# Bridgestone (5108.JP)

Canonical: https://gigainvestors.com/s/5108.JP

Analysis as of: 2026-10-15T07:10:33.800Z. Financial observations: FY2012–FY2025.

Listing currency: JPY. Reporting currency: JPY.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: JPY 4,002.00 per share; close as of 2026-10-15.

Estimated value: low JPY 2,893.13 per share, central JPY 3,227.66 per share, high JPY 3,672.98 per share. Buy at or below the central value JPY 3,227.66 per share. Valuation as of 2026-10-15T07:10:33.800Z; scenarios are not confidence intervals.

Expected annual return: 8.4% at the stated quote. About 8.4% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; JP 10-year bond 2.9% + 4 points).

## Checklist

### understandable: pass

- 4 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 4

- Years with a net loss: 1

- Operating margin variation: 0.28×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.13×

- FY2017: 0.12×

- FY2018: 0.11×

- FY2019: 0.10×

- FY2020: 0.02×

- FY2021: 0.12×

- FY2022: 0.11×

- FY2023: 0.11×

- FY2024: 0.10×

- FY2025: 0.09×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 11.7%

- ROIC, second-lowest year: 8.6%

- Typical minus recent gross margin: -0.1 pp

- Typical gross margin (annual median): 38.4%

- Recent gross margin (lower of latest and 3-year median): 38.5%

- Years with nonpositive capital: 0

- Capital spending / revenue: 6.8%

- ROIC including acquisitions, ten-year median: 8.4%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 15.0%

- FY2017: 15.0%

- FY2018: 11.2%

- FY2019: 11.6%

- FY2020: 2.1%

- FY2021: 14.1%

- FY2022: 11.7%

- FY2023: 12.1%

- FY2024: 8.6%

- FY2025: 9.7%

### economics: fail

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: 0.90×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: JPY 1.47T

- Net income, five-year total: JPY 1.64T

- Return on incremental invested capital: 2.9%

- Working capital / revenue, annual change: 0.8 pp

- Working capital / revenue, change between three-year averages: 5.6 pp

- Working capital / revenue, final three-year average: 30.1%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.01×

- FY2022: 0.87×

- FY2023: 0.79×

- FY2024: 0.79×

- FY2025: 0.98×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 15.0% vs 9.7%

- Per-share earnings: 362.99 to 241.99 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- five-year and ten-year diluted share growth both above threshold

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 5.4%

- Ordinary dilution, 5-year annual growth: 13.6%

- Market cap gain: JPY 3.02T

- Cumulative retained earnings: JPY 891B

- Diluted shares, 10-year annual growth: 5.4%

- Diluted shares, 5-year annual growth: 13.6%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: -4.9%

- Per-share value change: JPY -121.00

- Per-share value, starting three-year median: JPY 362.99

- Per-share value, ending three-year median: JPY 241.99

- Buybacks concentrated in cheaper years (correlation): 0.00

- Average buyback yield: 5.3%

- Buyback history: 4 years

- Debt-funded buybacks: No

- Acquisition spending: JPY 315B

- Cumulative net income, 10 years: JPY 2.70T

- ROIC, first three-year median: 15.0%

- ROIC, last three-year median: 9.7%

Chart: Earnings per share; fiscal year observations.

- FY2016: JPY 339.04

- FY2017: JPY 375.67

- FY2018: JPY 387.95

- FY2019: JPY 332.31

- FY2020: JPY -33.09

- FY2021: JPY 279.78

- FY2022: JPY 216.10

- FY2023: JPY 241.99

- FY2024: JPY 208.10

- FY2025: JPY 246.00

### accounting: pass

- Sloan accruals: -5.8%

- Receivables to sales index (DSRI): 1.05×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 2.02×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.10×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -4.8%

- FY2017: -3.3%

- FY2018: -1.6%

- FY2019: -6.2%

- FY2020: -13.1%

- FY2021: 2.5%

- FY2022: 0.6%

- FY2023: -6.1%

- FY2024: -4.6%

- FY2025: -5.8%

## Holders

## Price story

Price needs cash profits to grow 4% a year for ten years · sales +0%

Story as of 2026-10-16T10:00:14.306Z; price observation 2026-10-15.

Price needs cash profits to grow 4% a year for ten years

### Sales · FY2024–2025

sales +0%; source https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100XRPR.pdf; observed 2026-03-18.

- FY2016: JPY 3.34T 

- FY2017: JPY 3.64T 

- FY2018: JPY 3.65T 

- FY2019: JPY 3.51T 

- FY2020: JPY 2.70T 

- FY2021: JPY 3.25T 

- FY2022: JPY 4.11T 

- FY2023: JPY 4.31T 

- FY2024: JPY 4.43T 

- FY2025: JPY 4.43T 

### Gross margin · FY2025

gross margin 38.5%; source https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100XRPR.pdf; observed 2026-03-18.

- FY2016: 40.9% 

- FY2017: 37.9% 

- FY2018: 37.8% 

- FY2019: 37.8% 

- FY2020: 37.6% 

- FY2021: 40.6% 

- FY2022: 38.8% 

- FY2023: 38.3% 

- FY2024: 39.0% 

- FY2025: 38.5% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Annual sales are JPY 4.4 trillion.

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100XRPR.pdf (filed 2026-03-18); FY2025: revenue 4429452000000; grossProfit 1706663000000; margin = grossProfit / revenue.

### Why customers stay

Margins ranged from 38.3% to 39% during 2023–25; it earns 11.7% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); FY2023: grossProfit / revenue = 38.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); FY2024: grossProfit / revenue = 39%.

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100XRPR.pdf (filed 2026-03-18); FY2025: grossProfit / revenue = 38.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); 10-year return on capital observations [[2016,0.1503873203794355],[2017,0.14963374061245746],[2018,0.11158877641983811],[2019,0.11579069685605059],[2020,0.02085281681319065],[2021,0.14096834872813585],[2022,0.11723876678221981],[2023,0.12132936495905207],[2024,0.0855378947730414],[2025,0.0965572551302496]]; median 0.1165147318191352. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 4 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); FY2016: growth capex 0; upkeep 192714000000; owner earnings 260898000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); FY2017: growth capex 4177000000; upkeep 200377000000; owner earnings 286983000000. Growth capex / owner earnings = 0.014554869103744822.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); FY2018: growth capex 2757828990.493805; upkeep 260543171009.5062; owner earnings 226256828990.4938. Growth capex / owner earnings = 0.012188931502304734.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); FY2019: growth capex 0; upkeep 281786000000; owner earnings 173072000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); FY2021: growth capex 0; upkeep 184991000000; owner earnings 399805000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); FY2022: growth capex 0; upkeep 254726000000; owner earnings 261877000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); FY2023: growth capex 37132000000; upkeep 305805000000; owner earnings 262904000000. Growth capex / owner earnings = 0.14123786629339988.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); FY2024: growth capex 0; upkeep 337293000000; owner earnings 224202000000. Growth capex / owner earnings = 0.

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100XRPR.pdf (filed 2026-03-18); FY2025: growth capex 0; upkeep 287155000000; owner earnings 320190000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); Dividend observations: [[2016,109386000000],[2017,108654000000],[2018,120234000000],[2019,117678000000],[2020,0],[2021,0],[2022,0],[2023,0],[2024,0],[2025,0]]. Zero only counted when supported by a complete cash-flow statement.

### What the price says

The price assumes cash profits grow 4% yearly over ten years; actual decline was 3.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-03-18); Ten-year compound average after fade. Initial solved rate 0.04418661833153224. Price 4002; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 349.2721981780866 → FY2025 240.6825682018187. Closing-price date 2026-10-15.

## Monthly share-price history (JPY per share)

- 2016-11: JPY 2,183.50 per share

- 2016-12: JPY 2,107.00 per share

- 2017-01: JPY 2,071.50 per share

- 2017-02: JPY 2,240.50 per share

- 2017-03: JPY 2,251.50 per share

- 2017-04: JPY 2,324.00 per share

- 2017-05: JPY 2,326.00 per share

- 2017-06: JPY 2,420.00 per share

- 2017-07: JPY 2,328.50 per share

- 2017-08: JPY 2,359.50 per share

- 2017-09: JPY 2,553.00 per share

- 2017-10: JPY 2,695.00 per share

- 2017-11: JPY 2,547.50 per share

- 2017-12: JPY 2,619.00 per share

- 2018-01: JPY 2,653.00 per share

- 2018-02: JPY 2,391.00 per share

- 2018-03: JPY 2,312.00 per share

- 2018-04: JPY 2,294.50 per share

- 2018-05: JPY 2,182.50 per share

- 2018-06: JPY 2,166.50 per share

- 2018-07: JPY 2,197.00 per share

- 2018-08: JPY 2,046.50 per share

- 2018-09: JPY 2,146.50 per share

- 2018-10: JPY 2,181.50 per share

- 2018-11: JPY 2,300.00 per share

- 2018-12: JPY 2,118.00 per share

- 2019-01: JPY 2,094.00 per share

- 2019-02: JPY 2,196.50 per share

- 2019-03: JPY 2,133.00 per share

- 2019-04: JPY 2,203.00 per share

- 2019-05: JPY 2,029.50 per share

- 2019-06: JPY 2,121.00 per share

- 2019-07: JPY 2,050.00 per share

- 2019-08: JPY 2,026.50 per share

- 2019-09: JPY 2,092.00 per share

- 2019-10: JPY 2,261.50 per share

- 2019-11: JPY 2,187.50 per share

- 2019-12: JPY 2,035.00 per share

- 2020-01: JPY 1,950.50 per share

- 2020-02: JPY 1,803.00 per share

- 2020-03: JPY 1,661.50 per share

- 2020-04: JPY 1,689.00 per share

- 2020-05: JPY 1,788.50 per share

- 2020-06: JPY 1,734.50 per share

- 2020-07: JPY 1,547.00 per share

- 2020-08: JPY 1,680.50 per share

- 2020-09: JPY 1,658.50 per share

- 2020-10: JPY 1,695.00 per share

- 2020-11: JPY 1,822.00 per share

- 2020-12: JPY 1,692.00 per share

- 2021-01: JPY 1,934.00 per share

- 2021-02: JPY 2,080.50 per share

- 2021-03: JPY 2,237.50 per share

- 2021-04: JPY 2,188.50 per share

- 2021-05: JPY 2,403.00 per share

- 2021-06: JPY 2,527.50 per share

- 2021-07: JPY 2,400.00 per share

- 2021-08: JPY 2,532.00 per share

- 2021-09: JPY 2,653.00 per share

- 2021-10: JPY 2,509.50 per share

- 2021-11: JPY 2,302.50 per share

- 2021-12: JPY 2,474.50 per share

- 2022-01: JPY 2,506.50 per share

- 2022-02: JPY 2,362.50 per share

- 2022-03: JPY 2,379.00 per share

- 2022-04: JPY 2,383.50 per share

- 2022-05: JPY 2,541.50 per share

- 2022-06: JPY 2,475.00 per share

- 2022-07: JPY 2,599.00 per share

- 2022-08: JPY 2,676.50 per share

- 2022-09: JPY 2,334.50 per share

- 2022-10: JPY 2,681.00 per share

- 2022-11: JPY 2,583.50 per share

- 2022-12: JPY 2,345.50 per share

- 2023-01: JPY 2,417.50 per share

- 2023-02: JPY 2,612.50 per share

- 2023-03: JPY 2,683.50 per share

- 2023-04: JPY 2,719.00 per share

- 2023-05: JPY 2,839.00 per share

- 2023-06: JPY 2,946.00 per share

- 2023-07: JPY 2,946.50 per share

- 2023-08: JPY 2,830.50 per share

- 2023-09: JPY 2,914.50 per share

- 2023-10: JPY 2,833.50 per share

- 2023-11: JPY 3,049.00 per share

- 2023-12: JPY 2,920.00 per share

- 2024-01: JPY 3,222.00 per share

- 2024-02: JPY 3,223.00 per share

- 2024-03: JPY 3,333.00 per share

- 2024-04: JPY 3,489.50 per share

- 2024-05: JPY 3,420.00 per share

- 2024-06: JPY 3,161.00 per share

- 2024-07: JPY 3,092.50 per share

- 2024-08: JPY 2,841.00 per share

- 2024-09: JPY 2,750.00 per share

- 2024-10: JPY 2,743.50 per share

- 2024-11: JPY 2,674.50 per share

- 2024-12: JPY 2,670.00 per share

- 2025-01: JPY 2,794.50 per share

- 2025-02: JPY 2,919.00 per share

- 2025-03: JPY 2,997.50 per share

- 2025-04: JPY 2,995.50 per share

- 2025-05: JPY 3,107.50 per share

- 2025-06: JPY 2,950.00 per share

- 2025-07: JPY 3,065.50 per share

- 2025-08: JPY 3,350.50 per share

- 2025-09: JPY 3,424.00 per share

- 2025-10: JPY 3,382.00 per share

- 2025-11: JPY 3,661.50 per share

- 2025-12: JPY 3,514.00 per share

- 2026-01: JPY 3,485.00 per share

- 2026-02: JPY 3,796.00 per share

- 2026-03: JPY 3,267.00 per share

- 2026-04: JPY 3,265.00 per share

- 2026-05: JPY 3,443.00 per share

- 2026-06: JPY 3,410.00 per share

- 2026-07: JPY 3,965.00 per share

- 2026-08: JPY 4,145.00 per share

- 2026-09: JPY 3,871.00 per share

- 2026-10: JPY 3,979.00 per share

## Annual estimated value (JPY per share)

- FY2019: low JPY 4,530.99 per share, central JPY 5,058.94 per share, high JPY 5,761.75 per share

- FY2020: low JPY 3,667.75 per share, central JPY 4,025.31 per share, high JPY 4,501.28 per share

- FY2021: low JPY 2,074.66 per share, central JPY 2,289.96 per share, high JPY 2,576.58 per share

- FY2022: low JPY 2,318.11 per share, central JPY 2,594.40 per share, high JPY 2,962.20 per share

- FY2023: low JPY 2,565.17 per share, central JPY 2,854.56 per share, high JPY 3,239.81 per share

- FY2024: low JPY 2,606.25 per share, central JPY 2,903.36 per share, high JPY 3,298.88 per share

- FY2025: low JPY 2,788.78 per share, central JPY 3,108.49 per share, high JPY 3,534.10 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original EDINET filing](https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100XRPR.pdf); period 2025-12-31, filed 2026-03-18.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.

## Reported holder observations