WATCH Itoki Corporation (7972.T)
Consumer Cyclical · Furnishings, Fixtures & Appliances · JPX · Japan
55
Final Score
-138.0%
Margin of Safety
75
Quality Score
¥2,625
Current Price
¥129.9B
Market Cap
Key Metrics
Pe Ratio
12.77
Forward Pe
15.38
Pb Ratio
2.10
Ev Ebitda
7.41
Roe
17.6%
Gross Margin
42.5%
Operating Margin
9.1%
Net Margin
6.3%
Dividend Yield
337.0%
Debt To Equity
59.52
Current Ratio
1.78
Beta
0.68
📈 Trend Charts
Revenue Trend
EPS Trend
Net Income Trend
Free Cash Flow Trend
Intrinsic Value Estimates
Low
¥882
Base
¥1,103
High
¥1,323
⚠️ Value Trap Flags
- 🚩 {'flag': 'DEBT_OUTPACING_INCOME', 'severity': 'MED', 'evidence': 'Net debt growth (1775.7%) outpacing operating income growth (198.7%)'}
Pipeline Stage Details
Stage A — Hard Filters ✅
Pe Ratio
12.77
Eps Positive Years
4.00
Eps Lookback
4.00
Fcf Positive Years
3.00
Fcf Lookback
4.00
Debt To Equity
0.60
Current Ratio
1.78
Dilution Cagr
0.03
Stage B — Quality Score: 75/100
Stage C — Cyclicality: LOW
Normalized EPS
¥110.29
Stage F — Final Score Breakdown
| Component | Weighted Score |
|---|---|
| Valuation | 3.0 |
| Earnings Quality | 18.8 |
| Balance Sheet | 13.0 |
| Stability | 12.0 |
| Moat Proxies | 7.8 |
Top Drivers
- High quality business (score 75/100): above-average returns on capital and reliable earnings generation.
- Reasonable P/E of 12.8x — below long-run market average (~15-17x), suggesting the stock is not overpriced.
- Solid ROIC of 13.1% — above the 12% threshold, indicating the business creates genuine economic value for shareholders.
- Conservative leverage: D/E ratio of 0.60x is well within Graham's maximum of 1.0x, reducing insolvency risk.
- Low cyclicality: earnings are relatively stable and predictable, making intrinsic value estimates more reliable.
Top Risks
- ⚠️ [MED] Leverage risk: Net debt growth (1775.7%) outpacing operating income growth (198.7%). Growing debt with stagnant income can lead to financial distress.
Financial History
| Year | Revenue | Gross Profit | Operating Income | Net Income | EPS |
|---|---|---|---|---|---|
| 2021 | N/A | N/A | N/A | N/A | ¥25.67 |
| 2022 | ¥123.3B | ¥45.7B | ¥4.6B | ¥5.3B | ¥114.04 |
| 2023 | ¥133.0B | ¥52.2B | ¥8.5B | ¥5.9B | ¥111.28 |
| 2024 | ¥138.5B | ¥55.2B | ¥10.1B | ¥7.2B | ¥N/A |
| 2025 | ¥153.7B | ¥64.8B | ¥13.7B | ¥9.4B | ¥190.17 |
Cash Flow History
| Year | Operating CF | CapEx | Free Cash Flow |
|---|---|---|---|
| 2021 | N/A | N/A | N/A |
| 2022 | ¥5.8B | ¥-4.1B | ¥1.7B |
| 2023 | ¥6.3B | ¥-4.6B | ¥1.8B |
| 2024 | ¥-1.0B | ¥-6.0B | ¥-7.0B |
| 2025 | ¥8.9B | ¥-6.0B | ¥2.9B |