Kitanihon Spinning Co., Ltd. (3409) AI Stock Analysis

• Market Cap: ¥5.94B
• Dividend Yield: N/A
• Average Volume (3M): 1.16M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.43
• Revenue Growth: 28.89%
• EPS Growth: -2448.94%
• Country: JP
• Employees: 81
• Sector: Consumer Cyclical
• Sector Strength: 61
• Industry: Apparel - Manufacturers
• EPS (TTM): -1.06
• Shares Outstanding: 26,081,493
• 10 Day Avg. Volume: 839,790
• 30 Day Avg. Volume: 1,159,023
• PEG Ratio: 0.00
• Price to Book (P/B): 55.65
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -276.69
• 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: 51 Neutral
• Price Target: ―

The overall score of 51 reflects significant financial challenges faced by Kitanihon Spinning Co., Ltd., including negative margins and cash flow issues, despite revenue growth. Technical analysis suggests short-term positive momentum, but valuation concerns due to negative profitability and lack of dividends weigh heavily on the score.

Kitanihon Spinning Co., Ltd. Business Overview & Revenue Model

Company Description

Kitanihon Spinning Co., Ltd. (3409) is a Japan-based company primarily engaged in the textile industry. The company focuses on the production and sale of spun yarns, which are essential components in the manufacturing of various textile products. Kitanihon Spinning Co., Ltd. serves a diverse range of sectors, including apparel, home textiles, and industrial applications, leveraging its expertise in yarn production to deliver high-quality products to its customers.

How the Company Makes Money

Kitanihon Spinning Co., Ltd. generates revenue through the manufacturing and sale of spun yarns. The company's primary revenue stream comes from supplying yarns to manufacturers in the apparel, home textiles, and industrial sectors. Additionally, Kitanihon Spinning may engage in strategic partnerships and collaborate with fashion brands and textile manufacturers to enhance its market presence and drive sales. The company's earnings are influenced by factors such as raw material costs, production efficiency, and market demand for textiles. By maintaining a strong focus on quality and innovation, Kitanihon Spinning Co., Ltd. aims to sustain its competitive edge and profitability in the textile industry.

Kitanihon Spinning Co., Ltd. Financial Statement Overview

Summary

Kitanihon Spinning Co., Ltd. is experiencing persistent financial difficulties, with ongoing net losses, negative cash flow, and moderate leverage. Despite a 10.23% increase in revenue, the company faces challenges in profitability and liquidity, raising concerns about its financial stability and the need for significant improvements or restructuring.

Income Statement

The company has demonstrated a significant revenue growth of 10.23% in the latest year, but it continues to operate at a loss with a negative EBIT margin of -4.70% and a net profit margin of -8.84%. These negative margins indicate substantial challenges in achieving profitability, despite the increase in revenue.

Balance Sheet

The company shows a Debt-to-Equity Ratio of 0.61, which indicates moderate leverage. However, the Return on Equity is negative due to ongoing net losses, and the Equity Ratio stands at 48.39%, highlighting a balanced capital structure but with concerns about ongoing losses.

Cash Flow

Operating cash flow is negative and worsening, while free cash flow remains negative, posing liquidity challenges. The free cash flow to net income ratio is negative, indicating that the company is not generating cash from operations to cover its losses.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	1.38B	1.31B	1.19B	830.45M	615.39M	590.02M
Gross Profit	195.74M	201.59M	95.55M	82.82M	27.70M	53.51M
EBITDA	-302.23M	-48.69M	-202.01M	-80.58M	-55.38M	-31.97M
Net Income	-122.73M	-115.62M	-271.09M	-128.10M	-61.21M	-49.59M
Balance Sheet
Total Assets	1.89B	1.86B	2.07B	2.07B	1.82B	1.33B
Cash, Cash Equivalents and Short-Term Investments	251.00M	216.10M	286.58M	308.63M	480.23M	65.53M
Total Debt	536.00M	545.27M	754.72M	637.47M	597.65M	535.86M
Total Liabilities	990.00M	958.46M	1.11B	989.83M	949.72M	862.50M
Stockholders Equity	895.00M	899.01M	959.93M	1.08B	867.07M	465.97M
Cash Flow
Free Cash Flow	0.00	-147.73M	-322.61M	-260.19M	-131.41M	-93.72M
Operating Cash Flow	0.00	-97.02M	-91.57M	-160.98M	-101.69M	-62.34M
Investing Cash Flow	0.00	177.29M	-207.07M	-351.40M	135.01M	5.42M
Financing Cash Flow	0.00	-159.58M	274.23M	336.12M	377.24M	69.44M

Kitanihon Spinning Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 230.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3409, the sentiment is Positive. The current price of 230 is below the 20-day moving average (MA) of 231.25, above the 50-day MA of 203.02, and above the 200-day MA of 130.21, indicating a bullish trend. The MACD of 10.51 indicates Positive momentum. The RSI at 56.23 is Neutral, neither overbought nor oversold. The STOCH value of 25.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3409.

Kitanihon Spinning Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3110	80 Outperform	€219.54B	17.10	10.29%	2.60%	16.92%	75.95%
3107	80 Outperform	¥244.56B	9.48		3.50%	17.47%	493.79%
3105	72 Outperform	€145.76B	8.47	6.67%	3.88%	-2.43%	―
Sector *	67 Neutral	¥252.23B	13.18	6.50%	2.78%	5.06%	-11.83%
3401	64 Neutral	$232.14B	8.21	-17.62%	4.14%	-2.64%	167.02%
3103	57 Neutral	¥9.69B	―		―	6.82%	-346.05%
3409	51 Neutral	¥5.94B	―		―	28.89%	-2448.94%