Kyoto Hotel, Ltd. (9723) AI Stock Analysis

• Market Cap: ¥7.76B
• Dividend Yield: 0.47%
• Average Volume (3M): 3.56K
• Price to Earnings (P/E): 10.1
• Beta (1Y): 0.25
• Revenue Growth: 4.02%
• EPS Growth: -9.38%
• Country: JP
• Employees: 427
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Travel Lodging
• EPS (TTM): -8.99
• Shares Outstanding: 12,065,400
• 10 Day Avg. Volume: 4,510
• 30 Day Avg. Volume: 3,556
• PEG Ratio: -0.81
• Price to Book (P/B): 3.22
• Price to Sales (P/S): 0.91
• P/FCF Ratio: 7.10
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: ¥701.00 ▲(10.92% Upside)

Kyoto Hotel, Ltd. demonstrates strong financial performance with impressive revenue growth and profitability, though high leverage remains a concern. The technical indicators suggest stable market conditions, with a slight bullish trend. The stock's valuation is attractive, with a low P/E ratio indicating potential undervaluation.

Kyoto Hotel, Ltd. Business Overview & Revenue Model

Company Description

The Kyoto Hotel, Ltd. operates accommodation, banquet, restaurant, and other facilitates in Japan. It operates hotels under the Karasuma Kyoto Hotel and Kyoto Hotel Okura names. The Kyoto Hotel, Ltd. was incorporated in 1927 and is headquartered in Kyoto, Japan.

How the Company Makes Money

Kyoto Hotel, Ltd. generates revenue primarily through room bookings, food and beverage sales, and event hosting services. The company earns money from the accommodation sector by attracting guests to its various hotel properties, which charge nightly rates. Additionally, revenue is supplemented through the on-site restaurants and bars, which provide dining options for both hotel guests and local patrons. The hotel also hosts conferences, weddings, and other events, creating another significant revenue stream. Partnerships with travel agencies and online booking platforms further enhance its visibility and customer reach, contributing to increased occupancy rates and overall profitability.

Kyoto Hotel, Ltd. Financial Statement Overview

Summary

Kyoto Hotel, Ltd. shows strong revenue growth and profitability metrics, with a notable revenue increase and impressive gross profit margin. However, high leverage and a decrease in net profit margin pose risks, despite effective cash flow management.

Income Statement

Kyoto Hotel, Ltd. has shown a strong recovery in revenue over recent years, with a notable revenue growth from 2022 to 2023 of 72.3%, and further growth in 2024 of 24.3%. The gross profit margin is impressive at approximately 77.7% in 2025, indicating efficient cost management. However, the net profit margin decreased from 9.8% in 2024 to 8.2% in 2025, suggesting pressures on net profitability. The EBIT and EBITDA margins remain healthy, supporting overall profitability.

Balance Sheet

The company's debt-to-equity ratio has improved, but it remains high at approximately 4.6 in 2025, indicating a significant reliance on debt financing. Return on equity improved to 29% in 2025, showing better utilization of equity. The equity ratio of 16% highlights a relatively low proportion of equity in the capital structure, which could pose risks in volatile markets.

Cash Flow

Kyoto Hotel, Ltd. demonstrates robust cash flow management, with a significant operating cash flow that supports its net income. The free cash flow to net income ratio improved significantly in 2025, indicating strong cash generation capabilities. The free cash flow growth rate was negative in 2025, but the company effectively manages capital expenditures to maintain positive free cash flow.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.36B	9.14B	7.35B	4.27B	3.85B
Gross Profit	7.28B	7.02B	6.07B	3.46B	3.16B
EBITDA	1.53B	1.67B	990.04M	316.47M	-917.48M
Net Income	771.54M	894.63M	62.22M	-652.00M	-1.97B
Balance Sheet
Total Assets	16.63B	16.45B	16.08B	16.34B	17.08B
Cash, Cash Equivalents and Short-Term Investments	3.48B	2.97B	2.31B	2.23B	1.95B
Total Debt	12.25B	12.79B	13.15B	13.70B	14.59B
Total Liabilities	13.97B	14.46B	14.98B	15.29B	16.38B
Stockholders Equity	2.66B	1.99B	1.09B	1.05B	704.32M
Cash Flow
Free Cash Flow	1.20B	1.33B	809.15M	-467.43M	-1.56B
Operating Cash Flow	1.26B	1.50B	885.49M	-403.85M	-1.44B
Investing Cash Flow	-51.59M	-169.11M	-76.60M	453.19M	2.38M
Financing Cash Flow	-700.52M	-660.81M	-729.73M	222.32M	691.33M

Kyoto Hotel, Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 632.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9723, the sentiment is Negative. The current price of 632 is below the 20-day moving average (MA) of 638.10, below the 50-day MA of 637.30, and below the 200-day MA of 663.83, indicating a bearish trend. The MACD of 1.31 indicates Negative momentum. The RSI at 45.71 is Neutral, neither overbought nor oversold. The STOCH value of 55.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9723.

Kyoto Hotel, Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6565	80 Outperform	¥24.27B	8.54	―	1.14%	12.08%	17.87%
4691	75 Outperform	¥18.58B	6.96	―	1.28%	20.01%	290.10%
9723	69 Neutral	¥7.76B	10.12	―	0.47%	4.02%	-9.38%
9713	63 Neutral	¥15.26B	6.44	―	0.50%	28.56%	213.63%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
9720	56 Neutral	¥7.91B	23.72	―	0.38%	10.52%	-31.01%
9704	49 Neutral	¥14.98B	61.11	6.59%	―	17.45%	664.98%