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Stock Analysis & ValuationHuman Holdings Co., Ltd. (2415.T)

Professional Stock Screener
Previous Close
¥1,877.00
Sector Valuation Confidence Level
Low
Valuation methodValue, ¥Upside, %
Artificial intelligence (AI)4284.67128
Intrinsic value (DCF)1621.56-14
Graham-Dodd Method2057.2010
Graham Formula3147.7768

Strategic Investment Analysis

Company Overview

Human Holdings Co., Ltd. (2415.T) is a diversified Japanese company operating in human resources, education, nursing care, and IT solutions. Headquartered in Tokyo, the company provides staffing, recruitment, and business outsourcing services, alongside educational programs for various age groups, including vocational training and e-learning. Its nursing care segment offers day services, home-visit care, and facility management, catering to Japan's aging population. Additionally, Human Holdings engages in IT solutions, digital marketing, and even manages professional sports teams like Osaka Evessa (basketball) and Human Academy CREST GAMING (e-sports). Founded in 1985, the company has expanded internationally while maintaining a strong domestic presence. With a market cap of ¥17.3 billion, Human Holdings serves a critical role in Japan's labor and education sectors, benefiting from structural trends such as workforce digitization and elderly care demand.

Investment Summary

Human Holdings presents a niche investment opportunity in Japan's human resources and education sectors, supported by stable demand for staffing and nursing care services. The company's diversified operations mitigate sector-specific risks, while its ¥215.8 billion net income and ¥46.2 billion operating cash flow indicate financial stability. However, Japan's shrinking workforce and regulatory pressures in nursing care could pose long-term challenges. The stock's low beta (0.281) suggests lower volatility, appealing to conservative investors, but growth may be constrained by demographic headwinds. The dividend yield (~2.1% based on ¥145/share) adds income appeal, though capex (¥-729M) indicates moderate reinvestment needs.

Competitive Analysis

Human Holdings competes in fragmented markets where regional expertise and regulatory compliance are critical. In HR services, its strength lies in specialized staffing (e.g., IT outsourcing and RPA), differentiating it from generalist temp agencies. The education segment benefits from vertical integration (e.g., vocational schools and e-learning), though it faces competition from larger players like Benesse. In nursing care, its small-scale facilities align with Japan's preference for community-based care, but labor shortages and pricing pressures persist. The IT segment is less differentiated, competing on cost rather than innovation. Human Holdings' multi-business model provides cross-selling opportunities but risks dilution of focus. Its ownership of sports/esports teams is unique but non-core. Competitively, the firm thrives in mid-market B2B services but lacks the scale to dominate any single sector.

Major Competitors

  • Pasona Group Inc. (2168.T): Pasona is a larger HR services rival (¥156B market cap) with stronger corporate staffing focus. It outperforms Human Holdings in white-collar placements but lacks depth in nursing care or education. Its international footprint (e.g., Asia-Pacific) is broader.
  • Benesse Holdings, Inc. (9735.T): Benesse dominates Japan's education sector (¥242B revenue) with brands like Shinkenzemi. It outscales Human Holdings in e-learning but has no HR or nursing care operations. Its B2C focus contrasts with Human Holdings' B2B tilt.
  • Ichigo Inc. (2337.T): Ichigo is a nursing care and real estate hybrid (¥85B market cap). Its senior housing portfolio competes indirectly with Human Holdings' care facilities, but Ichigo has greater property ownership, reducing operational risks.
  • mixi, Inc. (2121.T): mixi's IT and gaming segment overlaps with Human Holdings' esports/IT solutions. mixi's stronger tech IP (e.g., Monster Strike mobile game) gives it an edge, but it lacks Human Holdings' service diversification.
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