Toyobo Co (3101) AI Stock Analysis

• Market Cap: ¥110.77B
• Dividend Yield: 3.21%
• Average Volume (3M): 305.73K
• Price to Earnings (P/E): 14.4
• Beta (1Y): 0.63
• Revenue Growth: -1.68%
• EPS Growth: 1262.84%
• Country: JP
• Employees: 10,668
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 47.14
• Shares Outstanding: 89,048,790
• 10 Day Avg. Volume: 223,990
• 30 Day Avg. Volume: 305,730
• PEG Ratio: -2.24
• Price to Book (P/B): 0.43
• Price to Sales (P/S): 0.20
• P/FCF Ratio: -5.00
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: ¥1,330.00 ▲(6.74% Upside)

Toyobo Co's stock score is primarily driven by its solid technical analysis, indicating strong market momentum. Financial performance is stable but challenged by profitability and cash flow issues. Valuation is fair with an attractive dividend yield, supporting the overall score.

Positive Factors

Business Model Strength

Toyobo's diversified business model across textiles, chemicals, and advanced materials provides resilience against market fluctuations and supports long-term growth.

Strategic Partnerships

Partnerships in key sectors like automotive and electronics allow Toyobo to leverage technological expertise, fostering innovation and expanding market reach.

Revenue Growth Trend

Consistent revenue growth, despite challenges, indicates effective market positioning and product demand, supporting long-term business sustainability.

Negative Factors

Profitability Challenges

Low net profit margins reflect challenges in cost management and pricing power, potentially limiting future earnings growth and shareholder returns.

Cash Flow Issues

Negative free cash flow due to high capital expenditures constrains financial flexibility, affecting the company's ability to invest in growth opportunities.

Leverage Concerns

Moderate leverage levels may increase financial risk, particularly if revenue growth slows, impacting the company's ability to manage debt obligations.

Toyobo Co Business Overview & Revenue Model

Company Description

Toyobo Co., Ltd. provides films and functional polymers, industrial materials, and healthcare and textile products worldwide. It offers industrial films, including PET films for liquid crystal display, optical, and other industrial use; and synthetic papers. The company also provides packaging films, such as PET, polyolefin, and nylon for food packaging, as well as heat-shrink PET films; functional polymers comprising engineering plastics, industrial adhesives, coatings, photo-sensitive printing plates, acrylate polymers, and electronic materials; rubber and coat processing; and pharmaceuticals intermediates. In addition, it offers functional fibers consisting of airbag fabrics; polyethylene and PBO fibers; functional filters for automobiles, indoor, and anti-pollution solvent adsorption materials and units; and fiber materials for automobile parts. Further, the company provides bio products, including enzymes for diagnostics, diagnostic systems, and reagents for research; artificial kidney hollow fibers; anti-clotting materials; seawater desalination modules; functional textiles for sports clothing, underwear, and uniforms; synthetic filaments; apparel under the Munsingwear brand; acrylic fibers under the Exlan brand; and acrylate fibers under the eks brand, as well as trades in textile products. Additionally, it operates as a contract manufacturer of injections. The company was founded in 1882 and is headquartered in Osaka, Japan.

How the Company Makes Money

Toyobo generates revenue through a multi-faceted business model that includes the production and sale of high-performance materials and specialty chemicals. Key revenue streams include the sale of textiles, engineering plastics, and films used in packaging and electronics. Additionally, the company's biotechnology division contributes to earnings through the development and commercialization of pharmaceutical products and medical devices. Strategic partnerships with other companies in sectors such as automotive and electronics further enhance revenue opportunities, allowing Toyobo to leverage its technological expertise and innovation in developing new products tailored to market demands.

Toyobo Co Financial Statement Overview

Summary

Toyobo Co demonstrates steady revenue growth and efficient cost management but faces profitability challenges. The balance sheet shows moderate leverage and a balanced capital structure, yet generating shareholder returns remains weak. Cash flow challenges arise from high capital expenditures, affecting financial flexibility.

Income Statement

Toyobo Co has shown a stable revenue growth trend with a 1.87% increase in the latest year. The gross profit margin is robust at 22.99%, indicating effective production cost management. However, net profit margin is low at 0.47%, suggesting pressures on profitability. EBIT and EBITDA margins are moderate, reflecting consistent operational efficiency.

Balance Sheet

The debt-to-equity ratio stands at 1.34, indicating a moderate level of leverage. The equity ratio is 31.61%, suggesting a balanced capital structure. Return on equity is low at 1.03%, highlighting challenges in generating returns from shareholders' equity.

Cash Flow

The company has a negative free cash flow, impacting its financial flexibility. Operating cash flow covers net income well, with a ratio of 14.29, but the free cash flow to net income ratio is negative, reflecting high capital expenditures.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	419.77B	422.03B	414.26B	399.92B	375.72B	337.41B
Gross Profit	99.15B	97.06B	88.00B	85.01B	96.13B	90.37B
EBITDA	33.87B	32.05B	26.75B	20.99B	36.09B	25.96B
Net Income	2.79B	2.00B	2.46B	-655.00M	12.87B	4.20B
Balance Sheet
Total Assets	611.51B	617.80B	606.99B	588.91B	517.77B	491.19B
Cash, Cash Equivalents and Short-Term Investments	30.79B	28.58B	33.80B	60.70B	27.18B	34.70B
Total Debt	265.12B	261.07B	242.09B	225.17B	187.69B	182.92B
Total Liabilities	382.86B	385.75B	376.90B	367.48B	320.63B	302.55B
Stockholders Equity	193.44B	195.31B	197.03B	189.59B	194.88B	185.73B
Cash Flow
Free Cash Flow	0.00	-16.60B	-35.03B	-31.36B	-12.02B	7.53B
Operating Cash Flow	0.00	28.62B	21.59B	7.80B	17.10B	35.03B
Investing Cash Flow	0.00	-46.39B	-58.78B	-36.01B	-24.61B	-31.68B
Financing Cash Flow	0.00	10.49B	8.26B	61.30B	-1.73B	5.34B

Toyobo Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1246.00
• 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:3101, the sentiment is Positive. The current price of 1246 is above the 20-day moving average (MA) of 1219.70, above the 50-day MA of 1188.94, and above the 200-day MA of 1027.21, indicating a bullish trend. The MACD of 16.38 indicates Negative momentum. The RSI at 60.06 is Neutral, neither overbought nor oversold. The STOCH value of 77.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3101.

Toyobo Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4471	79 Outperform	¥114.71B	8.44	9.50%	3.33%	-17.97%	―
4028	74 Outperform	¥109.76B	7.88	―	4.15%	1.16%	167.89%
4369	72 Outperform	¥89.79B	15.60	―	1.30%	47.56%	49.58%
4099	71 Outperform	¥126.26B	15.44	―	1.81%	-0.52%	5.18%
4008	68 Neutral	¥73.89B	11.94	―	3.74%	-0.68%	-9.93%
3101	68 Neutral	¥110.77B	14.42	―	3.21%	-1.68%	1262.84%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Toyobo Co Corporate Events

Toyobo Co. Announces Absorption Merger with Subsidiary STC

Toyobo Co., Ltd. has announced its decision to merge with its wholly owned subsidiary, TOYOBO STC CO., LTD., through an absorption-type merger effective April 1, 2026. This strategic move aims to consolidate management resources and streamline operations, as Toyobo-manufactured materials now comprise a larger portion of its business. The merger will not involve the issuance of new shares or payments, and STC will be dissolved as a result, potentially enhancing Toyobo’s operational efficiency and market positioning.

Toyobo Revises Earnings Forecasts with Improved Profit Outlook

Toyobo Co., Ltd. has revised its consolidated earnings forecasts for the fiscal year ending March 31, 2026, reflecting improved earnings despite a decrease in net sales. The company attributes this to enhanced productivity in its packaging film business and strong demand for its LCD polarizer protective films, leading to expected increases in operating profit, ordinary profit, and profit attributable to owners of the parent.

Toyobo Co. Reports Strong Profit Growth Amid Decline in Sales

Toyobo Co., Ltd. reported a decrease in net sales by 2.5% for the six months ending September 30, 2025, compared to the previous year. However, the company saw significant growth in operating profit and ordinary profit, with increases of 70.1% and 216.3% respectively. The profit attributable to owners of the parent also improved substantially. The company has revised its earnings forecast for the fiscal year ending March 31, 2026, anticipating a modest increase in net sales and substantial growth in operating and ordinary profits. This financial performance indicates a strong recovery and improved profitability, which could positively impact its market position and stakeholder confidence.

Toyobo Co. Announces Correction to Financial Report for FY 2025

Toyobo Co., Ltd. announced a correction to its Consolidated Financial Report for the year ended March 31, 2025, initially released on May 12, 2025. The correction addresses an error in the net sales and profit or loss by reportable segment section of the report. This adjustment is crucial for stakeholders as it impacts the financial assessment of the company’s performance across various segments, including films, life sciences, and environmental materials.

Toyobo Co. Issues Corrections to Financial Report

Toyobo Co., Ltd. has issued corrections to its Consolidated Financial Report for the six months ending September 30, 2024, due to errors in the segment information of the financial statements. These corrections are crucial for ensuring accurate financial reporting and maintaining transparency for stakeholders, which may impact the company’s credibility and investor confidence.