AVANTIA CO., LTD. (8904) AI Stock Analysis

Top Page

AVANTIA CO., LTD.

(TSE/TYO:8904)

Select Model

Rating:61Neutral

Price Target:JPY 874.00▲(6.20% Upside)

Action:reiterated

Date:10/14/26

Financial performance is the largest factor, reflecting balance sheet gains offset by cash flow volatility. Attractive valuation provides meaningful support, while technicals show only neutral momentum.

Positive Factors

Revenue ScaleRevenue has expanded substantially over the cycle, indicating the company has increased its housing-business scale. Although growth has not been linear, the larger revenue base can support operating leverage, broader market activity, and stronger earnings potential when residential demand and execution are favorable.

Negative Factors

Unreliable Cash GenerationRepeated negative operating cash flow and negative free cash flow weaken the quality of reported earnings and make internally generated funding less dependable. Volatile cash conversion can increase reliance on financing, constrain investment flexibility, and amplify liquidity pressure during housing downturns.

AVANTIA CO., LTD. (8904) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 11.93B
Dividend Yield: 4.62%
Average Volume (3M): 17.27K
Price to Earnings (P/E): 8.4
Beta (1Y): 0.24
Revenue Growth: -2.00%
EPS Growth: 122.56%
Country: Japan
Employees: 575
Sector: General
Sector Strength: 55
Industry: Residential Construction

AVANTIA CO., LTD. Business Overview & Revenue Model

Company Description

Avantia Co., Ltd. engages in the housing business in Japan. It is involved in the construction and sales of detached houses; planning, buying, and selling condominiums and commercial real estates; contracting of architectural work, civil engineering...

How the Company Makes Money

The company earns revenue primarily through the sale of residential properties and related real estate transactions tied to its housing business (e.g., revenues recognized when homes or housing units are delivered/handed over to customers). Additiona...

AVANTIA CO., LTD. Financial Statement Overview

Summary

Balance sheet shows improvement with reduced leverage, but inconsistent revenue growth, thin margins, and volatile cash flows weigh on the score.

Income Statement

63Positive

Balance Sheet

68Positive

Cash Flow

38Negative

Financial statement breakdown
Breakdown	TTM	Aug 2026	Aug 2025	Aug 2024	Aug 2023	Aug 2022
Income Statement
Total Revenue	67.89B	67.89B	69.27B	71.02B	58.16B	58.75B
Gross Profit	9.59B	9.92B	9.12B	8.42B	8.75B	8.89B
EBITDA	2.51B	2.57B	1.84B	1.38B	2.37B	2.82B
Net Income	1.42B	1.42B	639.45M	589.11M	1.23B	1.87B
Balance Sheet
Total Assets	72.18B	72.18B	71.23B	67.49B	71.00B	60.77B
Cash, Cash Equivalents and Short-Term Investments	14.57B	14.57B	18.28B	14.13B	13.10B	13.79B
Total Debt	37.27B	37.27B	37.32B	33.62B	36.22B	27.45B
Total Liabilities	43.21B	43.21B	43.21B	39.74B	43.38B	33.88B
Stockholders Equity	28.97B	28.97B	28.02B	27.75B	27.62B	26.89B
Cash Flow
Free Cash Flow	1.08B	-2.20B	921.94M	3.65B	-4.23B	-6.19B
Operating Cash Flow	1.15B	-1.24B	4.33B	3.87B	-4.13B	-6.10B
Investing Cash Flow	-230.76M	-1.01B	-3.39B	286.48M	-708.64M	-189.20M
Financing Cash Flow	352.87M	-356.18M	3.16B	-3.16B	4.24B	7.20B

AVANTIA CO., LTD. Technical Analysis

Technical Analysis SentimentNegative

Last Price823.00

Price Trends

50DMA829.03Negative

100DMA825.95Negative

200DMA823.28Negative

Market Momentum

MACD-0.59Positive

RSI46.59Neutral

STOCH10.32Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8904, the sentiment is Negative. The current price of 823.00 is below the 20-day moving average (MA) of 826.30, below the 50-day MA of 829.03, and below the 200-day MA of 823.28, indicating a bearish trend. The MACD of -0.59 indicates Positive momentum. The RSI at 46.59 is Neutral, neither overbought nor oversold. The STOCH value of 10.32 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:8904.

AVANTIA CO., LTD. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:8904 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:8917	69Neutral	JPY 14.24B	8.99	―	4.20%	-3.83%	-39.85%
JP:1430	62Neutral	JPY 12.83B	7.04	―	4.38%	-15.70%	17.12%
JP:8904	61Neutral	JPY 11.72B	8.37	―	4.62%	-2.00%	122.56%
JP:1420	58Neutral	JPY 7.70B	9.56	―	3.97%	-5.27%	-42.46%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:1873	45Neutral	JPY 12.48B	8.32	―	4.17%	-6.58%	325.85%
JP:1419	42Neutral	JPY 77.66B	107.16	―	4.72%	1.61%	-39.34%

* General Sector Average

Performance Comparison

JP:8904 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:8904	AVANTIA CO., LTD.	823.00	37.47	4.77%
JP:1419	Tama Home Co., Ltd.	2650.00	-841.20	-24.09%
JP:1420	Sanyo Homes Corp.	630.00	-43.11	-6.40%
JP:1430	First-corporation Inc.	1096.00	206.07	23.16%
JP:1873	NIHON HOUSE HOLDINGS Co., Ltd.	312.00	26.97	9.46%
JP:8917	First Juken Co., Ltd.	1025.00	-46.76	-4.36%

AVANTIA CO., LTD. Corporate Events

Avantia Boosts Profit Despite Lower Sales, Maintains Dividend as Cash Levels Fall

Oct 13, 2026

Avantia reported consolidated net sales of ¥67.89 billion for the year ended August 31, 2026, down 2.0% year on year, but operating profit surged 52.9% to ¥2.01 billion and profit attributable to owners of parent more than doubled to ¥...

Avantia Swings Back to Profit and Lifts Outlook While Keeping Dividend Stable

Jul 14, 2026

Avantia reported consolidated net sales of ¥41.0 billion for the nine months to May 31, 2026, down 5.7% year on year, but operating profit surged to ¥408 million and profit attributable to owners of parent reached ¥350 million. This ma...

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 14, 2026

AVANTIA CO., LTD. AI Stock Analysis