Teijin (3401) AI Stock Analysis

• Market Cap: ¥259.23B
• Dividend Yield: 3.73%
• Average Volume (3M): 930.67K
• Price to Earnings (P/E): 11.2
• Beta (1Y): 0.59
• Revenue Growth: -4.80%
• EPS Growth: 75.22%
• Country: JP
• Employees: 21,834
• Sector: Industrials
• Sector Strength: 72
• Industry: Conglomerates
• EPS (TTM): -3.84
• Shares Outstanding: 197,953,700
• 10 Day Avg. Volume: 1,104,470
• 30 Day Avg. Volume: 930,673
• PEG Ratio: 0.05
• Price to Book (P/B): 0.59
• Price to Sales (P/S): 0.25
• P/FCF Ratio: 29.99
• 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: N/A
• Number of Analyst Covering: 0

• Rating: 62 Neutral
• Price Target: ¥1,356.00 ▲(2.84% Upside)

Teijin's overall stock score reflects a combination of moderate financial performance, positive technical indicators, and attractive valuation metrics. The financial performance shows areas for improvement, particularly in revenue growth and profitability. However, the technical analysis suggests a stable to positive trend, and the valuation metrics indicate potential undervaluation and a strong dividend yield. These factors contribute to a balanced investment outlook for Teijin.

Teijin Business Overview & Revenue Model

Company Description

Teijin Limited (3401) is a global technology-driven company based in Japan, specializing in the development and production of advanced materials and solutions. Operating primarily in the fields of high-performance fibers, plastics, and healthcare, Teijin serves various sectors including automotive, aerospace, and medical industries. The company is known for its innovative products such as aramid fibers, carbon fibers, and biodegradable plastics, which enhance the performance and sustainability of applications across multiple domains.

How the Company Makes Money

Teijin generates revenue through several key streams, primarily from the sale of high-performance materials, including aramid and carbon fibers, which are critical in industries such as automotive and aerospace. The company also earns income from its healthcare division, which offers pharmaceutical products and medical devices. Additionally, Teijin benefits from partnerships with major industrial players and investments in research and development, allowing it to create specialized and high-value products tailored to market demands. The company's focus on sustainability and innovation further drives its growth, as it capitalizes on the increasing demand for eco-friendly materials and solutions.

Teijin Financial Statement Overview

Summary

Teijin's financial statements present a mixed picture. The income statement reveals challenges in revenue growth and profitability, with negative EBIT and EBITDA margins. The balance sheet shows moderate stability but rising debt levels, which could pose future risks. The cash flow statement indicates positive trends in cash generation but highlights the need for better cash conversion efficiency. Overall, Teijin needs to focus on improving operational efficiency, managing leverage, and enhancing cash flow conversion to strengthen its financial position.

Income Statement

Teijin's income statement shows a mixed performance. The company has experienced a decline in revenue growth, with a negative growth rate in the TTM period. Gross profit margins have decreased over time, indicating potential challenges in cost management or pricing power. The net profit margin remains positive but is relatively low, suggesting limited profitability. EBIT and EBITDA margins are negative, highlighting operational inefficiencies or high fixed costs. Overall, the income statement reflects a need for strategic improvements to enhance revenue growth and profitability.

Balance Sheet

The balance sheet of Teijin presents a moderate financial position. The debt-to-equity ratio is below 1, indicating a balanced approach to leveraging, but it has increased over time, suggesting rising debt levels. Return on equity is positive but modest, reflecting moderate efficiency in generating returns for shareholders. The equity ratio is stable, showing a reasonable proportion of equity financing. However, the increasing debt levels could pose a risk if not managed carefully. Overall, the balance sheet indicates stability but with potential leverage concerns.

Cash Flow

Teijin's cash flow statement shows some positive trends. The free cash flow growth rate is positive in the TTM period, indicating improved cash generation capabilities. The operating cash flow to net income ratio is stable, suggesting consistent cash flow relative to earnings. However, the free cash flow to net income ratio is relatively low, indicating limited cash conversion from profits. While there are improvements in cash flow generation, the company needs to enhance its cash conversion efficiency. Overall, the cash flow statement reflects a positive trajectory with room for further optimization.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	993.29B	1.01T	1.03T	1.02T	926.05B	836.51B
Gross Profit	183.89B	191.45B	275.77B	218.76B	241.27B	241.33B
EBITDA	-9.18B	4.37B	118.08B	80.51B	116.13B	64.02B
Net Income	23.19B	28.35B	10.60B	-17.70B	23.16B	-6.66B
Balance Sheet
Total Assets	1.15T	1.06T	1.25T	1.27T	1.24T	1.07T
Cash, Cash Equivalents and Short-Term Investments	205.36B	116.04B	137.75B	142.78B	134.48B	170.19B
Total Debt	492.20B	387.13B	495.72B	529.42B	485.17B	380.04B
Total Liabilities	709.01B	622.73B	769.09B	821.37B	774.20B	643.95B
Stockholders Equity	431.83B	431.38B	454.59B	425.66B	440.38B	407.05B
Cash Flow
Free Cash Flow	14.58B	8.42B	4.41B	-2.65B	-110.82B	46.80B
Operating Cash Flow	77.83B	69.84B	69.45B	55.09B	89.66B	107.73B
Investing Cash Flow	51.02B	52.52B	-46.05B	-52.43B	-198.38B	-79.59B
Financing Cash Flow	-81.05B	-134.46B	-43.16B	7.18B	71.11B	-20.88B

Teijin Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1318.50
• 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:3401, the sentiment is Positive. The current price of 1318.5 is below the 20-day moving average (MA) of 1332.72, above the 50-day MA of 1292.72, and above the 200-day MA of 1230.28, indicating a bullish trend. The MACD of 20.90 indicates Negative momentum. The RSI at 56.67 is Neutral, neither overbought nor oversold. The STOCH value of 47.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3401.

Teijin Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5331	―	¥132.93B	11.09	8.56%	2.96%	-1.76%	5.55%
4206	―	¥235.34B	13.09	―	3.74%	5.29%	8.21%
3106	―	¥118.35B	9.62	―	3.32%	-2.16%	69.82%
5706	―	$782.54B	21.37	11.71%	1.11%	6.34%	-19.70%
5393	―	$360.79B	11.72	14.50%	2.30%	0.72%	5.21%
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
3401	―	¥259.23B	11.24	-19.42%	3.73%	-4.80%	75.22%

Teijin Corporate Events

Teijin Transfers Shares in Aramid Paper Joint Ventures to DuPont

Teijin Limited has announced its decision to transfer its shares in DuPont Teijin Advanced Papers (Japan) Limited and DuPont Teijin Advanced Papers (Asia) Limited to DuPont de Nemours, Inc. This move comes as part of DuPont’s exit from its aramid operations and aligns with Teijin’s strategy to streamline its business portfolio and focus on future growth areas. The share transfer is expected to enhance Teijin’s competitiveness and maximize corporate value over the medium to long term.

The most recent analyst rating on (JP:3401) stock is a Buy with a Yen1434.00 price target. To see the full list of analyst forecasts on Teijin stock, see the JP:3401 Stock Forecast page.

Fire Incident at Teijin’s Delfzijl Plant: Impact Under Investigation

Teijin Limited announced a fire incident at its Delfzijl plant in the Netherlands, operated by its subsidiary Teijin Aramid B.V. The fire, which occurred on August 6, 2025, was extinguished without any reported injuries, but the extent of physical damage and its impact on production and financial outlook are still being assessed. The incident could potentially affect Teijin’s operations and market positioning, with further disclosures expected as investigations continue.

The most recent analyst rating on (JP:3401) stock is a Hold with a Yen1280.00 price target. To see the full list of analyst forecasts on Teijin stock, see the JP:3401 Stock Forecast page.

Teijin’s FY2025 Q1 Results and Positive Outlook

Teijin reported a decrease in adjusted operating income for the first quarter of FY2025, primarily due to maintenance in its Materials Business. However, the company maintains a positive outlook for the year, expecting an increase in profits for both its Materials and Healthcare businesses, and has completed a significant share transfer in its North American composites business.

The most recent analyst rating on (JP:3401) stock is a Hold with a Yen1280.00 price target. To see the full list of analyst forecasts on Teijin stock, see the JP:3401 Stock Forecast page.

Teijin Reports Loss on Sale of Subsidiary Shares

Teijin Limited has announced a financial loss resulting from the sale of its shares in Teijin Automotive Technologies NA Holdings Corporation to Stork BidCo Inc., a move that will be reflected in the company’s second-quarter financial statements for the fiscal year ending March 2026. Despite the recognition of an approximately 11 billion yen loss and the exclusion of TAT from its consolidated subsidiaries, Teijin has stated that this transaction has already been accounted for in its fiscal year outlook, with no changes to its previously announced financial projections.

The most recent analyst rating on (JP:3401) stock is a Hold with a Yen1280.00 price target. To see the full list of analyst forecasts on Teijin stock, see the JP:3401 Stock Forecast page.

Teijin Limited Reports Decline in Q1 FY2025 Financial Performance

Teijin Limited reported a decline in its financial performance for the first quarter of FY2025, with significant decreases in revenue and profit compared to the previous year. The company’s revenue fell by 4.8%, and profit before tax plummeted by 99.3%, indicating challenging market conditions. Despite these setbacks, Teijin maintains its dividend outlook for FY2025, suggesting confidence in its long-term strategy. The financial results highlight the need for strategic adjustments to improve profitability and shareholder value.

The most recent analyst rating on (JP:3401) stock is a Hold with a Yen1280.00 price target. To see the full list of analyst forecasts on Teijin stock, see the JP:3401 Stock Forecast page.