Kaneko Seeds Co., Ltd. (1376) AI Stock Analysis

• Market Cap: ¥17.87B
• Dividend Yield: 2.41%
• Average Volume (3M): 28.69K
• Price to Earnings (P/E): 13.1
• Beta (1Y): 0.29
• Revenue Growth: 4.00%
• EPS Growth: 32.05%
• Country: JP
• Employees: 701
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Agricultural Inputs
• EPS (TTM): 27.08
• Shares Outstanding: 11,772,626
• 10 Day Avg. Volume: 55,970
• 30 Day Avg. Volume: 28,690
• PEG Ratio: 3.31
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.24
• P/FCF Ratio: -13.61
• 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: 69 Neutral
• Price Target: ¥1,779.00 ▲(9.48% Upside)

The score is driven primarily by a very conservative, near debt-free balance sheet and steady profitability with a 2025 revenue rebound. Offsetting this is significant cash-flow volatility, which lowers confidence in earnings quality. Technically, the stock is in a constructive uptrend with positive momentum, while valuation appears reasonable with a moderate dividend yield.

Positive Factors

Financial Stability

A strong equity position and low leverage reduce financial risk, providing a stable foundation for long-term operations and growth.

Revenue Growth

The increase in net sales indicates effective market strategies and product demand, supporting sustainable revenue growth over time.

Cash Flow Improvement

Positive cash flow enhances financial flexibility, enabling investment in growth opportunities and resilience against economic fluctuations.

Negative Factors

Declining Profit Margins

Declining profit margins can indicate increased cost pressures or inefficiencies, potentially impacting long-term profitability and competitiveness.

Cash Flow Volatility

Volatile cash flow can hinder the company's ability to plan and invest in long-term projects, affecting strategic growth initiatives.

Operational Efficiency Challenges

Decreased operating margins suggest challenges in maintaining cost efficiency, which could affect the company's ability to sustain profitability.

Kaneko Seeds Co., Ltd. Business Overview & Revenue Model

Company Description

Kaneko Seeds Co., Ltd. engages in the agribusiness in Japan. The company offers agricultural seedlings, bulbs, seeds, flower gardening materials, and greenhouses and agricultural production materials; and agricultural chemicals, resin materials, and nutrient solution cultivation systems, as well as engages in sales and repair of facility gardening equipment. Kaneko Seeds Co., Ltd. was founded in 1895 and is headquartered in Maebashi, Japan.

How the Company Makes Money

Kaneko Seeds Co., Ltd. generates revenue primarily through the sale of seeds, which constitutes the core of its business operations. The company offers a diverse range of seeds tailored to different climatic and soil conditions, enabling it to serve a wide variety of agricultural producers. Revenue is also generated through the sale of agricultural materials and equipment, which support the effective cultivation and harvesting of crops. The company may engage in partnerships with agricultural research institutions to develop new seed varieties that meet evolving market demands. Additionally, Kaneko Seeds may leverage its distribution networks and sales channels to expand its market reach, both domestically and internationally.

Kaneko Seeds Co., Ltd. Financial Statement Overview

Summary

Kaneko Seeds Co., Ltd. demonstrates financial stability with a strong equity position and low leverage, reflected in a high balance sheet score. However, declining profitability and revenue growth, along with past cash flow volatility, suggest challenges in operational efficiency and growth.

Income Statement

Kaneko Seeds Co., Ltd. shows a stable gross profit margin over the years, with the most recent year at approximately 15.35%. However, the net profit margin has slightly declined to 1.91% from 2.29% due to a decrease in net income. Revenue has also decreased by 0.93% compared to the previous year. The EBIT and EBITDA margins have decreased slightly as well, indicating some pressure on operating efficiencies.

Balance Sheet

The company maintains a strong equity position with an equity ratio of 50.23% in the latest fiscal year, indicating financial stability. The debt-to-equity ratio is low at 0.004, reflecting low leverage, which reduces financial risk. Return on equity is 4.82%, which, while not high, indicates profitability given the low leverage.

Cash Flow

Kaneko Seeds Co., Ltd. has shown improvement in free cash flow, turning positive in the latest fiscal year. The operating cash flow to net income ratio is favorable, suggesting efficient cash generation relative to net income. However, the previous year had negative cash flows, indicating volatility in cash flow performance.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	65.21B	64.51B	61.60B	62.18B	60.69B	60.78B
Gross Profit	9.79B	9.54B	9.46B	9.51B	9.49B	9.43B
EBITDA	2.31B	2.15B	2.03B	2.36B	2.22B	2.13B
Net Income	1.39B	1.20B	1.18B	1.43B	1.30B	1.44B
Balance Sheet
Total Assets	46.89B	49.32B	48.68B	46.71B	48.93B	47.45B
Cash, Cash Equivalents and Short-Term Investments	1.80B	1.93B	3.60B	2.45B	5.11B	5.82B
Total Debt	3.42B	0.00	99.35M	128.87M	111.84M	114.46M
Total Liabilities	21.59B	24.31B	24.24B	23.19B	26.29B	25.76B
Stockholders Equity	25.29B	25.01B	24.44B	23.51B	22.65B	21.70B
Cash Flow
Free Cash Flow	0.00	-1.14B	1.56B	-1.99B	-150.80M	1.27B
Operating Cash Flow	0.00	212.91M	2.24B	-1.59B	570.53M	2.29B
Investing Cash Flow	0.00	-1.23B	-486.10M	-499.50M	-752.56M	-839.00M
Financing Cash Flow	0.00	-629.07M	-614.31M	-579.19M	-531.39M	-384.76M

Kaneko Seeds Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1625.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1376, the sentiment is Negative. The current price of 1625 is above the 20-day moving average (MA) of 1587.00, above the 50-day MA of 1601.89, and above the 200-day MA of 1466.17, indicating a neutral trend. The MACD of -4.06 indicates Positive momentum. The RSI at 37.02 is Neutral, neither overbought nor oversold. The STOCH value of 9.05 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:1376.

Kaneko Seeds Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4022	77 Outperform	¥52.52B	12.31	―	2.22%	5.17%	79.36%
4979	75 Outperform	¥23.48B	9.43	―	3.82%	8.02%	42.17%
4992	72 Outperform	¥39.18B	9.49	―	2.86%	4.66%	19.39%
1376	69 Neutral	¥17.87B	13.14	―	2.41%	4.00%	32.05%
4997	69 Neutral	¥80.06B	15.61	―	2.35%	6.95%	8.85%
4996	64 Neutral	¥86.70B	19.05	―	3.41%	5.84%	-67.78%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Kaneko Seeds Co., Ltd. Corporate Events

Kaneko Seeds Delivers Strong Profit Growth in First Half and Confirms Full-Year Outlook

Kaneko Seeds Co., Ltd. reported consolidated results for the six months ended November 30, 2025, showing modest top-line growth but a strong recovery in profitability: net sales rose 2.6% year on year to ¥28.84 billion, while operating profit jumped 42.7% to ¥485 million and profit attributable to owners of the parent increased 36.4% to ¥368 million, lifting earnings per share to ¥33.19. The balance sheet strengthened as the equity ratio improved to 56.0%, and the company maintained its dividend policy with an interim dividend of ¥11 per share and a full-year forecast of ¥38, alongside guidance for the full year ending May 31, 2026 of ¥66.5 billion in net sales and a 25%-plus increase in both operating profit and net income, signaling expectations of continued earnings momentum and return of cash to shareholders.

The most recent analyst rating on (JP:1376) stock is a Hold with a Yen1779.00 price target. To see the full list of analyst forecasts on Kaneko Seeds Co., Ltd. stock, see the JP:1376 Stock Forecast page.

Kaneko Seeds Lifts Profit and Strengthens Balance Sheet in Second Quarter

Kaneko Seeds Co., Ltd. reported consolidated net sales of ¥28.8 billion for the second quarter ended November 2025, a 2.6% increase from the same period a year earlier, with operating profit rising 42.7% to ¥485 million and profit attributable to owners of the parent climbing 36.4% to ¥368 million, reflecting improved profitability despite modest top-line growth. Total assets decreased to ¥44.9 billion from ¥49.3 billion since May 2025, but the company’s financial position strengthened as net assets edged up to ¥25.2 billion, boosting the capital adequacy ratio to 56.0% and net assets per share to ¥2,295.90, signaling enhanced balance-sheet soundness and potentially greater resilience for shareholders in the current fiscal year.

The most recent analyst rating on (JP:1376) stock is a Hold with a Yen1779.00 price target. To see the full list of analyst forecasts on Kaneko Seeds Co., Ltd. stock, see the JP:1376 Stock Forecast page.