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

• Market Cap: €53.95B
• Dividend Yield: 2.33%
• Average Volume (3M): 71.19K
• Price to Earnings (P/E): 11.9
• 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: 74 Outperform
• Price Target: ¥2,343.00 ▲(10.36% Upside)

Marudai Food Co., Ltd. scores well due to strong technical indicators and reasonable valuation, which are the most significant factors. Financial performance is solid but hampered by cash flow challenges. The absence of earnings call data and corporate events means these factors did not influence the score.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust sales performance and expanding market presence, which can enhance long-term business sustainability.

Balance Sheet Health

A low debt-to-equity ratio reflects financial stability, providing flexibility for future investments and shielding against economic downturns.

Market Position

Strong brand reputation and product quality enhance competitive positioning, supporting sustained market share and customer loyalty.

Negative Factors

Profitability Margins

Low net profit margins suggest challenges in cost management or pricing strategies, potentially impacting long-term profitability.

Cash Flow Management

Declining free cash flow indicates difficulties in converting earnings into cash, which can constrain investment and growth opportunities.

Operational Efficiency

Moderate operational efficiency may limit the company's ability to maximize profits and compete effectively, necessitating improvements in cost control.

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

Company Description

Marudai Food Co., Ltd. manufactures and sells hams and sausages, cooked processed food, and meat products in Japan and internationally. The company offers hams and sausages, including wiener, bacon, grilled pork, frank, hamburger meatballs, and fish products. It also provides processed food products, such as chicken side dishes, Korean food ingredients, Chinese side dishes, cooking soup sauce, curry, meat side dishes, frozen side dishes, pizza, and snack products. In addition, the company offers desserts, yogurt, and drinks. It offers its products through mass retailers and restaurants. Marudai Food Co., Ltd. was incorporated in 1950 and is headquartered in Takatsuki, Japan.

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. The company should focus on improving operational efficiencies and cash flow generation to enhance overall financial health.

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	236.02B	234.97B	228.81B	221.98B	218.61B	234.15B
Gross Profit	37.51B	37.10B	34.68B	30.48B	31.96B	49.46B
EBITDA	12.51B	12.04B	-1.94B	4.42B	7.94B	8.76B
Net Income	3.71B	5.49B	-9.41B	-4.99B	-376.00M	412.00M
Balance Sheet
Total Assets	125.99B	120.92B	121.82B	126.26B	128.90B	133.55B
Cash, Cash Equivalents and Short-Term Investments	9.06B	8.98B	9.67B	6.92B	7.99B	8.48B
Total Debt	19.08B	20.46B	21.64B	22.79B	20.67B	20.40B
Total Liabilities	58.23B	53.91B	59.07B	57.25B	53.41B	55.87B
Stockholders Equity	66.93B	66.20B	62.01B	68.33B	74.83B	77.07B
Cash Flow
Free Cash Flow	3.34B	-267.00M	5.14B	-2.65B	253.00M	2.25B
Operating Cash Flow	8.69B	5.40B	10.01B	2.91B	7.03B	7.67B
Investing Cash Flow	-4.98B	-2.88B	-4.88B	-4.52B	-5.69B	-5.39B
Financing Cash Flow	-2.79B	-3.20B	-2.38B	534.00M	-1.83B	-2.05B

Marudai Food Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2123.00
• 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 2123 is below the 20-day moving average (MA) of 2144.85, above the 50-day MA of 2005.70, and above the 200-day MA of 1871.80, indicating a bullish trend. The MACD of 37.14 indicates Positive momentum. The RSI at 59.21 is Neutral, neither overbought nor oversold. The STOCH value of 27.49 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	74 Outperform	€53.95B	11.91	6.48%	2.33%	1.46%	―
2811	67 Neutral	¥228.43B	19.41	―	2.15%	3.69%	-50.13%
2264	65 Neutral	¥293.61B	39.42	―	2.46%	2.33%	-8.76%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2296	62 Neutral	¥288.92B	18.92	―	2.58%	6.54%	15.08%
2607	60 Neutral	¥302.42B	30.98	―	1.49%	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.

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.

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.