Matsuya Co., Ltd. (8237) AI Stock Analysis

• Market Cap: ¥53.33B
• Dividend Yield: 1.79%
• Average Volume (3M): 342.90K
• Price to Earnings (P/E): 22.4
• Beta (1Y): 0.79
• Revenue Growth: 16.65%
• EPS Growth: -9.43%
• Country: JP
• Employees: 829
• Sector: Consumer Cyclical
• Sector Strength: 58
• Industry: Department Stores
• EPS (TTM): 5.86
• Shares Outstanding: 53,289,640
• 10 Day Avg. Volume: 301,770
• 30 Day Avg. Volume: 342,903
• PEG Ratio: 0.04
• Price to Book (P/B): 2.67
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -34.91
• 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: 65 Neutral
• Price Target: ¥1,086.00 ▲(8.06%Upside)

Matsuya Co., Ltd. is on a positive recovery path with strong revenue growth and operational efficiencies. However, challenges in cash flow management and maintaining profitability, combined with a fair but potentially stretched valuation, contribute to a moderate overall score. Technical indicators suggest cautious optimism for future price recovery.

Matsuya Co., Ltd. Business Overview & Revenue Model

Company Description

Matsuya Co., Ltd. operates department stores in Ginza and Asakusa, Japan. Its department stores provide women's fashion products, cosmetics, fragrances, and watch and jewelry; men's fashion and sports products; children's wear and goods; and household goods. It also engages in mail order and related manufacturing, import/export, and wholesale businesses. Matsuya Co., Ltd. was founded in 1869 and is based in Tokyo, Japan.

How the Company Makes Money

Matsuya Co., Ltd. generates revenue through its extensive network of department stores, which serve as the primary sales channels for its wide variety of merchandise. The company's revenue model is heavily reliant on retail sales, with key revenue streams stemming from the sale of fashion apparel, luxury goods, and cosmetics. Matsuya also benefits from partnerships with various high-end brands and designers, enabling it to offer exclusive products that attract a discerning customer base. Additionally, the company may engage in ancillary activities such as property leasing within its retail spaces, further contributing to its earnings. Seasonal sales and promotional events play a significant role in boosting revenue, particularly during peak shopping periods like holidays and festivals.

Matsuya Co., Ltd. Financial Statement Overview

Summary

Matsuya Co., Ltd. shows strong revenue growth and operational efficiency, reflected in an improved income statement. However, cash flow challenges due to high capital expenditures and moderate leverage levels are concerns.

Income Statement

Matsuya Co., Ltd. has demonstrated a strong recovery in its income statement with significant revenue growth from prior years. The gross profit margin has improved to a healthy level, indicating effective cost management. However, the net profit margin has decreased slightly compared to the previous year, suggesting some pressure on the bottom line. The improvement in EBIT and EBITDA margins reflects operational efficiency gains. Overall, the income statement shows positive growth trends, but net income pressure remains a concern.

Balance Sheet

The balance sheet of Matsuya Co., Ltd. reflects a stable financial position with a healthy equity ratio, showing reliance on equity financing. The debt-to-equity ratio is moderate, indicating manageable leverage levels. However, the return on equity has declined, reflecting a reduction in profitability. Overall, the balance sheet shows stability but highlights areas for enhancing shareholder returns.

Cash Flow

Cash flow analysis reveals a challenging picture with negative free cash flow, indicating cash outflows exceeding inflows in capital investments. However, the operating cash flow has improved, showing better cash management from core operations. The free cash flow to net income ratio remains negative, highlighting cash flow challenges. Overall, the cash flow statement shows recovery in operational cash generation, but investment outflows continue to pressure free cash flow.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
47.19B	48.12B	41.25B	34.40B	65.04B	52.73B
	Gross Profit
23.80B	24.57B	21.72B	17.18B	13.25B	11.36B
	EBIT
3.09B	4.40B	2.97B	347.00M	-2.28B	-3.90B
	EBITDA
6.01B	5.48B	4.48B	1.73B	-907.00M	-2.37B
	Net Income Common Stockholders
2.67B	2.38B	2.63B	4.38B	1.00B	-4.42B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
4.42B	3.91B	3.25B	6.31B	2.44B	2.96B
	Total Assets
74.16B	76.11B	68.87B	63.89B	54.26B	56.45B
	Total Debt
19.08B	21.82B	18.12B	19.18B	20.13B	24.78B
	Net Debt
14.66B	17.91B	14.93B	12.87B	17.69B	21.82B
	Total Liabilities
45.67B	46.90B	42.06B	41.04B	36.26B	40.21B
	Stockholders Equity
27.58B	28.26B	25.95B	22.06B	17.25B	16.24B
Cash Flow		Free Cash Flow
0.00	-1.19B	-366.00M	-1.69B	-1.98B	-4.09B
	Operating Cash Flow
0.00	3.07B	2.30B	2.35B	-1.25B	-2.76B
	Investing Cash Flow
0.00	-5.53B	-4.02B	2.47B	5.38B	891.00M
	Financing Cash Flow
0.00	3.13B	-1.34B	-955.00M	-4.71B	2.67B

Matsuya Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1005.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8237, the sentiment is Negative. The current price of 1005 is below the 20-day moving average (MA) of 1059.80, below the 50-day MA of 1016.74, and above the 200-day MA of 964.46, indicating a neutral trend. The MACD of -9.10 indicates Positive momentum. The RSI at 42.54 is Neutral, neither overbought nor oversold. The STOCH value of 9.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:8237.

Matsuya Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8237	65 Neutral	¥53.33B	22.38		1.79%	16.65%	-9.43%
Sector *	62 Neutral	$16.17B	10.72	-5.56%	3.15%	1.66%	-23.91%
IMHDF		$5.61B	16.81	8.71%	0.01%	―	―
JFROF		$3.56B	11.47	10.29%	3.32%	―	―
TKSHF		$2.28B	9.08	8.38%	0.01%	―	―
HKU		€1.40B	6.31	11.92%	2.27%	―	―
8244	55 Neutral	¥71.71B	20.22		1.13%	1.41%	27.48%

Matsuya Co., Ltd. Corporate Events

Matsuya Co., Ltd. Approves Key Proposals at Annual General Meeting

Matsuya Co., Ltd. announced the approval of all proposals at its 156th Annual General Meeting of Shareholders. These proposals included the election of nine directors, the determination of remuneration for performance-linked share remuneration to certain directors, and the renewal of countermeasures against large-scale acquisition of company shares. The approval of these proposals is likely to impact the company’s governance and strategic defense against potential takeovers.

Matsuya Co., Ltd. Renews Takeover Defense Measures

Matsuya Co., Ltd. has announced the renewal of its countermeasures against large-scale acquisition of company shares, following approval from shareholders at its 156th Annual General Meeting. This move aims to maintain and enhance the corporate value and protect the common interests of its shareholders, reflecting the company’s commitment to robust takeover defense policies.

Matsuya Co., Ltd. Proposes Amendment to Takeover Defense Measures

Matsuya Co., Ltd. is announcing a proposal to amend its current takeover defense measures policy before its expiration in May 2025. This move aims to prevent inappropriate control over the company’s financial and business policies, ensuring stability and alignment with its business plan to become a global destination.

Matsuya Co., Ltd. Revamps Directors Remuneration System

Matsuya Co., Ltd. announced an amendment to its Directors remuneration system and plans to introduce a performance-linked remuneration scheme. This strategic move, pending approval at the upcoming Annual General Meeting, aims to align directors’ incentives with company performance, potentially enhancing operational efficiency and shareholder value.

Matsuya Co., Ltd. Unveils Long-Term Global Business Plan

Matsuya Co., Ltd. has announced a new long-term business plan titled ‘To Become a Global Destination,’ which aims to adapt to changing times and achieve growth by fiscal 2050. The plan includes two phases, with Phase I focusing on strengthening partnerships and omni-channel strategies from 2025 to 2027, and Phase II aiming for sustainable growth from 2028 to 2030. The company intends to enhance its business foundations through investments in stores, IT systems, real estate, and personnel, ultimately seeking to balance economic and social value.

Matsuya Co., Ltd. Reports Strong Sales Growth but Faces Profitability Challenges

Matsuya Co., Ltd. reported a significant increase in net sales and operating income for the fiscal year ended February 28, 2025, with net sales rising by 16.7% and operating income by 50.8%. Despite these gains, the profit attributable to owners of the parent decreased by 9.4%, indicating challenges in profitability. The company plans to increase its dividend payout, reflecting a commitment to returning value to shareholders. The financial forecast for the next fiscal year anticipates modest growth in net sales but a decline in operating and ordinary income, suggesting a cautious outlook amidst market uncertainties.