| Valuation method | Value, ¥ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 1820.07 | -27 |
| Intrinsic value (DCF) | 927.00 | -63 |
| Graham-Dodd Method | 2580.60 | 3 |
| Graham Formula | 4070.74 | 63 |
Koryojyuhan Co., Ltd. (3495.T) is a diversified real estate services company headquartered in Mito, Japan. Established in 1981, the company operates across multiple segments of Japan's real estate market, including rental agency services, monthly apartment leasing, trunk room storage solutions, and specialized elderly housing. Koryojyuhan also engages in real estate brokerage, property development, and sales of residential lots. The company enhances its service portfolio with rental management, renovation consulting, and vacant house management, catering to both individual and institutional clients. Additionally, Koryojyuhan has expanded into profitable niches such as real estate fund management, solar power generation facilities, and coin parking operations. With a market capitalization of approximately ¥5.08 billion, the company plays a significant role in Japan's real estate sector, leveraging its local expertise and diversified business model to navigate market fluctuations. Its operations are particularly relevant in addressing Japan's aging population needs and urban housing demands.
Koryojyuhan Co., Ltd. presents a mixed investment profile. The company's diversified real estate services and niche offerings (elderly housing, solar power) provide stability in Japan's evolving property market. With a low beta (0.259), it shows lower volatility than the broader market. However, negative operating cash flow (-¥712 million) and high debt-to-equity ratio (total debt ¥7.17 billion vs. cash ¥2.2 billion) raise liquidity concerns. The diluted EPS of ¥258.56 and dividend yield (assuming current share price) suggest modest profitability. Investors may find value in its specialized housing services amid Japan's demographic trends, but should monitor debt management and cash flow improvement.
Koryojyuhan competes in Japan's fragmented real estate services sector through its multi-service platform and niche specialization. Its competitive advantage lies in: 1) Diversified revenue streams spanning brokerage, leasing, and property management, reducing reliance on any single market segment; 2) Focus on elderly housing solutions, aligning with Japan's aging population needs—a demographic tailwind; 3) Integrated services (e.g., renovation proposals with rental management) that create customer stickiness. However, the company faces scale disadvantages against national giants like Mitsui Fudosan in brokerage and development. Its regional focus (headquartered in Mito) may limit nationwide brand recognition. The solar power and coin parking diversifications provide differentiation but remain small contributors. Koryojyuhan's high debt load could constrain growth compared to better-capitalized peers. Its strength in middle-market residential services helps avoid direct competition with luxury-focused firms, but margin pressures persist from online disruptors in brokerage services.