tiprankstipranks
Trending News
More News >
Japan Wool Textile Co., Ltd. (JP:3201)
:3201
Japanese Market
Advertisement

Japan Wool Textile Co., Ltd. (3201) AI Stock Analysis

Compare
0 Followers

Top Page

JP:3201

Japan Wool Textile Co., Ltd.

(3201)

Rating:75Outperform
Price Target:
¥1,579.00
▲(14.84%Upside)
Japan Wool Textile Co., Ltd. demonstrates strong financial performance with robust revenue growth and a solid balance sheet, leading to a high score in financial performance. The valuation is attractive due to a reasonable P/E ratio and decent dividend yield, further enhancing the stock's appeal. Technical indicators present a mixed picture, with some bearish signals. Overall, the stock is well-positioned financially and offers value, though technical trends suggest caution.

Japan Wool Textile Co., Ltd. (3201) vs. iShares MSCI Japan ETF (EWJ)

Japan Wool Textile Co., Ltd. Business Overview & Revenue Model

Company DescriptionJapan Wool Textile Co., Ltd. (3201), commonly known as Nikke, is a diversified Japanese company primarily engaged in the production and sale of textile products. The company operates through various segments, including textiles, industrial products, and lifestyle businesses. Its core offerings include woolen and worsted fabrics, synthetic fibers, and textile-related goods. Additionally, Nikke is involved in the development and distribution of industrial materials and real estate, showcasing a well-rounded portfolio that caters to both domestic and international markets.
How the Company Makes MoneyJapan Wool Textile Co., Ltd. generates revenue through multiple streams that reflect its business diversification. The primary source of income is the manufacturing and sale of textile products, such as woolen and synthetic fabrics, to various clients ranging from fashion brands to industrial users. Another significant revenue stream comes from its industrial products segment, which includes the production and sale of materials used in sectors like automotive and construction. The company also benefits from its lifestyle business, which encompasses real estate development and management, contributing to its financial stability. Strategic partnerships and collaborations with other companies enhance its product offerings and market reach, thereby boosting sales and profitability.

Japan Wool Textile Co., Ltd. Financial Statement Overview

Summary
Japan Wool Textile Co., Ltd. presents a strong financial profile with robust revenue growth and profitability. While gross margins have slightly declined, net profit margins have improved. The balance sheet is solid with low leverage and strong equity, and the cash flow statement indicates healthy cash generation despite some fluctuations. Overall, the company is financially stable with efficient operations and prudent financial management, positioning it well for future growth.
Income Statement
78
Positive
Japan Wool Textile Co., Ltd. demonstrates a stable financial performance with consistent revenue growth over the years. The gross profit margin shows a slight decline to 28.6% in 2024 from 30.0% in 2023, indicating pressure on profitability. The net profit margin improved to 7.8% in 2024, reflecting efficient cost management. EBIT and EBITDA margins remain strong at 10.1% and 13.6%, respectively, showcasing effective operational control. Overall, the income statement indicates a strong position, although slight caution is warranted for declining gross margins.
Balance Sheet
82
Very Positive
The company maintains a solid balance sheet with an increasing equity base, reaching JPY 122.8 billion in 2024. The debt-to-equity ratio is low at 0.11, indicating strong financial health and low leverage risk. The equity ratio is substantial at 68.3%, reflecting a robust capital structure. The return on equity is commendable at 7.3%, showcasing efficient utilization of shareholder equity. Overall, the balance sheet is strong, with minimal financial risk and a solid equity position.
Cash Flow
75
Positive
The cash flow statement shows a robust free cash flow of JPY 10.2 billion in 2024, indicating healthy cash generation. The operating cash flow to net income ratio stands at 1.13, suggesting strong cash earnings quality. The free cash flow to net income ratio is also favorable at 1.13, highlighting effective cash flow management. However, the free cash flow growth rate was 72.9%, indicating variability in cash flow generation. The cash flow metrics are positive overall, with some fluctuations in free cash flow growth.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue115.44B113.50B109.05B106.62B104.92B
Gross Profit33.01B34.00B32.81B31.29B30.04B
EBITDA15.66B15.70B14.93B13.97B13.20B
Net Income8.97B7.64B7.28B8.31B7.12B
Balance Sheet
Total Assets179.94B166.13B163.38B163.63B147.17B
Cash, Cash Equivalents and Short-Term Investments33.45B36.35B37.50B41.16B30.25B
Total Debt13.10B14.67B19.28B21.08B20.77B
Total Liabilities56.21B51.99B55.65B59.02B51.46B
Stockholders Equity122.80B113.15B106.63B102.94B93.92B
Cash Flow
Free Cash Flow10.16B5.88B5.14B12.40B11.25B
Operating Cash Flow10.16B8.99B9.45B12.40B11.31B
Investing Cash Flow-7.86B990.00M-6.88B-2.09B-6.22B
Financing Cash Flow-4.21B-9.77B-9.50B-1.48B-359.00M

Japan Wool Textile Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1375.00
Price Trends
50DMA
1443.82
Negative
100DMA
1436.60
Negative
200DMA
1354.58
Positive
Market Momentum
MACD
-12.13
Positive
RSI
35.32
Neutral
STOCH
5.16
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3201, the sentiment is Negative. The current price of 1375 is below the 20-day moving average (MA) of 1445.40, below the 50-day MA of 1443.82, and above the 200-day MA of 1354.58, indicating a neutral trend. The MACD of -12.13 indicates Positive momentum. The RSI at 35.32 is Neutral, neither overbought nor oversold. The STOCH value of 5.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3201.

Japan Wool Textile Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (67)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
¥130.05B10.0110.24%2.81%12.50%7.68%
75
Outperform
¥87.60B10.78
2.97%7.01%11.28%
74
Outperform
¥77.26B4.6816.23%5.78%-1.54%446.34%
73
Outperform
€131.72B14.0512.99%3.04%5.50%-30.13%
69
Neutral
¥81.78B9.3410.87%4.31%13.65%20.39%
68
Neutral
¥118.96B19.225.24%2.15%3.18%26.10%
67
Neutral
¥267.20B13.406.45%2.59%5.22%-11.90%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:3201
Japan Wool Textile Co., Ltd.
1,388.00
122.55
9.68%
JP:8016
Onward Holdings Co., Ltd.
604.00
83.22
15.98%
JP:3002
Gunze
3,645.00
980.40
36.79%
JP:2685
Adastria Co.,Ltd.
2,959.00
-161.38
-5.17%
JP:3569
Seiren Co
2,434.00
198.51
8.88%
JP:3608
TSI Holdings Co
1,125.00
309.90
38.02%

Japan Wool Textile Co., Ltd. Corporate Events

Japan Wool Textile Co., Ltd. Reports Increased Sales but Declining Profits
Jul 11, 2025

Japan Wool Textile Co., Ltd. reported a 9.3% increase in net sales for the six months ending May 31, 2025, compared to the previous year. Despite the rise in sales, the profit attributable to owners of the parent decreased by 3.6%. The company has revised its financial forecast for the fiscal year ending November 30, 2025, expecting a 5.4% increase in net sales but a 10.8% decrease in profit attributable to owners. The dividend forecast remains unchanged, indicating stable shareholder returns despite the anticipated profit decline.

NIKKE Reports No Acquisition of Treasury Stock in June 2025
Jul 1, 2025

NIKKE announced the status of its treasury stock acquisition, revealing that no shares were acquired during the specified period from June 2, 2025, to June 30, 2025, despite a resolution allowing for the purchase of up to 2,000,000 shares. This decision reflects the company’s strategic approach to managing its equity and financial resources, potentially impacting shareholder value and market perception.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 15, 2025