Hokkan Holdings Limited (5902) AI Stock Analysis

Hokkan Holdings Limited

(TSE/TYO:5902)

Select Model

Rating:78.3Outperform

Price Target:JPY 3,260.00▲(28.04% Upside)

Action:upgraded

Date:08/17/26

The overall score reflects solid underlying financial strength, led by improved profitability and substantially reduced leverage, partially offset by recent negative free cash flow and a modest revenue decline. A favorable valuation with a low P/E and reasonable dividend yield further supports the stock, while strong price momentum is balanced by overbought technical readings that introduce short‑term risk.

Positive Factors

Profitability RecoveryThe return to sustained profitability after earlier loss years indicates improved operating execution. Positive earnings provide a stronger base for reinvestment and resilience, although the still-modest margin means further improvement is needed.

Negative Factors

Inconsistent Revenue GrowthUneven revenue performance indicates limited top-line momentum in the core packaging operations. Without stronger volume, customer expansion, or recurring demand growth, earnings improvement may remain dependent on costs and pricing.

Hokkan Holdings Limited (5902) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 31.39B
Dividend Yield: 3.69%
Average Volume (3M): 23.97K
Price to Earnings (P/E): 8.5
Beta (1Y): 0.49
Revenue Growth: 0.88%
EPS Growth: 19.83%
Country: Japan
Employees: 2,247
Sector: General
Sector Strength: 55
Industry: Packaging & Containers

Hokkan Holdings Limited Business Overview & Revenue Model

Company Description

Hokkan Holdings Limited, through its subsidiaries, engages in the container, filling, and machinery production, and other businesses in Japan and internationally. The company manufactures and sells various types of unfilled cans, containers, tinplate...

How the Company Makes Money

Hokkan Holdings makes money primarily through revenues generated by its consolidated subsidiaries that manufacture and supply packaging products and related services. Key revenue streams typically include (1) sales of packaging containers and packagi...

Hokkan Holdings Limited Financial Statement Overview

Summary

Profitability has recovered from prior losses with net income and margins back in positive territory, supported by a much stronger, deleveraged balance sheet. However, negative free cash flow and a recent revenue dip temper the score despite the generally improving financial trajectory.

Income Statement

72Positive

Balance Sheet

85Very Positive

Cash Flow

65Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	92.72B	90.56B	92.42B	90.93B	93.66B	86.33B
Gross Profit	21.36B	20.57B	20.82B	20.66B	15.43B	16.83B
EBITDA	11.69B	10.48B	11.61B	10.63B	8.34B	6.78B
Net Income	3.70B	3.28B	3.26B	2.72B	-2.01B	-1.23B
Balance Sheet
Total Assets	140.40B	138.63B	132.32B	134.05B	131.78B	145.39B
Cash, Cash Equivalents and Short-Term Investments	7.76B	10.12B	13.37B	12.80B	10.16B	10.07B
Total Debt	47.14B	47.69B	43.10B	43.42B	43.02B	55.43B
Total Liabilities	76.48B	75.74B	70.09B	73.18B	76.89B	88.36B
Stockholders Equity	61.45B	60.36B	57.49B	56.05B	50.59B	52.97B
Cash Flow
Free Cash Flow	0	-3.08B	2.19B	3.19B	5.50B	3.71B
Operating Cash Flow	0	9.39B	12.50B	7.36B	9.29B	11.86B
Investing Cash Flow	0	-11.88B	-10.15B	-3.85B	4.09B	-3.60B
Financing Cash Flow	0	-697.00M	-1.76B	-1.23B	-13.43B	-7.21B

Hokkan Holdings Limited Technical Analysis

Technical Analysis SentimentNeutral

Last Price2546.00

Price Trends

50DMA2651.24Negative

100DMA2497.93Positive

200DMA2378.29Positive

Market Momentum

MACD-20.13Positive

RSI43.32Neutral

STOCH12.60Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5902, the sentiment is Neutral. The current price of 2546.00 is below the 20-day moving average (MA) of 2579.80, below the 50-day MA of 2651.24, and above the 200-day MA of 2378.29, indicating a neutral trend. The MACD of -20.13 indicates Positive momentum. The RSI at 43.32 is Neutral, neither overbought nor oversold. The STOCH value of 12.60 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:5902.

Hokkan Holdings Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:5902 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:3950	85Outperform	JPY 88.60B	14.96	―	2.59%	3.57%	-1.12%
JP:5902	78Outperform	JPY 31.10B	8.48	―	3.69%	0.88%	19.83%
JP:7942	78Outperform	JPY 75.53B	7.90	―	3.49%	14.19%	90.30%
JP:5901	73Outperform	JPY 602.22B	12.53	7.89%	3.75%	6.21%	108.07%
JP:7864	72Outperform	JPY 192.18B	8.80	13.51%	2.54%	3.89%	67.10%
JP:7917	58Neutral	JPY 94.95B	11.40	8.26%	2.91%	5.99%	22.32%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

JP:5902 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:5902	Hokkan Holdings Limited	2549.00	467.14	22.44%
JP:7917	Fujimori Kogyo Co	1235.00	196.60	18.93%
JP:7864	Fuji Seal International	3510.00	856.29	32.27%
JP:5901	Toyo Seikan Group Holdings	4475.00	1202.15	36.73%
JP:3950	Pack Corporation	1507.00	332.83	28.35%
JP:7942	JSP Corporation	3070.00	1231.59	66.99%

Hokkan Holdings Limited Corporate Events

Hokkan Holdings Delivers Strong Q1 Earnings and Lifts Full-Year Dividend Outlook

Aug 7, 2026

Hokkan Holdings Limited reported solid results for the three months ended June 30, 2026, with net sales rising 9.2% year on year to ¥25.65 billion and profit attributable to owners of parent climbing 23.1% to ¥2.25 billion, reflecting impro...

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: Aug 17, 2026

Hokkan Holdings Limited AI Stock Analysis