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Nissin Foods Co., Ltd. (HK:1475)
:1475
Hong Kong Market

Nissin Foods Co., Ltd. (1475) AI Stock Analysis

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HK

Nissin Foods Co., Ltd.

(1475)

Rating:71Outperform
Price Target:
HK$7.50
▲(7.14%Upside)
Nissin Foods Co., Ltd.'s overall stock score is driven by its strong financial health and robust technical indicators. However, valuation concerns due to a high P/E ratio and overbought technical signals temper the outlook. The company's ability to address revenue growth and cash flow challenges will be critical to future performance.
Positive Factors
Market Expansion
Nissin Foods is actively expanding in Vietnam and other regions, indicating growth potential.
Revenue Growth
Nissin Foods' broadening revenue base supports its commitment to delivering medium-term growth in new regions.
Negative Factors
Cost Impact
Margin may be temporarily impacted by acquisition-related costs and higher palm oil prices.
Earnings Reduction
Cut earnings by 10% on initial higher investment costs to consolidate ventures.
Risk Factors
Key risks include food safety concerns and reputational risks, as well as surges in raw material costs.

Nissin Foods Co., Ltd. (1475) vs. iShares MSCI Hong Kong ETF (EWH)

Nissin Foods Co., Ltd. Business Overview & Revenue Model

Company DescriptionNissin Foods Company Limited produces and sells instant noodles in Hong Kong, the Peoples Republic of China, Canada, Australia, the United States, Taiwan, Macau, and internationally. It also produces, imports, purchases, sells, and distributes retort and frozen foods, beverages and snacks, processed foods, vegetables, fruit juices, cup noodles, and sauces. In addition, the company manufactures packaging materials of instant noodles products; and provides administrative, human resources, and publicity services. It primarily operates under the NISSIN and Doll brand names. The company was incorporated in 1984 and is headquartered in Tai Po, Hong Kong. Nissin Foods Company Limited is a subsidiary of Nissin Foods Holdings Co., Ltd.
How the Company Makes MoneyNissin Foods Co., Ltd. generates revenue primarily through the production and sale of its diverse range of food products. The company's key revenue streams include sales from its instant noodle products, which are distributed globally under various brand names such as Cup Noodles and Top Ramen. Nissin also earns income from its frozen food and refrigerated food segments. The company has strategic partnerships and joint ventures to expand its market reach and product portfolio, helping to drive sales growth in international markets. Additionally, Nissin invests in marketing and innovation to maintain its competitive edge and brand recognition, contributing to its overall revenue generation.

Nissin Foods Co., Ltd. Financial Statement Overview

Summary
Nissin Foods Co., Ltd. displays strong profitability and stability with an impressive balance sheet. However, recent revenue growth challenges and inconsistent cash flow performance present potential risks despite the company's robust financial position.
Income Statement
78
Positive
Nissin Foods Co., Ltd. has demonstrated strong gross profit margins consistently over the years, averaging around 34%. The net profit margin, although slightly declining, remains robust at around 5% in the latest year. Revenue growth has been volatile, with a decrease in recent periods, indicating challenges in sustaining top-line growth. EBIT and EBITDA margins remain healthy, reflecting operational efficiency.
Balance Sheet
82
Very Positive
The company maintains a solid balance sheet with a low debt-to-equity ratio, reflecting minimal leverage and strong equity position. The equity ratio is high, indicating good financial stability and asset financing through shareholder equity. Return on equity has been stable, suggesting efficient use of equity capital.
Cash Flow
70
Positive
Cash flow management is a mixed picture. The free cash flow has shown fluctuations, with a decline in the latest year. The operating cash flow to net income ratio is unavailable for the latest year but was healthy previously. The company’s ability to generate cash relative to net income has shown inconsistencies, warranting attention.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
3.81B3.83B4.02B3.87B3.52B
Gross Profit
1.31B1.30B1.29B1.23B1.16B
EBIT
420.41M435.69M483.59M459.45M437.17M
EBITDA
344.79M504.86M509.06M510.03M470.62M
Net Income Common Stockholders
200.99M330.17M312.76M303.82M301.91M
Balance SheetCash, Cash Equivalents and Short-Term Investments
1.40B1.58B1.47B2.01B2.31B
Total Assets
4.76B4.68B4.54B5.26B5.18B
Total Debt
16.14M9.67M8.38M11.21M16.67M
Net Debt
-1.09B-1.19B-1.24B-1.78B-1.59B
Total Liabilities
1.09B1.01B990.41M1.14B1.14B
Stockholders Equity
3.62B3.63B3.52B3.95B3.90B
Cash FlowFree Cash Flow
315.67M322.37M208.56M187.58M235.71M
Operating Cash Flow
427.76M576.50M446.15M450.52M501.62M
Investing Cash Flow
-330.31M-386.32M-182.14M60.17M-319.63M
Financing Cash Flow
-173.88M-242.53M-709.55M-359.65M-141.27M

Nissin Foods Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price7.00
Price Trends
50DMA
6.54
Positive
100DMA
6.10
Positive
200DMA
5.40
Positive
Market Momentum
MACD
0.11
Positive
RSI
55.85
Neutral
STOCH
76.52
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1475, the sentiment is Positive. The current price of 7 is above the 20-day moving average (MA) of 6.86, above the 50-day MA of 6.54, and above the 200-day MA of 5.40, indicating a bullish trend. The MACD of 0.11 indicates Positive momentum. The RSI at 55.85 is Neutral, neither overbought nor oversold. The STOCH value of 76.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1475.

Nissin Foods Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
HK$7.31B37.845.15%2.26%3.95%-42.81%
65
Neutral
$8.89B15.014.75%203.76%3.54%-2.49%
$8.88B621.620.21%2.98%
$1.27B80.544.00%1.10%
57
Neutral
HK$233.98M2.1516.80%50.93%-41.24%-36.17%
49
Neutral
HK$1.48B-19.86%-1.95%38.51%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1475
Nissin Foods Co., Ltd.
7.00
2.26
47.68%
CIADF
China Mengniu Dairy Co
2.30
0.46
25.00%
VTSYF
Vitasoy International Holdings
1.20
0.35
41.18%
HK:0511
Television Broadcasts Limited
3.18
-0.17
-5.07%
HK:6068
Wisdom Education International Holdings Co. Ltd.
0.11
-0.08
-42.11%

Nissin Foods Co., Ltd. Corporate Events

Nissin Foods Announces Board Restructuring Effective July 2025
Jun 5, 2025

Nissin Foods Co., Ltd. has announced changes to its board of directors effective from July 1, 2025. The board will include a mix of executive and independent non-executive directors, with Mr. Kiyotaka Ando serving as Chairman and CEO. This restructuring is expected to influence the company’s strategic direction and governance, potentially impacting its market position and stakeholder interests.

The most recent analyst rating on (HK:1475) stock is a Buy with a HK$6.60 price target. To see the full list of analyst forecasts on Nissin Foods Co., Ltd. stock, see the HK:1475 Stock Forecast page.

Nissin Foods Passes All Resolutions at 2025 AGM
Jun 5, 2025

Nissin Foods Co., Ltd. announced the successful passage of all resolutions proposed at its 2025 Annual General Meeting, held on June 5, 2025. Key resolutions included the approval of financial statements, the declaration of final and special dividends, the re-election of directors, and the authorization for share buybacks and issuance. The overwhelming support for these resolutions reflects strong shareholder confidence in the company’s strategic direction and governance.

The most recent analyst rating on (HK:1475) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on Nissin Foods Co., Ltd. stock, see the HK:1475 Stock Forecast page.

Nissin Foods Announces Executive Leadership Change
Jun 5, 2025

Nissin Foods Co., Ltd. announced a change in its executive leadership, effective July 1, 2025, with Mr. Toshimichi Fujinawa resigning as an Executive Director due to retirement, and Mr. Takayuki Yagi being appointed as the new Executive Director. Mr. Yagi, who has been with the company since 2018, brings extensive experience in research and development, which is expected to bolster the company’s strategic initiatives and strengthen its position in the food industry.

The most recent analyst rating on (HK:1475) stock is a Hold with a HK$7.00 price target. To see the full list of analyst forecasts on Nissin Foods Co., Ltd. stock, see the HK:1475 Stock Forecast page.

Nissin Foods Reports Q1 2025 Financial Results with Revenue Growth
May 13, 2025

Nissin Foods Co., Ltd. announced its unaudited consolidated financial results for the three months ending March 31, 2025. The company reported a revenue increase to HK$1,071,933,000 from the previous year’s HK$963,015,000, reflecting a strong market performance. Despite a slight decrease in profit for the period to HK$111,667,000 from HK$119,252,000, the company maintains a solid financial position with total assets less current liabilities amounting to HK$3,923,897,000. These results indicate a stable operational footing and continued market presence, although challenges in cost management and profit margins are evident.

The most recent analyst rating on (HK:1475) stock is a Buy with a HK$6.60 price target. To see the full list of analyst forecasts on Nissin Foods Co., Ltd. stock, see the HK:1475 Stock Forecast page.

Nissin Foods Reports Growth in Net Sales Amid Strategic Expansions
May 8, 2025

Nissin Foods Co., Ltd. announced its unaudited financial results for the fiscal year ending March 31, 2025, highlighting a growth in net sales driven by the expansion of sales channels and strategic acquisitions. Despite facing challenges such as increased raw material costs and impairment losses, the company reported an increase in core operating profit due to higher sales volumes of instant noodles and contributions from newly acquired subsidiaries.

Nissin Foods Schedules Board Meeting for Q1 Financial Review
Apr 29, 2025

Nissin Foods Company Limited has announced that its board of directors will hold a meeting on May 13, 2025, to approve the unaudited financial information for the first quarter ending March 31, 2025. This meeting is significant as it will provide insights into the company’s financial performance and could impact its strategic decisions and stakeholder interests.

Nissin Foods Announces AGM Agenda and Key Resolutions
Apr 24, 2025

Nissin Foods Company Limited, a Hong Kong-based company, announced its upcoming Annual General Meeting (AGM) scheduled for June 5, 2025. Key agenda items include the approval of financial statements, declaration of final and special dividends, re-election of directors, and re-appointment of auditors. Additionally, resolutions will be considered regarding the buyback of shares and the issuance of new shares, which could impact the company’s market operations and shareholder value.

Nissin Foods Enters Master Supply Agreement with Nissin Australia
Mar 26, 2025

Nissin Foods Co., Ltd. has announced a Master Supply Agreement with its connected subsidiary, Nissin Australia, effective from March 26, 2025, to December 31, 2027. This agreement involves the supply of instant noodles, snacks, cereals, and other food products, with pricing based on a profit margin of 2% to 6%. The agreement is subject to the Hong Kong Listing Rules, with annual caps set for sales to Nissin Australia at HK$54.4 million, HK$69.4 million, and HK$72.4 million for the periods ending December 2025, 2026, and 2027, respectively. This strategic move is expected to enhance Nissin Foods’ market positioning and operational capacity in Australia and New Zealand.

Nissin Foods Reports Decline in 2024 Annual Profits Amid Rising Costs
Mar 26, 2025

Nissin Foods Co., Ltd. reported its annual financial results for the year ending December 31, 2024, showing a slight decline in revenue from HK$3,833,194 in 2023 to HK$3,811,864 in 2024. Despite the decrease in revenue, the company managed to maintain a stable gross profit of HK$1,312,114 compared to the previous year. However, the profit before taxation saw a significant drop to HK$302,939 from HK$456,965 in 2023, largely due to increased selling, distribution, and administrative costs. The total comprehensive income for the year also decreased to HK$160,971 from HK$307,809. This financial performance may impact the company’s market positioning and stakeholder confidence.

Nissin Foods Declares Final Dividend for 2024
Mar 26, 2025

Nissin Foods Company Limited has announced a final ordinary cash dividend of HKD 0.0963 per share for the financial year ending December 31, 2024. The dividend is set to be approved by shareholders on June 5, 2025, with the payment scheduled for June 27, 2025. This announcement reflects the company’s stable financial performance and commitment to returning value to its shareholders.

Nissin Foods Declares Special Dividend for 2024
Mar 26, 2025

Nissin Foods Company Limited has announced a special dividend of HKD 0.0619 per share for the financial year ending December 31, 2024. This announcement, made on March 26, 2025, highlights the company’s financial performance and commitment to returning value to shareholders. The dividend will be paid on June 27, 2025, following shareholder approval on June 5, 2025. This move may positively impact shareholder sentiment and reflects the company’s robust financial health.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.