Ichigo (TSE:2337): Reviewing Valuation After Strong November 2025 Power Generation Beats Forecasts

Ichigo (TSE:2337) just posted stronger than expected November 2025 power generation, with output rising year on year and topping internal forecasts, giving investors fresh data on its clean energy engine.

See our latest analysis for Ichigo.

The November beat slots into a mixed year for the stock, with an 8.53% year to date share price return and an 11.75% one year total shareholder return signalling steady, if not explosive, momentum as investors reassess Ichigo’s clean energy upside alongside its broader real estate exposure.

If this has you thinking about where else the market might be waking up to structural growth stories, it could be a good moment to explore fast growing stocks with high insider ownership

But with the shares already up this year and trading only slightly below analyst targets, is Ichigo still flying under the radar, or is the market already baking in its next leg of clean energy driven growth?

Most Popular Narrative Narrative: 3.1% Undervalued

With Ichigo last closing at ¥407 against a narrative fair value of ¥420, the story leans toward modest upside rather than a heroic rerating.

The analysts have a consensus price target of ¥470.0 for Ichigo based on their expectations of its future earnings growth, profit margins and other risk factors. However, there is a degree of disagreement amongst analysts, with the most bullish reporting a price target of ¥570.0, and the most bearish reporting a price target of just ¥410.0.

Read the complete narrative.

Curious why steady revenue growth, slightly thinner margins, and shrinking share count still add up to upside potential? The narrative leans on a bolder future earnings multiple than the wider real estate sector. Would you like to see how those moving parts combine to justify today’s calculated fair value?

Result: Fair Value of ¥420 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, higher interest costs and ongoing clean energy underperformance could quickly erode margins and force a rethink of how much growth the market is pricing in.

Find out about the key risks to this Ichigo narrative.

Another View: Cash Flows Tell A Different Story

While the narrative fair value suggests modest upside, our DCF model is more cautious, putting Ichigo’s fair value nearer ¥385 versus today’s ¥407. That implies the shares may already be a bit ahead of their cash flow fundamentals, so which signal should investors trust?

Look into how the SWS DCF model arrives at its fair value.

Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Ichigo for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 905 undervalued stocks based on their cash flows. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.

Build Your Own Ichigo Narrative

If you see the story differently, or would rather dig into the numbers yourself, you can build a personalised view in minutes: Do it your way

A great starting point for your Ichigo research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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