Hakuhodo DY Holdings Inc (HKUOY) fair value: what the stock is really worth
As of Oct 22, 2026: fair value (intrinsic value) of Hakuhodo DY Holdings Inc stock $25.73, price $18.77, upside +37.1%, quality 67 out of 100. Rating: undervalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Oct 18, 2026.
How to read this chart
60‑month range $12.38 – $31.29 · fair‑value band $19.22 – $32.25 · the $18.77 price screens below the $25.73 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Oct 18, 2026.
Follow Hakuhodo DY Holdings Inc ADR in your weekly email
Every Wednesday you see whether Hakuhodo DY Holdings Inc ADR is on track or worth a review, plus price against fair value. Free, up to 3 stocks.
We send you a confirmation link. Unsubscribe with one click.
Hakuhodo DY Holdings Inc. provides advertising and marketing services in Japan and internationally. The company offers support in the area of digital marketing, software, media production and operation, and digital transformation.
Show moreShow less
It also provides brand building services; and specializes in business development in the entertainment field, including animated programs and live events. The company was incorporated in 2003 and is headquartered in Tokyo, Japan.
Stock analysis
Hakuhodo DY Holdings Inc (HKUOY) currently trades at $18.77, while our model-based Fair Value estimate is $25.73, implying the stock looks roughly 27.1% undervalued today.
Show more
Valuation
Bull case: the Growth DCF group reads highest at a median of $30.35 per share, and 14 of the 24 models we run sit above the $18.77 price.
Bear case: the Dividend Discount group reads lowest at $4.35, and 10 of the 24 models stay below the price. Data coverage for this calculation is high.
Scenario range: $19.22 (bear) to $32.25 (bull), the price of $18.77 sits below it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 67/100 (solid quality), in the Communication Services sector.
Weak Growth: Revenue is shrinking: the last year, the last three and the last five years are all negative.
Hakuhodo DY Holdings Inc ADR reported revenue of ¥913B in FY2026 versus ¥895B in FY2022, a compound +0.5%/yr. Reported net income was ¥17.8B in FY2026, compounding −24.7%/yr from FY2022.
Key figures
Market cap $3.4B Mid · P/E ratio 32.1 · EPS (TTM) $0.5800 · Dividend yield 2.3% · Net margin 1.9% · Return on equity 4.5% · Return on assets (EBIT) 4.7% · Operating margin 1.7%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 29 out of 100 (medium confidence).
What moves the price
The share trades at its 52-week high and 52% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Communication Services peers we cover trades at 12% fair-value upside, at 37%, HKUOY screens cheaper than that median.
Fair Value models
Bear$19.22Fair Value $25.73Bull$32.25
Price $18.77 · Upside +37.1%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2026 figures (about 7 months old). Earnings retained since then ($0.3273 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.40/100
Revenue is shrinking: the last year, the last three and the last five years are all negative.
Revenue growth 1 year
−4.2%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
−2.7%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
−6.8%
Start year 2021 (pandemic). Over 10 years: −2.8% a year
Revenue growth 21 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
−0.8%
’15
’16
’17
’18
’19
’20
’21
’22
’23
’24
’25
’26
What shareholders gained per year (last 5 years), in JPY ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Measured in JPY: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
−14.0%
Earnings growth per share plus dividend.
Earnings per share, growth per year−16.3%
Dividend (yield on the price)2.3%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.−16.3% vs −3.3%, slowing
Profit margin 2021 to 2026 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.4% → 5%
Pace: the 5-year rate starts in 2021 (pandemic)
⚠ Revenue per share shrinking 1.6%/yr over ~10Y (margins intact) ⓘStructural-decline marker: revenue PER SHARE has fallen over the last decade (robust median trend, not a single year). Backtested across 2005 to 2017, such businesses trailed the market by about 2.5 percentage points per year. Display only: it does not change the fair value or the quality score.
Growth Forecast
Little optimism in the price
The price assumes less growth than the company has delivered so far and less than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
−13.4%
The company could shrink this much every year for the next five years and today's price would still be justified.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+2.3%
Yearly sales growth analysts expect, extended to five years.
After inflation (figures in JPY, Japan: IMF forecast 2.1% a year to 2030, 1.3% from 2016 to 2025) that is about −15.2% a year for the price and +0.2% for the forecasts.
AI conclusion: Limited moat and persistently low margins define the core weakness in this commoditized advertising business, even as acquisitions seek to expand into higher-value consulting and digital services.
Main risk: The acquisitions may mainly add complexity without lifting overall profitability enough, directly hitting margins in the core advertising operations.
Hakuhodo DY is expanding through acquisitions such as Digital Kitchen to strengthen content creation and brand experience offerings. This aligns with its medium-term push into consulting, technology and global digital services beyond traditional advertising. Will these specialist additions generate meaningful new growth, or will they mainly add complexity without lifting overall profitability enough?
Compare Hakuhodo DY Holdings Inc ADR with another stock
Price, fair value, quality and upside side by side.
Free, no sign-up
Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Advertising Agencies · 188 stocks
Beats the industry median on 11/15 measures
Overall it ranks above its industry peers.
Valuation
Quality Score67 · Top 25%
Fair Value upside+37.1% · Above median
Profitability
Return on equity (12 months)4.5% · Above median
Return on assets1.6% · Above median
Net margin (12 months)1.9% · Above median
Operating margin (12 months)1.7% · Below median
Growth and dividend
Revenue growth (quarter YoY)3.8% · Above median
Dividend yield (12 months)2.3% · Below median
Balance sheet
Debt / equity0.24× · Above median
Valuation Multiplesvs Advertising Agencies median · lower = cheaper
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Hakuhodo DY Holdings Inc ADR Fair Value". https://www.fairvalue-calculator.com/stock/HKUOY
Frequently asked questions
Is Hakuhodo DY Holdings Inc (HKUOY) overvalued or undervalued?
As of Oct 18, 2026, our model estimates a fair value of $25.73 versus a price of $18.77, about +37% upside (undervalued).
What is the fair value of HKUOY?
Our model-based fair value for Hakuhodo DY Holdings Inc ADR is $25.73 (as of Oct 18, 2026), built from audited fundamentals. The current price: $18.77.
What is the quality score of HKUOY?
Hakuhodo DY Holdings Inc ADR has a Quality Score of 67/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Hakuhodo DY Holdings Inc (HKUOY)?
Our model-based price target is the fair value of $25.73 (as of Oct 18, 2026) from 24 valuation models. Cautious scenario $19.22, optimistic scenario $32.25. It is a calculation from audited fundamentals, not an analyst target.
What is the Hakuhodo DY Holdings Inc ADR stock forecast for 2026?
Our models put fair value at $25.73, about +37% upside versus a price of $18.77 (undervalued). Cautious scenario $19.22, optimistic scenario $32.25. The calculation is refreshed regularly with new filings.
What is the revenue of Hakuhodo DY Holdings Inc (HKUOY)?
Hakuhodo DY Holdings Inc ADR reported trailing-twelve-month revenue of about ¥867B (latest available figure, as of Oct 18, 2026).
Does Hakuhodo DY Holdings Inc ADR pay a dividend?
Hakuhodo DY Holdings Inc ADR currently shows a dividend yield of 2.34% relative to its recent price (as of Oct 18, 2026).
What growth is priced into Hakuhodo DY Holdings Inc (HKUOY)?
For today's price to be fair in a discounted-cash-flow model, Hakuhodo DY Holdings Inc ADR would have to grow free cash flow by -13.4 % per year for five years (discount rate 9.2 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew -6.8 % per year. As of Oct 18, 2026.
What discount rate (WACC) does the fair value of HKUOY use?
Our models discount Hakuhodo DY Holdings Inc ADR at 9.2 %: a base by market capitalisation (mid), damped by beta 0.79, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Hakuhodo DY Holdings Inc ADR that is -13.4 % per year a year over ten years, using the same discount rate (9.2 %) and the same formula as our fair value.
How much growth has Hakuhodo DY Holdings Inc (HKUOY) delivered so far?
Over the past 5 years revenue at Hakuhodo DY Holdings Inc ADR grew -6.8 % a year. The price currently implies -13.4 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Hakuhodo DY Holdings Inc (HKUOY) growing?
The median revenue growth in the sector is +3.3 % a year. That is the yardstick for the growth priced into Hakuhodo DY Holdings Inc ADR (-13.4 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Hakuhodo DY Holdings Inc (HKUOY)?
The free-cash-flow yield on the price is 13.02 %: that much free cash flow Hakuhodo DY Holdings Inc ADR produces per unit of market value. When it exceeds the discount rate of our models (9.2 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Hakuhodo DY Holdings Inc (HKUOY)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Hakuhodo DY Holdings Inc ADR it is $25.73 per share (as of Oct 18, 2026), against a price of $18.77. It is the blended result of 24 valuation models (cash flow, earnings, asset, dividend).
Is Hakuhodo DY Holdings Inc ADR stock overvalued or undervalued in 2026?
As of Oct 18, 2026, HKUOY trades below its calculated fair value: price $18.77, fair value $25.73, a gap of about +37% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of HKUOY?
No. The price is what the market pays today ($18.77); the fair value is what the company's own numbers justify ($25.73). For Hakuhodo DY Holdings Inc ADR the two are $6.96 per share apart. That gap is exactly why we show both numbers side by side.
How much is Hakuhodo DY Holdings Inc ADR worth?
The market values Hakuhodo DY Holdings Inc ADR at about $3.4B (market capitalisation, as of Oct 18, 2026). Per share that is $18.77; our models calculate a fair value of $25.73 per share.
What do the bullish and bearish scenarios say about HKUOY?
Our models span a range for Hakuhodo DY Holdings Inc ADR: cautious scenario $19.22, base $25.73, optimistic $32.25 per share (as of Oct 18, 2026, price $18.77). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of HKUOY?
Hakuhodo DY Holdings Inc ADR trades at a price-to-earnings ratio of 32.1 (as of Oct 18, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $25.73 is built from several models across several years. Other multiples: PEG 1.1, P/B 1.4, P/S 0.6, EV/EBITDA 5.6.
What is the PEG ratio of HKUOY?
The PEG ratio of Hakuhodo DY Holdings Inc ADR is 1.09 (P/E divided by earnings growth, as of Oct 18, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Hakuhodo DY Holdings Inc (HKUOY)?
Balance-sheet figures for Hakuhodo DY Holdings Inc ADR (as of Oct 18, 2026): return on equity 4.5%, debt of 0.24 per unit of equity. They feed the Quality Score of 67/100, which measures business quality independently of the share price.
How far is HKUOY from its 52-week high?
Hakuhodo DY Holdings Inc ADR trades at $18.77, at its 52-week high of $18.77 and 52% above the low of $12.38 (as of Oct 22, 2026). Distance from the high says nothing about value: that is what the fair value of $25.73 is for.
Which stocks are comparable to Hakuhodo DY Holdings Inc ADR?
From the same area (Communication Services) we also value AppLovin Corporation, Publicis Groupe S.A, Omnicom Group, Focus Media Information Technology Co, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Hakuhodo DY Holdings Inc ADR stock attractive at the current price?
The data as of Oct 18, 2026: price $18.77, calculated fair value $25.73 (+37%), Quality Score 67/100, from 24 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of HKUOY calculated?
We run Hakuhodo DY Holdings Inc ADR through 24 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of $25.73, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.2 % above its aggregate fair value. Hakuhodo DY Holdings Inc ADR currently trades 27 % below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Hakuhodo DY Holdings Inc (HKUOY)?
The closing price on Oct 22, 2026 was $18.77. Our model-based fair value is $25.73, about +37% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Hakuhodo DY Holdings Inc ADR right now?
The price is below even our cautious bear case ($19.22). The market is more pessimistic than our downside scenario. Solid quality (67/100) at a price below fair value, the discount is the argument here, not the business quality.
Where does the earnings growth of Hakuhodo DY Holdings Inc (HKUOY) come from?
Earnings per share at Hakuhodo DY Holdings Inc ADR grew −3.3 % a year from 2015 to 2026. Broken into its drivers: revenue per share −2.5 %, EBIT margin +1.9 %, tax rate −3.0 %, residual (interest, one-offs) +0.3 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Hakuhodo DY Holdings Inc ADR
How large is the market capitalisation of Hakuhodo DY Holdings Inc (HKUOY)?
The market capitalisation of Hakuhodo DY Holdings Inc ADR is $3.4B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What are the earnings per share of Hakuhodo DY Holdings Inc (HKUOY)?
Earnings per share at Hakuhodo DY Holdings Inc ADR are $0.5800 (price ÷ EPS = P/E 32.1). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Hakuhodo DY Holdings Inc (HKUOY)?
The dividend yield of Hakuhodo DY Holdings Inc ADR is 2.3% (payout 75.7%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Hakuhodo DY Holdings Inc (HKUOY)?
The net margin of Hakuhodo DY Holdings Inc ADR is 1.9% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Hakuhodo DY Holdings Inc (HKUOY)?
The return on equity (ROE) of Hakuhodo DY Holdings Inc ADR is 4.5% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Hakuhodo DY Holdings Inc (HKUOY)?
On an EBIT basis the return on assets of Hakuhodo DY Holdings Inc ADR is 4.7% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Hakuhodo DY Holdings Inc (HKUOY)?
The operating margin of Hakuhodo DY Holdings Inc ADR is 1.7% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Hakuhodo DY Holdings Inc (HKUOY)?
Revenue at Hakuhodo DY Holdings Inc ADR is growing +3.8% versus a year earlier (3y avg −2.7%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Hakuhodo DY Holdings Inc (HKUOY)?
Earnings per share at Hakuhodo DY Holdings Inc ADR are growing −37.7% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net cash does Hakuhodo DY Holdings Inc (HKUOY) hold?
Hakuhodo DY Holdings Inc ADR holds more cash than debt, ¥114B net (fiscal year 2026). The company holds more cash than debt, a safety cushion.
Free · no account needed
Watch Hakuhodo DY Holdings Inc ADR in the live analysis
One click puts Hakuhodo DY Holdings Inc ADR on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 28,000+ stock screener.
Broad data
Oct 18, 2026