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NIHON SEIMA CO., LTD. (JP:3306)
:3306
Japanese Market

NIHON SEIMA CO., LTD. (3306) AI Stock Analysis

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JP:3306

NIHON SEIMA CO., LTD.

(3306)

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Neutral 54 (OpenAI - 5.2)
Rating:54Neutral
Price Target:
¥728.00
▲(5.66% Upside)
Action:ReiteratedDate:03/24/26
The score is driven primarily by mixed fundamentals: improving profitability and manageable leverage are offset by 2025 margin softening and a swing to negative free cash flow. Technicals are mildly supportive in the short term, while valuation is a key drag due to the negative P/E and low dividend yield.
Positive Factors
Profitability improvement
The company moved from loss-making to consistently positive margins, with gross margin near 24% and EBIT around 6%. That structural margin base suggests underlying operational improvements and cost control that support sustainable earnings if top-line stabilizes.
Negative Factors
Revenue decline and margin squeeze
A declining top line and falling net margin indicate the business remains sensitive to modest revenue pressure and limited pricing power. Persistent top-line weakness would erode earnings leverage and could offset the benefits of improved gross and EBIT margins over time.
Read all positive and negative factors
Positive Factors
Negative Factors
Profitability improvement
The company moved from loss-making to consistently positive margins, with gross margin near 24% and EBIT around 6%. That structural margin base suggests underlying operational improvements and cost control that support sustainable earnings if top-line stabilizes.
Read all positive factors

NIHON SEIMA CO., LTD. (3306) vs. iShares MSCI Japan ETF (EWJ)

NIHON SEIMA CO., LTD. Business Overview & Revenue Model

Company Description
The Nihon Seima Co.,Ltd. manufactures and sells food products, industrial materials, and mats in Japan. The company provides food products, such as spaghetti, soup, curry, pasta sauce, and retort sauce products; and imported ingredients, including...
How the Company Makes Money
null...

NIHON SEIMA CO., LTD. Financial Statement Overview

Summary
Profitability has improved versus earlier loss-making years and leverage is manageable (debt-to-equity ~0.40), but 2025 showed softer revenue (-2.1%), lower net margin (~2.3% vs ~3.0%), and a sharp swing to negative free cash flow (-303M), indicating weaker earnings quality and cash-flow risk.
Income Statement
58
Neutral
Balance Sheet
66
Positive
Cash Flow
46
Neutral
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue4.45B4.42B4.33B3.73B3.15B3.28B
Gross Profit1.02B1.06B1.05B898.32M718.59M688.11M
EBITDA255.77M329.91M370.45M238.07M122.98M77.14M
Net Income76.95M101.36M127.92M95.47M48.30M95.25M
Balance Sheet
Total Assets5.74B5.69B4.62B4.05B3.63B3.60B
Cash, Cash Equivalents and Short-Term Investments1.94B1.95B1.50B1.29B816.97M660.55M
Total Debt1.13B1.01B738.59M777.06M797.27M800.68M
Total Liabilities2.15B1.97B1.74B1.54B1.44B1.45B
Stockholders Equity2.44B2.49B1.85B1.64B1.46B1.43B
Cash Flow
Free Cash Flow0.00-302.66M223.16M111.33M13.45M108.67M
Operating Cash Flow0.00211.16M273.96M125.87M67.09M131.06M
Investing Cash Flow0.00-520.81M-53.18M-78.19M103.62M58.85M
Financing Cash Flow0.00630.37M-71.54M-33.91M-13.28M-79.76M

NIHON SEIMA CO., LTD. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price689.00
Price Trends
50DMA
698.03
Negative
100DMA
695.71
Negative
200DMA
742.10
Negative
Market Momentum
MACD
-5.72
Positive
RSI
34.40
Neutral
STOCH
29.44
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3306, the sentiment is Negative. The current price of 689 is below the 20-day moving average (MA) of 703.64, below the 50-day MA of 698.03, and below the 200-day MA of 742.10, indicating a bearish trend. The MACD of -5.72 indicates Positive momentum. The RSI at 34.40 is Neutral, neither overbought nor oversold. The STOCH value of 29.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3306.

NIHON SEIMA CO., LTD. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
¥62.47B9.411.52%5.75%59.69%
72
Outperform
¥4.40B6.432.79%3.32%18.84%
69
Neutral
¥17.19B23.322.41%-4.23%-5.96%
68
Neutral
¥106.16B9.912.91%31.48%83.15%
67
Neutral
¥9.26B8.773.90%13.59%52.99%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
54
Neutral
¥2.94B-281.080.59%-27.54%253.34%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:3306
NIHON SEIMA CO., LTD.
668.00
199.58
42.61%
JP:3512
Nippon Felt Company Limited
986.00
552.67
127.54%
JP:5355
Nippon Crucible Co., Ltd.
654.00
75.01
12.96%
JP:5821
Hirakawa Hewtech Corp.
3,940.00
2,894.25
276.76%
JP:6554
SUS Co., Ltd.
1,025.00
221.82
27.62%
JP:8057
Uchida Yoko Co., Ltd.
2,062.00
725.14
54.24%
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: Mar 24, 2026