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POPLAR Co., Ltd. (7601) AI Stock Analysis

JP:7601

POPLAR Co., Ltd.

(TSE/TYO:7601)

Select Model
Rating:68Neutral
Price Target:JPY 182.00▲(13.04% Upside)
Action:reiterated
Date:08/05/26

The company's financial health is the primary driver, with a strong balance sheet and cash flows offsetting weak revenue trends. Valuation appears slightly stretched, and technicals are neutral. Overall, the stock presents a moderate investment case with some caution warranted.

Positive Factors
Return to positive earnings and free cash flowThe shift from multi-year losses to positive earnings and free cash flow is a durable fundamental improvement. Sustained profitability and FCF provide internal funding for operations, reduce reliance on external financing, and create a base to reinvest in stores or strategic initiatives over the next several quarters.
Negative Factors
Persistent revenue declinesOngoing top-line contraction undermines scale economics in convenience retail. Shrinking revenue pressures gross throughput, limits ability to leverage fixed costs, and constrains reinvestment in store refreshes or marketing, posing a durable headwind to margin recovery and growth plans.

POPLAR Co., Ltd. (7601) vs. iShares MSCI Japan ETF (EWJ)

-10%-5%0%5%10%15%20%25%JP:7601-8.47%EWJ+15.87%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 1.91B
Dividend Yield
―
Average Volume (3M)
24.39K
Price to Earnings (P/E)
28.9
Beta (1Y)
0.31
Revenue Growth
-0.91%
EPS Growth
-64.92%
Country
Japan
Employees
181
Sector
General
Sector Strength
55
Industry
Grocery Stores

POPLAR Co., Ltd. Business Overview & Revenue Model

Company Description

Poplar Co., Ltd. operates convenience stores in Japan. The company operates in two segments, Smart Store Business and Lawson Poplar Business. The Smart Store Business segments operate under the Popura and Seikatsu Saika brands. The Lawson Poplar Busi...

How the Company Makes Money

null

POPLAR Co., Ltd. Financial Statement Overview

Summary

POPLAR Co. has returned to profitability with improved margins, robust cash flow, and a strengthened balance sheet (debt reduced, equity positive). However, revenue continues to decline modestly, indicating ongoing top-line pressure.

Income Statement

55Neutral

Balance Sheet

78Positive

Cash Flow

82Very Positive
Financial statement breakdown
BreakdownTTMFeb 2026Feb 2025Feb 2024Feb 2023Feb 2022
Income Statement
Total Revenue11.65B11.65B12.03B12.37B13.06B13.63B
Gross Profit5.42B5.33B5.41B5.37B5.27B4.84B
EBITDA373.75M383.00M466.72M450.60M165.97M-993.82M
Net Income101.21M134.67M376.33M462.00M-237.80M-518.49M
Balance Sheet
Total Assets3.87B3.95B3.78B3.83B3.87B4.18B
Cash, Cash Equivalents and Short-Term Investments604.67M841.14M806.12M752.37M828.05M802.31M
Total Debt382.65M374.69M533.60M911.03M1.87B1.82B
Total Liabilities2.87B3.07B3.00B3.35B4.57B4.61B
Stockholders Equity997.98M879.10M780.83M477.07M-694.24M-429.43M
Cash Flow
Free Cash Flow0264.90M352.31M65.38M23.47M-2.45B
Operating Cash Flow0487.84M433.06M79.83M101.54M-2.43B
Investing Cash Flow0-232.88M26.35M322.66M-100.73M872.55M
Financing Cash Flow0-219.94M-405.66M-478.17M24.93M-182.11M

POPLAR Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price161.00

Price Trends

50DMA164.22Negative
100DMA164.89Negative
200DMA169.47Negative

Market Momentum

MACD-0.38Positive
RSI37.81Neutral
STOCH33.33Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7601, the sentiment is Negative. The current price of 161.00 is below the 20-day moving average (MA) of 164.45, below the 50-day MA of 164.22, and below the 200-day MA of 169.47, indicating a bearish trend. The MACD of -0.38 indicates Positive momentum. The RSI at 37.81 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7601.

POPLAR Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

JP:7601 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:9956JP:995668NeutralJPY 199.29B9.34―3.54%8.92%33.42%
JP:7601JP:760168NeutralJPY 1.91B28.88――-0.91%-64.92%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
JP:8278JP:827854NeutralJPY 172.94B20.01―1.50%-1.47%119.37%
JP:9946JP:994650NeutralJPY 51.26B-5.06―1.13%2.66%-81.23%
JP:3222JP:322249NeutralJPY 155.08B-23.00―2.14%10.71%-523.13%
JP:8273JP:827348NeutralJPY 202.35B11.54―3.18%0.92%46.70%

* General Sector Average

Performance Comparison

0%20%40%JP:7601JP:3222JP:8273JP:8278JP:9946JP:9956Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:7601 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:7601POPLAR Co., Ltd.162.00-15.00-8.47%
JP:3222United Super Markets Holdings, Inc.748.00-60.61-7.50%
JP:8273Izumi Co., Ltd.942.0010.221.10%
JP:8278Fuji Co., Ltd.1995.0052.552.71%
JP:9946Ministop Co., Ltd.1767.00-190.69-9.74%
JP:9956Valor Holdings Co., Ltd.1682.00301.2821.82%
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 04, 2026