Lacto Japan Co., Ltd. (3139) AI Stock Analysis

• Market Cap: ¥34.94B
• Dividend Yield: 2.77%
• Average Volume (3M): 80.31K
• Price to Earnings (P/E): 8.4
• Beta (1Y): 0.53
• Revenue Growth: 6.49%
• EPS Growth: 31.81%
• Country: JP
• Employees: 398
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 76.44
• Shares Outstanding: 10,021,600
• 10 Day Avg. Volume: 173,880
• 30 Day Avg. Volume: 80,306
• PEG Ratio: 0.17
• Price to Book (P/B): 1.04
• Price to Sales (P/S): 0.17
• P/FCF Ratio: -155.13
• 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: 65 Neutral
• Price Target: ¥3,677.00 ▲(2.71% Upside)

Lacto Japan Co., Ltd. has a strong financial performance and attractive valuation, but faces significant technical challenges with bearish momentum. The low P/E ratio and solid dividend yield provide a buffer, but the oversold technical indicators suggest caution.

Lacto Japan Co., Ltd. Business Overview & Revenue Model

Company Description

Lacto Japan Co., Ltd. (3139) is a leading company in the dairy industry, specializing in the production and distribution of high-quality dairy products, including milk, yogurt, cheese, and other fermented products. The company is committed to leveraging advanced technology and sustainable practices to ensure the quality and safety of its products. Operating primarily in the Japanese market, Lacto Japan focuses on meeting the growing consumer demand for healthy and nutritious food options, while also exploring export opportunities in Asian markets.

How the Company Makes Money

Lacto Japan generates revenue primarily through the sale of its dairy products to both retail and wholesale markets. Key revenue streams include direct sales to supermarkets, convenience stores, and food service providers. The company also profits from branded product lines that appeal to health-conscious consumers, as well as private label products for various retailers. Significant partnerships with local farmers and suppliers ensure a steady supply of raw materials, while collaborations with health and wellness organizations enhance its product offerings and market reach. Additionally, the company invests in marketing and promotional campaigns to drive consumer awareness and loyalty, contributing further to its revenue growth.

Lacto Japan Co., Ltd. Financial Statement Overview

Summary

Lacto Japan Co., Ltd. demonstrates strong revenue growth and efficient operations, with a robust income statement and a balanced capital structure. However, cash flow challenges indicate a need for improved cash management.

Income Statement

Lacto Japan Co., Ltd. has demonstrated strong revenue growth with a 7.93% increase from the previous year, indicating solid market demand. The gross profit margin stands at 5.89% and the net profit margin at 1.84%, reflecting moderate profitability. EBIT and EBITDA margins are 2.61% and 2.96% respectively, showcasing operational efficiency. Overall, the income statement indicates healthy revenue growth with moderate profit margins.

Balance Sheet

The company's balance sheet shows a stable financial position with a debt-to-equity ratio of 1.19, indicating moderate leverage. The return on equity (ROE) is 11.41%, suggesting effective use of equity to generate profit. The equity ratio is 33.87%, reflecting a balanced approach between debt and equity financing. Overall, the balance sheet reveals a well-managed capital structure with moderate leverage and solid asset management.

Cash Flow

Lacto Japan Co., Ltd. faced a decrease in free cash flow, now at -185 million yen, reflecting potential challenges in generating cash from operations. The operating cash flow to net income ratio is 0.20, suggesting that cash generation from operations is lower than net income. The free cash flow to net income ratio is -0.06, indicating issues in converting income into cash. Despite these challenges, the company has managed financing activities effectively to support operations. Overall, the cash flow statement highlights the need for improved cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	181.64B	170.91B	158.33B	147.42B	110.88B	110.84B
Gross Profit	11.49B	10.07B	7.91B	7.46B	6.64B	6.63B
EBITDA	6.73B	5.05B	3.45B	3.64B	3.11B	3.25B
Net Income	4.29B	3.15B	2.05B	2.29B	1.96B	2.06B
Balance Sheet
Total Assets	92.90B	81.44B	72.04B	73.46B	52.90B	43.37B
Cash, Cash Equivalents and Short-Term Investments	10.36B	9.08B	7.78B	6.38B	5.51B	5.00B
Total Debt	43.20B	32.92B	30.91B	30.87B	19.29B	14.05B
Total Liabilities	63.47B	53.85B	47.31B	50.98B	33.32B	25.78B
Stockholders Equity	29.43B	27.58B	24.72B	22.48B	19.58B	17.59B
Cash Flow
Free Cash Flow	0.00	-185.00M	2.06B	-10.57B	-4.22B	4.38B
Operating Cash Flow	0.00	636.00M	3.22B	-10.41B	-4.04B	4.53B
Investing Cash Flow	0.00	-596.00M	-1.36B	-287.22M	-291.56M	-136.91M
Financing Cash Flow	0.00	1.10B	-772.20M	11.08B	4.66B	-3.76B

Lacto Japan Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 3580.00
• 50DMA: Negative
• 100DMA: Negative
• 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:3139, the sentiment is Neutral. The current price of 3580 is above the 20-day moving average (MA) of 3573.00, below the 50-day MA of 3904.80, and above the 200-day MA of 3511.04, indicating a neutral trend. The MACD of -122.93 indicates Negative momentum. The RSI at 43.74 is Neutral, neither overbought nor oversold. The STOCH value of 71.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3139.

Lacto Japan Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2669	73 Outperform	¥32.21B	22.03	―	1.13%	-1.72%	-19.25%
2612	70 Outperform	¥35.06B	14.97	―	2.63%	8.21%	20.27%
3139	65 Neutral	¥34.94B	8.38	―	2.77%	6.49%	31.81%
2831	64 Neutral	¥30.73B	12.45	―	1.83%	0.57%	12.46%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2923	62 Neutral	¥38.99B	13.70	―	0.85%	10.79%	27.11%
2820	60 Neutral	¥27.49B	18.29	―	1.80%	10.86%	1.79%

Lacto Japan Co., Ltd. Corporate Events

Lacto Japan Announces FY2025 Shareholder Benefits Program

Lacto Japan Co., Ltd. has announced its shareholder benefits program for FY2025, targeting shareholders who have held at least 100 shares for two years or more. Eligible shareholders can choose gifts from a catalog based on their shareholding, with options including cheese, gelato, and other gourmet items, reflecting the company’s commitment to rewarding long-term investors.

The most recent analyst rating on (JP:3139) stock is a Hold with a Yen4485.00 price target. To see the full list of analyst forecasts on Lacto Japan Co., Ltd. stock, see the JP:3139 Stock Forecast page.

Lacto Japan Co., Ltd. Reports Strong Financial Growth in 2025

Lacto Japan Co., Ltd. reported a strong financial performance for the nine months ending August 31, 2025, with a notable increase in net sales and profits compared to the previous year. The company’s net sales rose by 7.2%, while operating profit and ordinary profit saw significant increases of 39.0% and 41.0%, respectively. This robust performance reflects Lacto Japan’s effective market strategies and operational efficiencies, positioning it favorably in the competitive dairy industry. The company’s comprehensive income also surged by 81.4%, indicating a positive outlook for stakeholders.

The most recent analyst rating on (JP:3139) stock is a Hold with a Yen4485.00 price target. To see the full list of analyst forecasts on Lacto Japan Co., Ltd. stock, see the JP:3139 Stock Forecast page.