5x debt-to-equity), which is a risk given low margins. Cash flow is positive but inconsistent, with free cash flow stepping down sharply versus 2024–2025 and weak cash conversion in 2026.

Income Statement

48Neutral

Balance Sheet

42Neutral

Cash Flow

39Negative

Financial statement breakdown
Breakdown	TTM	May 2025	May 2024	May 2023	May 2022	May 2021
Income Statement
Total Revenue	100.33B	100.57B	100.17B	95.52B	87.48B	83.24B
Gross Profit	25.97B	26.11B	24.29B	22.31B	20.03B	19.38B
EBITDA	2.74B	3.00B	2.80B	2.36B	1.58B	1.81B
Net Income	164.00M	434.00M	768.00M	470.00M	87.00M	575.00M
Balance Sheet
Total Assets	50.72B	45.15B	46.45B	45.14B	43.28B	38.48B
Cash, Cash Equivalents and Short-Term Investments	4.87B	1.48B	2.67B	2.67B	2.31B	2.66B
Total Debt	13.29B	15.23B	17.21B	17.39B	18.11B	12.00B
Total Liabilities	40.68B	34.93B	36.52B	35.90B	34.44B	29.80B
Stockholders Equity	9.94B	10.11B	9.80B	9.13B	8.73B	8.63B
Cash Flow
Free Cash Flow	0	474.00M	1.32B	2.10B	-3.81B	1.26B
Operating Cash Flow	0	2.32B	2.60B	3.54B	-1.77B	3.37B
Investing Cash Flow	0	-1.14B	-1.67B	-1.92B	-2.87B	1.20B
Financing Cash Flow	0	-2.37B	-935.00M	-1.26B	4.00B	-3.39B

SATUDORA HOLDINGS CO., LTD. Technical Analysis

Technical Analysis SentimentPositive

Last Price1256.00

Price Trends

50DMA1247.84Positive

100DMA1227.15Positive

200DMA1035.50Positive

Market Momentum

MACD1.00Negative

RSI77.34Negative

STOCH74.75Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3544, the sentiment is Positive. The current price of 1256.00 is above the 20-day moving average (MA) of 1247.80, above the 50-day MA of 1247.84, and above the 200-day MA of 1035.50, indicating a bullish trend. The MACD of 1.00 indicates Negative momentum. The RSI at 77.34 is Negative, neither overbought nor oversold. The STOCH value of 74.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3544.

SATUDORA HOLDINGS CO., LTD. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:3544 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:3391	81Outperform	JPY 1.13T	19.41	7.13%	1.91%	―	―
JP:7649	69Neutral	JPY 528.15B	16.79	9.94%	1.30%	8.97%	-29.54%
JP:9989	69Neutral	JPY 452.96B	14.37	11.15%	3.43%	4.32%	0.18%
JP:3549	62Neutral	JPY 486.01B	25.22	―	0.29%	12.54%	15.87%
JP:3349	60Neutral	JPY 502.83B	15.48	―	1.31%	8.99%	3.61%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:3544	48Neutral	JPY 17.23B	104.34	―	0.96%	-0.23%	-77.29%

* General Sector Average

Performance Comparison

JP:3544 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:3544	SATUDORA HOLDINGS CO., LTD.	1256.00	454.80	56.77%
JP:9989	Sundrug Co	3848.00	-281.80	-6.82%
JP:7649	Sugi Holdings Co	1345.00	-391.39	-22.54%
JP:3391	TSURUHA Holdings	2455.50	-209.42	-7.86%
JP:3349	COSMOS Pharmaceutical Corporation	6236.00	-1071.70	-14.67%
JP:3549	KUSURI NO AOKI HOLDINGS CO.,LTD.	5084.00	1198.08	30.83%

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: Sep 25, 2026

SATUDORA HOLDINGS CO., LTD. AI Stock Analysis