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Nippon Felt Company Limited (JP:3512)
:3512
Japanese Market
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Nippon Felt Company Limited (3512) AI Stock Analysis

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JP:3512

Nippon Felt Company Limited

(3512)

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Neutral 57 (OpenAI - 5.2)
Rating:57Neutral
Price Target:
¥804.00
▲(14.20% Upside)
Action:Reiterated
Date:05/17/26
The score is held up by a conservatively financed balance sheet, but is weighed down by weakening/volatile operating results and recent negative free cash flow. Technical indicators also point to a pronounced downtrend (despite oversold readings), while valuation is mixed with a decent yield but a relatively high P/E versus fundamentals.
Positive Factors
Conservative balance sheet
Very low leverage and steadily growing equity provide durable financial flexibility and downside protection. This conservatively financed balance sheet lets management fund capex or absorb cyclical hits without needing external financing, supporting multi‑month resilience.
Negative Factors
Multi-year revenue decline
Sustained revenue contraction over several years indicates structural demand weakness or market share pressure. Continuous top-line erosion reduces operating leverage and scale, limits reinvestment capacity, and makes margin recovery and predictable growth more challenging over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet
Very low leverage and steadily growing equity provide durable financial flexibility and downside protection. This conservatively financed balance sheet lets management fund capex or absorb cyclical hits without needing external financing, supporting multi‑month resilience.
Read all positive factors

Nippon Felt Company Limited (3512) vs. iShares MSCI Japan ETF (EWJ)

Nippon Felt Company Limited Business Overview & Revenue Model

Company Description
Nippon Felt Co., Ltd. manufactures and sells press felts, shoe press belts, and industrial textile products in Japan and internationally. The company offers papermaking felts and pulp-making felts; felts for slate and building materials manufactur...
How the Company Makes Money
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Nippon Felt Company Limited Financial Statement Overview

Summary
Strong balance sheet (very low leverage and rising equity) supports stability, but operating performance has softened with multi-year revenue declines and lower net income versus the 2023 peak. Cash generation is a key risk: operating cash flow is positive but volatile, and free cash flow turned negative most recently.
Income Statement
56
Neutral
Balance Sheet
82
Very Positive
Cash Flow
50
Neutral
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue9.62B9.40B9.70B10.08B10.40B9.84B
Gross Profit2.88B2.98B3.09B3.31B3.61B3.36B
EBITDA775.50M1.14B743.24M1.03B1.38B1.15B
Net Income442.54M560.17M429.90M487.51M750.10M499.18M
Balance Sheet
Total Assets24.70B28.05B25.26B25.07B23.59B22.79B
Cash, Cash Equivalents and Short-Term Investments3.41B2.92B3.70B3.96B5.33B5.06B
Total Debt800.00M800.00M800.00M801.46M1.61B1.62B
Total Liabilities4.21B5.15B4.55B4.70B5.38B5.39B
Stockholders Equity20.04B22.42B20.24B19.93B17.81B17.02B
Cash Flow
Free Cash Flow0.00-134.43M198.34M111.80M499.41M1.01B
Operating Cash Flow0.00692.82M1.06B611.39M1.06B1.28B
Investing Cash Flow0.00-520.89M-753.61M-934.50M-562.01M-251.25M
Financing Cash Flow0.00-684.14M-623.28M-1.33B-262.46M-431.97M

Nippon Felt Company Limited Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price704.00
Price Trends
50DMA
936.53
Negative
100DMA
897.68
Negative
200DMA
737.04
Positive
Market Momentum
MACD
-42.88
Positive
RSI
37.86
Neutral
STOCH
22.43
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3512, the sentiment is Neutral. The current price of 704 is below the 20-day moving average (MA) of 881.60, below the 50-day MA of 936.53, and below the 200-day MA of 737.04, indicating a neutral trend. The MACD of -42.88 indicates Positive momentum. The RSI at 37.86 is Neutral, neither overbought nor oversold. The STOCH value of 22.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3512.

Nippon Felt Company Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
¥617.79B17.4313.63%1.95%-1.79%1.03%
73
Outperform
¥177.28B10.762.66%-4.58%51.25%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
62
Neutral
¥148.40B14.103.17%0.56%17.01%
58
Neutral
¥360.57B4.338.35%2.73%-3.16%-32.06%
57
Neutral
¥14.14B27.322.41%-3.10%33.69%
46
Neutral
¥307.83B-3.58-20.43%3.72%-13.16%-410.43%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:3512
Nippon Felt Company Limited
827.00
383.93
86.65%
JP:5393
Nichias
3,328.00
1,781.41
115.18%
JP:3105
Nisshinbo Holdings
2,336.50
1,465.35
168.21%
JP:3401
Teijin
1,606.00
514.89
47.19%
JP:3106
KURABO INDUSTRIES LTD.
10,700.00
4,486.65
72.21%
JP:3167
Tokai Holdings Corporation
1,148.00
205.80
21.84%
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: May 17, 2026