Nissin Foods Holdings Co (2897) AI Stock Analysis

• Market Cap: ¥923.16B
• Dividend Yield: 2.41%
• Average Volume (3M): 1.79M
• Price to Earnings (P/E): 18.6
• Beta (1Y): 0.35
• Revenue Growth: 1.46%
• EPS Growth: -2.17%
• Country: JP
• Employees: 16,509
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 39.60
• Shares Outstanding: 297,584,500
• 10 Day Avg. Volume: 2,057,600
• 30 Day Avg. Volume: 1,794,403
• PEG Ratio: 4.72
• Price to Book (P/B): 1.92
• Price to Sales (P/S): 1.17
• P/FCF Ratio: -66.87
• 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: ¥4,800.00
• Price Target Upside: 64.84% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: ¥3,287.00 ▲(12.88% Upside)

The overall stock score is driven by strong financial performance and positive technical indicators. While the valuation is fair, the main risk lies in the negative free cash flow, which needs addressing to maintain financial health.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust demand for Nissin's products and effective market expansion strategies, supporting long-term business sustainability.

Balance Sheet Health

A conservative leverage approach with a moderate debt-to-equity ratio enhances financial stability and reduces risk, ensuring long-term resilience.

Product Diversification

Product diversification with new flavors and healthier options broadens customer appeal and mitigates risks associated with changing consumer preferences.

Negative Factors

Negative Free Cash Flow

Negative free cash flow can hinder the company's ability to invest in growth opportunities and cover capital expenditures, impacting long-term financial health.

Margin Compression

Margin compression suggests rising costs or pricing pressures, which can erode profitability if not managed effectively over time.

Debt Increase

Rising debt levels, if unchecked, can lead to higher interest obligations and reduce financial flexibility, posing long-term risks.

Nissin Foods Holdings Co Business Overview & Revenue Model

Company Description

Nissin Foods Holdings Co.,Ltd., together with its subsidiaries, engages in the manufacture and sale of instant foods in Japan and internationally. The company operates through the Nissin Food Products, Myojo Foods, Chilled and Frozen Foods and Beverages, Confectionery, The Americas, China, Asia, EMEA, and Domestic Others segments. Its products include packaged instant noodles, cup noodles, chilled and frozen foods, soups, chilled noodles, cereal foods, dairy products, confectionery, rice crackers and snacks, beverages and yogurt, potato chips, and other products. The company offers its products under Chicken Ramen, Cup Noodle, Cup Noodles Chicken, Demae Iccho, Hé wèi dào, 365 Noodles, Cup brand names. The company was incorporated in 1948 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Nissin Foods generates revenue primarily through the sale of its instant noodle products, which account for a significant portion of its overall earnings. The company's revenue model is supported by both domestic and international sales, with a strong presence in Asia, North America, and Europe. Key revenue streams include retail sales through supermarkets, convenience stores, and e-commerce platforms, as well as partnerships with food service providers and restaurants. Additionally, Nissin has invested in product diversification, introducing new flavors and healthier options, which attracts a wider customer base. The company's strategic collaborations with other food brands and distributors further enhance its market reach and profitability.

Nissin Foods Holdings Co Financial Statement Overview

Summary

Nissin Foods Holdings Co shows strong revenue growth and profitability with a solid balance sheet. However, negative free cash flow and slight margin compression present potential risks. Improvement in cash flow management is necessary to sustain growth.

Income Statement

Nissin Foods Holdings Co has demonstrated strong revenue growth with a TTM increase of 41%. The gross profit margin is solid at 34.66%, indicating efficient production processes. However, the net profit margin has slightly decreased to 6.55% from the previous annual report's 7.08%. EBIT and EBITDA margins are healthy, though they have seen a slight decline compared to the previous year. Overall, the income statement reflects robust growth and profitability, albeit with some margin compression.

Balance Sheet

The company's balance sheet shows a moderate debt-to-equity ratio of 0.32, indicating a conservative leverage approach. Return on equity is strong at 10.56%, reflecting effective use of equity capital. The equity ratio is stable, suggesting a solid financial structure. However, the increase in total debt over the TTM period warrants monitoring. Overall, the balance sheet is stable with a prudent capital structure.

Cash Flow

Operating cash flow has increased, but free cash flow is negative, indicating potential challenges in covering capital expenditures. The free cash flow to net income ratio is negative, which could signal issues in cash generation relative to earnings. The operating cash flow to net income ratio is moderate, suggesting reasonable cash conversion. Overall, the cash flow statement highlights some liquidity concerns that need addressing.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	771.74B	776.59B	732.93B	669.25B	569.72B	506.11B
Gross Profit	265.55B	272.95B	258.63B	221.08B	194.50B	181.76B
EBITDA	87.42B	98.58B	95.72B	79.86B	74.27B	76.73B
Net Income	48.57B	55.02B	54.17B	44.76B	35.41B	40.83B
Balance Sheet
Total Assets	913.59B	848.46B	812.38B	708.37B	683.42B	663.53B
Cash, Cash Equivalents and Short-Term Investments	93.67B	73.04B	96.66B	98.16B	102.00B	90.29B
Total Debt	161.69B	115.56B	34.85B	36.22B	44.91B	47.93B
Total Liabilities	395.12B	336.56B	277.37B	240.43B	238.83B	242.09B
Stockholders Equity	481.75B	475.53B	493.19B	430.43B	407.66B	384.02B
Cash Flow
Free Cash Flow	-3.39B	-13.62B	31.56B	39.11B	28.45B	39.82B
Operating Cash Flow	77.73B	57.06B	94.12B	64.81B	52.94B	72.71B
Investing Cash Flow	-76.56B	-76.71B	-61.91B	-32.06B	-3.47B	-26.53B
Financing Cash Flow	2.38B	-591.00M	-26.32B	-47.68B	-44.45B	-19.05B

Nissin Foods Holdings Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2912.00
• 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:2897, the sentiment is Positive. The current price of 2912 is below the 20-day moving average (MA) of 3003.65, below the 50-day MA of 2926.41, and above the 200-day MA of 2896.43, indicating a bullish trend. The MACD of 55.80 indicates Negative momentum. The RSI at 65.04 is Neutral, neither overbought nor oversold. The STOCH value of 58.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2897.

Nissin Foods Holdings Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2897	77 Outperform	¥923.16B	18.59	9.77%	2.41%	1.46%	-2.17%
2212	76 Outperform	¥661.23B	16.54	9.18%	1.13%	3.53%	4.88%
2875	76 Outperform	¥1.13T	16.93	13.26%	1.82%	3.64%	5.31%
2269	74 Outperform	¥995.07B	21.59	5.97%	2.96%	2.79%	-6.46%
2871	72 Outperform	¥484.68B	18.41	9.86%	2.58%	1.08%	2.71%
2282	70 Outperform	¥685.60B	21.51	6.04%	2.04%	5.55%	27.03%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%

Nissin Foods Holdings Co Corporate Events

Nissin Foods to Record 50.3 Billion Yen in Dividends from Subsidiaries

Nissin Foods Holdings Co., Ltd. announced it will receive dividends totaling 50.3 billion yen from its six consolidated subsidiaries, which will be recorded as revenue in its non-consolidated financial statements for the fiscal year ending March 2026. This transaction will not affect the company’s consolidated financial results as these dividends are considered intercompany transactions and are eliminated in the consolidated accounts.

The most recent analyst rating on (JP:2897) stock is a Hold with a Yen3044.00 price target. To see the full list of analyst forecasts on Nissin Foods Holdings Co stock, see the JP:2897 Stock Forecast page.

Nissin Foods Revises Financial Forecast for FY 2026

Nissin Foods Holdings Co. has revised its financial forecast for the fiscal year ending March 2026, anticipating lower revenue and profit than previously expected. This adjustment is due to increased raw material costs, a shift towards lower-priced products in response to consumer demand, and sluggish sales in the U.S. market, impacting the company’s financial outlook.

The most recent analyst rating on (JP:2897) stock is a Hold with a Yen3044.00 price target. To see the full list of analyst forecasts on Nissin Foods Holdings Co stock, see the JP:2897 Stock Forecast page.

Nissin Foods Reports Decline in First Half Financial Performance

Nissin Foods Holdings Co. reported a decline in its financial performance for the first half of the fiscal year ending March 2026, with revenue slightly decreasing by 1.3% and core operating profit dropping by 21.9%. Despite these challenges, the company maintained its dividend forecast, indicating a stable outlook for shareholders.

The most recent analyst rating on (JP:2897) stock is a Hold with a Yen3044.00 price target. To see the full list of analyst forecasts on Nissin Foods Holdings Co stock, see the JP:2897 Stock Forecast page.