Kikkoman (2801) AI Stock Analysis

• Market Cap: ¥1.28T
• Dividend Yield: 1.59%
• Average Volume (3M): 2.90M
• Price to Earnings (P/E): 20.4
• Beta (1Y): 0.86
• Revenue Growth: 7.29%
• EPS Growth: 9.73%
• Country: JP
• Employees: 7,521
• Sector: Consumer Defensive
• Sector Strength: 51
• Industry: Packaged Foods
• EPS (TTM): N/A
• Shares Outstanding: 969,416,000
• 10 Day Avg. Volume: 2,449,040
• 30 Day Avg. Volume: 2,899,886
• PEG Ratio: -34.39
• Price to Book (P/B): 2.49
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 76.19
• 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: ¥1,475.34
• Price Target Upside: 11.43% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4

• Rating: 71 Outperform
• Price Target: ¥1,473.00 ▲(11.25%Upside)

Kikkoman's stock is characterized by strong financial performance and fair valuation, though technical indicators suggest a cautious outlook. The company's robust revenue growth and effective cost management are key strengths, while technical analysis points to potential weakness in market momentum. Valuation metrics indicate a fair market price, complemented by a moderate dividend yield.

Positive Factors

Market Recommendation

The analyst recommends upgrading Kikkoman to Market-Perform.

Negative Factors

Currency Impact

There is still scope for mid single digit stock price downside due to US$ depreciation and soft restaurant channel demand.

Economic Conditions

A US recession would be a clear incremental negative as 69% of the company’s earnings are generated in the country.

Kikkoman Business Overview & Revenue Model

Company Description

Kikkoman Corporation, headquartered in Japan, is a globally recognized company primarily involved in the production and distribution of food products, with a strong focus on soy sauce. The company operates across various sectors including food manufacturing, food service, and retail. Core products include soy sauce, seasonings, sauces, vinegar, and beverages. Kikkoman is also engaged in the production of sake, mirin, and other fermented products, leveraging its expertise in fermentation technology.

How the Company Makes Money

Kikkoman makes money through a diversified revenue model primarily centered around its food production and sales. The company's key revenue streams include the sale of soy sauce and related condiments, which are distributed to both domestic and international markets. Kikkoman also generates income from its food service sector, providing sauces and seasonings to restaurants and catering businesses. Additionally, the company benefits from its beverage sales, including sake and mirin. Significant partnerships with food distributors and retailers globally enhance its market reach and contribute to its earnings. Kikkoman's global presence and brand reputation play a crucial role in maintaining its revenue streams.

Kikkoman Financial Statement Overview

Summary

Kikkoman demonstrates strong financial performance with consistent revenue and profit growth, effective cost management, and stable cash flows. The company maintains a solid balance sheet with low debt and commendable return on equity. However, attention is needed on increasing debt levels and improving cash flow management.

Income Statement

Kikkoman has demonstrated strong revenue growth over the years, with a significant increase from 2021 to 2025. The gross profit margin and net profit margin are healthy, indicating efficient cost management and profitability. The EBIT and EBITDA margins show robust operational efficiency. Consistent revenue and profit growth highlight a positive trend, though the sharp increase in total revenue may slow in future periods.

Balance Sheet

The company maintains a solid balance sheet with a strong equity position and a low debt-to-equity ratio, showcasing financial stability. The return on equity is commendable, indicating good returns for shareholders. The equity ratio further underscores the company's strong financial health. However, attention should be given to increasing total debt, which could pose future risks if not managed carefully.

Cash Flow

Kikkoman's cash flow is solid, with positive free cash flow and a strong operating cash flow to net income ratio, highlighting effective cash management. The free cash flow growth rate is stable, ensuring liquidity for investments and operations. However, the decline in operating cash flow from 2024 to 2025 suggests potential areas for improvement in cash flow management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	708.98B	660.84B	618.90B	516.44B	439.41B
Gross Profit	239.23B	219.01B	204.43B	178.83B	154.23B
EBITDA	112.26B	93.72B	80.13B	69.92B	62.34B
Net Income	61.70B	56.44B	43.73B	38.90B	31.16B
Balance Sheet
Total Assets	679.41B	667.88B	566.38B	503.06B	438.51B
Cash, Cash Equivalents and Short-Term Investments	106.18B	119.16B	103.86B	81.77B	61.28B
Total Debt	59.01B	59.91B	50.98B	43.46B	41.66B
Total Liabilities	163.36B	169.62B	149.42B	139.15B	124.99B
Stockholders Equity	508.54B	491.36B	410.51B	357.82B	308.13B
Cash Flow
Free Cash Flow	34.49B	49.74B	32.65B	32.53B	40.10B
Operating Cash Flow	73.98B	80.81B	59.20B	52.09B	57.17B
Investing Cash Flow	-38.46B	-42.99B	-26.62B	-16.11B	-16.89B
Financing Cash Flow	-46.09B	-31.42B	-20.38B	-17.90B	-15.42B

Kikkoman Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1324.00
• 50DMA: Positive
• 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:2801, the sentiment is Neutral. The current price of 1324 is above the 20-day moving average (MA) of 1305.40, above the 50-day MA of 1305.76, and below the 200-day MA of 1507.09, indicating a neutral trend. The MACD of 4.97 indicates Negative momentum. The RSI at 52.57 is Neutral, neither overbought nor oversold. The STOCH value of 64.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2801.

Kikkoman Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2802	74 Outperform	¥4.01T	57.40	8.89%	2.00%	6.35%	-17.08%
2801	71 Outperform	¥1.28T	20.37	12.17%	1.59%	7.29%	9.73%
2809	71 Outperform	€561.44B	20.26	9.37%	1.40%	5.82%	32.64%
2804	71 Outperform	¥26.92B	11.06		1.73%	1.31%	10549.54%
Sector *	68 Neutral	¥196.51B	21.30	8.22%	2.26%	4.84%	0.81%
2811	67 Neutral	¥256.71B	20.04		1.97%	11.08%	-46.09%
2819	66 Neutral	¥23.53B	17.64		1.79%	6.08%	-22.00%

Kikkoman Corporate Events

Kikkoman Executes Share Buyback Plan

Kikkoman Corporation has announced the acquisition of its own shares, executing this under the provisions of the Companies Act of Japan. During June 2025, the company acquired 2,231,500 shares for approximately 2.88 billion yen through market transactions on the Tokyo Stock Exchange. This strategic move is part of a larger plan to acquire up to 16 million shares by March 2026, potentially impacting shareholder value and market positioning.

The most recent analyst rating on (JP:2801) stock is a Hold with a Yen1350.00 price target. To see the full list of analyst forecasts on Kikkoman stock, see the JP:2801 Stock Forecast page.

Kikkoman Executes Share Buyback Plan

Kikkoman Corporation has announced the acquisition of its own shares, executing this under the provisions of the Companies Act of Japan. During May 2025, the company acquired 241,600 shares through market transactions on the Tokyo Stock Exchange, amounting to a total acquisition price of 320,667,692 yen. This move is part of a larger plan to acquire up to 16 million shares by March 2026, which represents 1.70% of the shares outstanding as of March 2025. This strategic acquisition could potentially impact Kikkoman’s stock value and shareholder equity, reflecting the company’s confidence in its market position.

The most recent analyst rating on (JP:2801) stock is a Sell with a Yen1600.00 price target. To see the full list of analyst forecasts on Kikkoman stock, see the JP:2801 Stock Forecast page.