1925:TSE

Daiwa House Industry Co., Ltd.

Data as of 2026-03-10 - not real-time

¥5,335.00

Latest Price

4/10Risk

Risk Level: Medium

Executive Summary

Daiwa House Industry trades at a **P/E of 10.85**, dramatically lower than the industry average of 33, suggesting a sizable valuation gap. The stock offers a **3.09% dividend yield** with a modest **payout ratio of 31.5%**, indicating dividend sustainability despite a high debt‑to‑equity ratio. Technicals show a **bullish trend direction** but the price sits below the 20‑day SMA (5,504) and the 50‑day SMA (5,389), while the MACD is in a bearish configuration and volume is decreasing, pointing to short‑term weakness. Nonetheless, the **beta of 0.18** and a 30‑day volatility of about 20% imply limited price swings, and the market sentiment is in the “Extreme Greed” zone per the Fear & Greed Index. With support around 5,101, resistance near 5,805, and an upside potential of roughly 10.6%, the stock appears undervalued and positioned for a rebound if fundamentals reassert themselves.
Investors should weigh the strong dividend appeal and attractive valuation against the near‑term technical softness and elevated leverage, but the overall risk profile remains modest, making the stock a compelling candidate for medium‑ to long‑term accumulation.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 6/10

Key Factors

  • Bearish MACD histogram
  • Price below 20‑day SMA
  • Decreasing trading volume

Medium Term

1–3 years
Positive
Model confidence: 8/10

Key Factors

  • Significant valuation discount vs industry
  • Strong dividend yield and low payout ratio
  • Low beta and modest volatility

Long Term

> 3 years
Positive
Model confidence: 9/10

Key Factors

  • Sustainable cash generation despite high debt
  • Strategic position in Japanese real estate development
  • Consistent dividend policy supporting total return

Key Metrics & Analysis

Financial Health

Profit Margin5.69%
P/E Ratio10.8
ROE11.73%
ROA4.64%
Debt/Equity110.95
P/B Ratio1.2
Industry P/E33.0

Technical Analysis

TrendBullish
RSI43.0
Support¥5,101.00
Resistance¥5,805.00
MA 20¥5,504.40
MA 50¥5,389.04
MA 200¥5,211.64
MACDBearish
VolumeDecreasing
Fear & Greed Index76.91

Valuation

Target Price¥5,903.33
Upside/Downside10.65%
GradeUndervalued
TypeValue
Dividend Yield3.09%

Risk Assessment

Beta0.18
Volatility20.28%
Sector RiskMedium
Reg. RiskMedium
Geo RiskLow
Currency RiskLow
Liquidity RiskMedium

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.