Ishii Food Co., Ltd. (2894) AI Stock Analysis

• Market Cap: ¥5.37B
• Dividend Yield: 1.26%
• Average Volume (3M): 5.83K
• Price to Earnings (P/E): 15.2
• Beta (1Y): 0.15
• Revenue Growth: 2.68%
• EPS Growth: 11.55%
• Country: JP
• Employees: 388
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 4.53
• Shares Outstanding: 18,392,000
• 10 Day Avg. Volume: 5,760
• 30 Day Avg. Volume: 5,830
• 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: ¥343.00
• Price Target Upside: 7.86% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 69 Neutral
• Price Target: ¥343.00 ▲(7.86% Upside)

The overall stock score for Ishii Food Co., Ltd. is driven primarily by strong revenue growth and operational efficiency, as well as positive technical indicators suggesting a bullish trend. However, the score is tempered by challenges related to profitability fluctuations and cash flow stability. The stock's fair valuation supports the overall assessment, with no significant overvaluation or undervaluation apparent.

Ishii Food Co., Ltd. Business Overview & Revenue Model

Company Description

Ishii Food Co., Ltd. (2894) is a Japanese company primarily engaged in the production and distribution of food products. The company specializes in ready-to-eat meals, processed foods, and seasonings, catering to both domestic and international markets. With a focus on quality and convenience, Ishii Food Co., Ltd. has established itself as a leader in the food industry, offering a diverse range of products that appeal to a wide customer base.

How the Company Makes Money

Ishii Food Co., Ltd. generates revenue through the sale of its food products, which include ready-to-eat meals, processed foods, and seasonings. The company's revenue model is based on mass production and distribution, allowing it to supply large volumes of food items to supermarkets, convenience stores, and foodservice operators. Key revenue streams include domestic sales within Japan and exports to international markets. Significant partnerships with retail chains and foodservice companies enhance its distribution network and market reach, contributing to its financial performance. The company's focus on innovation and product development also plays a crucial role in maintaining its competitive edge and driving sales growth.

Ishii Food Co., Ltd. Financial Statement Overview

Summary

Ishii Food Co., Ltd. shows strong revenue growth and operational efficiency, as reflected in the income statement. However, profitability inconsistencies and cash flow concerns, such as negative free cash flow growth and inconsistent operating cash flow, are notable risks. The balance sheet is robust with a stable financial position, though increasing debt levels require careful monitoring.

Income Statement

Ishii Food Co., Ltd. has shown a positive trend in revenue growth, with a notable increase over the past five years. The gross profit margin has remained relatively strong, reflecting efficient cost management. However, the net profit margin has fluctuated, indicating some volatility in profitability. The EBIT and EBITDA margins have improved, demonstrating enhanced operational efficiency. Overall, the income statement reveals a company on a growth trajectory, though with some profitability inconsistencies.

Balance Sheet

The company's balance sheet indicates a stable financial position, with a reasonable debt-to-equity ratio suggesting manageable leverage. The return on equity is positive, reflecting profitable use of equity. The equity ratio is robust, indicating financial stability and a strong equity base. However, the increase in total debt over time poses a potential risk that should be monitored. Overall, the balance sheet reflects a solid financial foundation with moderate leverage concerns.

Cash Flow

Ishii Food Co., Ltd. exhibits a mixed cash flow performance. The operating cash flow has been inconsistent, and the free cash flow growth rate is concerning due to negative values in recent years. The operating cash flow to net income ratio suggests that not all net income is translating into cash flow, indicating potential cash management issues. Although there is some cash flow stability, improvements are needed to ensure sustainable cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.87B	10.87B	10.49B	9.55B	8.83B	8.31B
Gross Profit	3.63B	3.63B	3.55B	3.02B	2.85B	2.56B
EBITDA	764.86M	764.86M	793.15M	485.43M	299.70M	-471.84M
Net Income	287.12M	287.88M	471.51M	308.90M	16.42M	-798.16M
Balance Sheet
Total Assets	7.66B	7.66B	8.10B	6.71B	6.04B	6.45B
Cash, Cash Equivalents and Short-Term Investments	1.91B	1.91B	2.46B	1.94B	2.02B	2.58B
Total Debt	1.99B	1.99B	1.95B	1.92B	1.75B	2.12B
Total Liabilities	3.98B	3.98B	4.67B	3.83B	3.48B	3.81B
Stockholders Equity	3.58B	3.58B	3.42B	2.88B	2.56B	2.64B
Cash Flow
Free Cash Flow	0.00	-457.64M	638.56M	-15.52M	-121.37M	-51.27M
Operating Cash Flow	0.00	117.57M	1.25B	341.45M	155.12M	89.00M
Investing Cash Flow	0.00	-665.84M	-611.43M	-545.77M	-277.32M	-120.01M
Financing Cash Flow	0.00	-97.65M	-122.47M	125.42M	-434.29M	125.65M

Ishii Food Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 318.00
• 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:2894, the sentiment is Positive. The current price of 318 is above the 20-day moving average (MA) of 316.65, above the 50-day MA of 315.68, and above the 200-day MA of 308.24, indicating a bullish trend. The MACD of 0.75 indicates Negative momentum. The RSI at 61.08 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2894.

Ishii Food Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2286	75 Outperform	6.01B	4.07	8.95%	3.65%	2.36%	226.09%
2911	70 Outperform	4.17B	16.33	2.92%	1.53%	-1.29%	4.30%
2894	69 Neutral	¥5.37B	15.22		1.26%	2.68%	11.55%
2876	58 Neutral	4.09B	-5.93	-6.91%	3.34%	-13.61%	-218.40%
2872	56 Neutral	3.28B	22.56	8.57%	0.88%	9.06%	37.86%
2293	50 Neutral	5.37B	-8.92	-14.23%	―	-1.29%	-1001.13%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%