Hagoromo Foods Corporation (2831) AI Stock Analysis

• Market Cap: ¥31.81B
• Dividend Yield: 1.63%
• Average Volume (3M): 2.07K
• Price to Earnings (P/E): 12.9
• Beta (1Y): 0.13
• Revenue Growth: 0.57%
• EPS Growth: 12.46%
• Country: JP
• Employees: 694
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 96.82
• Shares Outstanding: 10,325,365
• 10 Day Avg. Volume: 1,890
• 30 Day Avg. Volume: 2,070
• 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: ¥3,526.00
• Price Target Upside: 4.32% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 68 Neutral
• Price Target: ¥3,526.00 ▲(4.32% Upside)

Hagoromo Foods Corporation's overall stock score reflects strong financial performance and reasonable valuation, countered by neutral technical indicators. The company's fundamentals show growth potential, though operational efficiency and returns could be improved.

Positive Factors

Revenue Growth

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

Cash Flow Management

Robust cash flow management ensures liquidity and financial flexibility, supporting ongoing operations and potential investments.

Financial Stability

Strong equity base and low leverage enhance financial stability, reducing risk and supporting long-term growth potential.

Negative Factors

EBIT Margin

The relatively low EBIT margin suggests potential inefficiencies in operations, which could limit profitability improvements over time.

Return on Equity

Low ROE may reflect suboptimal use of equity capital, potentially impacting investor returns and long-term value creation.

Operational Efficiency

Operational inefficiencies could hinder profitability and growth, necessitating strategic improvements to enhance competitiveness.

Hagoromo Foods Corporation Business Overview & Revenue Model

Company Description

Hagoromo Foods Corporation (2831) is a prominent Japanese food company specializing in the production and distribution of canned foods, pasta, and other processed food products. Established in 1931, the company has built a strong reputation for quality and innovation in the food industry, offering a diverse range of products that cater to various consumer preferences. Hagoromo's product lineup includes canned tuna, pasta products, prepared meals, and sauces, with a focus on delivering delicious and convenient food options to households and businesses across Japan and internationally.

How the Company Makes Money

Hagoromo Foods Corporation generates revenue primarily through the sale of its canned food products and pasta to both retail consumers and commercial clients. The company's key revenue streams include direct sales to supermarkets, convenience stores, and food service operators, as well as exports to international markets. Hagoromo leverages its well-established distribution network and brand recognition to maintain strong sales performance. Additionally, the company engages in strategic partnerships with retailers and food distributors to expand its market reach and drive sales growth. Hagoromo's commitment to innovation and product development also plays a crucial role in sustaining its competitive advantage and profitability in the food industry.

Hagoromo Foods Corporation Financial Statement Overview

Summary

Hagoromo Foods Corporation displays strong revenue growth and profitability improvements, with a healthy balance sheet indicating financial stability. However, there is room for improvement in EBIT margin and ROE.

Income Statement

Hagoromo Foods Corporation shows a strong growth trajectory in recent years, with Total Revenue increasing from ¥67.3 billion in 2021 to ¥74.7 billion in 2025. The Gross Profit Margin has improved to 21.4% in 2025 from 20.4% in 2024, indicating good cost management. The Net Profit Margin has also improved significantly to 3.3% in 2025, up from 2.4% in 2024. This improvement is supported by positive EBIT and EBITDA margins, showing operational efficiency. However, the EBIT Margin, although positive at 3.8% in 2025, shows room for further improvement compared to historical performance.

Balance Sheet

The company's balance sheet reflects a healthy Equity Ratio of 60.2% in 2025, highlighting strong financial stability backed by a solid equity base. The Debt-to-Equity Ratio decreased to 0.08 in 2025, suggesting effective leverage management. However, Return on Equity (ROE) stands at 5.9%, indicating relatively modest returns on equity. This balance sheet structure indicates stability but suggests potential for improving returns.

Cash Flow

Hagoromo Foods Corporation demonstrates robust cash flow management, with Operating Cash Flow increasing significantly to ¥2.5 billion in 2025, translating into a healthy Operating Cash Flow to Net Income Ratio of 1.0. Free Cash Flow has shown impressive growth from ¥302 million in 2024 to ¥1.87 billion in 2025, marking a strong improvement in liquidity. The Free Cash Flow to Net Income Ratio stands at 0.76, highlighting effective conversion of income into cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	74.65B	74.65B	73.50B	70.45B	68.45B	67.35B
Gross Profit	15.97B	15.97B	14.99B	11.82B	15.58B	16.43B
EBITDA	4.93B	4.93B	3.97B	130.71M	4.71B	5.22B
Net Income	2.46B	2.46B	1.75B	-1.32B	2.01B	2.98B
Balance Sheet
Total Assets	68.73B	68.73B	66.37B	60.66B	61.23B	56.95B
Cash, Cash Equivalents and Short-Term Investments	1.48B	1.48B	797.03M	463.87M	3.53B	2.56B
Total Debt	3.20B	3.20B	3.74B	3.24B	3.77B	4.29B
Total Liabilities	27.35B	27.35B	27.11B	26.66B	26.30B	24.51B
Stockholders Equity	41.39B	41.39B	39.26B	34.00B	34.93B	32.44B
Cash Flow
Free Cash Flow	0.00	1.87B	302.81M	-2.46B	2.07B	-1.84B
Operating Cash Flow	0.00	2.47B	904.67M	-53.46M	3.90B	3.53B
Investing Cash Flow	0.00	-680.32M	-596.29M	-2.02B	-1.92B	-5.50B
Financing Cash Flow	0.00	-1.10B	24.43M	-997.37M	-994.89M	2.42B

Hagoromo Foods Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3380.00
• 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:2831, the sentiment is Positive. The current price of 3380 is above the 20-day moving average (MA) of 3358.75, above the 50-day MA of 3323.60, and above the 200-day MA of 3234.84, indicating a bullish trend. The MACD of 17.85 indicates Negative momentum. The RSI at 57.77 is Neutral, neither overbought nor oversold. The STOCH value of 70.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2831.

Hagoromo Foods Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2915	80 Outperform	¥32.39B	10.99		1.97%	1.16%	-23.94%
2669	74 Outperform	¥32.16B	20.11		1.16%	1.04%	-10.84%
2918	74 Outperform	¥48.74B	18.02		3.21%	6.28%	-36.71%
2612	71 Outperform	¥35.06B	14.97		2.65%	10.50%	-3.82%
2820	70 Outperform	¥34.42B	22.91		1.46%	10.86%	1.79%
2831	68 Neutral	¥31.81B	12.89		1.63%	0.57%	12.46%
Sector *	62 Neutral	$20.51B	14.76	-3.31%	3.19%	1.94%	-10.37%