Towa Bank, Ltd. AI Stock Analysis
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Towa Bank, Ltd. (8558) AI Stock Analysis
Towa Bank, Ltd.
(TSE/TYO:8558)
The score is held back primarily by weak financial performance, driven by the latest year’s severe earnings breakdown and unstable multi-year cash flow consistency, despite a generally serviceable balance sheet. Offsetting this, technical indicators show a moderately positive trend with neutral momentum, and valuation is supported by a modest dividend yield but constrained by loss-driven negative earnings.
Towa Bank, Ltd. (8558) vs. iShares MSCI Japan ETF (EWJ)
- Market Cap
- JPY 46.78B
- Dividend Yield
- 2.67%
- Average Volume (3M)
- 198.02K
- Price to Earnings (P/E)
- -1.9
- Beta (1Y)
- 1.22
- Revenue Growth
- 25.34%
- EPS Growth
- -481.28%
- Country
- Japan
- Employees
- 1,207
- Sector
- General
- Sector Strength
- 55
- Industry
- Banks - Regional
Towa Bank, Ltd. Business Overview & Revenue Model
Company Description
The Towa Bank, Ltd. provides various banking products and services. It offers deposit, lending, ancillary, securities investment, entrustment of corporate bonds, domestic exchange, and foreign exchange services, as well as credit cards. The company w...
How the Company Makes Money
Towa Bank primarily makes money through (1) net interest income and (2) non-interest income. Net interest income is generated from the spread between interest earned on interest-bearing assets—most notably loans to corporate and retail customers and...
Towa Bank, Ltd. Financial Statement Overview
Summary
Overall financials are pressured by a sharp deterioration in the latest annual period, with profitability swinging to a large net loss and deeply negative operating margins despite strong revenue growth. The balance sheet is serviceable but leverage has recently increased (debt-to-equity ~1.56 in 2026 vs. ~1.34 in 2025). Cash flow was positive in 2026, but multi-year operating/free cash flow volatility and a zero-cash-flow year (2025) reduce confidence in stability.
Income Statement
27NegativeBalance Sheet
58NeutralCash Flow
41Neutral| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 35.46B | 39.13B | 31.14B | 29.88B | 29.49B | 32.88B |
| Gross Profit | 30.54B | 33.68B | 29.75B | 29.74B | 29.34B | 32.67B |
| EBITDA | -35.24B | -26.18B | 8.22B | 5.92B | 6.55B | 4.85B |
| Net Income | -29.38B | -24.46B | 4.52B | 3.53B | 4.09B | 1.75B |
Balance Sheet | ||||||
| Total Assets | 2.42T | 2.42T | 2.38T | 2.41T | 2.39T | 2.57T |
| Cash, Cash Equivalents and Short-Term Investments | 230.46B | 282.49B | 167.71B | 195.49B | 188.35B | 376.58B |
| Total Debt | 108.80B | 140.30B | 121.49B | 120.39B | 115.89B | 292.99B |
| Total Liabilities | 2.33T | 2.33T | 2.29T | 2.29T | 2.27T | 2.44T |
| Stockholders Equity | 85.53B | 90.00B | 90.64B | 118.07B | 117.16B | 124.69B |
Cash Flow | ||||||
| Free Cash Flow | 0 | 5.15B | 0 | -1.61B | -211.22B | 3.50B |
| Operating Cash Flow | 0 | 6.98B | 0 | 941.00M | -209.39B | 5.00B |
| Investing Cash Flow | 0 | 73.12B | 6.16B | 7.42B | 22.39B | -10.91B |
| Financing Cash Flow | 0 | 31.86B | -15.21B | -1.12B | -169.78B | -1.30B |
Towa Bank, Ltd. Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8558, the sentiment is Neutral. The current price of 1313.00 is above the 20-day moving average (MA) of 1289.60, below the 50-day MA of 1418.62, and above the 200-day MA of 1284.63, indicating a neutral trend. The MACD of -48.80 indicates Negative momentum. The RSI at 48.35 is Neutral, neither overbought nor oversold. The STOCH value of 53.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:8558.
Towa Bank, Ltd. Peers Comparison
Overall Rating
JP:855177Outperform
JP:853771Outperform
JP:836467Neutral
JP:854264.5Neutral
JP:833861Neutral- JP:855853Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| JP:8551 | 77Outperform | JPY 55.94B | 11.43 | ― | 8.26% | 17.34% | 27.36% |
| JP:8537 | 71Outperform | JPY 26.47B | 11.80 | ― | 3.72% | 19.65% | -7.81% |
| JP:8364 | 67Neutral | JPY 31.21B | 13.25 | ― | 2.31% | 21.18% | 10.36% |
| JP:8542 | 65Neutral | JPY 19.55B | 9.93 | ― | 2.94% | 8.68% | 23.14% |
| JP:8338 | 61Neutral | JPY 50.26B | 7.05 | ― | 0.74% | 19.41% | 31.79% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| JP:8558 | 53Neutral | JPY 44.81B | -1.94 | ― | 2.67% | 25.34% | -481.28% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| JP:8558 | Towa Bank, Ltd. | 1313.00 | 412.51 | 45.81% | |
| JP:8338 | Tsukuba Bank, Ltd. | 675.00 | 327.87 | 94.45% | |
| JP:8364 | Shimizu Bank, Ltd. | 2812.00 | 821.88 | 41.30% | |
| JP:8537 | Taiko Bank, Ltd. | 2875.00 | 1216.47 | 73.35% | |
| JP:8542 | Tomato Bank, Ltd. | 1703.00 | 333.09 | 24.31% | |
| JP:8551 | Kita-Nippon Bank, Ltd. | 2373.00 | 1046.07 | 78.83% |
Towa Bank, Ltd. Corporate Events
Towa Bank Reports Six-Month Consolidated Results
The Towa Bank, Ltd. is a banking company listed on the Tokyo Stock Exchange. The release does not specify its primary products, services or market focus.For the six months ended September 30, 2026, the bank reported consolidated ordinary income of ¥3...
Towa Bank Raises Six-Month Net Profit Forecast 48%
Towa Bank raised its consolidated six-month net profit forecast by ¥1.2 billion, or 48%, to ¥3.7 billion, while maintaining its ordinary profit forecast at ¥2.5 billion. The nonconsolidated net profit forecast was increased 48.4% to ¥3.71 billion, li...
Towa Bank Reports ¥8.791 Billion Unrealized Securities Loss
Towa Bank is a Japanese banking company listed on the Tokyo Stock Exchange’s Prime Market, providing banking and related financial services to customers in Japan. The release addresses its portfolio of held-to-maturity debt securities, placing the an...
Towa Bank Corrects Disclosure on Executive Pay Reductions
Towa Bank has issued a correction to its previously disclosed consolidated financial results digest for the quarter ended June 30, 2026, clarifying the titles and levels of executive pay reductions. The revisions adjust the nomenclature of top manage...
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 08, 2026