Nippon Active Value Fund Plc (NAVF) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: 1.56%
• Average Volume (3M): 172.28K
• Price to Earnings (P/E): 8.7
• Beta (1Y): 0.67
• Revenue Growth: -7.43%
• EPS Growth: -26.63%
• Country: UK
• Employees: N/A
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 0.15
• Shares Outstanding: 189,141,710
• 10 Day Avg. Volume: 217,758
• 30 Day Avg. Volume: 172,276
• PEG Ratio: -0.19
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 6.94
• P/FCF Ratio: 198.23
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: 233.00p ▲(12.56% Upside)
• Action: Reiterated Date: 12/30/25
• Date: Action: Reiterated 12/30/25

The score is driven primarily by strong fundamentals (notably a debt-free balance sheet and high profitability) and an attractive low P/E valuation. Offsetting factors are uneven cash-flow conversion and only neutral technical momentum, with corporate updates providing a modest positive tailwind.

Positive Factors

Strategic Investments

Nippon Active Value Fund's focus on strategic investments in undervalued Japanese companies aligns with regulatory changes, enhancing shareholder value and positioning the fund for long-term growth.

Financial Stability

A debt-free balance sheet provides Nippon Active Value Fund with financial stability and flexibility, allowing it to capitalize on investment opportunities without the burden of interest obligations.

Corporate Governance

NAVF's activist approach, focusing on improving corporate governance, aligns with regulatory changes in Japan, potentially increasing the success of its initiatives and enhancing long-term shareholder value.

Negative Factors

Cash Flow Stability

Despite improvements, the mixed cash flow stability indicates a potential gap between earnings and cash generation, which could impact the fund's ability to reinvest or distribute returns consistently.

Earnings Growth

A significant decline in EPS growth suggests challenges in translating revenue growth into earnings, which could affect investor confidence and the fund's ability to attract new capital.

Profitability Analysis

The lack of EBITDA data limits a comprehensive analysis of profitability, potentially obscuring insights into operational efficiency and the fund's ability to sustain profit margins over time.

Nippon Active Value Fund Plc Business Overview & Revenue Model

Company Description

Nippon Active Value Fund Plc operates as a closed-ended investment company. The firm intends to invest in a highly concentrated portfolio of equity securities with the majority of their operations in, or majority of their operations derived from Japan. The company was founded on October 22, 2019 and is headquartered in London, the United Kingdom.

How the Company Makes Money

Nippon Active Value Fund Plc generates revenue through the appreciation of its investment portfolio, primarily consisting of equity holdings in Japanese small-cap companies. The fund seeks to enhance shareholder value by actively engaging with the management of its portfolio companies, promoting strategic initiatives that can lead to operational improvements and market revaluation. NAVF's earnings are driven by capital gains realized from selling appreciated securities, as well as any dividends received from its investments. The company also benefits from management fees charged to investors based on the net asset value of the fund, which contribute to its revenue stream.

Nippon Active Value Fund Plc Financial Statement Overview

Summary

Very strong profitability and an exceptionally low-risk balance sheet (no debt), but revenue volatility and historically inconsistent operating/free cash flow reduce confidence in cash conversion and stability.

Income Statement

Profitability is very strong, with consistently high net margins (roughly ~79% to ~96%) across the annual periods provided. Net income has also remained robust in absolute terms in the last two years (~£47–49m). The key weakness is revenue volatility: revenue jumped sharply from 2022 to 2023, then declined materially in 2024 (-22.27% revenue growth), indicating earnings power may be sensitive to market/portfolio conditions rather than steady operating expansion.

Balance Sheet

Balance sheet risk looks low: total debt is reported as zero in every year, and equity is large relative to assets (assets and equity are closely aligned). Returns on equity are generally healthy (about ~12%–17% in most years, with a weaker 2022), suggesting solid profitability without leverage. The main watch item is variability in return on equity (notably the drop in 2022), implying performance can fluctuate year to year.

Cash Flow

Cash generation is uneven. Operating cash flow was negative in multiple years (2020, 2021, 2023) despite strong reported net income, then turned positive again in 2024 and 2022. Free cash flow improved sharply in 2024 (strong growth off a weak 2023 base), but the historical swings suggest cash conversion can be inconsistent and may depend on timing/movements in working capital and investment-related cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	30.15M	51.12M	49.47M	6.46M	27.33M	14.88M
Gross Profit	0.00	47.92M	49.47M	6.46M	27.33M	14.88M
EBITDA	27.94M	51.28M	50.67M	4.71M	28.39M	16.26M
Net Income	27.53M	48.53M	47.56M	5.09M	26.27M	13.99M
Balance Sheet
Total Assets	390.96M	366.75M	320.46M	159.26M	156.27M	117.26M
Cash, Cash Equivalents and Short-Term Investments	8.08M	19.89M	22.26M	31.74M	15.81M	12.64M
Total Debt	3.80M	0.00	0.00	0.00	0.00	0.00
Total Liabilities	4.13M	1.31M	523.00K	517.00K	418.00K	122.00K
Stockholders Equity	386.82M	365.44M	319.94M	158.75M	155.85M	116.99M
Cash Flow
Free Cash Flow	3.61M	1.79M	-1.28M	3.98M	-539.00K	-1.97M
Operating Cash Flow	3.61M	1.79M	-1.28M	3.98M	-539.00K	-1.97M
Investing Cash Flow	-13.07M	-1.13M	-121.83M	14.15M	-8.89M	-88.38M
Financing Cash Flow	-2.35M	-3.03M	113.63M	-2.20M	12.60M	103.00M

Nippon Active Value Fund Plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 207.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:NAVF, the sentiment is Positive. The current price of 207 is below the 20-day moving average (MA) of 235.12, below the 50-day MA of 222.86, and below the 200-day MA of 211.58, indicating a bullish trend. The MACD of 7.21 indicates Negative momentum. The RSI at 76.27 is Negative, neither overbought nor oversold. The STOCH value of 85.76 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:NAVF.

Nippon Active Value Fund Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ABDN	78 Outperform	£3.92B	12.35	6.50%	7.21%	-7.11%	0.45%
SDR	76 Outperform	£9.09B	17.21	8.30%	5.37%	4.78%	-4.86%
NAVF	75 Outperform	―	8.68	14.83%	1.56%	-7.43%	-26.63%
JUP	73 Outperform	£958.29M	9.78	7.11%	2.70%	-4.38%	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
LIO	64 Neutral	£166.37M	13.59	9.72%	21.31%	-15.65%	-12.27%
MNG	61 Neutral	$7.54B	-129.15	-1.53%	7.09%	9.86%	-134.41%

Nippon Active Value Fund Plc Corporate Events

Nippon Active Value Fund to Reinvest Following Hogy Medical’s Tender Offer

Nippon Active Value Fund (NAVF) announced its participation in the tender offer for Hogy Medical Co., Ltd., which will result in the company being taken private and delisted from the Tokyo Stock Exchange. NAVF, which holds an 8.58% stake in Hogy Medical, along with co-investors, will reinvest part of the proceeds from the transaction into a limited partnership formed by Carlyle, the acquiring entity’s sponsor. This move aligns with NAVF’s strategy to invest in undervalued companies and positions it to continue influencing Hogy Medical through its reinvestment approach, including the right to nominate a director in the new entity. The Transaction is expected to enhance shareholder value for NAVF while adhering to its mandate for capital growth.

Nippon Active Value Fund Releases November 2025 Factsheet

Nippon Active Value Fund plc announced the release of its Monthly Factsheet as of November 30, 2025, which will soon be available on their website. This announcement highlights the company’s commitment to transparency and provides stakeholders with insights into its investment strategies and performance, potentially impacting investor confidence and market positioning.

Nippon Active Value Fund Releases October 2025 Factsheet

Nippon Active Value Fund plc announced the availability of its Monthly Factsheet for October 2025, which can be accessed on its website. The fund’s focus on small-cap Japanese equities and its strategy of targeting undervalued companies could impact its market positioning and offer potential growth opportunities for shareholders.

Nippon Active Value Fund Updates Share Capital Structure

Nippon Active Value Fund Plc announced that as of October 31, 2025, its issued share capital comprises 192,514,986 Ordinary Shares, each with a nominal value of £0.01, all carrying voting rights. This update is crucial for shareholders to determine their interest in the company, impacting their decision-making regarding shareholding notifications.

Nippon Active Value Fund Issues New Shares at Premium

Nippon Active Value Fund Plc has issued 280,000 new ordinary shares at a price of 215.75 pence per share, which is above the net asset value per share. This issuance increases the company’s total ordinary shares with voting rights to 192,514,986, impacting shareholder calculations for legal and regulatory notifications regarding share capital interest.