Nittobest Corporation (2877) AI Stock Analysis

• Market Cap: ¥8.92B
• Dividend Yield: 1.63%
• Average Volume (3M): 2.37K
• Price to Earnings (P/E): 23.2
• Beta (1Y): 0.17
• Revenue Growth: 2.93%
• EPS Growth: -6.54%
• Country: JP
• Employees: 1,844
• Sector: Consumer Defensive
• Sector Strength: 57
• Industry: Packaged Foods
• EPS (TTM): 12.94
• Shares Outstanding: 12,102,660
• 10 Day Avg. Volume: 3,100
• 30 Day Avg. Volume: 2,370
• PEG Ratio: -0.61
• Price to Book (P/B): 0.59
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -13.09
• 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: 64 Neutral
• Price Target: ¥785.00 ▲(6.51%Upside)

Nittobest Corporation's stock score is primarily driven by stable revenue growth and a sound balance sheet, though tempered by low profitability and negative cash flow. Technical analysis suggests a neutral to slightly bullish market sentiment, while valuation metrics indicate fair pricing with moderate income potential.

Nittobest Corporation Business Overview & Revenue Model

Company Description

Nittobest Corporation (2877) is a Japanese company that operates primarily in the construction and building materials sector. The company specializes in manufacturing and distributing a variety of construction supplies, including adhesives, sealants, and waterproofing materials. With an emphasis on quality and innovation, Nittobest Corporation serves a diverse client base, ranging from individual contractors to large-scale construction firms, ensuring the safety and durability of construction projects.

How the Company Makes Money

Nittobest Corporation generates revenue by producing and selling construction-related materials such as adhesives, sealants, and waterproofing products. The company's primary revenue streams come from its extensive product line catering to both the residential and commercial construction markets. By leveraging partnerships with distributors and retailers, Nittobest ensures a wide market reach. The company also benefits from ongoing construction trends and infrastructure development projects, which drive demand for its products. Additionally, Nittobest invests in research and development to innovate and expand its product offerings, thereby maintaining a competitive edge and fostering customer loyalty.

Nittobest Corporation Financial Statement Overview

Summary

Nittobest Corporation shows stable revenue growth and a sound balance sheet, but profitability and cash flow management are concerning. Low net profit margins and negative free cash flow threaten financial stability.

Income Statement

Nittobest Corporation has shown consistent revenue growth over the years, with a notable increase of 2.93% from 2024 to 2025. Gross profit margins remain stable at around 16.5%, indicating efficient cost management. However, net profit margins decreased to 0.69% in 2025, reflecting pressure on profitability. The company's EBIT and EBITDA margins are relatively low, suggesting limited operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved slightly, standing at 0.68 in 2025, reflecting a moderate leverage level. The return on equity (ROE) decreased to 2.39%, indicating less effective use of equity capital in generating profits. The equity ratio of 40.3% suggests a stable capital structure with a healthy proportion of equity in the asset base.

Cash Flow

Nittobest Corporation's free cash flow has significantly declined, turning negative in 2025, which poses a risk to liquidity and future investments. The operating cash flow to net income ratio is low, indicating challenges in converting income into cash. The negative free cash flow to net income ratio highlights potential cash flow management issues.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	55.44B	55.86B	54.27B	51.88B	49.75B	48.90B
Gross Profit	9.13B	9.23B	9.08B	8.82B	9.07B	9.78B
EBITDA	1.86B	2.44B	2.55B	2.29B	2.65B	2.65B
Net Income	275.59M	384.74M	411.64M	243.09M	607.55M	700.58M
Balance Sheet
Total Assets	44.12B	39.89B	42.61B	40.32B	38.58B	37.70B
Cash, Cash Equivalents and Short-Term Investments	5.37B	3.50B	5.71B	3.68B	3.46B	2.95B
Total Debt	9.38B	10.90B	11.29B	11.49B	10.58B	10.86B
Total Liabilities	27.90B	23.30B	26.42B	24.83B	23.35B	22.98B
Stockholders Equity	15.76B	16.07B	15.76B	15.11B	14.90B	14.41B
Cash Flow
Free Cash Flow	0.00	-1.45B	2.47B	-683.94M	1.19B	1.91B
Operating Cash Flow	0.00	48.42M	3.60B	1.18B	1.89B	3.18B
Investing Cash Flow	0.00	-1.55B	-1.05B	-1.50B	-766.64M	-1.35B
Financing Cash Flow	0.00	-692.74M	-516.47M	529.86M	-653.18M	-1.26B

Nittobest Corporation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 737.00
• 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:2877, the sentiment is Neutral. The current price of 737 is above the 20-day moving average (MA) of 732.00, above the 50-day MA of 729.52, and below the 200-day MA of 760.67, indicating a neutral trend. The MACD of 2.48 indicates Negative momentum. The RSI at 56.92 is Neutral, neither overbought nor oversold. The STOCH value of 64.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2877.

Nittobest Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2907	82 Outperform	¥9.30B	6.00		2.45%	1.60%	2.59%
2813	74 Outperform	¥10.11B	7.66		2.61%	5.40%	10.69%
Sector *	68 Neutral	¥197.40B	21.11	8.29%	2.33%	4.99%	3.05%
2877	64 Neutral	¥8.92B	23.17		1.63%	2.93%	-6.54%
2876	56 Neutral	¥3.72B	8.31		3.67%	-13.39%	-170.53%
2291	46 Neutral	¥3.57B	―		―	-2.27%	-526.69%
2293	44 Neutral	¥5.16B	―		0.79%	-0.43%	-499.91%