Tenox Corporation (1905) AI Stock Analysis

• Market Cap: ¥8.36B
• Dividend Yield: 4.14%
• Average Volume (3M): 4.84K
• Price to Earnings (P/E): 8.4
• Beta (1Y): 0.30
• Revenue Growth: 6.74%
• EPS Growth: 543.41%
• Country: JP
• Employees: 335
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 41.69
• Shares Outstanding: 7,347,680
• 10 Day Avg. Volume: 8,790
• 30 Day Avg. Volume: 4,840
• PEG Ratio: 0.11
• Price to Book (P/B): 0.56
• Price to Sales (P/S): 0.31
• P/FCF Ratio: 3.21
• 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

• Rating: 72 Outperform
• Price Target: ¥1,449.00 ▲(11.12% Upside)

Tenox Corporation's strong valuation metrics, including a low P/E ratio and high dividend yield, are the most significant factors supporting the stock score. While the financial performance is solid, challenges in revenue growth and profitability margins are concerns. Technical analysis indicates a neutral trend, with no strong momentum signals.

Tenox Corporation Business Overview & Revenue Model

Company Description

Tenox Corporation, established in 1905, is a diversified company primarily operating in the industrial manufacturing sector. The company specializes in producing advanced materials and components used in various applications, including aerospace, automotive, and electronics. Tenox is known for its innovative product lines, which include high-performance alloys, precision-engineered parts, and specialized coatings designed to enhance durability and performance in demanding environments.

How the Company Makes Money

Tenox Corporation generates revenue through multiple streams, primarily by selling its manufactured products to a wide range of industries, including aerospace, automotive, and electronics. The company operates on a business-to-business (B2B) model, where it supplies components and materials directly to manufacturers and other industrial clients. Key revenue streams include direct sales of high-performance alloys, precision-engineered parts, and specialized coatings. Additionally, Tenox has established significant partnerships with leading companies in various sectors, enabling it to expand its market reach and enhance its product offerings. The company also invests in research and development to innovate and improve its product lines, ensuring a competitive edge that contributes to its earnings.

Tenox Corporation Financial Statement Overview

Summary

Tenox Corporation demonstrates a solid financial position with strengths in its balance sheet and improving cash flow. However, challenges in revenue growth and profitability margins in the income statement could impact future performance.

Income Statement

Tenox Corporation shows a mixed performance in its income statement. The company has maintained a stable gross profit margin around 15%, indicating efficient cost management. However, the net profit margin is relatively low at 3.16% for the latest year, reflecting challenges in converting revenue into profit. Revenue growth has been inconsistent, with a decline in the most recent year, which could be a concern for future growth prospects. The EBIT and EBITDA margins have shown improvement, suggesting better operational efficiency.

Balance Sheet

The balance sheet of Tenox Corporation is strong, with a low debt-to-equity ratio indicating minimal leverage and financial risk. The return on equity (ROE) has improved to 5.77%, reflecting better profitability relative to shareholder equity. The equity ratio remains healthy, suggesting a stable financial structure with a significant portion of assets financed by equity.

Cash Flow

Cash flow analysis reveals a significant improvement in free cash flow, which has turned positive after previous negative figures, indicating better cash generation capabilities. The operating cash flow to net income ratio is moderate, suggesting that the company is generating reasonable cash from its operations relative to its net income. However, the free cash flow to net income ratio is below 1, indicating that not all net income is translating into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	22.93B	23.72B	20.21B	18.32B	14.82B	15.91B
Gross Profit	4.10B	3.62B	2.83B	2.76B	2.36B	2.09B
EBITDA	2.16B	1.68B	1.08B	1.17B	997.88M	824.45M
Net Income	1.03B	749.32M	388.06M	482.82M	357.79M	173.28M
Balance Sheet
Total Assets	19.49B	21.07B	19.07B	18.77B	17.68B	18.16B
Cash, Cash Equivalents and Short-Term Investments	8.53B	10.23B	8.37B	9.55B	9.61B	8.34B
Total Debt	234.57M	173.46M	21.32M	31.05M	44.54M	241.77M
Total Liabilities	6.12B	7.78B	6.38B	6.30B	5.38B	5.95B
Stockholders Equity	13.08B	12.99B	12.39B	12.17B	12.01B	11.92B
Cash Flow
Free Cash Flow	0.00	2.28B	-632.08M	616.16M	1.61B	-441.98M
Operating Cash Flow	0.00	3.05B	142.55M	955.89M	1.80B	-6.20M
Investing Cash Flow	0.00	-792.76M	-947.02M	-622.78M	-107.64M	-638.03M
Financing Cash Flow	0.00	-301.84M	-309.61M	-404.49M	-514.38M	-257.61M

Tenox Corporation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1304.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1905, the sentiment is Neutral. The current price of 1304 is below the 20-day moving average (MA) of 1338.69, below the 50-day MA of 1329.14, and above the 200-day MA of 1164.54, indicating a neutral trend. The MACD of -9.35 indicates Positive momentum. The RSI at 45.07 is Neutral, neither overbought nor oversold. The STOCH value of 59.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:1905.

Tenox Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1798	75 Outperform	¥10.62B	4.92	―	2.07%	24.64%	35.00%
1905	72 Outperform	¥8.36B	8.37	―	4.14%	6.74%	543.41%
1768	72 Outperform	¥7.17B	10.55	―	3.05%	12.81%	614.41%
1897	71 Outperform	¥6.25B	38.97	―	1.73%	-32.43%	-64.37%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1844	55 Neutral	¥13.53B	27.19	―	1.59%	7.73%	21.42%
1783	50 Neutral	¥9.35B	161.81	―	―	6.02%	-49.16%

Tenox Corporation Corporate Events

Tenox Corporation Revises FY2024 Financial and Dividend Forecasts

Tenox Corporation has revised its consolidated financial and dividend forecasts for FY2024, citing a slight decline in net sales due to delays in soil improvement work. Despite this, the company expects an increase in operating and ordinary income, attributing this to improved construction efficiency and optimized sales activities. The dividend forecast has been increased, reflecting a stronger business performance and a stable financial position, with a focus on providing a stable return to shareholders.

Tenox Corporation Reports Robust Financial Growth for 2024

Tenox Corporation has reported significant growth in its financial results for the nine months ended December 31, 2024. The company achieved a 25.2% increase in net sales and substantial growth in operating and ordinary profit, attributed to a robust performance in construction projects. This growth reflects positively on its market position and indicates strong operational efficiency, benefiting shareholders with increased earnings per share.