Daiwa House Industry Co., Ltd. (1925.T) stock analysis

In our weekly check, Daiwa House Industry Co., Ltd. is graded C (A to F). Of 24 checks on debt, profit, cash flow and trend: 14 pass, warnings: 6, red flags: 4.

About Daiwa House Industry Co., Ltd.

Daiwa House Industry Co., Ltd. is a Real Estate company (Real Estate - Development) based in Japan, listed on JPX as 1925.T.

What our checks show for 1925.T

Red flags

• Free cash flow is negative (-5.3% of revenue): the business spends more cash than it brings in.
• The stock has fallen as much as 73% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 4 years.
• Pay in shares equals 0% of free cash flow: it dilutes shareholders.

Warning signs

• Net debt is 4x a year of EBITDA (debt/equity 1.19). That limits room in a downturn and raises refinancing risk.
• Operating cash flow is only 0.53x net profit: part of the reported profit does not arrive as cash.
• Analysts expect earnings per share to shrink about 0.7% a year.
• Analysts expect only about 4.8% a year of growth in revenue.
• Analysts expect the net margin to shrink by 1 points from today's 6.3%.
• The net margin is only 6.3%: little room if costs rise.

Strengths

• Operating profit covers interest 14.4 times over.
• The net margin rose by 1.2 points over 5 years, to 6.3%.
• The gross margin is 21.9% and has risen by 2.5 points: pricing power is holding.
• The price is 8 times earnings (P/E), reasonable for its growth.
• A large company: market value $18.18 billion.
• The price moves calmly: 19.2% annual volatility.

Next earnings report: 2026-11-11

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Questions

What grade does Daiwa House Industry Co., Ltd. (1925.T) have?

In our weekly check, Daiwa House Industry Co., Ltd. is graded C (A to F). Of 24 checks on debt, profit, cash flow and trend: 14 pass, warnings: 6, red flags: 4. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of 1925.T stock?

This week's biggest flags for Daiwa House Industry Co., Ltd.: Weak free cash flow, Deep past fall, Slow recovery after falls. In total 10 of 24 checks show a warning or a red flag.

What does Daiwa House Industry Co., Ltd. do?

Daiwa House Industry Co., Ltd. is a Real Estate company (Real Estate - Development) based in Japan, listed on JPX as 1925.T.

When does Daiwa House Industry Co., Ltd. report earnings next?

The next earnings report is expected on 2026-11-11. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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