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

• Market Cap: ¥61.39B
• Dividend Yield: 0.28%
• Average Volume (3M): 110.81K
• Price to Earnings (P/E): 30.1
• Beta (1Y): 0.48
• Revenue Growth: 8.20%
• EPS Growth: 0.14%
• Country: JP
• Employees: 852
• Sector: Consumer Defensive
• Sector Strength: 45
• Industry: Agricultural Farm Products
• EPS (TTM): 8.78
• Shares Outstanding: 49,351,223
• 10 Day Avg. Volume: 117,370
• 30 Day Avg. Volume: 110,810
• 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: ¥1,261.00
• Price Target Upside: 1.37% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 61 Neutral
• Price Target: ¥1,261.00 ▲(1.37% Upside)

Okamura Foods Co. Ltd. has a solid financial foundation with strong revenue growth and profitability. However, technical indicators are mixed, and the stock's high valuation limits its attractiveness. Investors should be cautious of cash flow volatility and leverage management.

Okamura Foods Co. Ltd. Business Overview & Revenue Model

Company Description

Okamura Foods Co. Ltd. (2938) is a Japanese company specializing in the production and sale of seafood products. The company operates within the food and beverage sector, focusing on delivering high-quality seafood to its customers. Its core products include a wide variety of processed seafood items, catering to both domestic and international markets.

How the Company Makes Money

Okamura Foods Co. Ltd. generates revenue primarily through the sale of its seafood products. The company's key revenue streams include domestic sales to supermarkets, restaurants, and other food service providers, as well as international exports to various countries. Significant factors contributing to its earnings include its strong supply chain management, quality control measures, and strategic partnerships with distributors and retailers. The company also benefits from ongoing demand for seafood products, driven by consumer preferences for healthy and sustainable food options.

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: 1244.00
• 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:2938, the sentiment is Positive. The current price of 1244 is below the 20-day moving average (MA) of 1270.60, above the 50-day MA of 1205.65, and above the 200-day MA of 892.98, indicating a neutral trend. The MACD of 4.40 indicates Positive momentum. The RSI at 52.20 is Neutral, neither overbought nor oversold. The STOCH value of 55.73 is Neutral, 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	¥22.96B	4.45		2.32%	6.45%	50.01%
1381	80 Outperform	¥17.07B	9.93		3.70%	2.28%	38.82%
2874	74 Outperform	¥71.07B	15.63		1.99%	3.24%	―
2292	70 Neutral	¥87.26B	21.45		3.22%	3.99%	-32.61%
Sector *	63 Neutral	$20.52B	14.80	-2.68%	3.09%	1.95%	-4.76%
2938	61 Neutral	¥61.39B	30.10		0.28%	8.20%	0.14%
9955	61 Neutral	¥31.71B	27.59		0.77%	-2.46%	-28.42%

Okamura Foods Co. Ltd. Corporate Events

Okamura Foods Expands Aquaculture Operations with Latvian Acquisition

Okamura Foods Co., Ltd. announced that its subsidiary, Musholm A/S, will acquire a 51% stake in Riga Bay Aquaculture, AS, a Latvian company focused on trout aquaculture. This strategic acquisition aims to expand Okamura’s aquaculture operations into Latvia, addressing the challenge of limited aquaculture licenses in Denmark and enhancing the company’s raw material procurement capabilities. The move is expected to significantly contribute to profit growth in both the aquaculture and domestic processing businesses, stabilizing profit volatility and supporting the company’s long-term growth strategy.

Okamura Foods Announces Stock Split and Shareholder Program Expansion

Okamura Foods Co., Ltd. announced a stock split to improve share liquidity and expand its investor base, effective July 1, 2025. The company will also amend its Articles of Incorporation and expand its shareholder benefit program, reflecting strategic moves to enhance market positioning and shareholder engagement.