Revenue GrowthModerate top-line growth (revenue up ~¥1.0bn and Fundamentals revenue growth ~11.8%) indicates sustained demand for its specialty paper products. Over a 2–6 month horizon this supports capacity utilization, predictable sales volumes and underpins medium-term investment planning and margin recovery potential.

Specialty Product MixAWA’s focus on functional and specialty papers, plus coating and processing know‑how, creates product differentiation and higher value‑add. Structurally this supports more stable customer relationships, higher switching costs and resilience versus commoditized paper segments, aiding durable revenue quality.

Operating Cash GenerationPositive operating cash flow shows the core business generates cash from operations even while capex pressures FCF. Over months this cash generation can service working capital and interest, providing a base to prioritise deleveraging or targeted investments if management improves margins and capex efficiency.

Bears Say

High LeverageA debt/equity of 2.34 and modest equity ratio leave the balance sheet highly leveraged. Structurally this elevates refinancing and interest coverage risk, restricts strategic flexibility, and makes the company more vulnerable to demand or margin shocks over the coming quarters unless cash generation or equity is strengthened.

Weak ProfitabilityVery low net margin (~0.2%) and ROE (~0.67%) reflect limited profitability and poor returns on capital. Persistently weak margins constrain internal funding for growth, reduce the ability to build reserves, and make it harder to sustainably improve leverage or invest in higher‑margin product development.

Negative Free Cash FlowA sustained negative free cash flow trend driven by high capex consumes cash that could otherwise reduce debt or fund operations. Over a multi‑quarter horizon this pressures liquidity, likely increases reliance on external financing, and limits scope for strategic investments unless capex intensity or cash conversion improves.

3896 FAQ

What was AWA PAPER & TECHNOLOGICAL COMPANY, Inc.’s price range in the past 12 months?

AWA PAPER & TECHNOLOGICAL COMPANY, Inc. lowest stock price was ¥320.00 and its highest was ¥579.00 in the past 12 months.

What is AWA PAPER & TECHNOLOGICAL COMPANY, Inc.’s market cap?

AWA PAPER & TECHNOLOGICAL COMPANY, Inc.’s market cap is ¥4.55B.

When is AWA PAPER & TECHNOLOGICAL COMPANY, Inc.’s upcoming earnings report date?

AWA PAPER & TECHNOLOGICAL COMPANY, Inc.’s upcoming earnings report date is May 19, 2026 which is in 88 days.

How were AWA PAPER & TECHNOLOGICAL COMPANY, Inc.’s earnings last quarter?

AWA PAPER & TECHNOLOGICAL COMPANY, Inc. released its earnings results on Feb 10, 2026. The company reported -¥7.53 earnings per share for the quarter, missing the consensus estimate of N/A by -¥7.53.

Is AWA PAPER & TECHNOLOGICAL COMPANY, Inc. overvalued?

According to Wall Street analysts AWA PAPER & TECHNOLOGICAL COMPANY, Inc.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does AWA PAPER & TECHNOLOGICAL COMPANY, Inc. pay dividends?

AWA PAPER & TECHNOLOGICAL COMPANY, Inc. pays a Semiannually dividend of ¥2 which represents an annual dividend yield of N/A. See more information on AWA PAPER & TECHNOLOGICAL COMPANY, Inc. dividends here

What is AWA PAPER & TECHNOLOGICAL COMPANY, Inc.’s EPS estimate?

AWA PAPER & TECHNOLOGICAL COMPANY, Inc.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does AWA PAPER & TECHNOLOGICAL COMPANY, Inc. have?

AWA PAPER & TECHNOLOGICAL COMPANY, Inc. has 10,172,676 shares outstanding.

What happened to AWA PAPER & TECHNOLOGICAL COMPANY, Inc.’s price movement after its last earnings report?

AWA PAPER & TECHNOLOGICAL COMPANY, Inc. reported an EPS of -¥7.53 in its last earnings report, missing expectations of N/A. Following the earnings report the stock price went up 0.195%.

Which hedge fund is a major shareholder of AWA PAPER & TECHNOLOGICAL COMPANY, Inc.?

Currently, no hedge funds are holding shares in JP:3896

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

AWA PAPER & TECHNOLOGICAL COMPANY, Inc.

Awa Paper & Technological Company, Inc. manufactures and sells papers worldwide. It provides air filter media, polyolefin sheets, base papers, cabin filter media, heat radiation sheets and fins, carbon fiber reinforced plastics, ceramic sheets, and cushion papers, as well as graphitic, carbon fiber, activated carbon fiber, and activated carbon. The company also offers filter media, friction materials, fuel filter media, glass fiber papers, impregnated papers, formaldehyde decomposition and absorption sheets, reverse osmosis membrane backing papers, polyester sheets, and membrane bioreactors, as well as nano coat, oil, and process filter medias. Its products are used in various applications, such as liquid processing, gas processing, engines, automobiles, national land development, industrial, information and communication, building materials, air conditioning, home electronics, medical and welfare, agricultural, and general consumer goods. The company was founded in 1916 and is headquartered in Tokushima, Japan.