Fuji Oil Holdings, Inc. (2607) AI Stock Analysis

• Market Cap: ¥245.64B
• Dividend Yield: 1.82%
• Average Volume (3M): 273.25K
• Price to Earnings (P/E): 109.2
• Beta (1Y): 0.37
• Revenue Growth: 18.99%
• EPS Growth: -65.82%
• Country: JP
• Employees: 5,731
• Sector: Consumer Defensive
• Sector Strength: 54
• Industry: Packaged Foods
• EPS (TTM): 63.53
• Shares Outstanding: 87,569,380
• 10 Day Avg. Volume: 267,540
• 30 Day Avg. Volume: 273,253
• PEG Ratio: 0.46
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.32
• 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: ¥4,200.00
• Price Target Upside: 46.98% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 57 Neutral
• Price Target: ¥3,025.00 ▲(5.86%Upside)

Fuji Oil Holdings, Inc. faces significant financial performance challenges, particularly with negative cash flows and declining profitability metrics. The high P/E ratio suggests overvaluation, while technical indicators show mixed signals. These factors contribute to a cautious overall stock score.

Fuji Oil Holdings, Inc. Business Overview & Revenue Model

Company Description

Fuji Oil Holdings Inc. develops, produces, and sells a range of food ingredients in Japan and internationally. The company offers vegetable oil and fats, such as hard butters for chocolate, confectionery oils and fats, frying and spraying oils, fats for frozen confectionery, emulsified oils and fats, powdered oils and fats, lubricating/releasing oils, and oils and fats for kneading. It also provides industrial chocolates, including couverture chocolates, chocolates for ice cream coating, chocolate chips, and stick chocolate for confectionery and bakery items; emulsified and fermented ingredients, such as whipping creams, fillings, margarines, and cheese-flavored ingredients; and soy-based ingredients comprising soy protein ingredients, soy protein products, soymilk products, and soluble soy polysaccharides. Fuji Oil Holdings Inc. was incorporated in 1950 and is headquartered in Osaka, Japan.

How the Company Makes Money

Fuji Oil Holdings, Inc. generates revenue primarily through the manufacturing and sale of oils and fats, bakery and confectionery ingredients, and soy-based products. The company serves a wide range of industries, including food processing companies, confectioneries, and bakeries, which utilize its specialty fats, margarines, and soy proteins in their products. Fuji Oil benefits from its vertically integrated supply chain, allowing it to manage production costs effectively while ensuring the high quality of its offerings. Additionally, the company forms strategic partnerships with global food companies and invests in research and development to innovate and expand its product lines, further driving its revenue growth.

Fuji Oil Holdings, Inc. Financial Statement Overview

Summary

Fuji Oil Holdings, Inc. shows moderate revenue growth but faces challenges with declining profitability and liquidity. The high debt levels and reduced ROE are concerning, with negative cash flow indicating potential liquidity problems.

Income Statement

Fuji Oil Holdings, Inc. experienced moderate revenue growth, with revenue increasing by 19% from 2024 to 2025. However, its profitability metrics have declined, with the gross profit margin decreasing from 14.7% to 11.5%, and net profit margin dropping from 1.2% to 0.3%. The EBIT and EBITDA margins also showed a decline, indicating pressure on operating efficiency.

Balance Sheet

The company's balance sheet shows a high level of debt, with a debt-to-equity ratio of 1.37 in 2025. However, the equity ratio remains stable at 35.3%, providing some assurance of balance sheet strength. Return on equity has decreased significantly from 2.8% to 1.1%, reflecting challenges in generating returns for shareholders.

Cash Flow

Fuji Oil Holdings, Inc. has faced substantial cash flow challenges, with operating cash flow turning negative in 2025. The free cash flow also turned negative, driven by higher capital expenditures and negative operating cash flow. The operating cash flow to net income and free cash flow to net income ratios are both unfavorable, highlighting liquidity concerns.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	671.21B	564.09B	557.41B	433.83B	364.78B
Gross Profit	77.00B	82.86B	72.24B	66.31B	65.86B
EBITDA	32.60B	48.34B	31.24B	32.45B	34.32B
Net Income	2.23B	6.52B	6.13B	11.50B	11.01B
Balance Sheet
Total Assets	596.56B	470.22B	468.79B	416.62B	358.51B
Cash, Cash Equivalents and Short-Term Investments	70.62B	27.49B	19.00B	15.93B	20.46B
Total Debt	288.78B	135.40B	178.21B	148.77B	131.31B
Total Liabilities	382.04B	225.93B	257.81B	227.13B	195.62B
Stockholders Equity	210.50B	232.19B	202.82B	186.38B	160.02B
Cash Flow
Free Cash Flow	-71.82B	31.06B	-11.94B	-15.59B	17.32B
Operating Cash Flow	-50.63B	48.24B	7.59B	3.54B	38.20B
Investing Cash Flow	-21.74B	8.80B	-16.49B	-18.81B	-17.39B
Financing Cash Flow	114.93B	-50.01B	9.80B	9.39B	-19.93B

Fuji Oil Holdings, Inc. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2857.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2607, the sentiment is Neutral. The current price of 2857.5 is above the 20-day moving average (MA) of 2807.20, below the 50-day MA of 2871.50, and below the 200-day MA of 3082.83, indicating a neutral trend. The MACD of -6.76 indicates Negative momentum. The RSI at 52.60 is Neutral, neither overbought nor oversold. The STOCH value of 55.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2607.

Fuji Oil Holdings, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2612	74 Outperform	¥33.54B	14.23		2.74%	10.57%	4.52%
2613	72 Outperform	¥67.14B	9.57		1.97%	-5.54%	3.00%
4404	72 Outperform	¥19.63B	9.75		3.12%	1.07%	-34.52%
2811	67 Neutral	¥259.06B	16.21		1.98%	25.63%	-24.35%
Sector *	65 Neutral	$27.20B	15.73	-4.29%	2.57%	1.03%	4.90%
2607	57 Neutral	¥245.64B	109.22		1.82%	18.99%	-65.82%
8WC	―	€948.77M	11.40	6.86%	3.78%	―	―

Fuji Oil Holdings, Inc. Corporate Events

Fuji Oil Holdings Affirms Independence Amid ITOCHU Affiliation

Fuji Oil Holdings, Inc. has clarified its corporate relationship with ITOCHU Corporation, which holds a substantial portion of its voting rights through ITOCHU FOOD INVESTMENT, LLC. Despite this affiliation, Fuji Oil maintains operational independence, with no business restrictions imposed by ITOCHU, and continues to make independent management decisions. The appointment of Yoshihiro Tachikawa as an outside director is expected to enhance the company’s corporate value through his extensive experience and insights.

The most recent analyst rating on (JP:2607) stock is a Buy with a Yen3500.00 price target. To see the full list of analyst forecasts on Fuji Oil Holdings, Inc. stock, see the JP:2607 Stock Forecast page.