Daishi Hokuetsu Financial Group, Inc. (7327) AI Stock Analysis

• Market Cap: ¥401.40B
• Dividend Yield: 3.56%
• Average Volume (3M): 693.41K
• Price to Earnings (P/E): 12.2
• Beta (1Y): 0.99
• Revenue Growth: 6.67%
• EPS Growth: 51.21%
• Country: JP
• Employees: 3,549
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 48.83
• Shares Outstanding: 275,657,870
• 10 Day Avg. Volume: 524,640
• 30 Day Avg. Volume: 693,410
• PEG Ratio: 0.23
• Price to Book (P/B): 0.58
• Price to Sales (P/S): 1.51
• P/FCF Ratio: 2.97
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 80 Outperform
• Price Target: ¥1,669.00 ▲(15.66% Upside)

Daishi Hokuetsu Financial Group, Inc. receives a strong overall score driven by robust financial performance and positive technical indicators. While the valuation is reasonable, the main risk lies in cash flow volatility, which the company needs to stabilize to maintain its financial health.

Daishi Hokuetsu Financial Group, Inc. Business Overview & Revenue Model

Company Description

Daishi Hokuetsu Financial Group, Inc. (7327) is a prominent financial services company based in Japan, primarily engaged in providing a wide range of financial products and services. The company operates in several sectors, including banking, asset management, and insurance. Its core offerings include retail banking services, corporate banking solutions, investment advisory, and insurance products, catering to both individual and corporate clients in the region.

How the Company Makes Money

Daishi Hokuetsu Financial Group generates revenue through multiple streams, with its primary income derived from interest income generated from loans and deposits in its banking operations. Additionally, the company earns fees and commissions from investment management services and advisory roles, as well as from the sale of insurance products. The diversification of its services allows the company to mitigate risks and capitalize on various market opportunities. Strategic partnerships with other financial institutions and businesses further enhance its service offerings and customer reach, contributing significantly to its overall earnings.

Daishi Hokuetsu Financial Group, Inc. Financial Statement Overview

Summary

Daishi Hokuetsu Financial Group, Inc. exhibits strong profitability and a solid financial structure, supported by healthy income statement metrics and a stable balance sheet. The main concern is cash flow volatility, but overall financial health remains robust.

Income Statement

The income statement shows strong performance with expanding gross and net profit margins over the years. The gross profit margin has consistently been high, indicating efficient cost management. There is a positive trend in net income, demonstrating the company's growing profitability. The revenue growth rate from the previous year was significant, suggesting a robust business model. However, fluctuations in revenue over the years need attention.

Balance Sheet

The balance sheet reflects a strong equity position with a manageable debt-to-equity ratio, highlighting financial stability. The return on equity is improving, indicating effective utilization of equity. However, the total liabilities are high, suggesting potential leverage-related risks. The equity ratio is stable, underscoring a solid capital structure.

Cash Flow

The cash flow statement indicates volatility in operating cash flow, with recent negative figures raising concerns. Free cash flow has shown a positive trend after recovering from previous negative figures, which is promising. The operating cash flow to net income ratio suggests some inconsistency in converting income to cash, which might affect liquidity management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	148.81B	182.83B	170.53B	140.49B	127.50B	134.08B
Gross Profit	148.81B	147.71B	135.79B	128.35B	125.22B	129.03B
EBITDA	38.81B	48.20B	36.84B	31.91B	30.30B	23.96B
Net Income	31.39B	29.35B	21.20B	17.77B	15.14B	10.79B
Balance Sheet
Total Assets	10.85T	10.98T	11.14T	10.52T	10.67T	9.71T
Cash, Cash Equivalents and Short-Term Investments	0.00	2.15T	2.23T	2.03T	2.76T	2.06T
Total Debt	1.52T	1.52T	1.76T	1.22T	1.69T	963.47B
Total Liabilities	10.36T	10.50T	10.64T	10.10T	10.24T	9.25T
Stockholders Equity	491.93B	478.86B	499.38B	415.42B	428.46B	435.36B
Cash Flow
Free Cash Flow	0.00	92.97B	289.30B	-343.80B	794.86B	895.20B
Operating Cash Flow	0.00	95.07B	294.42B	-338.48B	797.68B	903.60B
Investing Cash Flow	0.00	186.55B	-90.17B	-380.78B	-85.51B	-78.52B
Financing Cash Flow	0.00	-9.43B	-10.51B	-8.05B	-8.94B	-5.50B

Daishi Hokuetsu Financial Group, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1443.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7327, the sentiment is Positive. The current price of 1443 is above the 20-day moving average (MA) of 1434.47, above the 50-day MA of 1361.26, and above the 200-day MA of 1104.27, indicating a bullish trend. The MACD of 31.83 indicates Positive momentum. The RSI at 59.29 is Neutral, neither overbought nor oversold. The STOCH value of 80.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7327.

Daishi Hokuetsu Financial Group, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7327	―	¥401.40B	12.17	―	3.56%	6.67%	51.21%
8418	―	¥341.06B	11.06	5.35%	3.42%	4.24%	23.16%
8377	―	¥445.57B	9.65	―	1.53%	33.00%	80.88%
7180	―	¥378.25B	10.80	4.96%	2.40%	8.46%	46.91%
Sector *	―	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
5832	―	¥388.72B	13.57	―	3.42%	10.60%	20.32%
8366	―	¥286.30B	14.37	―	1.46%	6.36%	67.68%

Daishi Hokuetsu Financial Group, Inc. Corporate Events

Daishi Hokuetsu Financial Group Revises Earnings and Dividend Forecasts Upward

Daishi Hokuetsu Financial Group, Inc. has announced an upward revision of its earnings and dividend forecasts for the fiscal year ending March 2026. The revisions are attributed to a higher than expected interest margin, driven by increased business loans and improved returns on securities, which are expected to positively impact the company’s financial performance and shareholder value.

The most recent analyst rating on (JP:7327) stock is a Buy with a Yen3946.00 price target. To see the full list of analyst forecasts on Daishi Hokuetsu Financial Group, Inc. stock, see the JP:7327 Stock Forecast page.

Daishi Hokuetsu Financial Group Announces Share Split and Amendments

Daishi Hokuetsu Financial Group, Inc. announced a share split to increase share liquidity and attract more investors by lowering the minimum investment amount. The company also amended its Articles of Incorporation and adjusted its shareholder benefit plan to align with the share split, maintaining the value of benefits relative to the new share structure.

The most recent analyst rating on (JP:7327) stock is a Buy with a Yen3946.00 price target. To see the full list of analyst forecasts on Daishi Hokuetsu Financial Group, Inc. stock, see the JP:7327 Stock Forecast page.

Daishi Hokuetsu Financial Group Reports Improved Capital Adequacy

Daishi Hokuetsu Financial Group, Inc. reported an improvement in its capital adequacy ratio for the first quarter ending June 30, 2025, indicating a stronger financial position. The consolidated capital adequacy ratio increased to 11.05%, reflecting enhanced owner’s equity and a reduction in risk assets, which suggests a positive impact on the company’s financial stability and potential for growth.