Transferring Coverage of Japanese Beauty Companies Shiseido and Kosé; Moats Downgraded to None
We transfer coverage of Shiseido and Kosé, Japan's two largest beauty companies, whose portfolios span premium skincare and color cosmetics.
Kose Holdings Corp 4922
Bulls Say, Bears Say
Bulls
Increasing polarization of consumer spending on cosmetics in Japan suggests demand for prestige cosmetics should stay resilient regardless of economic uncertainty, allowing Decorté and Albion to accelerate share gains.
Bears
Chinese consumers’ downtrading and increased local competition will cap sales growth, weaken Decorté and Albion’s brand equity, increase reliance on promotions, and hinder margin expansion.
Trading Information
- Previous Close Price
- ¥5,891.00
- Day Range
- ¥5,848.00–6,033.00
- 52-Week Range
- ¥4,910.00–6,500.00
- Bid/Ask
- ¥5,885.00 / ¥5,900.00
- Shares Outstanding
- 56.75M
- Market Cap
- ¥334.77B
- Volume/Avg
- 331,600 / 312,355
Key Statistics
- Price/Earnings (Normalized)
- 36.48
- Price/Sales
- 1.00
- Dividend Yield (Trailing)
- 2.37%
- Dividend Yield (Forward)
- 2.37%
- Dividend Payment Schedule
- Mar, Sep
- Total Yield
- 3.41%
Company Profile
Kose is Japan’s second-largest beauty company, best known for its prestige skincare brands such as Decorte and Albion. Founded in 1946, the company remains under the management of the Kobayashi family. Albion, a fully consolidated subsidiary in which Kose holds a 79.5% stake, operates independently under a separate brand of the Kobayashi family. With a portfolio of 37 brands spanning multiple price points, the group captured approximately 15% of Japan’s premium beauty segment in 2024, according to Euromonitor. Japan remains its core market, contributing over 60% of sales, followed by North America (19%) and Asia (13%). The company distributes its products through a diversified channel mix of department stores, specialty retailers, drugstores, travel retail, and e-commerce platforms.
- Sector
- Consumer Defensive
- Industry
- Household & Personal Products
- Stock Style Box
- Mid Core
- Total Number of Employees
- 13,135
- Website
- https://corp.kose.co.jp
Competitors
Valuation
|
Metric
|
4922
|
4911
|
EL
|
|---|---|---|---|
Price/Earnings (Normalized) | 36.48 | 36.38 | 42.92 |
Price/Book Value | 1.18 | 2.24 | 10.24 |
Price/Sales | 1.00 | 1.43 | 2.61 |
Price/Cash Flow | 12.70 | 11.99 | 33.22 |
Price/Earnings
4922
4911
EL
Financial Strength
|
Metric
|
4922
|
4911
|
EL
|
|---|---|---|---|
Quick Ratio | 2.12 | 0.82 | 0.81 |
Current Ratio | 3.50 | 1.38 | 1.22 |
Interest Coverage | 434.88 | −0.79 | 2.28 |
Quick Ratio
4922
4911
EL
Profitability
|
Metric
|
4922
|
4911
|
EL
|
|---|---|---|---|
Return on Assets (Normalized) | 5.40% | 1.57% | 5.88% |
Return on Equity (Normalized) | 7.44% | 3.25% | 29.51% |
Return on Invested Capital (Normalized) | 6.41% | 1.85% | 10.16% |
Return on Assets
4922
4911
EL
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