Furubayashi Shiko Co., Ltd. (3944) AI Stock Analysis

• Market Cap: ¥2.59B
• Dividend Yield: 2.17%
• Average Volume (3M): 776.00
• Price to Earnings (P/E): 7.3
• Beta (1Y): 0.28
• Revenue Growth: 2.37%
• EPS Growth: 98.09%
• Country: JP
• Employees: 548
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Packaging & Containers
• EPS (TTM): 10.82
• Shares Outstanding: 1,776,820
• 10 Day Avg. Volume: 640
• 30 Day Avg. Volume: 776
• PEG Ratio: -0.19
• Price to Book (P/B): 0.22
• Price to Sales (P/S): 0.11
• P/FCF Ratio: -2.69
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: ¥2,707.00 ▲(17.54% Upside)

The overall stock score is driven by strong technical indicators and attractive valuation, suggesting potential upside. However, financial performance is a concern due to profitability challenges and cash flow issues, which could impact future growth.

Furubayashi Shiko Co., Ltd. Business Overview & Revenue Model

Company Description

Furubayashi Shiko Co., Ltd. (3944) is a Japanese company specializing in the manufacturing and sale of high-quality paper products, including specialized printing paper and packaging materials. Operating primarily in the paper and pulp sector, the company serves various industries, including publishing, advertising, and consumer goods, with a strong emphasis on sustainability and innovative product development.

How the Company Makes Money

Furubayashi Shiko Co., Ltd. generates revenue primarily through the sale of its paper products, which cater to both domestic and international markets. Key revenue streams include the production of specialty printing paper used in high-quality publications, as well as packaging solutions that meet the needs of various clients across different sectors. The company also capitalizes on partnerships with distributors and manufacturers, enhancing its market reach and ensuring a steady flow of orders. Additionally, the growing trend towards eco-friendly products has allowed Furubayashi Shiko to tap into niche markets focused on sustainable materials, further diversifying its revenue sources.

Furubayashi Shiko Co., Ltd. Financial Statement Overview

Summary

Furubayashi Shiko Co., Ltd. shows moderate revenue growth but faces profitability challenges with declining profit margins. The balance sheet is stable, though rising debt levels may require careful management. Cash flow issues are notable, with negative free cash flow indicating liquidity constraints.

Income Statement

The company shows modest revenue growth with an increase from the previous year, although gross profit has decreased, leading to a lower gross profit margin. The net profit margin also declined due to a significant drop in net income. EBIT and EBITDA margins remain positive but have seen a reduction, indicating pressure on operational profitability.

Balance Sheet

The balance sheet reflects a stable equity position with an increase in stockholders' equity. The debt-to-equity ratio remains manageable, suggesting a balanced leverage approach. However, a slight increase in total debt could pose future risks if not controlled.

Cash Flow

The cash flow situation is concerning due to negative free cash flow, which has deteriorated further from the previous year. Operating cash flow has decreased, impacting the company's ability to self-fund its operations. The free cash flow to net income ratio indicates challenges in converting profits into cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	17.88B	18.10B	17.91B	17.06B	16.15B	16.80B
Gross Profit	2.90B	2.66B	2.96B	2.68B	2.41B	2.81B
EBITDA	1.21B	1.10B	1.16B	957.28M	646.52M	504.64M
Net Income	359.00M	248.32M	439.29M	330.70M	135.97M	11.74M
Balance Sheet
Total Assets	19.45B	20.65B	19.01B	17.01B	17.01B	17.51B
Cash, Cash Equivalents and Short-Term Investments	1.92B	2.08B	1.91B	1.61B	1.23B	1.24B
Total Debt	2.95B	3.64B	2.77B	2.16B	2.96B	2.64B
Total Liabilities	9.15B	10.41B	9.57B	8.44B	8.58B	8.65B
Stockholders Equity	9.49B	9.38B	8.67B	7.89B	7.78B	8.24B
Cash Flow
Free Cash Flow	0.00	-766.94M	-274.26M	1.20B	-266.55M	-69.75M
Operating Cash Flow	0.00	392.75M	655.84M	1.51B	259.47M	581.56M
Investing Cash Flow	0.00	-1.02B	-919.52M	-283.92M	-507.53M	-368.51M
Financing Cash Flow	0.00	608.61M	523.73M	-858.59M	202.87M	-143.14M

Furubayashi Shiko Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2303.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3944, the sentiment is Neutral. The current price of 2303 is below the 20-day moving average (MA) of 2344.15, above the 50-day MA of 2295.12, and above the 200-day MA of 2065.07, indicating a neutral trend. The MACD of 10.67 indicates Positive momentum. The RSI at 46.19 is Neutral, neither overbought nor oversold. The STOCH value of 0.80 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:3944.

Furubayashi Shiko Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3947	80 Outperform	¥24.35B	9.92	―	2.88%	8.54%	5.27%
3943	78 Outperform	¥11.10B	12.83	―	4.71%	4.38%	-12.68%
3954	76 Outperform	¥12.83B	10.40	―	1.39%	6.42%	-6.32%
3944	73 Outperform	¥2.59B	7.28	―	2.17%	2.37%	98.09%
3951	70 Outperform	¥18.83B	12.04	―	4.34%	5.06%	-15.22%
3953	63 Neutral	¥2.80B	―	―	6.23%	2.82%	-140.06%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%