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Morito Co., Ltd. (9837) AI Stock Analysis

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JP:9837

Morito Co., Ltd.

(TSE/TYO:9837)

Select Model
Rating:64Neutral
Price Target:JPY 1,891.00▲(4.13% Upside)
Action:downgraded
Date:11/07/26

The score is driven primarily by solid financial performance (improving profitability and very low leverage), partially offset by weaker technicals (price below major moving averages and negative MACD). Valuation is supportive mainly due to the strong dividend yield, though the P/E remains moderate.

Positive Factors
Revenue RecoveryThe return to clear revenue growth indicates renewed demand and improved commercial momentum across Morito’s apparel and industrial materials activities. If sustained, a larger revenue base can support operating leverage, strengthen customer relationships, and provide resources for continued investment.
Negative Factors
Cash-Flow VolatilityLower operating and free cash flow shows that accounting profitability is not converting as consistently into cash as it did previously. Continued volatility could constrain internally funded expansion and shareholder distributions, while increasing the importance of working-capital management.

Morito Co., Ltd. (9837) vs. iShares MSCI Japan ETF (EWJ)

-5%0%5%10%15%20%25%30%JP:9837+13.93%EWJ+15.75%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 45.08B
Dividend Yield
4.02%
Average Volume (3M)
60.44K
Price to Earnings (P/E)
20.1
Beta (1Y)
0.59
Revenue Growth
22.56%
EPS Growth
-35.35%
Country
Japan
Employees
1,708
Sector
Consumer Cyclical
Sector Strength
61
Industry
Apparel - Footwear & Accessories

Morito Co., Ltd. Business Overview & Revenue Model

Company Description

Morito Co., Ltd. engages in the manufacture and sale of apparel-related materials and household goods and products in Japan, Asia, Europe, and the United States. It provides eyelets, snap fasteners, buckles, tape, and shoe uppers, casual wear, sports...

Morito Co., Ltd. Financial Statement Overview

Summary

Strong and conservatively financed overall profile. Revenue grew to ¥56.9B in 2025 (+6.3% YoY) with clear multi-year margin improvement (gross margin ~29.6%, operating margin ~7.5%). Balance sheet leverage is very low (debt-to-equity ~0.07) with improving ROE (~7.3%). Main constraint is cash-flow variability: free cash flow fell to ~¥2.1B from ~¥4.1B and operating cash flow declined to ~¥3.0B from ~¥4.6B, indicating weaker cash conversion vs. last year.

Income Statement

74Positive

Balance Sheet

86Very Positive

Cash Flow

63Positive
Financial statement breakdown
BreakdownTTMNov 2025Nov 2024Nov 2023Nov 2022Nov 2020
Income Statement
Total Revenue65.58B56.87B48.54B48.53B48.48B40.73B
Gross Profit19.93B16.46B13.63B12.74B11.94B10.00B
EBITDA4.37B5.67B5.16B4.50B3.88B2.02B
Net Income2.27B2.92B2.57B2.22B1.67B470.10M
Balance Sheet
Total Assets56.29B55.76B52.77B51.75B50.57B44.01B
Cash, Cash Equivalents and Short-Term Investments10.13B9.40B15.46B13.01B10.40B10.13B
Total Debt2.74B2.93B1.37B1.69B3.07B3.19B
Total Liabilities15.89B15.93B13.50B13.30B13.89B12.00B
Stockholders Equity40.40B39.83B39.28B38.46B36.68B32.02B
Cash Flow
Free Cash Flow2.14B2.14B4.10B3.91B333.63M2.21B
Operating Cash Flow2.99B2.99B4.62B4.40B850.63M2.46B
Investing Cash Flow-5.02B-5.02B638.66M77.81M-135.11M-16.76M
Financing Cash Flow-4.14B-4.14B-2.68B-1.98B-1.92B-1.88B

Morito Co., Ltd. Technical Analysis

Technical Analysis SentimentPositive
Last Price1816.00

Price Trends

50DMA1808.56Positive
100DMA1803.06Positive
200DMA1829.15Negative

Market Momentum

MACD-3.22Positive
RSI51.57Neutral
STOCH54.67Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9837, the sentiment is Positive. The current price of 1816.00 is above the 20-day moving average (MA) of 1812.65, above the 50-day MA of 1808.56, and below the 200-day MA of 1829.15, indicating a neutral trend. The MACD of -3.22 indicates Positive momentum. The RSI at 51.57 is Neutral, neither overbought nor oversold. The STOCH value of 54.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9837.

Morito Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

JP:9837 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:2726JP:272681OutperformJPY 277.96B14.55―2.66%7.11%57.75%
JP:7606JP:760673OutperformJPY 70.40B10.70―3.87%6.76%91.48%
JP:8227JP:822771OutperformJPY 752.70B15.869.11%2.20%5.20%11.08%
JP:2792JP:279267NeutralJPY 39.32B16.07―3.93%-3.56%-29.47%
JP:9837JP:983764NeutralJPY 42.29B20.12―4.02%22.56%-35.35%
Sector *61Neutral$18.38B12.79-2.54%3.03%1.52%-15.83%
JP:3548JP:354838UnderperformJPY 17.50B-15.56―7.72%-9.23%47.73%

* Consumer Cyclical Sector Average

Performance Comparison

-20%0%20%JP:9837JP:8227JP:2726JP:2792JP:3548JP:7606Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:9837 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:9837Morito Co., Ltd.1816.00217.1913.58%
JP:8227SHIMAMURA Co 3412.00-94.07-2.68%
JP:2726PAL GROUP Holdings Co., Ltd.1501.00-529.46-26.08%
JP:2792HONEYS HOLDINGS CO. LTD.1401.00-59.76-4.09%
JP:3548BAROQUE JAPAN LIMITED492.00-229.66-31.82%
JP:7606UNITED ARROWS LTD.2610.00533.0425.66%

Morito Co., Ltd. Corporate Events

Morito Repurchases 83,400 Treasury Shares for ¥151.5 Million

Nov 5, 2026

Morito Co., Ltd. is a Japan-based company listed on the Tokyo Stock Exchange Prime Market. The release does not specify its industry or primary products and services.The company repurchased 83,400 common shares on the Tokyo Stock Exchange during Octo...

Morito Upgrades Full-Year Earnings Forecast on Steady Business and Efficiency Gains

Oct 14, 2026

Morito Co., Ltd. announced a revision to its consolidated financial forecast for the fiscal year ending November 30, 2026, raising expectations for net sales and all major profit metrics. The company now projects net sales of 66 billion yen and profi...

Morito Raises Forecast as Record Profits Support Progressive Dividend Shift

Oct 14, 2026

Morito Co., Ltd. reported that net sales, operating profit, and ordinary profit reached new all-time highs since the start of quarterly disclosures, with the gross profit ratio holding in the 30% range. Management revised its consolidated earnings fo...

Morito Sees Strong Sales Growth but Lower EPS, Affirms Dividend Outlook

Oct 14, 2026

Morito reported robust nine‑month net sales of ¥49.3 billion, up 21.5% year on year, with operating profit rising 22.7% and ordinary profit 17.7%, although profit attributable to owners of parent fell 21.6% as last year’s figure was boosted by finali...

Morito Advances Share Buyback Program with September Treasury Stock Purchases

Oct 5, 2026

Morito Co., Ltd. has repurchased 20,900 shares of its common stock for a total of ¥37.6 million through market purchases on the Tokyo Stock Exchange between September 1 and September 30, 2026. This transaction is part of a previously authorized share...

Morito Advances Share Buyback Under Board-Approved Repurchase Program

Sep 3, 2026

Morito Co., Ltd. has disclosed the repurchase of 17,400 shares of its common stock for a total of ¥31.73 million through market purchases on the Tokyo Stock Exchange between August 1 and August 31, 2026. This transaction forms part of a broader buyba...

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