T.O.Holdings CO. LTD. (9812) AI Stock Analysis

0 Followers

T.O.Holdings CO. LTD.

(TSE/TYO:9812)

Select Model

Rating:43Neutral

Price Target:JPY 206.00▼(-3.29% Downside)

Action:reiterated

Date:11/07/26

The score is held down primarily by weak profitability and very high leverage, which increases financial risk despite improving and consistently positive free cash flow. Technicals also lean bearish with the price below key moving averages and negative MACD, although oversold readings offer some counterbalance. Valuation is constrained by a high P/E, partially offset by a very high dividend yield.

Positive Factors

Positive Free Cash FlowConsistently positive free cash flow indicates the business generates cash after investment needs, providing an internally funded resource for operations and capital allocation. The 2026 improvement strengthens this support, although its ability to reduce leverage remains limited.

Negative Factors

Extreme LeverageExtremely high leverage leaves little balance-sheet flexibility and makes the company more sensitive to refinancing conditions and interest costs. A small equity base also reduces the cushion available if earnings weaken, keeping financial risk elevated over the medium term.

T.O.Holdings CO. LTD. (9812) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 1.37B
Dividend Yield: 0.23%
Average Volume (3M): 6,608
Price to Earnings (P/E): 46.9
Beta (1Y): 0.66
Revenue Growth: 2.84%
EPS Growth: ―
Country: Japan
Employees: 440
Sector: General
Sector Strength: 55
Industry: Industrial - Distribution

T.O.Holdings CO. LTD. Business Overview & Revenue Model

Company Description

T.O. Holdings CO.,LTD., through its subsidiaries, engages in the distribution of clothing, furniture, home appliances, household appliances, mobile phone agency, and credit card business in Japan and internationally. It also offers consumer loans; se...

T.O.Holdings CO. LTD. Financial Statement Overview

Summary

Financial performance is pressured by weak profitability and a highly leveraged balance sheet. Revenue has declined over 2021–2024 with only a modest rebound in 2026, and net income is negative in most years with a slightly negative 2026 net margin. Cash flow is the main offset (positive and improving free cash flow), but operating cash flow coverage versus total debt remains modest, leaving balance-sheet risk elevated.

Income Statement

38Negative

Balance Sheet

20Very Negative

Cash Flow

60Neutral

Financial statement breakdown
Breakdown	TTM	May 2026	May 2025	May 2024	May 2023	May 2022
Income Statement
Total Revenue	24.08B	23.54B	24.19B	25.61B	26.49B	27.70B
Gross Profit	5.63B	5.20B	5.34B	5.62B	6.01B	6.01B
EBITDA	800.28M	696.40M	756.88M	878.22M	323.76M	840.40M
Net Income	29.13M	-52.80M	-7.58M	111.53M	-521.64M	-28.26M
Balance Sheet
Total Assets	17.20B	17.66B	17.07B	17.92B	19.60B	20.71B
Cash, Cash Equivalents and Short-Term Investments	818.50M	1.37B	683.49M	474.76M	1.14B	766.51M
Total Debt	10.95B	11.19B	11.53B	11.84B	13.78B	13.91B
Total Liabilities	16.64B	17.13B	16.47B	17.32B	19.13B	19.63B
Stockholders Equity	422.21M	378.45M	461.52M	453.37M	329.88M	913.24M
Cash Flow
Free Cash Flow	1.13B	1.13B	578.84M	421.08M	512.13M	307.58M
Operating Cash Flow	1.80B	1.80B	1.06B	734.64M	873.59M	678.95M
Investing Cash Flow	-702.51M	-702.51M	-471.08M	616.39M	-287.91M	-199.96M
Financing Cash Flow	-416.04M	-416.04M	-382.95M	-2.02B	-189.21M	-532.95M

T.O.Holdings CO. LTD. Technical Analysis

Technical Analysis SentimentNegative

Last Price213.00

Price Trends

50DMA229.04Negative

100DMA230.50Negative

200DMA243.70Negative

Market Momentum

MACD-6.41Negative

RSI45.76Neutral

STOCH66.67Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9812, the sentiment is Negative. The current price of 213.00 is below the 20-day moving average (MA) of 215.25, below the 50-day MA of 229.04, and below the 200-day MA of 243.70, indicating a bearish trend. The MACD of -6.41 indicates Negative momentum. The RSI at 45.76 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:9812.

T.O.Holdings CO. LTD. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:9812 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:5288	75Outperform	JPY 55.95B	7.19	―	4.52%	13.13%	47.97%
JP:1994	72Outperform	JPY 5.00B	6.36	―	3.66%	10.67%	2166.61%
JP:5268	72Outperform	JPY 9.95B	13.59	―	1.85%	14.25%	247.13%
JP:5900	61Neutral	JPY 4.70B	14.23	―	2.47%	11.32%	83.46%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:5269	48Neutral	JPY 19.58B	21.00	―	2.64%	0.13%	―
JP:9812	43Neutral	JPY 1.33B	46.92	―	0.23%	2.84%	―

* General Sector Average

Performance Comparison

JP:9812 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:9812	T.O.Holdings CO. LTD.	213.00	-70.38	-24.84%
JP:1994	Takahashi Curtain Wall Corporation	574.00	77.92	15.71%
JP:5268	Asahi Concrete Works Co., Ltd.	767.00	-188.02	-19.69%
JP:5269	Nippon Concrete Industries Co., Ltd.	341.00	24.42	7.71%
JP:5288	ASIA PILE HOLDINGS Corporation	1461.00	147.34	11.22%
JP:5900	Daiken Co., Ltd.	790.00	-20.67	-2.55%

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: Nov 07, 2026

T.O.Holdings CO. LTD. AI Stock Analysis