Balance Sheet HealthA 69.61% equity ratio and very low debt-to-equity (0.11) provide durable financial resilience. Low leverage reduces insolvency risk, preserves borrowing capacity for capex or R&D, and supports stability through industry cycles, enabling long-term strategic investments.

Revenue Growth TrendSustained revenue growth (18.85% in the latest year) signals durable demand for the company’s electronic components and materials. Persistent top-line expansion supports scale economies, strengthens customer relationships, and underpins continued investment in product development and capacity.

Operating Cash GenerationAn operating cash flow to net income ratio of 3.58 indicates the core business converts earnings into cash efficiently. Robust operating cash supports working capital needs, funds ongoing operations and R&D, and provides a foundation for longer-term financial flexibility despite other cash pressures.

Bears Say

Free Cash Flow ShortfallNegative free cash flow implies capital expenditures or investments exceed cash from operations, limiting distributable cash and forcing reliance on financing or equity for growth. Over months, this constrains share buybacks, dividend growth, and reduces buffer against downturns.

Low Profitability MarginsThin net margins (2.46%) and moderate EBITDA (8.20%) suggest limited pricing power or cost structure inefficiencies. Persistently low margins reduce retained earnings for reinvestment, make returns sensitive to revenue shocks, and constrain long-term shareholder returns compared with higher-margin peers.

Earnings VolatilityA steep EPS decline (-72.81%) reflects volatility or one-off hits to profitability, undermining predictability of earnings. For investors and management, such swings complicate planning, impair confidence in dividend sustainability, and may necessitate strategic changes to restore stable profitability.

7021 FAQ

What was Nitchitsu Co., Ltd.’s price range in the past 12 months?

Nitchitsu Co., Ltd. lowest stock price was ¥1491.00 and its highest was ¥3255.00 in the past 12 months.

What is Nitchitsu Co., Ltd.’s market cap?

Nitchitsu Co., Ltd.’s market cap is ¥4.84B.

When is Nitchitsu Co., Ltd.’s upcoming earnings report date?

Nitchitsu Co., Ltd.’s upcoming earnings report date is May 18, 2026 which is in 84 days.

How were Nitchitsu Co., Ltd.’s earnings last quarter?

Nitchitsu Co., Ltd. released its earnings results on Feb 13, 2026. The company reported ¥3.46 earnings per share for the quarter, beating the consensus estimate of N/A by ¥3.46.

Is Nitchitsu Co., Ltd. overvalued?

According to Wall Street analysts Nitchitsu Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Nitchitsu Co., Ltd. pay dividends?

Nitchitsu Co., Ltd. pays a Semiannually dividend of ¥18 which represents an annual dividend yield of 1.64%. See more information on Nitchitsu Co., Ltd. dividends here

What is Nitchitsu Co., Ltd.’s EPS estimate?

Nitchitsu Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Nitchitsu Co., Ltd. have?

Nitchitsu Co., Ltd. has 2,130,000 shares outstanding.

What happened to Nitchitsu Co., Ltd.’s price movement after its last earnings report?

Nitchitsu Co., Ltd. reported an EPS of ¥3.46 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -1.318%.

Which hedge fund is a major shareholder of Nitchitsu Co., Ltd.?

Currently, no hedge funds are holding shares in JP:7021

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

Nitchitsu Co., Ltd.

Nitchitsu Co., Ltd. manufactures and sells industrial machinery in Japan. The company designs and manufactures marine equipment, air preheating machines, and other general industrial machinery; installs, constructs, and supervises machinery; and manufactures plant-related equipment. It also purchases and sells silica sand, gravel, sand, and crushed stone; and manufactures and sells purified silica powder, etc. In addition, the company engages in the leasing of office buildings; and manufacture and sale of heat-resistant paints; and processing and sale of natural rubber products. Nitchitsu Co., Ltd. was incorporated in 1950 and is headquartered in Tokyo, Japan.