Prima Meat Packers,Ltd. (2281) AI Stock Analysis

• Market Cap: ¥116.48B
• Dividend Yield: 3.45%
• Average Volume (3M): 67.48K
• Price to Earnings (P/E): 16.4
• Beta (1Y): 0.38
• Revenue Growth: 2.21%
• EPS Growth: -5.53%
• Country: JP
• Employees: 3,643
• Sector: Consumer Defensive
• Sector Strength: 56
• Industry: Food Distribution
• EPS (TTM): 23.82
• Shares Outstanding: 50,524,400
• 10 Day Avg. Volume: 66,190
• 30 Day Avg. Volume: 67,480
• PEG Ratio: -13.24
• Price to Book (P/B): 0.98
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 23.11
• 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: ¥2,300.00
• Price Target Upside: -1.16% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 70 Outperform
• Price Target: ¥2,479.00 ▲(6.53%Upside)

Prima Meat Packers, Ltd. exhibits a stable financial position with strong equity and reasonable leverage, but faces challenges in maintaining profit margins and cash flows. The stock's valuation, with a reasonable P/E ratio and attractive dividend yield, supports its appeal. Technical indicators suggest a mixed outlook, with long-term trends being more favorable than short-term movements.

Prima Meat Packers,Ltd. Business Overview & Revenue Model

Company Description

Prima Meat Packers, Ltd. is a Japanese company primarily engaged in the production and sale of meat and processed food products. It operates in the food industry with a focus on providing a wide range of meat products, including beef, pork, chicken, and processed meats such as sausages, hams, and deli meats. The company is recognized for its commitment to quality and innovation in the food sector, serving both domestic and international markets.

How the Company Makes Money

Prima Meat Packers, Ltd. generates revenue through the sale of its meat and processed food products to various customer segments, including wholesalers, retailers, and foodservice businesses. The company's revenue streams are largely based on domestic sales within Japan, but it also explores international markets for additional growth opportunities. Key factors contributing to its earnings include strategic partnerships with distributors and retailers, investments in production efficiency, and a strong brand presence in the food industry. The company focuses on maintaining high standards of food safety and quality, which helps in sustaining customer trust and loyalty.

Prima Meat Packers,Ltd. Financial Statement Overview

Summary

Prima Meat Packers, Ltd. shows a stable financial performance with steady revenue growth but faces challenges in maintaining profit margins and cash flows. The balance sheet remains strong with moderate leverage and a solid equity base, while cash flow generation shows some decline, necessitating attention to sustaining operating efficiency and managing capital expenditures.

Income Statement

The company demonstrates a stable revenue growth with a noticeable increase of 2.22% in 2025 compared to 2024. However, gross profit margin has slightly decreased from 11.18% in 2024 to 10.57% in 2025. The net profit margin has also decreased from 1.67% in 2024 to 1.54% in 2025. EBIT margin shows a decline from 2.64% in 2024 to 1.95% in 2025, indicating pressure on operational profitability. Despite these declines, EBITDA margin remains relatively stable at 4.96% in 2025, down from 5.20% in 2024, reflecting resilience in core operations.

Balance Sheet

The balance sheet presents a solid financial structure with a debt-to-equity ratio of 0.18, suggesting moderate leverage. The return on equity (ROE) stands at a modest 5.93% for 2025, down from 6.28% in 2024, indicating stable but not exceptional returns to shareholders. The equity ratio is healthy at 49.82%, demonstrating a strong capital base and financial stability.

Cash Flow

The cash flow statement shows a decrease in free cash flow from 5,882 million JPY in 2024 to 5,061 million JPY in 2025, indicating a decline in cash generated after capital expenditures. Operating cash flow to net income ratio remains robust at 2.01, reflecting strong cash generation from operations relative to net income. However, the free cash flow to net income ratio decreased, highlighting challenges in maintaining cash flow after investments.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	458.35B	448.43B	430.74B	419.59B	433.57B
Gross Profit	48.49B	50.14B	47.75B	51.62B	73.41B
EBITDA	22.71B	23.33B	20.98B	23.61B	31.54B
Net Income	7.08B	7.49B	4.50B	9.72B	14.16B
Balance Sheet
Total Assets	239.61B	244.79B	229.89B	221.72B	214.54B
Cash, Cash Equivalents and Short-Term Investments	12.29B	15.36B	17.90B	12.56B	12.97B
Total Debt	22.07B	21.71B	25.41B	20.62B	22.15B
Total Liabilities	109.38B	114.58B	106.69B	99.16B	99.78B
Stockholders Equity	119.38B	119.31B	113.17B	111.86B	103.63B
Cash Flow
Free Cash Flow	5.06B	5.88B	-8.85B	1.13B	16.86B
Operating Cash Flow	14.21B	22.54B	11.72B	16.74B	27.25B
Investing Cash Flow	-13.57B	-19.42B	-15.09B	-23.71B	-12.21B
Financing Cash Flow	-4.20B	-7.57B	1.21B	-6.62B	-7.51B

Prima Meat Packers,Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2327.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2281, the sentiment is Positive. The current price of 2327 is above the 20-day moving average (MA) of 2286.50, above the 50-day MA of 2276.56, and above the 200-day MA of 2212.80, indicating a bullish trend. The MACD of 10.55 indicates Negative momentum. The RSI at 58.27 is Neutral, neither overbought nor oversold. The STOCH value of 75.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2281.

Prima Meat Packers,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2692	77 Outperform	¥127.25B	15.51		1.59%	4.00%	24.34%
8079	72 Outperform	¥69.51B	23.76		1.45%	6.84%	-13.41%
7614	71 Outperform	¥10.20B	10.17		2.24%	3.37%	-28.80%
2281	70 Outperform	¥116.48B	16.42		3.45%	2.21%	-5.53%
7451	68 Neutral	¥274.72B	11.82		3.01%	2.14%	2.72%
Sector *	65 Neutral	$26.91B	15.41	-4.18%	3.21%	1.01%	1.34%

Prima Meat Packers,Ltd. Corporate Events

Prima Meat Packers Affirms Independence and Fair Practices in Parent Company Relations

Prima Meat Packers, Ltd. has outlined its relationship with its parent company, ITOCHU Corporation, highlighting its procurement processes and management structure. The company ensures fair transactions by obtaining multiple quotations for raw materials and consulting independent committees to protect minority shareholders’ interests.

The most recent analyst rating on (JP:2281) stock is a Hold with a Yen2200.00 price target. To see the full list of analyst forecasts on Prima Meat Packers,Ltd. stock, see the JP:2281 Stock Forecast page.

Prima Meat Packers Reports Mixed Financial Results with Positive Outlook

Prima Meat Packers reported a slight increase in net sales for the fiscal year ending March 31, 2025, but faced declines in operating and ordinary profits compared to the previous year. Despite these challenges, the company announced an increase in annual dividends, reflecting a positive outlook for the upcoming fiscal year with expected growth in net sales and profits.