Marudai Food Co., Ltd. (2288) AI Stock Analysis

• Market Cap: ¥55.61B
• Dividend Yield: 2.27%
• Average Volume (3M): 71.19K
• Price to Earnings (P/E): 12.3
• Beta (1Y): 0.39
• Revenue Growth: 1.46%
• EPS Growth: N/A
• Country: JP
• Employees: 1,931
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 72.42
• Shares Outstanding: 26,505,580
• 10 Day Avg. Volume: 102,620
• 30 Day Avg. Volume: 71,193
• PEG Ratio: -0.05
• Price to Book (P/B): 0.63
• Price to Sales (P/S): 0.18
• P/FCF Ratio: -157.38
• 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: 72 Outperform
• Price Target: ¥2,459.00 ▲(10.82% Upside)

Marudai Food Co., Ltd. shows strong financial performance with robust revenue growth and improving profitability. The technical analysis indicates a bullish trend, supported by positive momentum indicators. The valuation is attractive with a reasonable P/E ratio and a solid dividend yield, making it appealing for both growth and income investors.

Positive Factors

Revenue Growth

The strong revenue growth rate indicates robust market demand and effective sales strategies, supporting long-term business expansion and stability.

Profitability Recovery

Improving net profit margins reflect enhanced cost management and operational efficiency, contributing to sustainable profitability.

Cash Flow Generation

Strengthened operating cash flow enhances financial flexibility, enabling reinvestment in growth opportunities and debt management.

Negative Factors

Low EBIT and EBITDA Margins

Low EBIT and EBITDA margins suggest limited operational efficiency, which could hinder profitability improvements and competitive positioning.

Free Cash Flow Conversion

Limited conversion of net income to free cash flow may restrict the company's ability to fund growth initiatives and return capital to shareholders.

Debt Utilization

While moderate, the debt level requires careful management to avoid potential financial strain, impacting long-term financial stability.

Marudai Food Co., Ltd. Business Overview & Revenue Model

Company Description

Marudai Food Co., Ltd. (2288) is a prominent player in the food manufacturing sector, specializing in the production and distribution of processed seafood products, including fish cakes, crab sticks, and other surimi-based items. The company operates within the broader food industry, catering to both domestic and international markets, and is known for its commitment to quality and innovation in food processing. Marudai also engages in various value-added food products that meet consumer demands for convenience and flavor.

How the Company Makes Money

Marudai Food Co., Ltd. generates revenue primarily through the production and sale of its processed seafood products. Key revenue streams include wholesale and retail sales of fish cakes and surimi products to supermarkets, restaurants, and food service companies. The company also benefits from strategic partnerships with distributors and retailers, enhancing its market reach and operational efficiency. Additionally, Marudai leverages its brand reputation and product quality to capture market share in both domestic and international markets, which contributes to its overall earnings.

Marudai Food Co., Ltd. Financial Statement Overview

Summary

Marudai Food Co., Ltd. demonstrates strong revenue growth and a solid balance sheet with manageable debt levels. However, profitability margins are modest, and cash flow management presents challenges, particularly in converting earnings into free cash flow.

Income Statement

Marudai Food Co., Ltd. shows strong revenue growth with a TTM increase of 44.8%, indicating robust sales performance. The gross profit margin is healthy at 15.8%, reflecting efficient production and pricing strategies. However, the net profit margin is relatively low at 2.3%, suggesting room for improvement in cost management or pricing strategies. The EBIT and EBITDA margins are modest, indicating moderate operational efficiency.

Balance Sheet

The company's debt-to-equity ratio is 0.30, which is reasonable and suggests a balanced approach to leveraging. The return on equity is 8.3%, indicating effective use of shareholders' equity to generate profits. The equity ratio stands at 53.1%, showing a strong equity base relative to total assets, which enhances financial stability.

Cash Flow

Operating cash flow is positive, but the free cash flow has seen a significant decline, with a negative growth rate of -1352.4% in the TTM. The operating cash flow to net income ratio is 0.13, indicating that cash generation from operations is not fully covering net income. The negative free cash flow to net income ratio suggests challenges in converting profits into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	236.68B	234.97B	228.81B	221.98B	218.61B	234.15B
Gross Profit	38.49B	37.10B	34.68B	30.48B	31.96B	49.46B
EBITDA	11.33B	12.04B	-1.94B	4.42B	7.94B	8.76B
Net Income	4.41B	5.49B	-9.41B	-4.99B	-376.00M	412.00M
Balance Sheet
Total Assets	126.51B	120.92B	121.82B	126.26B	128.90B	133.55B
Cash, Cash Equivalents and Short-Term Investments	9.21B	8.98B	9.67B	6.92B	7.99B	8.48B
Total Debt	17.53B	20.46B	21.64B	22.79B	20.67B	20.40B
Total Liabilities	55.38B	53.91B	59.07B	57.25B	53.41B	55.87B
Stockholders Equity	70.30B	66.20B	62.01B	68.33B	74.83B	77.07B
Cash Flow
Free Cash Flow	3.69B	-267.00M	5.14B	-2.65B	253.00M	2.25B
Operating Cash Flow	10.36B	5.40B	10.01B	2.91B	7.03B	7.67B
Investing Cash Flow	-6.39B	-2.88B	-4.88B	-4.52B	-5.69B	-5.39B
Financing Cash Flow	-3.00B	-3.20B	-2.38B	534.00M	-1.83B	-2.05B

Marudai Food Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2219.00
• 50DMA: Positive
• 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:2288, the sentiment is Positive. The current price of 2219 is above the 20-day moving average (MA) of 2186.90, above the 50-day MA of 2122.34, and above the 200-day MA of 1929.19, indicating a bullish trend. The MACD of 22.12 indicates Positive momentum. The RSI at 60.40 is Neutral, neither overbought nor oversold. The STOCH value of 64.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2288.

Marudai Food Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2288	72 Outperform	¥55.61B	12.28	6.48%	2.27%	1.46%	―
2811	66 Neutral	¥232.82B	19.79	―	2.11%	3.69%	-50.13%
2264	65 Neutral	¥334.86B	29.95	―	2.42%	2.33%	-8.76%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2296	62 Neutral	¥304.29B	19.93	―	2.61%	6.54%	15.08%
2607	59 Neutral	¥332.76B	34.09	―	1.45%	20.02%	―

Marudai Food Co., Ltd. Corporate Events

Marudai Food Revises Earnings and Dividend Forecasts Upward

Marudai Food Co., Ltd. has revised its earnings and dividend forecasts for the fiscal year ending March 31, 2026. Despite lower net sales due to weaker U.S. beef sales, the company expects higher profits due to strong performance in processed foods and cost management. Consequently, the year-end dividend forecast has been increased from ¥55 to ¥65 per share, reflecting the company’s commitment to shareholder returns.

The most recent analyst rating on (JP:2288) stock is a Hold with a Yen2019.00 price target. To see the full list of analyst forecasts on Marudai Food Co., Ltd. stock, see the JP:2288 Stock Forecast page.

Marudai Food Reports Mixed Financial Results and Dividend Increase

Marudai Food Co., Ltd. reported a slight increase in net sales for the six months ending September 30, 2025, with a notable rise in operating and ordinary profits. However, the profit attributable to owners of the parent decreased significantly. The company announced a revision in its cash dividend forecast, indicating a planned increase in dividends for the fiscal year ending March 31, 2026, which may have implications for investor returns.

The most recent analyst rating on (JP:2288) stock is a Hold with a Yen2019.00 price target. To see the full list of analyst forecasts on Marudai Food Co., Ltd. stock, see the JP:2288 Stock Forecast page.

Marudai Food Revises Earnings Forecast Amid Market Challenges

Marudai Food Co., Ltd. has revised its earnings forecast for the first half of the fiscal year ending March 31, 2026, due to lower-than-expected sales of U.S. beef caused by high market prices, despite strong sales in processed foods. The company anticipates higher profitability than previously forecasted, attributed to steady processed food sales, reduced raw material costs, and improved profitability in the meat business through effective cost management. The full-year earnings forecast is under review and will be announced in November.

The most recent analyst rating on (JP:2288) stock is a Hold with a Yen2015.00 price target. To see the full list of analyst forecasts on Marudai Food Co., Ltd. stock, see the JP:2288 Stock Forecast page.