Balance Sheet StrengthLow leverage and a high equity ratio provide durable financial resilience, reducing financing risk and enabling the company to withstand cyclical downturns. This structural strength supports long-term capital allocation choices like reinvestment, M&A, or steady dividends without stressing liquidity.

Operating Cash GenerationConsistently strong operating cash flow indicates the core business converts profits into cash efficiently, underpinning day-to-day operations and working capital needs. Over months, healthy operating cash flow supports investment and creditor confidence even while capex temporarily depresses free cash flow.

Profitability And EPS ImprovementStable gross margins and a substantial recent rise in EPS suggest operational leverage and improved profitability. Sustained margin stability supports cash generation and competitive pricing flexibility, making earnings more resilient to input cost swings over multiple quarters.

Bears Say

Negative Free Cash FlowPersistent negative free cash flow from elevated capex reduces available internal funding for dividends, debt paydown, or opportunistic investments. If capex remains high relative to operating cash, the company may need external financing or must cut discretionary spending, weakening financial flexibility.

Slowing Top-line And Profit GrowthA deceleration in revenue and net income growth signals potential market saturation, pricing pressure, or reduced demand. Over a multi-month horizon this can constrain scale economies, margin expansion, and the firm's ability to fund strategic initiatives, pressuring medium-term growth prospects.

Erosion Of Shareholders' EquityA decline in shareholders' equity, even if slight, shrinks the capital buffer that protects creditors and supports investment. Over time this erosion can reduce borrowing capacity and raise funding costs, limiting strategic flexibility and increasing vulnerability to adverse shocks.

4247 FAQ

What was POVAL KOGYO CO.LTD.’s price range in the past 12 months?

POVAL KOGYO CO.LTD. lowest stock price was ¥1067.00 and its highest was ¥1620.00 in the past 12 months.

What is POVAL KOGYO CO.LTD.’s market cap?

POVAL KOGYO CO.LTD.’s market cap is ¥3.77B.

When is POVAL KOGYO CO.LTD.’s upcoming earnings report date?

POVAL KOGYO CO.LTD.’s upcoming earnings report date is May 08, 2026 which is in 81 days.

How were POVAL KOGYO CO.LTD.’s earnings last quarter?

POVAL KOGYO CO.LTD. released its earnings results on Feb 12, 2026. The company reported ¥36.861 earnings per share for the quarter, beating the consensus estimate of N/A by ¥36.861.

Is POVAL KOGYO CO.LTD. overvalued?

According to Wall Street analysts POVAL KOGYO CO.LTD.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does POVAL KOGYO CO.LTD. pay dividends?

POVAL KOGYO CO.LTD. pays a Semiannually dividend of ¥19.5 which represents an annual dividend yield of 2.98%. See more information on POVAL KOGYO CO.LTD. dividends here

What is POVAL KOGYO CO.LTD.’s EPS estimate?

POVAL KOGYO CO.LTD.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does POVAL KOGYO CO.LTD. have?

POVAL KOGYO CO.LTD. has 2,634,800 shares outstanding.

What happened to POVAL KOGYO CO.LTD.’s price movement after its last earnings report?

POVAL KOGYO CO.LTD. reported an EPS of ¥36.861 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 13.128%.

Which hedge fund is a major shareholder of POVAL KOGYO CO.LTD.?

Currently, no hedge funds are holding shares in JP:4247

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

POVAL KOGYO CO.LTD.

POVAL KOGYO Co., Ltd. manufactures and sells special and resin belts in Japan. The company provides belt-related products, including special conveyor, functional, drive, and urethane timing belts; polishing-related products, such as polishing pads; and mounts and cushioning components that are used in polishing glass; and other products comprising nonwoven fabrics and urethane foam products. POVAL KOGYO Co., Ltd. was founded in 1957 and is headquartered in Nagoya, Japan.