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Hobonichi Co., Ltd. (JP:3560)
:3560
Japanese Market
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Hobonichi Co., Ltd. (3560) AI Stock Analysis

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JP:3560

Hobonichi Co., Ltd.

(3560)

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Outperform 76 (OpenAI - Gpt-5.6Sol)
Rating:76Outperform
Price Target:
¥5,876.00
▲(71.06% Upside)
Action:Reiterated
Date:09/19/26
The score is driven primarily by strong financial fundamentals—steady growth, high margins, and a very low-risk balance sheet—tempered by inconsistent cash-flow generation (including negative free cash flow in 2025). Technicals are supportive due to a strong uptrend, but overbought readings add near-term risk. Valuation is reasonable with a mid-teens P/E and a modest dividend yield.
Positive Factors
Steady Revenue Growth
Multi-year revenue expansion indicates sustained demand for Hobonichi’s products and an ability to grow beyond a single reporting period. Continued top-line progress can support investment in product development, customer engagement, and distribution while reinforcing the brand’s market position.
Negative Factors
Volatile Cash Generation
Uneven operating cash flow and negative free cash flow in 2025 weaken the quality and predictability of reported earnings. If this pattern persists, working-capital needs or investment spending could constrain internally funded growth and make cash planning less reliable.
Read all positive and negative factors
Positive Factors
Negative Factors
Steady Revenue Growth
Multi-year revenue expansion indicates sustained demand for Hobonichi’s products and an ability to grow beyond a single reporting period. Continued top-line progress can support investment in product development, customer engagement, and distribution while reinforcing the brand’s market position.
Read all positive factors

Hobonichi Co., Ltd. (3560) vs. iShares MSCI Japan ETF (EWJ)

Hobonichi Co., Ltd. Business Overview & Revenue Model

Company Description
Hobonichi Co., Ltd. operates and creates content for the Hobonichi Itoi Shimbun website, alongside managing its Hobonichi web store in Japan. The company specializes in the conceptualization, development, and sale of products such as the Hobonichi...
How the Company Makes Money
Hobonichi primarily earns revenue by selling physical products centered on the Hobonichi Techo ecosystem. Key revenue streams include (1) sales of Techo planners/notebooks and refill books; (2) sales of higher-priced complementary items such as co...

Hobonichi Co., Ltd. Financial Statement Overview

Summary
Strong overall fundamentals supported by steady multi-year revenue growth, consistently high gross margins (~51–57%), and an exceptionally conservative balance sheet with minimal debt. This is partially offset by weaker cash-flow quality: operating cash flow has been uneven and 2025 free cash flow turned meaningfully negative despite positive earnings, raising concerns about conversion and predictability.
Income Statement
78
Positive
Balance Sheet
92
Very Positive
Cash Flow
46
Neutral
BreakdownTTMAug 2025Aug 2024Aug 2023Aug 2022Aug 2021
Income Statement
Total Revenue9.84B8.68B7.53B6.82B5.91B5.64B
Gross Profit5.99B4.95B4.27B3.88B3.28B3.09B
EBITDA1.47B912.56M747.05M760.68M428.35M325.55M
Net Income766.27M448.35M399.20M411.91M205.71M196.98M
Balance Sheet
Total Assets7.00B6.99B6.55B5.90B5.35B5.17B
Cash, Cash Equivalents and Short-Term Investments2.63B755.18M1.19B1.37B1.62B1.77B
Total Debt29.94M8.96M2.87M5.22M7.89M9.03M
Total Liabilities1.41B2.10B2.03B1.70B1.49B1.38B
Stockholders Equity5.59B4.89B4.52B4.20B3.86B3.79B
Cash Flow
Free Cash Flow-218.86M-218.86M372.36M-37.70M50.19M-82.78M
Operating Cash Flow158.47M158.47M401.59M162.66M201.61M466.59M
Investing Cash Flow-485.58M-485.58M-467.33M-292.33M-255.08M-291.42M
Financing Cash Flow-105.05M-105.05M-106.45M-106.93M-106.84M-106.35M

Hobonichi Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3435.00
Price Trends
50DMA
4313.81
Positive
100DMA
4233.00
Positive
200DMA
3865.31
Positive
Market Momentum
MACD
179.20
Negative
RSI
79.28
Negative
STOCH
98.67
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3560, the sentiment is Positive. The current price of 3435 is below the 20-day moving average (MA) of 4461.44, below the 50-day MA of 4313.81, and below the 200-day MA of 3865.31, indicating a bullish trend. The MACD of 179.20 indicates Negative momentum. The RSI at 79.28 is Negative, neither overbought nor oversold. The STOCH value of 98.67 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3560.

Hobonichi Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
¥12.05B15.75―1.73%17.13%71.84%
75
Outperform
¥35.35B10.63―1.58%5.55%-29.88%
72
Outperform
¥5.70B14.74―2.32%-0.77%160.00%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
57
Neutral
¥7.26B9.89―1.47%-6.45%―
56
Neutral
¥4.72B8.31―7.53%-9.38%-52.30%
55
Neutral
¥3.65B83.89―2.60%3.16%-28.86%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:3560
Hobonichi Co., Ltd.
5,200.00
2,157.87
70.93%
JP:2769
Village Vanguard Co., Ltd.
928.00
-92.00
-9.02%
JP:3134
Hamee Corp.
299.00
-325.07
-52.09%
JP:3138
Fujisan Magazine Service Co., Ltd.
1,161.00
171.06
17.28%
JP:3159
Maruzen CHI Holdings Co., Ltd.
380.00
46.00
13.77%
JP:3396
Felissimo Corporation
861.00
28.25
3.39%
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 19, 2026