Nippon Care Supply Co., Ltd. (2393) AI Stock Analysis

• Market Cap: ¥37.43B
• Dividend Yield: 3.01%
• Average Volume (3M): 4.19K
• Price to Earnings (P/E): 16.4
• Beta (1Y): 0.19
• Revenue Growth: 9.62%
• EPS Growth: 23.26%
• Country: JP
• Employees: 1,334
• Sector: Industrials
• Sector Strength: 72
• Industry: Rental & Leasing Services
• EPS (TTM): 36.92
• Shares Outstanding: 16,237,694
• 10 Day Avg. Volume: 2,560
• 30 Day Avg. Volume: 4,193
• PEG Ratio: 1.29
• Price to Book (P/B): 1.79
• Price to Sales (P/S): 0.98
• P/FCF Ratio: 58.26
• 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: ¥2,717.00 ▲(12.51% Upside)
• Action: Reiterated Date: 11/05/25
• Date: Action: Reiterated 11/05/25

Nippon Care Supply Co., Ltd. shows strong financial performance with robust revenue growth and profitability, supported by efficient operations. The technical analysis indicates a strong upward trend, although caution is advised due to overbought signals. The valuation is fair, with a reasonable P/E ratio and a decent dividend yield. Overall, the stock is well-positioned, but investors should monitor for potential pullbacks due to technical indicators.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and effective product demand, essential for long-term business sustainability.

Cash Flow Improvement

Improved cash flow enhances financial flexibility, allowing the company to invest in growth opportunities and manage obligations effectively.

Profitability

Strong profitability through effective cost management supports sustainable operations and competitive positioning in the market.

Negative Factors

Rising Leverage

Increased leverage can strain financial resources, potentially impacting the company's ability to invest in growth and manage economic downturns.

Limited Market Expansion

Dependence on a specific market segment may limit growth opportunities, especially if market conditions or regulations change unfavorably.

Equity Ratio Concerns

While the equity ratio is currently healthy, rising leverage could erode this stability, impacting long-term financial health.

Nippon Care Supply Co., Ltd. Business Overview & Revenue Model

Company Description

Nippon Care Supply Co., Ltd. engages in the rental and wholesale of welfare equipment in Japan. Its welfare equipment includes electric beds, wheelchairs, and bathing aids. The company also offers nursing care and diaper delivery services, as well as meal services for nursing care providers. Nippon Care Supply Co., Ltd. was incorporated in 1998 and is headquartered in Minato, Japan.

How the Company Makes Money

Nippon Care Supply generates revenue primarily through the sale of medical and care-related products to hospitals, nursing homes, and home care providers. The company's revenue model is based on the direct sale of its products, which includes a diverse portfolio of medical supplies and equipment tailored for elderly and disabled care. Key revenue streams include bulk sales to institutional clients, partnerships with healthcare providers, and potential collaborations with government-funded health initiatives. Additionally, the company may benefit from long-term contracts or agreements with healthcare institutions, ensuring a steady income stream. Seasonal demand for specific products, along with the increasing aging population in Japan, also contributes to its financial performance.

Nippon Care Supply Co., Ltd. Financial Statement Overview

Summary

Nippon Care Supply Co., Ltd. demonstrates strong revenue growth and profitability, supported by efficient operations and cost management. The balance sheet is stable with a healthy equity ratio, though increasing leverage could pose a potential risk. Cash flow has improved significantly, contributing to a positive financial outlook.

Income Statement

Nippon Care Supply Co., Ltd. shows strong revenue growth with a consistent increase over the past years, highlighted by a 12% growth in the latest year. The company maintains a solid gross profit margin around 35.3%, indicating effective cost management. Net profit margin stands at 5.6%, reflecting stable profitability. EBIT and EBITDA margins are healthy at 7.7% and 29.6%, respectively, showcasing operational efficiency.

Balance Sheet

The company has maintained a strong equity position with an equity ratio of 65.5%, reflecting financial stability. However, the debt-to-equity ratio increased to 12.9% from 8.2% previously, indicating a rise in leverage. Return on Equity remains robust at 10.2%, demonstrating efficient use of equity capital despite the higher leverage.

Cash Flow

The cash flow situation has improved with a positive free cash flow of 538.7 million JPY, a significant turnaround from the previous negative figures. The operating cash flow to net income ratio is 0.8, showing good cash generation relative to profits. The free cash flow growth rate is positive, indicating improved cash management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	32.82B	32.01B	28.59B	25.89B	23.30B	21.02B
Gross Profit	11.65B	11.29B	10.25B	9.47B	8.82B	8.26B
EBITDA	9.68B	9.43B	8.35B	7.82B	7.68B	7.40B
Net Income	1.91B	1.79B	1.58B	1.51B	1.68B	1.73B
Balance Sheet
Total Assets	27.03B	26.72B	25.41B	23.18B	21.33B	20.22B
Cash, Cash Equivalents and Short-Term Investments	798.73M	740.61M	711.88M	1.49B	1.75B	1.68B
Total Debt	2.76B	2.26B	1.36B	610.00M	59.72M	20.00M
Total Liabilities	10.20B	9.20B	8.86B	7.10B	5.82B	5.62B
Stockholders Equity	16.82B	17.51B	16.54B	16.07B	15.50B	14.60B
Cash Flow
Free Cash Flow	0.00	538.71M	-306.99M	-794.99M	-635.36M	1.46B
Operating Cash Flow	0.00	1.39B	339.18M	-7.10M	53.25M	1.80B
Investing Cash Flow	0.00	-1.17B	-775.78M	132.78M	741.98M	-1.04B
Financing Cash Flow	0.00	-189.88M	-343.30M	-381.96M	-724.64M	-694.76M

Nippon Care Supply Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2415.00
• 50DMA: Negative
• 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:2393, the sentiment is Positive. The current price of 2415 is above the 20-day moving average (MA) of 2413.55, below the 50-day MA of 2425.58, and above the 200-day MA of 2254.25, indicating a neutral trend. The MACD of -7.03 indicates Negative momentum. The RSI at 51.94 is Neutral, neither overbought nor oversold. The STOCH value of 66.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2393.

Nippon Care Supply Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7081	76 Outperform	¥14.16B	7.37	―	3.03%	5.72%	60.38%
2393	72 Outperform	¥37.43B	16.35	―	3.01%	9.62%	23.26%
8439	72 Outperform	¥1.03T	10.73	―	3.37%	5.24%	69.92%
8424	64 Neutral	¥397.28B	11.14	―	3.62%	-0.03%	-42.34%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
5834	58 Neutral	¥45.31B	6.79	―	3.90%	0.17%	58.30%