Zensho Holdings Co., Ltd.

TSE:7550 Stock Report

Market Cap: JP¥1.5t

Zensho Holdings Valuation

Is 7550 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 7550 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 7550 (¥9294) is trading below our estimate of fair value (¥15027.13)

Significantly Below Fair Value: 7550 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 7550?

Key metric: As 7550 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 7550. This is calculated by dividing 7550's market cap by their current earnings.
What is 7550's PE Ratio?
PE Ratio38.1x
EarningsJP¥38.23b
Market CapJP¥1.46t

Price to Earnings Ratio vs Peers

How does 7550's PE Ratio compare to its peers?

The above table shows the PE ratio for 7550 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average43.7x
2702 McDonald's Holdings Company (Japan)
27.9x8.4%JP¥817.7b
3197 Skylark Holdings
47.6x10.7%JP¥509.7b
3397 TORIDOLL Holdings
74.8x37.1%JP¥310.5b
3563 Food & Life Companies
24.5x10.6%JP¥358.5b
7550 Zensho Holdings
38.1x18.2%JP¥1.5t

Price-To-Earnings vs Peers: 7550 is good value based on its Price-To-Earnings Ratio (38.1x) compared to the peer average (43.7x).

Price to Earnings Ratio vs Industry

How does 7550's PE Ratio compare vs other companies in the JP Hospitality Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
7625 Global-Dining
3.8xn/aUS$24.14m
5534 Angel Group
2.9xn/aUS$22.19m
No more companies available in this PE range
7550 38.1xIndustry Avg. 21.6xNo. of Companies19PE01632486480+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 7550 is expensive based on its Price-To-Earnings Ratio (38.1x) compared to the JP Hospitality industry average (21.6x).

Price to Earnings Ratio vs Fair Ratio

What is 7550's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

7550 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio38.1x
Fair PE Ratio36.9x

Price-To-Earnings vs Fair Ratio: 7550 is expensive based on its Price-To-Earnings Ratio (38.1x) compared to the estimated Fair Price-To-Earnings Ratio (36.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 7550 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥9,294.00
JP¥9,500.00
+2.2%
13.8%JP¥11,000.00JP¥7,800.00n/a3
Nov ’25JP¥7,514.00
JP¥8,266.67
+10.0%
4.5%JP¥8,700.00JP¥7,800.00n/a3
Oct ’25JP¥8,086.00
JP¥8,266.67
+2.2%
4.5%JP¥8,700.00JP¥7,800.00n/a3
Sep ’25JP¥7,602.00
JP¥8,266.67
+8.7%
4.5%JP¥8,700.00JP¥7,800.00n/a3
Aug ’25JP¥6,061.00
JP¥7,933.33
+30.9%
1.2%JP¥8,000.00JP¥7,800.00n/a3
Jul ’25JP¥6,065.00
JP¥7,933.33
+30.8%
1.2%JP¥8,000.00JP¥7,800.00n/a3
Jun ’25JP¥6,161.00
JP¥7,933.33
+28.8%
1.2%JP¥8,000.00JP¥7,800.00n/a3
May ’25JP¥6,065.00
JP¥7,633.33
+25.9%
3.1%JP¥7,800.00JP¥7,300.00n/a3
Apr ’25JP¥6,673.00
JP¥7,633.33
+14.4%
3.1%JP¥7,800.00JP¥7,300.00n/a3
Mar ’25JP¥6,544.00
JP¥7,666.67
+17.2%
3.4%JP¥7,900.00JP¥7,300.00n/a3
Feb ’25JP¥7,213.00
JP¥8,233.33
+14.1%
6.6%JP¥9,000.00JP¥7,800.00n/a3
Jan ’25JP¥7,389.00
JP¥8,450.00
+14.4%
6.5%JP¥9,000.00JP¥7,900.00n/a2
Dec ’24JP¥8,046.00
JP¥7,300.00
-9.3%
23.1%JP¥9,000.00JP¥5,000.00n/a3
Nov ’24JP¥8,156.00
JP¥6,500.00
-20.3%
18.2%JP¥7,900.00JP¥5,000.00JP¥7,514.003
Oct ’24JP¥6,498.00
JP¥6,500.00
+0.03%
18.2%JP¥7,900.00JP¥5,000.00JP¥8,086.003
Sep ’24JP¥6,874.00
JP¥6,500.00
-5.4%
18.2%JP¥7,900.00JP¥5,000.00JP¥7,602.003
Aug ’24JP¥7,632.00
JP¥5,333.33
-30.1%
14.7%JP¥6,200.00JP¥4,300.00JP¥6,061.003
Jul ’24JP¥6,401.00
JP¥5,333.33
-16.7%
14.7%JP¥6,200.00JP¥4,300.00JP¥6,065.003
Jun ’24JP¥5,830.00
JP¥5,333.33
-8.5%
14.7%JP¥6,200.00JP¥4,300.00JP¥6,161.003
May ’24JP¥4,320.00
JP¥3,750.00
-13.2%
6.7%JP¥4,000.00JP¥3,500.00JP¥6,065.002
Apr ’24JP¥3,925.00
JP¥3,733.33
-4.9%
5.5%JP¥4,000.00JP¥3,500.00JP¥6,673.003
Mar ’24JP¥3,820.00
JP¥3,400.00
-11.0%
8.7%JP¥3,700.00JP¥3,000.00JP¥6,544.003
Feb ’24JP¥3,305.00
JP¥3,200.00
-3.2%
11.1%JP¥3,700.00JP¥2,900.00JP¥7,213.003
Jan ’24JP¥3,310.00
JP¥3,200.00
-3.3%
11.1%JP¥3,700.00JP¥2,900.00JP¥7,389.003
Dec ’23JP¥3,450.00
JP¥3,200.00
-7.2%
11.1%JP¥3,700.00JP¥2,900.00JP¥8,046.003
Nov ’23JP¥3,675.00
JP¥3,433.33
-6.6%
6.0%JP¥3,700.00JP¥3,200.00JP¥8,156.003

Analyst Forecast: Target price is less than 20% higher than the current share price.

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y