Kadoya Sesame Mills Incorporated (2612) AI Stock Analysis

• Market Cap: ¥34.69B
• Dividend Yield: 2.65%
• Average Volume (3M): 4.38K
• Price to Earnings (P/E): 14.8
• Beta (1Y): 0.16
• Revenue Growth: 10.50%
• EPS Growth: -3.82%
• Country: JP
• Employees: 550
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 90.70
• Shares Outstanding: 9,400,000
• 10 Day Avg. Volume: 2,770
• 30 Day Avg. Volume: 4,383
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥4,105.00
• Price Target Upside: 8.89% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 71 Outperform
• Price Target: ¥4,105.00 ▲(8.89% Upside)

Kadoya Sesame Mills Incorporated scores well due to its strong financial performance, characterized by stable revenue growth and a robust balance sheet with minimal leverage. The technical analysis indicates a neutral to slightly bullish trend, supported by positive momentum indicators. The valuation is fair, with a reasonable P/E ratio and an attractive dividend yield. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion.

Balance Sheet Strength

Minimal leverage reduces financial risk and enhances the company's ability to invest in growth opportunities without excessive debt burden.

Cash Flow Generation

Improved cash generation capabilities provide financial flexibility for reinvestment and shareholder returns, supporting sustainable growth.

Negative Factors

Net Profit Margin Pressure

Decreasing net profit margins may indicate rising costs or pricing pressures, which could impact profitability if not addressed.

Cash Flow Efficiency

Low cash flow efficiency suggests potential challenges in converting earnings into cash, which could limit operational flexibility.

Earnings Growth

Negative EPS growth reflects declining profitability, which may affect investor confidence and the company's ability to fund future growth.

Kadoya Sesame Mills Incorporated Business Overview & Revenue Model

Company Description

Kadoya Sesame Mills Incorporated is a Japanese company primarily engaged in the production and sale of sesame oil and related products. Established in 1858, the company has a long-standing history in the food industry and is recognized for its high-quality products. Kadoya focuses on the manufacturing and distribution of sesame oil, which is used in various culinary applications, ranging from cooking to seasoning.

How the Company Makes Money

Kadoya Sesame Mills Incorporated generates revenue through the sale of its sesame oil products. The company's primary revenue stream comes from the production and distribution of sesame oil to both domestic and international markets. Kadoya utilizes a network of retailers, wholesalers, and direct sales channels to deliver its products to consumers and businesses, including restaurants and food manufacturers. The company's earnings are significantly influenced by its ability to maintain quality standards and meet consumer demand for healthy and natural food products. Additionally, Kadoya may engage in strategic partnerships and collaborations to enhance its market presence and expand its product offerings.

Kadoya Sesame Mills Incorporated Financial Statement Overview

Summary

Kadoya Sesame Mills Incorporated demonstrates consistent revenue growth and efficient cost management, with stable gross profit margins. The balance sheet is strong, characterized by minimal leverage and a robust equity ratio. Cash flow generation has improved, though there is room for enhancing cash flow efficiency.

Income Statement

Kadoya Sesame Mills Incorporated shows a consistent revenue growth trend with a TTM revenue growth rate of 2.45%. The gross profit margin remains stable around 25.7%, indicating efficient cost management. However, the net profit margin has slightly decreased over time, currently at 5.97%, which suggests some pressure on profitability. Overall, the company maintains solid EBIT and EBITDA margins, reflecting operational efficiency.

Balance Sheet

The company exhibits a strong balance sheet with a very low debt-to-equity ratio of 0.0018, indicating minimal leverage and financial risk. The return on equity (ROE) is stable at around 6.76%, showing effective use of equity to generate profits. The equity ratio is robust, suggesting a strong capital structure with significant equity backing the assets.

Cash Flow

Kadoya Sesame Mills has demonstrated significant free cash flow growth in the TTM period, indicating improved cash generation capabilities. The operating cash flow to net income ratio is relatively low at 0.064, suggesting potential room for improvement in cash flow efficiency. However, the free cash flow to net income ratio is healthy, indicating good cash conversion from profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	40.42B	39.45B	35.68B	33.69B	32.19B	35.10B
Gross Profit	10.31B	10.15B	9.78B	9.44B	10.16B	12.88B
EBITDA	4.25B	4.51B	4.71B	4.73B	5.55B	4.96B
Net Income	2.34B	2.36B	2.25B	2.22B	2.77B	2.10B
Balance Sheet
Total Assets	43.27B	43.54B	42.67B	41.53B	39.36B	36.31B
Cash, Cash Equivalents and Short-Term Investments	8.45B	7.88B	8.70B	6.89B	6.15B	2.86B
Total Debt	188.00M	65.00M	68.00M	72.00M	0.00	1.00M
Total Liabilities	8.03B	8.27B	8.32B	8.71B	8.21B	7.21B
Stockholders Equity	35.24B	35.27B	34.35B	32.82B	31.15B	29.10B
Cash Flow
Free Cash Flow	2.32B	83.00M	2.70B	1.77B	3.86B	1.62B
Operating Cash Flow	2.66B	384.00M	2.97B	2.46B	4.54B	2.71B
Investing Cash Flow	-327.00M	-258.00M	-239.00M	-720.00M	-473.00M	-846.00M
Financing Cash Flow	-927.00M	-925.00M	-922.00M	-1.00B	-781.00M	-3.01B

Kadoya Sesame Mills Incorporated Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3770.00
• 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:2612, the sentiment is Positive. The current price of 3770 is above the 20-day moving average (MA) of 3731.50, above the 50-day MA of 3716.50, and above the 200-day MA of 3612.51, indicating a bullish trend. The MACD of 15.32 indicates Negative momentum. The RSI at 56.42 is Neutral, neither overbought nor oversold. The STOCH value of 56.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2612.

Kadoya Sesame Mills Incorporated Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2612	71 Outperform	¥34.69B	14.81		2.65%	10.50%	-3.82%
Sector *	62 Neutral	$20.51B	14.76	-3.31%	3.19%	1.94%	-10.37%
8WC	―	€989.06M	6.25	13.21%	―	―	―
2804	71 Outperform	¥28.39B	11.67		1.65%	1.31%	10549.54%
2613	70 Outperform	¥68.36B	10.90		2.90%	-4.47%	-7.10%
2811	70 Outperform	¥261.55B	20.42		1.91%	11.08%	-46.09%
2819	67 Neutral	¥24.02B	24.61		1.75%	3.96%	-42.78%

Kadoya Sesame Mills Incorporated Corporate Events

Kadoya Sesame Mills Reports Strong Q1 Sales Growth

Kadoya Sesame Mills Incorporated reported a 10% increase in net sales for the first quarter of fiscal year 2026, reaching 10,566 million yen. Operating profit also rose by 13.9% to 1,267 million yen, although ordinary profit and profit attributable to owners of the parent saw slight declines. The company’s capital adequacy ratio remains strong at 81.4%, indicating robust financial health. These results highlight Kadoya’s steady market presence and operational efficiency, despite minor setbacks in ordinary profit.