Okamura Foods Co. Ltd. (2938) AI Stock Analysis

• Market Cap: ¥61.92B
• Dividend Yield: 0.28%
• Average Volume (3M): 90.82K
• Price to Earnings (P/E): 30.2
• Beta (1Y): 0.45
• Revenue Growth: 8.20%
• EPS Growth: 0.15%
• Country: JP
• Employees: 852
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Agricultural Farm Products
• EPS (TTM): 8.78
• Shares Outstanding: 49,655,243
• 10 Day Avg. Volume: 68,550
• 30 Day Avg. Volume: 90,820
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 63 Neutral
• Price Target: ¥1,296.00 ▲(7.11% Upside)

The overall stock score reflects strong financial performance, tempered by technical indicators suggesting potential short-term weakness and a high valuation. The lack of earnings call data and corporate events means these factors do not influence the score.

Okamura Foods Co. Ltd. Business Overview & Revenue Model

Company Description

Okamura Foods Co. Ltd. (2938) is a prominent player in the Japanese food industry, specializing in the production and distribution of a wide range of processed food products. The company operates primarily in the sectors of food manufacturing, retail, and distribution, offering products such as frozen foods, ready-to-eat meals, and various condiments. With a commitment to quality and innovation, Okamura Foods aims to meet the diverse culinary needs of both consumers and businesses in Japan and beyond.

How the Company Makes Money

Okamura Foods generates revenue through multiple channels, primarily by selling its processed food products to both retail and wholesale markets. Key revenue streams include direct sales to supermarkets, convenience stores, and food service providers, as well as exporting products to international markets. The company also benefits from strategic partnerships with major retail chains, which help enhance its distribution reach. Additionally, Okamura Foods invests in research and development to create new products that align with consumer trends, further driving sales and expanding their market presence.

Okamura Foods Co. Ltd. Financial Statement Overview

Summary

Okamura Foods Co. Ltd. shows strong revenue growth and profitability, with a stable balance sheet. However, cash flow fluctuations and a moderate debt-to-equity ratio suggest the need for careful cash management and leverage monitoring.

Income Statement

Okamura Foods Co. Ltd. has demonstrated strong revenue growth, with a significant increase of 56.6% in the latest year. The company maintains healthy gross and net profit margins, indicating efficient cost management and profitability. However, the EBIT and EBITDA margins have shown slight fluctuations over the years, suggesting some variability in operational efficiency.

Balance Sheet

The company's balance sheet reflects a moderate debt-to-equity ratio, which has improved over the past year. Return on equity has decreased but remains positive, indicating that the company is generating returns on shareholders' investments. The equity ratio suggests a stable capital structure, though the company should monitor its leverage to avoid potential risks.

Cash Flow

Cash flow analysis reveals a positive shift in free cash flow growth, moving from negative to positive territory. The operating cash flow to net income ratio has improved, indicating better cash generation relative to net income. However, historical volatility in free cash flow suggests potential challenges in maintaining consistent cash flow generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	35.15B	35.34B	32.66B	28.94B	24.10B	20.21B
Gross Profit	7.27B	7.39B	6.46B	6.95B	5.92B	4.11B
EBITDA	4.66B	4.47B	4.33B	4.46B	4.04B	2.21B
Net Income	2.18B	2.02B	1.97B	2.39B	2.25B	992.00M
Balance Sheet
Total Assets	43.58B	41.27B	39.17B	30.11B	24.33B	17.39B
Cash, Cash Equivalents and Short-Term Investments	6.64B	4.42B	4.83B	2.06B	1.96B	1.94B
Total Debt	20.02B	17.29B	18.89B	15.00B	11.57B	9.02B
Total Liabilities	27.84B	25.23B	25.02B	20.14B	16.88B	12.12B
Stockholders Equity	15.73B	16.04B	14.15B	9.97B	7.45B	5.27B
Cash Flow
Free Cash Flow	0.00	1.57B	-2.06B	-3.27B	-2.54B	2.12B
Operating Cash Flow	0.00	3.54B	277.00M	-1.14B	-863.00M	3.61B
Investing Cash Flow	0.00	-1.99B	-2.34B	-2.13B	-1.63B	-1.20B
Financing Cash Flow	0.00	-1.93B	4.73B	3.30B	2.46B	-2.69B

Okamura Foods Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1210.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2938, the sentiment is Positive. The current price of 1210 is below the 20-day moving average (MA) of 1224.10, below the 50-day MA of 1239.68, and above the 200-day MA of 969.89, indicating a bullish trend. The MACD of 4.04 indicates Negative momentum. The RSI at 59.00 is Neutral, neither overbought nor oversold. The STOCH value of 83.68 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2938.

Okamura Foods Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8041	80 Outperform	¥21.32B	4.14	―	2.50%	6.45%	50.01%
1381	80 Outperform	¥17.30B	10.01	―	3.61%	2.28%	38.82%
2874	74 Outperform	¥72.84B	16.01	―	1.94%	3.24%	―
2292	70 Neutral	¥80.14B	14.31	―	3.83%	4.55%	79.33%
9955	65 Neutral	¥32.55B	28.32	―	0.75%	-2.46%	-28.42%
2938	63 Neutral	¥61.92B	30.17	―	0.28%	8.20%	0.15%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%

Okamura Foods Co. Ltd. Corporate Events

Okamura Foods Announces Shareholder Details and Minority Protection Measures

Okamura Foods Co., Ltd. has announced details regarding its controlling shareholders, with Koichi Okamura holding a significant portion of voting rights. The company emphasizes its policy of avoiding transactions with controlling shareholders to protect minority shareholders’ interests, ensuring decisions are made with thorough board deliberation.

The most recent analyst rating on (JP:2938) stock is a Hold with a Yen1261.00 price target. To see the full list of analyst forecasts on Okamura Foods Co. Ltd. stock, see the JP:2938 Stock Forecast page.

Okamura Foods Co., Ltd. Issues Stock Compensation Options to Subsidiary Directors

Okamura Foods Co., Ltd. announced the issuance of stock compensation options to directors of its subsidiaries to align their interests with shareholders and boost motivation for long-term performance. This move is intended to share the benefits and risks of stock price fluctuations, potentially impacting the company’s operational strategies and market positioning.

The most recent analyst rating on (JP:2938) stock is a Hold with a Yen1261.00 price target. To see the full list of analyst forecasts on Okamura Foods Co. Ltd. stock, see the JP:2938 Stock Forecast page.

Okamura Foods Issues New Shares for Restricted Stock Compensation

Okamura Foods Co., Ltd. announced the issuance of new shares as restricted stock compensation for its directors and employees. This initiative aims to motivate eligible individuals by aligning their interests with shareholders and enhancing corporate value. The issuance involves 27,356 shares at a total value of JPY34,304,424, with specific restrictions on transfer and conditions for release.

The most recent analyst rating on (JP:2938) stock is a Hold with a Yen1261.00 price target. To see the full list of analyst forecasts on Okamura Foods Co. Ltd. stock, see the JP:2938 Stock Forecast page.

Okamura Foods Expands with New Hong Kong Subsidiary

Okamura Foods Co., Ltd. has announced the establishment of a wholly owned subsidiary in Hong Kong to enhance its overseas wholesale business. This strategic move aims to facilitate a full-scale entry into the Hong Kong market and serve as a stepping stone for future expansion into Mainland China, a significant market for salmon and trout. The Hong Kong subsidiary will be the company’s sixth overseas wholesale base, aligning with its growth strategy to achieve its Medium-Term Management Goals 2030.

The most recent analyst rating on (JP:2938) stock is a Hold with a Yen1261.00 price target. To see the full list of analyst forecasts on Okamura Foods Co. Ltd. stock, see the JP:2938 Stock Forecast page.

Okamura Foods Adjusts Acquisition Strategy for Latvian Aquaculture Expansion

Okamura Foods Co., Ltd. announced a correction to its previous notice regarding the acquisition of a majority stake in Riga Bay Aquaculture, AS by its subsidiary Musholm A/S. Initially intended to be a consolidated subsidiary, Riga Bay Aquaculture will instead be classified as a joint venture with SIA Sudrablinis Holdings. Despite this change, Musholm retains a 51% stake. This strategic move is expected to significantly enhance Okamura Foods’ aquaculture business by potentially increasing production capacity in Latvia, addressing previous growth challenges due to licensing limitations in Denmark.

The most recent analyst rating on (JP:2938) stock is a Buy with a Yen1323.00 price target. To see the full list of analyst forecasts on Okamura Foods Co. Ltd. stock, see the JP:2938 Stock Forecast page.

Okamura Foods Reports Financial Growth and Strategic Adjustments

Okamura Foods Co., Ltd. reported its consolidated financial results for the fiscal year ending June 30, 2025, with net sales increasing by 8.2% to ¥35,345 million. Despite a decline in ordinary profit by 4%, the company saw a rise in operating profit by 18.6% and a slight increase in profit attributable to owners of the parent by 2.6%. The company also announced a stock split and changes in dividend payouts, indicating strategic financial adjustments aimed at enhancing shareholder value and market competitiveness.