Teijin (3401) AI Stock Analysis

• Market Cap: $248.95B
• Dividend Yield: 3.73%
• Average Volume (3M): 1.23M
• Price to Earnings (P/E): 9.3
• Beta (1Y): 0.62
• Revenue Growth: -8.20%
• EPS Growth: N/A
• Country: JP
• Employees: 21,834
• Sector: Industrials
• Sector Strength: 72
• Industry: Conglomerates
• EPS (TTM): -280.57
• Shares Outstanding: 197,953,700
• 10 Day Avg. Volume: 898,600
• 30 Day Avg. Volume: 1,234,116
• 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: 2.10
• Enterprise Value/Revenue: 0.53
• Enterprise Value/Gross Profit: 2.84
• Enterprise Value/Ebitda: -56.92
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 55 Neutral
• Price Target: ¥1,241.00 ▼(-4.39% Downside)

Teijin's overall stock score reflects a combination of mixed financial performance, bearish technical indicators, and attractive valuation metrics. The most significant factor is the financial performance, which highlights challenges in revenue growth and profitability. Technical analysis indicates weak momentum, while the valuation suggests the stock is undervalued with a good dividend yield. The absence of earnings call data and corporate events means these factors did not influence the score.

Positive Factors

Innovative Product Portfolio

Teijin's focus on advanced materials like aramid and carbon fibers positions it well in high-demand sectors like automotive and aerospace, supporting long-term growth.

Sustainability Focus

Teijin's emphasis on eco-friendly materials aligns with global trends towards sustainability, enhancing its market appeal and growth prospects.

Cash Generation

Improved cash generation capabilities provide Teijin with resources to invest in growth opportunities and manage financial obligations effectively.

Negative Factors

Revenue Decline

Declining revenue growth indicates potential market challenges or competitive pressures, necessitating strategic adjustments to regain momentum.

Rising Debt Levels

Increasing debt levels could strain Teijin's financial flexibility, impacting its ability to invest in growth and manage economic downturns.

Profitability Challenges

Decreasing profit margins suggest cost pressures or pricing challenges, which could affect long-term profitability if not addressed.

Teijin Business Overview & Revenue Model

Company Description

Teijin Limited engages in the fibers, films and sheets, composites, healthcare, and IT businesses worldwide. It offers aramid fibers and polyethylene materials; carbon fibers, composite materials, and oxidized PAN fibers; polycarbonate sheets and films; high-density polyethylene porous films and materials; and microporous films. The company also provides PC resins, polyphenylene sulfide resins, molded parts, and additives; lightweight glass and carbon fiber reinforced composites for automotive applications; and polytrimethylene telephthalate products, artificial leather materials, polyester nanofibers, and recycled polyester fibers. In addition, it offers pharmaceuticals for bone and joint, respiratory, cardiovascular and metabolic, and other diseases; home oxygen therapy, non-invasive positive pressure ventilation, rehabilitation, and sleep disordered breathing related devices, as well as sonic accelerated fracture healing system and community-based integrated care system; and orthopedic implantable devices, and functional food ingredients. Further, the company provides Recopic, a radio-frequency identification technology for inventory management. Additionally, it develops and implements engineering solutions for various issues, such as environmental pollution, energy supply stability, and aging-related workforce population decline. Teijin Limited was incorporated in 1918 and is headquartered in Tokyo, Japan.

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: 1298.00
• 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:3401, the sentiment is Positive. The current price of 1298 is above the 20-day moving average (MA) of 1270.58, above the 50-day MA of 1295.78, and above the 200-day MA of 1232.28, indicating a bullish trend. The MACD of -1.61 indicates Negative momentum. The RSI at 52.32 is Neutral, neither overbought nor oversold. The STOCH value of 60.65 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	78 Outperform	€146.23B	12.15	8.27%	2.86%	-2.45%	7.31%
3106	77 Outperform	¥120.70B	10.66	―	3.30%	-1.63%	67.13%
5393	73 Outperform	$386.46B	12.56	13.63%	2.10%	-1.33%	9.21%
4206	73 Outperform	¥231.81B	12.77	―	3.74%	2.65%	7.16%
5706	69 Neutral	$919.31B	25.11	13.77%	0.98%	6.71%	-14.98%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
3401	55 Neutral	$248.95B	9.28	-20.43%	3.73%	-8.20%	―

Teijin Corporate Events

Teijin Limited Reports Decline in Revenue and Income

Teijin Limited is a diversified Japanese company operating primarily in the materials, fibers, and healthcare sectors, known for its innovative solutions in advanced materials and pharmaceuticals. In its latest earnings report for the six months ending September 30, 2025, Teijin reported a decline in revenue and adjusted operating income compared to the previous year, reflecting ongoing challenges in its core markets. Key financial metrics revealed a revenue of 451,043 million yen, down 11.1% year-on-year, and an adjusted operating income of 13,042 million yen, marking a 30% decrease. The company also faced a significant operating loss of 54,082 million yen, primarily due to impairment losses in its Materials segment. Despite these challenges, Teijin maintained its dividend outlook, signaling a commitment to shareholder returns. Looking ahead, Teijin’s management remains cautious, revising its full-year forecast to reflect a continued challenging environment, with expectations of a 14.5% decline in annual revenue. The company is focusing on strategic restructuring and cost management to navigate the current market conditions.

Teijin Limited Reports Decreased Income and Adjusted Outlook for FY2025

Teijin Limited reported a decrease in adjusted operating income for the second quarter of FY2025, primarily due to maintenance in its Materials Business and impairment losses in the aramid sector. The outlook for FY2025 anticipates further income reduction due to delayed recovery in the Materials Business and the transfer of the aramid paper business, though dividends remain unchanged.

The most recent analyst rating on (JP:3401) stock is a Hold with a Yen1356.00 price target. To see the full list of analyst forecasts on Teijin stock, see the JP:3401 Stock Forecast page.

Teijin Revises Earnings Forecasts Amid Aramid Business Challenges

Teijin Limited has revised its full-year earnings forecasts for the fiscal year ending March 31, 2026, due to recent performance challenges. The company has recorded significant impairment losses in its aramid business, driven by intensified competition and unfavorable exchange rate fluctuations. Despite these setbacks, Teijin plans to maintain its dividend forecast, emphasizing its commitment to stable shareholder returns.

The most recent analyst rating on (JP:3401) stock is a Hold with a Yen1356.00 price target. To see the full list of analyst forecasts on Teijin stock, see the JP:3401 Stock Forecast page.

Teijin Reports Decline in Financial Performance for H1 2025

Teijin Limited reported a decline in its financial performance for the six months ending September 30, 2025, with revenue and adjusted operating income both falling compared to the previous year. The company has revised its outlook for the fiscal year ending March 31, 2026, indicating challenges in achieving its financial targets, which may impact its market positioning and stakeholder confidence.

The most recent analyst rating on (JP:3401) stock is a Hold with a Yen1356.00 price target. To see the full list of analyst forecasts on Teijin stock, see the JP:3401 Stock Forecast page.

Teijin Limited Reports Minor Impact from Delfzijl Plant Fire

Teijin Limited reported a fire incident at its Delfzijl plant in the Netherlands, operated by its subsidiary Teijin Aramid B.V. The fire, caused by a problem with drying equipment, was extinguished without any injuries or environmental impact. The plant resumed operations safely by August 20, and the company has implemented measures to prevent future incidents. The financial impact of the incident is expected to be minor, with the production system prepared to meet upcoming sales demands.

The most recent analyst rating on (JP:3401) stock is a Hold with a Yen1356.00 price target. To see the full list of analyst forecasts on Teijin stock, see the JP:3401 Stock Forecast page.

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.