Shinobu Foods Products Co., Ltd. (2903) AI Stock Analysis

• Market Cap: ¥16.53B
• Dividend Yield: 1.8%
• Average Volume (3M): 19.15K
• Price to Earnings (P/E): 17.2
• Beta (1Y): 0.16
• Revenue Growth: 7.66%
• EPS Growth: 2.64%
• Country: JP
• Employees: 543
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 48.33
• Shares Outstanding: 12,500,000
• 10 Day Avg. Volume: 22,560
• 30 Day Avg. Volume: 19,150
• PEG Ratio: -0.82
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.19
• P/FCF Ratio: 6.87
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: ¥1,992.00 ▲(19.78% Upside)

Shinobu Foods Products Co., Ltd. has a solid financial foundation with consistent revenue growth and a stable balance sheet. However, profitability and cash flow challenges need addressing. The stock's technical indicators show strong momentum but suggest it may be overbought. Valuation metrics indicate the stock is fairly valued with a moderate dividend yield. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion and stability.

Stable Balance Sheet

A stable balance sheet with a low debt-to-equity ratio enhances financial resilience and provides flexibility for future investments.

Operational Efficiency

Stable EBIT and EBITDA margins demonstrate effective cost management and operational efficiency, crucial for sustaining profitability.

Negative Factors

Profitability Challenges

Decreasing net profit margins suggest difficulty in converting revenue growth into bottom-line profits, impacting long-term financial health.

Free Cash Flow Pressure

Declining free cash flow can limit the company's ability to fund new projects or return capital to shareholders, affecting growth prospects.

Return on Equity

A modest return on equity indicates potential inefficiencies in using shareholder funds, which could hinder efforts to maximize shareholder value.

Shinobu Foods Products Co., Ltd. Business Overview & Revenue Model

Company Description

Shinobu Foods Products Co., Ltd. (2903) is a prominent player in the food manufacturing sector, specializing in the production and distribution of a wide range of food products, including processed foods, snacks, and beverages. The company focuses on delivering high-quality, innovative food solutions that cater to diverse consumer preferences both domestically and internationally. With a commitment to sustainability and health-conscious offerings, Shinobu Foods aims to enhance the culinary experience of its customers through its extensive portfolio of brands.

How the Company Makes Money

Shinobu Foods Products Co., Ltd. generates revenue primarily through the sale of its food products to retailers, distributors, and food service companies. The company has established strong relationships with major supermarket chains and grocery stores, which serve as key distribution channels for its products. Additionally, Shinobu Foods capitalizes on its brand recognition to drive sales through direct-to-consumer channels, including online platforms. Key revenue streams include sales from packaged foods, snack items, and beverages, with a focus on both domestic markets and international exports. Strategic partnerships with suppliers and co-manufacturers also contribute to cost efficiencies, enabling the company to maintain competitive pricing while enhancing profit margins.

Shinobu Foods Products Co., Ltd. Financial Statement Overview

Summary

Shinobu Foods Products Co., Ltd. demonstrates solid revenue growth and a stable balance sheet, with moderate profitability and cash flow challenges. The company's operational efficiency remains strong, though profitability margins and free cash flow generation require attention. The balance sheet is bolstered by a strong equity base, yet the company could enhance shareholder value through improved return on equity.

Income Statement

Shinobu Foods Products Co., Ltd. has shown consistent revenue growth over the years, with the latest annual growth rate at 5.15% from 2024 to 2025. The gross profit margin stands at 14.82% for 2025, slightly improving from the previous year. The net profit margin decreased to 1.73% in 2025, indicating challenges in maintaining profitability despite revenue growth. However, the EBIT margin remained stable at around 4%, and the EBITDA margin was 5.15% in 2025, reflecting operational efficiency.

Balance Sheet

The company has a relatively stable balance sheet with a debt-to-equity ratio of 0.38 in 2025, showing an improvement from the previous year. The equity ratio is strong at 50.96%, indicating a solid equity base. However, the return on equity is modest at 6.59% for 2025, suggesting opportunities for better utilization of shareholders' equity.

Cash Flow

Cash flow analysis reveals a decrease in free cash flow from 2024 to 2025 by 18.41%, indicating potential investment or operational challenges. The operating cash flow to net income ratio is robust at 3.22, suggesting strong cash generation relative to net income. However, the free cash flow to net income ratio has decreased, signaling pressure on free cash flow generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	59.05B	57.65B	54.83B	51.05B	48.65B	45.48B
Gross Profit	8.75B	8.54B	8.01B	7.06B	6.58B	5.88B
EBITDA	3.02B	2.97B	3.20B	2.05B	3.09B	2.66B
Net Income	1.02B	997.00M	1.17B	103.00M	1.08B	791.00M
Balance Sheet
Total Assets	29.65B	29.68B	30.43B	30.38B	30.94B	30.35B
Cash, Cash Equivalents and Short-Term Investments	6.25B	6.28B	6.98B	6.63B	5.48B	4.68B
Total Debt	5.98B	5.82B	7.26B	8.54B	9.15B	9.63B
Total Liabilities	14.44B	14.54B	15.48B	16.35B	16.75B	16.93B
Stockholders Equity	15.20B	15.13B	14.95B	14.03B	14.18B	13.42B
Cash Flow
Free Cash Flow	0.00	1.60B	1.96B	1.96B	1.66B	1.88B
Operating Cash Flow	0.00	3.21B	3.67B	2.97B	2.59B	3.17B
Investing Cash Flow	0.00	-1.67B	-1.70B	-940.00M	-998.00M	-1.20B
Financing Cash Flow	0.00	-2.25B	-1.62B	-879.00M	-792.00M	-320.00M

Shinobu Foods Products Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1663.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2903, the sentiment is Positive. The current price of 1663 is above the 20-day moving average (MA) of 1620.95, above the 50-day MA of 1582.95, and above the 200-day MA of 1290.35, indicating a bullish trend. The MACD of 24.91 indicates Positive momentum. The RSI at 55.09 is Neutral, neither overbought nor oversold. The STOCH value of 30.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2903.

Shinobu Foods Products Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2884	69 Neutral	¥15.82B	10.07	―	―	3.07%	50.05%
2903	68 Neutral	¥16.53B	17.17	―	1.80%	7.66%	2.64%
2892	64 Neutral	¥17.73B	12.12	―	3.54%	-0.73%	23.36%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2904	59 Neutral	¥13.71B	18.29	―	1.61%	0.48%	-34.95%
2818	56 Neutral	¥12.09B	-353.39	―	1.38%	10.61%	-140.13%
2901	54 Neutral	¥13.42B	24.74	―	0.57%	4.28%	―