Oji Holdings (3861) AI Stock Analysis

• Market Cap: ¥839.10B
• Dividend Yield: 3.54%
• Average Volume (3M): 4.22M
• Price to Earnings (P/E): 24.9
• Beta (1Y): 0.54
• Revenue Growth: 3.91%
• EPS Growth: -22.16%
• Country: JP
• Employees: 38,322
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Paper, Lumber & Forest Products
• EPS (TTM): 17.42
• Shares Outstanding: 1,014,381,840
• 10 Day Avg. Volume: 5,020,360
• 30 Day Avg. Volume: 4,220,993
• PEG Ratio: -1.71
• Price to Book (P/B): 0.56
• Price to Sales (P/S): 0.33
• P/FCF Ratio: -12.36
• 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
• EPS Forecast (FY): 57.31
• Revenue Forecast (FY): ¥1.86T

• Rating: 62 Neutral
• Price Target: ¥830.00 ▲(4.02% Upside)

The overall stock score of 62 reflects moderate financial performance with consistent revenue growth but challenges in profitability and cash flow. Technical analysis indicates mixed momentum, while valuation suggests the stock may be overvalued. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term business sustainability.

Sustainability Initiatives

Oji Holdings' focus on sustainability aligns with global trends, enhancing its brand reputation and potentially opening new revenue streams.

Market Diversification

A diversified portfolio reduces risk and enhances resilience against sector-specific downturns, supporting stable long-term growth.

Negative Factors

Profitability Challenges

Declining profitability may limit reinvestment capabilities and affect shareholder returns, posing a challenge to long-term financial health.

Rising Debt Levels

Rising debt levels can strain financial flexibility and increase vulnerability to interest rate changes, impacting long-term stability.

Negative Free Cash Flow

Negative free cash flow may constrain the company's ability to fund operations and investments, challenging growth and sustainability.

Oji Holdings Business Overview & Revenue Model

Company Description

Oji Holdings Corporation, together with its subsidiaries, engages in the pulp and paper business in Japan and internationally. It operates in four segments: Household and Industrial Materials, Functional Materials, Forest Resources and Environment Marketing, and Printing and Communications Media. The Household and Industrial Materials segment offers containerboards, corrugated containers, boxboard and folding cartons, packaging papers, paper bags, household paper, and disposable diapers. This segment also provides tissue paper, toilet rolls, kitchen towels, wet wipes, and face masks. The Functional Materials segment offers specialty paper, thermal paper, adhesive products, and films. The Forest Resources and Environment Marketing segment provides pulp, energy, forest plantation, lumber processing, and fuels/chemicals, as well as offers other material procurement services. The Printing and Communications Media segment provides newsprint, printing, publication, and communication paper services. It also engages in the real estate, engineering, trading, logistics, businesses, etc. The company was formerly known as Oji Paper Co., Ltd. and changed its name to Oji Holdings Corporation in October 2012. Oji Holdings Corporation was founded in 1873 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Oji Holdings generates revenue through multiple key streams, primarily from its core operations in paper and packaging. The company manufactures a wide range of paper products, including printing paper, tissue paper, and specialty paper, which are sold to businesses both domestically and internationally. Additionally, Oji Holdings produces packaging materials, such as corrugated containers and flexible packaging, catering to various industries including food and beverage, electronics, and pharmaceuticals. The company benefits from strategic partnerships with other firms in the supply chain, enhancing its market reach and operational efficiency. Furthermore, Oji Holdings capitalizes on the growing demand for sustainable and eco-friendly products, investing in renewable energy and recycling initiatives that not only contribute to its revenue but also align with global sustainability trends.

Oji Holdings Financial Statement Overview

Summary

Oji Holdings shows consistent revenue growth but faces challenges in profitability and cash flow stability. The balance sheet is stable, though rising debt levels could pose future risks.

Income Statement

The company exhibits moderate growth with revenue increasing from the previous year. Gross profit margin is stable at around 18% over the years, while net profit margin shows a decreasing trend, currently at 2.5%. EBIT and EBITDA margins also reflect a slight decrease, indicating some pressure on operational efficiency. Despite these challenges, the company manages to maintain a positive revenue growth trajectory.

Balance Sheet

The balance sheet reveals a moderate debt-to-equity ratio of approximately 0.82, indicating a balanced approach to leveraging. However, the increase in total debt over recent years poses a potential risk. Return on equity has decreased from 9.8% to 4.2%, highlighting a reduction in profitability relative to shareholders' equity. The equity ratio remains stable, reflecting a consistent capital structure.

Cash Flow

Cash flow analysis shows a significant decrease in free cash flow, turning negative in the most recent year, which could indicate challenges in sustaining capital investments. The operating cash flow to net income ratio remains favorable, suggesting efficient cash generation from operations. However, the negative free cash flow to net income ratio signals potential cash constraints.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.87T	1.85T	1.70T	1.71T	1.47T	1.36T
Gross Profit	340.97B	349.39B	324.08B	340.00B	343.95B	327.43B
EBITDA	143.76B	199.47B	166.15B	165.02B	202.64B	151.53B
Net Income	23.30B	46.17B	50.81B	56.48B	87.51B	49.63B
Balance Sheet
Total Assets	2.59T	2.64T	2.44T	2.30T	2.05T	1.98T
Cash, Cash Equivalents and Short-Term Investments	69.10B	65.86B	62.86B	57.07B	55.82B	136.25B
Total Debt	948.67B	903.39B	736.72B	788.34B	650.51B	647.68B
Total Liabilities	1.53T	1.50T	1.35T	1.33T	1.18T	1.12T
Stockholders Equity	1.04T	1.10T	1.07T	937.08B	851.39B	751.18B
Cash Flow
Free Cash Flow	0.00	-49.51B	87.88B	-75.85B	44.93B	32.43B
Operating Cash Flow	0.00	94.42B	202.90B	18.26B	143.59B	127.11B
Investing Cash Flow	0.00	-154.91B	-118.00B	-123.27B	-92.57B	-91.56B
Financing Cash Flow	0.00	60.97B	-84.90B	101.79B	-136.00B	19.93B

Oji Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 797.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3861, the sentiment is Positive. The current price of 797.9 is below the 20-day moving average (MA) of 825.16, below the 50-day MA of 803.72, and above the 200-day MA of 726.26, indicating a bullish trend. The MACD of 13.65 indicates Negative momentum. The RSI at 65.86 is Neutral, neither overbought nor oversold. The STOCH value of 82.45 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3861.

Oji Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8032	75 Outperform	¥76.02B	36.84	―	3.25%	4.06%	-73.92%
3865	66 Neutral	¥146.04B	12.79	4.52%	2.76%	-0.03%	120.35%
9274	64 Neutral	¥50.88B	7.60	―	4.53%	-0.37%	-19.68%
3861	62 Neutral	¥839.10B	24.91	2.87%	3.54%	3.91%	-22.16%
3863	62 Neutral	¥131.82B	7.48	3.57%	1.31%	1.64%	-10.74%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
3880	59 Neutral	¥149.93B	-45.62	-1.54%	1.55%	-2.89%	-15.89%

Oji Holdings Corporate Events

Oji Holdings Updates on Treasury Share Repurchase Progress

Oji Holdings Corporation announced the status of its treasury share repurchase, revealing that it has acquired 2,386,000 shares at a cost of JPY 1,884,904,500 during November 2025. This repurchase is part of a broader strategy approved by the Board of Directors to buy back up to 100 million shares, with the aim of optimizing capital structure and enhancing shareholder value. As of November 30, 2025, the company has repurchased a cumulative total of 77,195,000 shares, nearing its maximum limit, which indicates a strong commitment to its capital management strategy.

Oji Holdings to Transfer Assets, Recognizes ¥19.9 Billion Gain

Oji Holdings Corporation announced that its subsidiary, Oji Real Estate Co., Ltd., will transfer certain fixed assets as part of its Medium-Term Management Plan 2027, aimed at improving capital efficiency through asset slimming. This transfer is expected to generate an extraordinary income of ¥19.9 billion, which will be reflected in the company’s consolidated financial results for the year ending March 2026, without altering the previously announced financial forecast.

Oji Holdings to Receive Significant Dividends from Subsidiaries

Oji Holdings Corporation announced it will receive substantial dividends from its subsidiaries, Oji Materia Co., Ltd. and Oji Imaging Media Co., Ltd., totaling 89.8 billion yen. These dividends will be recorded as operating revenue in the company’s non-consolidated financial statements for the fiscal year ending March 2026, with no impact on the consolidated financial results.

Oji Holdings Revises Financial Forecast for FY 2026 Amid Market Challenges

Oji Holdings Corporation has revised its consolidated financial forecast for the year ending March 2026, anticipating a decrease in net sales and profits compared to previous estimates. The revision is attributed to a decline in sales volume and unfavorable market conditions in both domestic and overseas pulp markets. Despite the expected drop in profits, the company maintains its annual dividend forecast at 36 yen per share, indicating stability in shareholder returns.

Oji Holdings Reports Q2 Financial Results and Adjusts Forecasts

Oji Holdings Corporation reported its financial results for the second quarter ending September 30, 2025, showing a significant decline in comprehensive income compared to the previous year. The company also announced a change in its consolidated forecasts for the year ending March 2026, reflecting adjustments in its financial outlook. Despite these changes, there are no alterations in the dividend forecast, indicating a stable approach to shareholder returns.

Oji Holdings Announces Progress in Share Repurchase Program

Oji Holdings Corporation has announced the status of its share repurchase program, which was authorized by the Board of Directors in December 2024. As of October 31, 2025, the company has repurchased 74,809,000 shares at a total cost of JPY 47,055,699,470, reflecting its strategic move to enhance shareholder value and optimize capital structure.

Oji Holdings Revises Financial Forecast Amid Overseas Market Decline

Oji Holdings Corporation has revised its consolidated financial forecast for the second quarter of the fiscal year ending March 2026, citing a decline in overseas market conditions for pulp and other products. This revision reflects a decrease in expected net sales, operating profit, ordinary profit, and profit attributable to owners of the parent. Despite these adjustments, the company maintains its annual dividend forecast, indicating stability in shareholder returns.

Oji Holdings Announces Treasury Share Repurchase Status

Oji Holdings Corporation has announced the status of its treasury share repurchase, acquiring 1,894,700 shares for approximately JPY 1.57 billion between September 1 and September 30, 2025. This repurchase is part of a larger plan approved by the Board of Directors to buy back up to 100 million shares, with the aim of optimizing capital structure and enhancing shareholder value.