Itochu-Shokuhin Co., Ltd. (2692) AI Stock Analysis

• Market Cap: ¥128.65B
• Dividend Yield: 1.35%
• Average Volume (3M): 33.34K
• Price to Earnings (P/E): 15.7
• Beta (1Y): 0.53
• Revenue Growth: 4.00%
• EPS Growth: 24.34%
• Country: JP
• Employees: 1,179
• Sector: Consumer Defensive
• Sector Strength: 63
• Industry: Food Distribution
• EPS (TTM): -23.85
• Shares Outstanding: 12,720,000
• 10 Day Avg. Volume: 26,970
• 30 Day Avg. Volume: 33,340
• PEG Ratio: 1.09
• Price to Book (P/B): 0.65
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.00
• 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

• Rating: 77 Outperform
• Price Target: ¥11,823.00 ▲(17.52%Upside)

The overall stock score is primarily driven by strong technical momentum, highlighting a bullish trend, and solid financial performance due to revenue growth and stable margins. However, cash flow management issues and moderate valuation slightly temper the score.

Itochu-Shokuhin Co., Ltd. Business Overview & Revenue Model

Company Description

Itochu-Shokuhin Co., Ltd. is a Japan-based company primarily engaged in the wholesale distribution of food products. It operates within the consumer goods sector, providing a wide range of food items including processed foods, fresh foods, and beverages. The company serves various retail and food service businesses, leveraging its extensive distribution network to ensure efficient delivery and supply chain management.

How the Company Makes Money

Itochu-Shokuhin Co., Ltd. generates revenue through the wholesale distribution of food products. The company's primary revenue streams include sales to supermarkets, convenience stores, and restaurants. It earns money by purchasing food products from manufacturers and suppliers and selling them at a markup to retailers and food service operators. The company also benefits from its strong logistics and distribution capabilities, which allow it to effectively manage supply chains and maintain a steady flow of goods to its clients. Partnerships with food producers and retailers strengthen its market position and enhance its ability to meet consumer demand.

Itochu-Shokuhin Co., Ltd. Financial Statement Overview

Summary

Itochu-Shokuhin Co., Ltd. demonstrates solid revenue growth and stable profit margins, indicative of a strong market position in the food distribution industry. However, cash flow management needs attention due to recent negative trends, which slightly reduces the financial performance score.

Income Statement

The company shows a strong revenue growth trend with a 4% increase in the latest year. Net Profit Margin improved to 1.17% from 0.98% in the previous year, indicating enhanced profitability. Gross Profit Margin remained stable at around 5.9%. However, the EBIT and EBITDA margins show room for improvement at 1.22% and 1.87%, respectively, suggesting potential efficiency improvements.

Balance Sheet

The balance sheet reflects a healthy equity position with an Equity Ratio of 42.57%, indicating a stable capital structure. The Debt-to-Equity Ratio is low at 0.03, showcasing low leverage and financial stability. However, the Return on Equity is modest at 7.10%, suggesting opportunities for better utilization of equity capital.

Cash Flow

The cash flow statement shows a concerning decline in Operating Cash Flow from a positive flow to a negative in the latest year. Free Cash Flow also turned negative, indicating cash management challenges. The Free Cash Flow to Net Income Ratio reflects this strain at -0.52.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
692.12B	699.37B	672.45B	642.95B	612.66B	656.74B
	Gross Profit
40.98B	41.16B	39.55B	37.93B	35.05B	35.34B
	EBIT
8.65B	8.51B	7.66B	7.51B	5.89B	5.02B
	EBITDA
12.31B	13.09B	11.37B	9.67B	8.04B	7.25B
	Net Income Common Stockholders
8.42B	8.21B	6.60B	4.84B	4.32B	4.03B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
69.53B	1.45B	1.61B	1.56B	1.27B	1.11B
	Total Assets
334.62B	271.55B	274.50B	246.62B	236.67B	231.18B
	Total Debt
3.73B	3.61B	4.11B	4.69B	5.78B	5.97B
	Net Debt
-6.80B	2.16B	2.50B	3.12B	4.52B	4.86B
	Total Liabilities
217.28B	155.96B	165.23B	146.84B	141.42B	137.85B
	Stockholders Equity
117.33B	115.57B	109.25B	99.76B	95.22B	93.31B
Cash Flow		Free Cash Flow
0.00	-4.24B	8.71B	5.39B	2.89B	7.57B
	Operating Cash Flow
0.00	-3.92B	10.53B	7.68B	5.24B	8.01B
	Investing Cash Flow
0.00	693.00M	-1.66B	-2.42B	1.63B	-14.53B
	Financing Cash Flow
0.00	-2.04B	-1.72B	-2.16B	-1.78B	-1.68B

Itochu-Shokuhin Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10060.00
• 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:2692, the sentiment is Positive. The current price of 10060 is above the 20-day moving average (MA) of 9896.00, above the 50-day MA of 9091.40, and above the 200-day MA of 7617.34, indicating a bullish trend. The MACD of 322.93 indicates Positive momentum. The RSI at 58.41 is Neutral, neither overbought nor oversold. The STOCH value of 54.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2692.

Itochu-Shokuhin Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2692	77 Outperform	¥128.65B	15.68		1.35%	4.00%	24.34%
8030	72 Outperform	¥13.94B	4.81		3.15%	8.95%	35.94%
7614	71 Outperform	¥10.54B	9.55		2.17%	2.08%	-17.38%
8079	71 Outperform	¥68.34B	22.27		1.48%	6.18%	0.76%
7451	68 Neutral	¥275.15B	11.84		3.01%	2.14%	2.72%
Sector *	65 Neutral	$8.92B	15.03	4.68%	6.11%	3.59%	-2.49%

Itochu-Shokuhin Co., Ltd. Corporate Events

Itochu-Shokuhin Reports Strong Financial Growth in FY2025

Itochu-Shokuhin Co., Ltd. reported a notable increase in its consolidated financial results for the fiscal year ended March 31, 2025, with net sales rising by 4% and profit attributable to owners of the parent increasing by 24.3%. Despite a decrease in comprehensive income, the company improved its equity-to-asset ratio and increased dividends per share, reflecting a strong financial position and commitment to shareholder returns.