Sato Foods Industries Co., Ltd. (2814) AI Stock Analysis

• Market Cap: ¥13.96B
• Dividend Yield: 1.71%
• Average Volume (3M): 950.00
• Price to Earnings (P/E): 15.1
• Beta (1Y): 0.21
• Revenue Growth: 4.25%
• EPS Growth: -18.59%
• Country: JP
• Employees: 164
• Sector: Consumer Defensive
• Sector Strength: 56
• Industry: Packaged Foods
• EPS (TTM): 26.53
• Shares Outstanding: 9,027,460
• 10 Day Avg. Volume: 900
• 30 Day Avg. Volume: 950
• PEG Ratio: 0.10
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 7.62
• 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: 71 Outperform
• Price Target: ¥2,570.00 ▲(10.25%Upside)

Sato Foods Industries Co., Ltd. demonstrates strong financial stability and operational efficiency, with a robust balance sheet and low leverage. While technical indicators suggest a neutral trend, the valuation is reasonable, supporting a balanced outlook. The absence of earnings call data and corporate events limits the analysis to core financial and market metrics.

Sato Foods Industries Co., Ltd. Business Overview & Revenue Model

Company Description

Sato Foods Industries Co., Ltd. (2814) is a Japanese company operating primarily in the food manufacturing sector. The company specializes in producing a wide range of food products, including instant foods, seasonings, and various packaged food items. Sato Foods Industries is known for its commitment to quality and innovation, catering to both domestic and international markets.

How the Company Makes Money

Sato Foods Industries Co., Ltd. generates revenue through the production and sale of its food products. The company's key revenue streams include the sale of instant foods, seasonings, and other packaged food items to retailers, wholesalers, and directly to consumers. Additionally, the company may have strategic partnerships with other food distributors and retailers to expand its market reach. Factors contributing to its earnings include product innovation, brand recognition, and efficient distribution channels. The company may also engage in export activities, contributing to its revenue from international markets.

Sato Foods Industries Co., Ltd. Financial Statement Overview

Summary

Sato Foods Industries Co., Ltd. showcases strong operational efficiency and financial stability with low leverage and robust equity ratios. While profitability metrics have room for improvement, the company's steady revenue growth and consistent cash generation provide a solid foundation for future growth. Attention to enhancing net income and free cash flow is recommended to further strengthen financial health.

Income Statement

The company demonstrates a strong gross profit margin (25.42%) and EBIT margin (10.58%), indicating cost efficiency and effective operations. However, the net profit margin has decreased to 9.38%, reflecting a decline in profitability. Revenue growth is modest at 4.25%, showing steady, albeit slow, expansion.

Balance Sheet

Sato Foods maintains a robust balance sheet with a low debt-to-equity ratio of 0.03, highlighting financial stability. The equity ratio stands at 91.17%, which underscores strong equity financing. However, ROE has decreased to 3.09%, suggesting room for improvement in profitability relative to equity.

Cash Flow

The cash flow statement reveals a decline in free cash flow growth, down by 38.52%. The operating cash flow to net income ratio is 1.55, indicating strong cash generation relative to earnings. However, the free cash flow to net income ratio of 1.11 suggests potential constraints in free cash flow growth.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	6.37B	6.36B	6.10B	5.88B	5.64B	6.08B
Gross Profit	1.65B	1.62B	1.53B	1.52B	1.64B	1.53B
EBITDA	1.17B	1.16B	1.20B	629.60M	1.12B	1.17B
Net Income	787.46M	596.43M	773.22M	384.74M	727.94M	292.59M
Balance Sheet
Total Assets	21.74B	21.16B	21.85B	20.49B	20.32B	20.05B
Cash, Cash Equivalents and Short-Term Investments	9.60B	9.72B	9.86B	9.01B	9.18B	8.75B
Total Debt	670.00M	670.00M	670.00M	670.00M	670.00M	670.00M
Total Liabilities	2.08B	1.87B	2.10B	1.45B	1.58B	1.67B
Stockholders Equity	19.65B	19.29B	19.74B	19.04B	18.74B	18.38B
Cash Flow
Free Cash Flow	0.00	663.21M	1.08B	204.86M	647.56M	1.13B
Operating Cash Flow	0.00	921.97M	1.17B	553.28M	844.39M	1.29B
Investing Cash Flow	0.00	-464.86M	140.87M	-325.52M	-221.19M	-176.09M
Financing Cash Flow	0.00	-597.10M	-449.51M	-404.59M	-187.93M	-197.69M

Sato Foods Industries Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2331.00
• 50DMA: Negative
• 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:2814, the sentiment is Negative. The current price of 2331 is below the 20-day moving average (MA) of 2355.30, below the 50-day MA of 2347.86, and above the 200-day MA of 2184.93, indicating a neutral trend. The MACD of -0.46 indicates Positive momentum. The RSI at 48.27 is Neutral, neither overbought nor oversold. The STOCH value of 57.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2814.

Sato Foods Industries Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2892	75 Outperform	¥16.87B	11.05		3.21%	-5.97%	-37.27%
2813	74 Outperform	¥10.11B	7.66		2.61%	5.40%	10.69%
2814	71 Outperform	¥13.96B	15.06		1.71%	4.25%	-18.59%
Sector *	65 Neutral	$27.25B	15.35	-4.01%	3.14%	1.00%	1.98%
2806	60 Neutral	¥14.45B	26.13		1.92%	4.72%	20.48%
2818	58 Neutral	¥12.08B	207.44		1.38%	10.29%	-52.86%
2901	57 Neutral	¥13.30B	24.49		0.32%	-2.04%	―