Ichishin Holdings Co., Ltd. (4645) AI Stock Analysis

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Ichishin Holdings Co., Ltd.

(TSE/TYO:4645)

Select Model

Rating:68Neutral

Price Target:JPY 475.00▲(11.76% Upside)

Action:downgraded

Date:11/05/26

Ichishin Holdings secures a positive score driven primarily by excellent cash generation, a recent surge in net profitability, and an attractive valuation. The company offers a solid 2.3% dividend yield and trades at a reasonable 13.4x P/E ratio. The main headwinds preventing a higher score include an elevated balance sheet leverage—though management is actively paying down debt—and neutral-to-bearish short-term price momentum as the stock consolidates near its moving averages.

Positive Factors

Cash GenerationConsistently positive operating cash flow and materially improved free cash flow indicate that the business is converting operations into usable funds. This supports reinvestment, debt servicing, and earnings quality over the next several quarters, strengthening financial resilience.

Negative Factors

Elevated LeverageHigh leverage reduces financial flexibility and leaves less capacity to absorb weaker trading conditions or fund expansion internally. It also increases the importance of maintaining cash generation, because debt obligations can constrain capital allocation and amplify the impact of earnings pressure.

Ichishin Holdings Co., Ltd. (4645) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 3.47B
Dividend Yield: 2.35%
Average Volume (3M): 1,998
Price to Earnings (P/E): 13.2
Beta (1Y): 0.15
Revenue Growth: 2.49%
EPS Growth: -71.48%
Country: Japan
Employees: 924
Sector: Consumer Defensive
Sector Strength: 62
Industry: Education & Training Services

Ichishin Holdings Co., Ltd. Business Overview & Revenue Model

Company Description

Ichishin Holdings Co.,Ltd., through its subsidiaries, engages in the education business in Japan. The company operates cram schools for elementary school students, junior high school students, high school students, and high school graduates; entrance...

Ichishin Holdings Co., Ltd. Financial Statement Overview

Summary

Demonstrates a strengthening financial profile characterized by steady revenue growth, a recent doubling of net income, and highly robust cash flow. Although the debt load is historically elevated, active deleveraging and an impressive ROE above 25% mitigate risks.

Income Statement

70Positive

Balance Sheet

60Neutral

Cash Flow

85Very Positive

Financial statement breakdown
Breakdown	TTM	Feb 2026	Feb 2025	Feb 2024	Feb 2023	Feb 2022
Income Statement
Total Revenue	18.65B	18.65B	18.46B	17.95B	17.29B	17.32B
Gross Profit	3.08B	3.08B	3.08B	3.07B	2.98B	3.04B
EBITDA	2.08B	1.37B	1.25B	1.26B	1.23B	1.28B
Net Income	628.09M	628.55M	317.30M	363.26M	365.90M	421.56M
Balance Sheet
Total Assets	13.40B	13.40B	13.87B	13.16B	12.42B	12.71B
Cash, Cash Equivalents and Short-Term Investments	5.14B	5.14B	4.39B	4.28B	4.13B	4.60B
Total Debt	6.45B	6.45B	7.09B	6.29B	6.06B	6.38B
Total Liabilities	10.88B	10.88B	11.67B	10.42B	10.12B	10.64B
Stockholders Equity	2.46B	2.46B	2.15B	2.70B	2.27B	2.05B
Cash Flow
Free Cash Flow	0	1.10B	891.51M	268.98M	387.76M	1.16B
Operating Cash Flow	0	1.37B	1.19B	657.91M	855.57M	1.61B
Investing Cash Flow	0	280.49M	-763.18M	-261.13M	-724.91M	-481.63M
Financing Cash Flow	0	-926.60M	-356.84M	-226.57M	-609.36M	-276.78M

Ichishin Holdings Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price425.00

Price Trends

50DMA436.34Negative

100DMA433.79Negative

200DMA431.48Negative

Market Momentum

MACD-2.42Positive

RSI42.30Neutral

STOCH30.83Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4645, the sentiment is Negative. The current price of 425.00 is below the 20-day moving average (MA) of 433.75, below the 50-day MA of 436.34, and below the 200-day MA of 431.48, indicating a bearish trend. The MACD of -2.42 indicates Positive momentum. The RSI at 42.30 is Neutral, neither overbought nor oversold. The STOCH value of 30.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4645.

Ichishin Holdings Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

JP:4645 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:4718	86Outperform	JPY 51.63B	16.81	―	2.37%	8.48%	20.40%
JP:4714	72Outperform	JPY 49.97B	25.34	―	3.40%	4.45%	40.72%
JP:4678	68Neutral	JPY 2.22B	14.46	―	3.02%	1.13%	-19.95%
JP:9470	68Neutral	JPY 44.91B	12.38	―	2.78%	5.66%	-4.77%
JP:4645	68Neutral	JPY 3.49B	13.20	―	2.35%	2.49%	-71.48%
Sector *	62Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
JP:4668	55Neutral	JPY 16.39B	21.35	―	4.08%	4.87%	-51.32%

* Consumer Defensive Sector Average

Performance Comparison

JP:4645 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:4645	Ichishin Holdings Co., Ltd.	425.00	-13.02	-2.97%
JP:4668	Meiko Network Japan Co., Ltd.	711.00	25.01	3.65%
JP:4678	Shuei Yobiko Co., Ltd.	331.00	47.56	16.78%
JP:4714	Riso Kyoiku Co., Ltd.	294.00	102.71	53.69%
JP:4718	Waseda Academy Co., Ltd.	2740.00	464.69	20.42%
JP:9470	Gakken Holdings Co., Ltd.	1042.00	11.16	1.08%

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

Ichishin Holdings Co., Ltd. AI Stock Analysis