Hokuhoku Financial Group, Inc. (8377) AI Stock Analysis

2 Followers

Hokuhoku Financial Group, Inc.

(TSE/TYO:8377)

Select Model

Rating:79Outperform

Price Target:JPY 876.00▲(15.55% Upside)

Action:reiterated

Date:10/02/26

The company's robust financial performance, highlighted by strong revenue growth and a fortified balance sheet, is the primary driver of the score. Positive technical trends and an attractive valuation, particularly the high dividend yield, provide additional support.

Positive Factors

Profitability expansionThe substantial margin expansion indicates stronger earnings conversion from the regional banking franchise. If maintained, higher profitability can support capital accumulation, absorb credit costs more effectively, and provide greater capacity to invest in customer services and long-term growth.

Negative Factors

Volatile cash generationLarge year-to-year swings in operating cash flow reduce confidence that reported earnings consistently convert into cash. This variability can complicate internal capital planning and limit predictability when the group needs to fund lending, absorb losses, or maintain distributions through changing conditions.

Hokuhoku Financial Group, Inc. (8377) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 902.53B
Dividend Yield: 9.83%
Average Volume (3M): 4.78M
Price to Earnings (P/E): 12.9
Beta (1Y): 1.33
Revenue Growth: 27.18%
EPS Growth: 43.35%
Country: Japan
Employees: 4,618
Sector: General
Sector Strength: 55
Industry: Banks - Regional

Hokuhoku Financial Group, Inc. Business Overview & Revenue Model

Company Description

Headquartered in Toyama, Japan, and established in 2003, Hokuhoku Financial Group, Inc. operates as a diversified financial institution. Through its various subsidiaries, the group delivers a broad spectrum of banking products and services primarily...

How the Company Makes Money

The company makes money primarily through earnings generated by its consolidated financial subsidiaries (centered on banking). Key revenue streams include: (1) Net interest income: interest earned on loans and other interest-bearing assets minus inte...

Hokuhoku Financial Group, Inc. Financial Statement Overview

Summary

Strong financial health driven by 23% revenue growth, expanding margins (net profit margin 22.1%), and a significantly improved debt-to-equity ratio of 1.98. Cash flow is recovering with positive momentum, though conversion remains moderate.

Income Statement

85Very Positive

Balance Sheet

80Positive

Cash Flow

70Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	303.91B	266.44B	202.80B	156.23B	138.32B	164.88B
Gross Profit	245.69B	227.05B	170.48B	143.19B	127.54B	150.02B
EBITDA	98.03B	88.37B	62.16B	33.91B	33.82B	42.02B
Net Income	70.80B	58.90B	39.07B	23.05B	21.43B	20.53B
Balance Sheet
Total Assets	17.05T	16.96T	16.44T	16.38T	16.17T	17.28T
Cash, Cash Equivalents and Short-Term Investments	3.76T	3.58T	3.19T	4.55T	4.36T	5.47T
Total Debt	1.38T	1.44T	1.50T	1.69T	1.67T	3.24T
Total Liabilities	16.24T	16.23T	15.78T	15.72T	15.56T	16.66T
Stockholders Equity	766.64B	727.94B	654.36B	660.99B	608.62B	619.40B
Cash Flow
Free Cash Flow	0	35.44B	235.34B	0	-1.47T	452.61B
Operating Cash Flow	0	48.88B	241.29B	0	-1.47T	462.41B
Investing Cash Flow	0	-44.41B	-1.55T	131.36B	367.72B	-82.65B
Financing Cash Flow	0	350.69B	-48.70B	344.53B	-10.98B	-14.49B

Hokuhoku Financial Group, Inc. Technical Analysis

Technical Analysis SentimentPositive

Last Price758.10

Price Trends

50DMA797.89Negative

100DMA773.38Negative

200DMA686.17Positive

Market Momentum

MACD-12.34Negative

RSI49.13Neutral

STOCH85.49Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8377, the sentiment is Positive. The current price of 758.10 is above the 20-day moving average (MA) of 740.55, below the 50-day MA of 797.89, and above the 200-day MA of 686.17, indicating a neutral trend. The MACD of -12.34 indicates Negative momentum. The RSI at 49.13 is Neutral, neither overbought nor oversold. The STOCH value of 85.49 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8377.

Hokuhoku Financial Group, Inc. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:8377 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:7167	81Outperform	JPY 1.32T	14.25	―	2.51%	20.96%	46.10%
JP:8377	79Outperform	JPY 914.77B	12.88	―	9.83%	27.18%	43.35%
JP:7327	75Outperform	JPY 644.33B	11.98	―	3.33%	16.69%	33.06%
JP:7337	74Outperform	JPY 672.55B	12.63	―	3.14%	28.04%	39.40%
JP:8334	61Neutral	JPY 977.76B	14.51	10.64%	2.73%	18.61%	36.01%
JP:7381	56Neutral	JPY 254.60B	13.65	―	2.42%	49.48%	75.57%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

JP:8377 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:8377	Hokuhoku Financial Group, Inc.	758.10	344.90	83.47%
JP:8334	Gunma Bank	2528.00	915.03	56.73%
JP:7167	Mebuki Financial Group, Inc.	1513.00	571.33	60.67%
JP:7327	Daishi Hokuetsu Financial Group, Inc.	2282.00	826.45	56.78%
JP:7337	Hirogin Holdings, Inc.	2212.50	780.25	54.48%
JP:7381	Hokkoku Financial Holdings,Inc.	1117.00	500.28	81.12%

Hokuhoku Financial Group, Inc. Corporate Events

Hokuhoku Financial Group Corrects Portions of Six-Month Financial Disclosure

Nov 11, 2026

Hokuhoku Financial Group, Inc. said it corrected errors in portions of its earnings presentation materials and earnings highlights released November 9 alongside consolidated financial results for the six months ended September 30, 2026, under Japanes...

Hokuhoku Financial Group Raises Medium-Term Targets Again

Nov 9, 2026

The group said its Sixth Medium-Term Management Plan is progressing ahead of previously revised expectations, supported by solid deposit and loan trends and domestic interest rates remaining higher than anticipated. It raised its management targets a...

Hokuhoku Reports Strong First-Half Profit Growth

Nov 9, 2026

Hokuhoku Financial Group reported consolidated ordinary income of ¥157.96 billion for the six months ended September 30, up 24.2% year on year. Ordinary profit rose 43.1% to ¥59.79 billion, while net income attributable to owners increased 39.2% to ¥...

Hokuhoku Financial Raises Earnings and Dividend Forecasts

Nov 2, 2026

Hokuhoku Financial Group is a Japan-based regional financial institution whose operations center on banking, deposits, lending, securities-related income and other financial services, primarily serving customers in the Hokuriku region.The company ann...

Hokuhoku Financial Group Completes Share Buyback and Plans Major Cancellation After Stock Split

Sep 11, 2026

Hokuhoku Financial Group, Inc. has completed a share repurchase program authorized by its board in May 2026, buying back 1,414,500 common shares for just under 10 billion yen via market purchases on the Tokyo Stock Exchange. The latest tranche, acqui...

Hokuhoku Financial Group Nears Completion of ¥10 Billion Share Buyback Program

Sep 1, 2026

Hokuhoku Financial Group, Inc. disclosed the latest progress of its share buyback program, conducted under provisions of the Companies Act allowing acquisition of its own shares. Between August 1 and August 31, 2026, the group repurchased 219,300 com...

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: Oct 02, 2026

Hokuhoku Financial Group, Inc. AI Stock Analysis