- Aeon’s operating income for Q2 is 61.85 billion yen, surpassing the estimate of 60.05 billion yen.
- The company’s net income stands at 10.62 billion yen.
- Net sales reached 2.62 trillion yen, slightly above the estimated 2.6 trillion yen.
First Half Results by Segment:
- Supermarket: 12.93 billion yen operating profit.
- Health & Wellness: 22.71 billion yen operating profit.
- Financial Services: 26.97 billion yen operating profit.
- Shopping Center Development: 32.89 billion yen operating profit.
- Services & Specialty Store: 16.84 billion yen operating profit.
2026 Year Forecast:
- Net income expectation is 40.00 billion yen, below the estimate of 49.1 billion yen.
- Operating income is projected at 270.00 billion yen, slightly under the estimate of 271.31 billion yen.
- Net sales forecasted at 10.50 trillion yen, just under the estimate of 10.53 trillion yen.
Market Sentiment:
- Analyst ratings include 1 buy, 6 holds, and 3 sells.
Aeon Co Ltd on Smartkarma
Analysts on Smartkarma are closely monitoring Aeon Co Ltd, with Michael Causton offering a bullish outlook in his report “Aeon Restructuring as Seven & I Flounders.” Aeon, Japan’s top retail group, is undergoing strategic reforms focused on enhancing customer experience and operational efficiency. This comes as rival Seven & I faces challenges in maintaining market share, potentially paving the way for improved margins for Aeon.
Manishi Raychaudhuri, another analyst on Smartkarma, presents a bearish view in his analysis “Asian Equities: Overvalued, Over-Leveraged, Low Growth β a Different Look.” Raychaudhuri identifies overvalued and over-leveraged stocks, with a particular emphasis on EBITDA growth and EV valuation parameters. By screening 30 stocks, mainly from Japan and Hong Kong/China, Raychaudhuri highlights concerns about low growth potential in certain equities.
A look at Aeon Co Ltd Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Aeon Co Ltd shows a promising long-term outlook with a strong momentum score of 5, indicating a positive trend in the company’s performance. This suggests that Aeon Co Ltd has been steadily building momentum and could potentially continue to outperform in the future.
While the value, dividend, and resilience scores for Aeon Co Ltd are more moderate, the growth score of 3 reflects a company that is positioned for future expansion. With a diverse business portfolio that includes general merchandise stores, supermarkets, convenience stores, and clothing retail, Aeon Co Ltd is well-positioned to drive growth in various sectors.
Summary: AEON CO., LTD. operates general merchandise stores, supermarkets, and convenience stores throughout Japan. The company also has a presence in the women’s and casual clothing store business, property development, and financing services through its subsidiaries.
Disclaimer: This article by Smartkarma is general in nature and 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. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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