ARIAKE JAPAN Co (2815) AI Stock Analysis

• Market Cap: ¥179.00B
• Dividend Yield: 3.24%
• Average Volume (3M): 61.81K
• Price to Earnings (P/E): 15.3
• Beta (1Y): 0.47
• Revenue Growth: 2.42%
• EPS Growth: 66.96%
• Country: JP
• Employees: 1,106
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 55.74
• Shares Outstanding: 32,808,685
• 10 Day Avg. Volume: 53,610
• 30 Day Avg. Volume: 61,809
• PEG Ratio: 2.07
• Price to Book (P/B): 1.55
• Price to Sales (P/S): 3.01
• P/FCF Ratio: 17.56
• 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
• EPS Forecast (FY): 274.22
• Revenue Forecast (FY): ¥67.63B

• Rating: 67 Neutral
• Price Target: ¥6,239.00 ▲(16.40% Upside)
• Action: Downgraded Date: 11/19/25
• Date: Action: Downgraded 11/19/25

The overall stock score is primarily driven by ARIAKE JAPAN Co's strong financial performance, characterized by robust revenue growth, profitability, and a solid balance sheet. However, the technical analysis indicates bearish momentum, which negatively impacts the score. The valuation is moderate, with a reasonable P/E ratio and an attractive dividend yield. The absence of significant earnings call data or corporate events means these factors do not influence the score.

Positive Factors

Robust balance sheet / low leverage

Extremely low leverage and an 87.2% equity ratio provide durable financial stability. This conservative capital structure reduces refinancing risk, lowers interest expense vulnerability, and preserves capacity to fund capex, working capital or opportunistic M&A without stressing liquidity over the medium term.

Strong cash generation

Near-doubling of free cash flow and cash-to-income ratios above 1 indicate excellent cash conversion and capital discipline. Reliable cash generation supports sustained dividends, internal reinvestment and resilience through industry cycles, reducing reliance on external funding over 2-6 months and beyond.

Consistent revenue and margin improvement

Recent double-digit top-line growth with expanding gross and net margins signals durable demand for core seasoning products and improving operational efficiency. Margin expansion suggests pricing power or cost control that can sustain profitability even if volumes fluctuate seasonally or regionally.

Negative Factors

Modest return on equity

A 6.5% ROE is modest given the very high equity base, implying limited capital efficiency. Over the medium term this can constrain shareholder returns and suggests the business generates only moderate profits per unit of equity, potentially limiting long-term earnings leverage.

Low EPS growth rate

EPS growth near 1.8% indicates slow per-share earnings expansion relative to peers. Even with solid cash flow and revenue, muted EPS growth can reflect dilution, conservative margin tailwinds, or limited operating leverage, restricting earnings power and shareholder return momentum over several quarters.

Concentrated product and customer exposure

A focused product set serving B2B food manufacturers and foodservice concentrates demand risk and exposure to industry cycles, commodity input swings, and customer-specific contract changes. Limited diversification can make revenue and margins sensitive to sectoral shifts over the medium term.

ARIAKE JAPAN Co Business Overview & Revenue Model

Company Description

ARIAKE JAPAN Co., Ltd. manufactures, processes, and sells natural seasoning products from chicken, pork, and beef. The company also engages in the production, processing, export/import, and sale of agricultural and livestock products, marine products, quasi-drugs, and non-pharmaceutical products, as well as the management of restaurants. It provides chicken bone base soups, ramen soups, chanpon soups, bouillon and consomme products, sauce bases, and Japanese bouillon products; and livestock meat, including beef, pork, and chicken, as well as shrimps, garlic, and seasoning oils. The company offers its products to instant noodle manufacturing, food service, and food processing industries. It operates in Japan, the United States, China, Taiwan, France, Belgium, the Netherlands, and Indonesia. The company was formerly known as Ariake Tokushu Suisan Hanbai Co., Ltd. and changed its name to ARIAKE JAPAN Co., Ltd. in April 1990. ARIAKE JAPAN Co., Ltd. was founded in 1966 and is headquartered in Tokyo, Japan.

How the Company Makes Money

ARIAKE JAPAN makes money mainly by selling seasoning ingredients (especially natural meat extracts and broth/stock-based products) to business customers. Its core revenue stream is B2B product sales to (1) processed food manufacturers that use Ariake’s extracts/bases as inputs in products like soups, noodles, sauces, and prepared foods, and (2) foodservice/restaurant and catering operators that purchase soup bases and seasonings for kitchen use. Revenue is generated from the volume of ingredient shipments and the unit pricing of these products, which depends on product type (e.g., standard vs. customized formulations), specification/quality requirements, and customer contracts. The company also earns revenue from overseas sales by supplying similar seasoning ingredients to customers outside Japan through its international operations/sales channels. If the company has additional material income streams (e.g., licensing, royalties, or major disclosed strategic partnerships), null.

ARIAKE JAPAN Co Financial Statement Overview

Summary

ARIAKE JAPAN Co presents a well-rounded financial profile with strong revenue growth, solid profitability margins, and a robust balance sheet. The company's low leverage and high equity ratio highlight its financial conservatism and stability. Additionally, the significant growth in free cash flow and favorable cash flow ratios underscore excellent cash management and liquidity.

Income Statement

ARIAKE JAPAN Co has demonstrated solid revenue growth with a consistent upward trend over the past years, culminating in a 9.0% increase in the latest year. The gross profit margin stands at 30.2% for 2025, reflecting strong cost management. The net profit margin improved to 12.5%, showcasing enhanced profitability. Both EBIT and EBITDA margins have shown positive trajectories, indicating effective operational efficiency.

Balance Sheet

The company maintains a robust balance sheet with a low debt-to-equity ratio of 0.0001, indicating minimal leverage. The return on equity is 6.5%, suggesting moderate profitability relative to equity. With an equity ratio of 87.2%, ARIAKE JAPAN Co demonstrates significant financial stability and conservative financing practices.

Cash Flow

The free cash flow has grown impressively by 94.7% from the previous year, underlining strong cash generation capabilities. The operating cash flow to net income ratio is 1.48, indicating excellent cash flow relative to reported earnings. The company's free cash flow to net income ratio is also strong at 1.37, highlighting effective capital expenditure management and liquidity.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	65.52B	65.40B	59.98B	55.70B	52.66B	49.68B
Gross Profit	20.10B	19.72B	16.77B	16.30B	18.10B	17.25B
EBITDA	14.49B	14.24B	12.85B	11.20B	12.99B	12.17B
Net Income	8.74B	8.21B	7.35B	6.38B	7.71B	7.28B
Balance Sheet
Total Assets	144.50B	145.73B	136.60B	126.26B	119.96B	111.68B
Cash, Cash Equivalents and Short-Term Investments	56.24B	58.96B	50.21B	56.80B	64.90B	60.38B
Total Debt	15.86M	18.03M	26.27M	34.43M	42.87M	4.13M
Total Liabilities	17.51B	17.35B	16.32B	14.52B	13.63B	12.81B
Stockholders Equity	125.77B	127.10B	119.18B	110.76B	105.49B	98.20B
Cash Flow
Free Cash Flow	0.00	11.21B	5.76B	2.57B	5.93B	9.50B
Operating Cash Flow	0.00	12.17B	8.81B	5.60B	8.30B	11.02B
Investing Cash Flow	0.00	675.47M	-14.50B	-1.92B	7.06B	4.28B
Financing Cash Flow	0.00	-3.54B	-3.28B	-3.09B	-2.48B	-2.48B

ARIAKE JAPAN Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5360.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2815, the sentiment is Negative. The current price of 5360 is below the 20-day moving average (MA) of 5849.50, below the 50-day MA of 5730.00, and below the 200-day MA of 5873.37, indicating a bearish trend. The MACD of -40.21 indicates Positive momentum. The RSI at 40.70 is Neutral, neither overbought nor oversold. The STOCH value of 33.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2815.

ARIAKE JAPAN Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2810	74 Outperform	¥293.53B	10.81	4.15%	1.66%	0.74%	5.88%
2805	73 Outperform	¥118.39B	6.86	―	1.08%	0.48%	-4.27%
2801	72 Outperform	¥1.29T	18.60	11.19%	1.46%	2.65%	-5.76%
2809	71 Outperform	¥590.91B	19.60	9.28%	1.30%	5.50%	27.32%
2815	67 Neutral	¥179.00B	15.27	7.21%	3.24%	2.42%	66.96%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2802	61 Neutral	¥4.28T	20.92	9.46%	1.32%	1.99%	-18.79%

ARIAKE JAPAN Co Corporate Events

ARIAKE JAPAN Sets Up Nomination and Compensation Committee to Bolster Governance

ARIAKE JAPAN Co., Ltd. has resolved at its board meeting to establish a voluntary Nomination and Compensation Committee as an advisory body to the Board of Directors, effective March 2, 2026. The move is aimed at enhancing corporate governance by reinforcing fairness, transparency, objectivity, and accountability in the processes for selecting, evaluating, and compensating directors, including succession planning for top management.

The new committee will review and make recommendations on director appointments and dismissals, including those of the representative director and executives, define the skills matrix required for the board, and oversee the formulation and operation of succession plans. It will also address compensation policies for directors and executive officers, with its membership composed mainly of independent outside directors, signaling a stronger governance framework that may improve stakeholder confidence and board effectiveness.

The most recent analyst rating on (JP:2815) stock is a Hold with a Yen6543.00 price target. To see the full list of analyst forecasts on ARIAKE JAPAN Co stock, see the JP:2815 Stock Forecast page.

Ariake Japan Lifts Interim Profits on European Strength, Keeps FY2026 Outlook Intact

Ariake Japan reported higher consolidated and non-consolidated sales and profits for the interim period of FY2026, with consolidated net sales up 2.2%, operating profit up 7.2% and net profit up 14.6% year on year, driven by gains at both the parent company and subsidiaries and supported by growth in B2B2C products. Subsidiaries posted a 4.7% increase in reported net sales and an 11.2% rise in operating profit, as profit improvement and stronger performance in Europe more than offset an economic slowdown in Asia, though both consolidated and non-consolidated results fell slightly short of internal plans, and the company maintained its full-year FY2026 targets, aiming to counter Asian sluggishness with European growth and stronger second-half sales in Japan.

The most recent analyst rating on (JP:2815) stock is a Buy with a Yen5746.00 price target. To see the full list of analyst forecasts on ARIAKE JAPAN Co stock, see the JP:2815 Stock Forecast page.

Ariake Japan Lifts Profits and Dividends on Steady Nine-Month Growth

Ariake Japan reported steady growth for the nine months ended December 31, 2025, with net sales rising 2.2% year on year to ¥49.9 billion and profit attributable to owners of parent climbing 14.6% to ¥6.9 billion, driven by improved profitability that also lifted operating and ordinary profits and strengthened earnings per share. The company maintained a robust financial position with an equity-to-asset ratio around 87%, confirmed unchanged full-year forecasts calling for modest sales and profit growth in the fiscal year to March 31, 2026, and outlined a significantly higher dividend payout plan versus the previous year, signaling confidence in earnings resilience and a continued emphasis on shareholder returns even as it reshapes its global operations portfolio.

The most recent analyst rating on (JP:2815) stock is a Buy with a Yen5746.00 price target. To see the full list of analyst forecasts on ARIAKE JAPAN Co stock, see the JP:2815 Stock Forecast page.