Taki Chemical Co., Ltd. (4025) AI Stock Analysis

• Market Cap: ¥24.41B
• Dividend Yield: 0.18%
• Average Volume (3M): 10.57K
• Price to Earnings (P/E): 9.8
• Beta (1Y): 0.68
• Revenue Growth: 11.95%
• EPS Growth: 68.61%
• Country: JP
• Employees: 604
• Sector: Basic Materials
• Sector Strength: 70
• Industry: Chemicals
• EPS (TTM): 65.61
• Shares Outstanding: 9,458,768
• 10 Day Avg. Volume: 15,270
• 30 Day Avg. Volume: 10,566
• PEG Ratio: 2.65
• Price to Book (P/B): 1.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.16K
• 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: 72 Outperform
• Price Target: ¥3,413.00 ▲(20.99%Upside)

Taki Chemical Co., Ltd. shows strong financial performance, with notable revenue and profit growth, a robust balance sheet, and improved cash generation. However, technical analysis indicates a bearish trend with weak momentum, and the valuation suggests potential undervaluation. The absence of earnings call data and corporate events limits additional insights. Overall, the company is financially strong but faces challenges in market sentiment and technical performance.

Taki Chemical Co., Ltd. Business Overview & Revenue Model

Company Description

Taki Chemical Co., Ltd. (4025) is a Japanese chemical company that specializes in the manufacturing and distribution of a wide range of chemical products. The company operates primarily in the chemicals sector, providing essential materials for various industries. Its core products include specialty chemicals, industrial chemicals, and high-performance materials that serve multiple applications such as electronics, automotive, and construction.

How the Company Makes Money

Taki Chemical Co., Ltd. generates revenue through the sale of its chemical products across different industrial sectors. The company's key revenue streams include the distribution of specialty and industrial chemicals used in high-demand applications, such as electronics and automotive manufacturing. By maintaining strategic partnerships with other industrial firms and leveraging its expertise in chemical manufacturing, Taki Chemical Co., Ltd. ensures a steady demand for its products. The company also invests in research and development to innovate and expand its product offerings, thereby enhancing its competitive advantage and revenue potential.

Taki Chemical Co., Ltd. Financial Statement Overview

Summary

Taki Chemical Co., Ltd. exhibits strong financial health with significant revenue and profit growth. The income statement shows enhanced profitability and robust margins, though EBIT margins could improve. The balance sheet is very strong with low leverage and high equity, reducing financial risk. The cash flow statement indicates a significant improvement in cash generation, though consistency in positive free cash flow is needed.

Income Statement

Taki Chemical Co., Ltd. has demonstrated solid revenue growth with a 11.65% increase in 2024. Its gross profit margin improved to 23.13%, indicating efficient cost management. The net profit margin increased to 5.91%, showcasing enhanced profitability. Both EBIT and EBITDA margins reflected healthy operational performance at 6.86% and 10.05% respectively. Overall, the company shows strong revenue and profit growth with robust margins, though there is room for improvement in EBIT margins.

Balance Sheet

The balance sheet of Taki Chemical Co., Ltd. is robust with a low debt-to-equity ratio of 0.03, indicating minimal reliance on debt financing. The equity ratio of 64.85% reflects a strong equity position relative to total assets. Moreover, the return on equity (ROE) is impressive at 6.07%, signifying efficient use of equity to generate profits. The company's financial position is stable with low leverage and high equity, reducing financial risk.

Cash Flow

The company has experienced a significant improvement in free cash flow, transitioning from negative in previous years to a positive 2.53 billion in 2024, indicating better cash management. The operating cash flow to net income ratio at 1.89 suggests strong cash generation capability relative to net income. However, while the free cash flow is positive this year, consistent positive free cash flow generation remains an area to watch.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	38.92B	34.85B	35.85B	32.81B	30.18B
Gross Profit	9.01B	6.93B	8.81B	8.56B	7.49B
EBITDA	4.52B	3.12B	4.03B	3.85B	2.88B
Net Income	2.30B	1.36B	2.06B	1.92B	1.56B
Balance Sheet
Total Assets	58.40B	51.30B	50.32B	46.04B	42.94B
Cash, Cash Equivalents and Short-Term Investments	7.46B	5.08B	6.26B	6.53B	6.43B
Total Debt	1.22B	1.15B	1.24B	1.34B	1.44B
Total Liabilities	20.44B	17.40B	18.27B	16.66B	15.86B
Stockholders Equity	37.88B	33.82B	31.95B	29.23B	26.93B
Cash Flow
Free Cash Flow	2.53B	-529.00M	-34.00M	218.00M	1.88B
Operating Cash Flow	4.34B	1.62B	1.44B	2.82B	3.02B
Investing Cash Flow	-1.61B	-1.64B	-1.08B	-2.32B	-1.01B
Financing Cash Flow	-352.00M	-1.17B	-543.00M	-498.00M	-561.00M

Taki Chemical Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2821.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4025, the sentiment is Negative. The current price of 2821 is below the 20-day moving average (MA) of 2853.30, below the 50-day MA of 2944.78, and below the 200-day MA of 3331.20, indicating a bearish trend. The MACD of -32.98 indicates Negative momentum. The RSI at 39.80 is Neutral, neither overbought nor oversold. The STOCH value of 13.99 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4025.

Taki Chemical Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4463	78 Outperform	¥19.65B	7.23		4.81%	8.23%	37.45%
5013	77 Outperform	¥27.31B	6.31		6.78%	4.77%	43.65%
4531	77 Outperform	¥5.76B	6.38		3.41%	16.98%	16.45%
4025	72 Outperform	¥24.41B	9.81		0.18%	11.95%	68.61%
4970	70 Outperform	¥36.67B	11.18		0.86%	20.99%	36.85%
Sector *	70 Neutral	¥175.94B	11.15	6.37%	3.52%	3.93%	6.03%
4080	46 Neutral	¥13.53B	7.54	-1.83%	0.86%	-23.94%	-110.06%

Taki Chemical Co., Ltd. Corporate Events

Taki Chemical Co. Announces Treasury Share Disposal for Stock Compensation

Taki Chemical Co., Ltd. has announced the disposal of 7,382 treasury shares as part of a restricted stock compensation plan aimed at incentivizing its Directors and Executive Officers. This move is designed to align the interests of the company’s leadership with those of its shareholders, fostering a long-term commitment to enhancing corporate value. The plan involves a structured allotment of shares with transfer restrictions, ensuring that the shares are retained by the eligible officers during their tenure, thereby strengthening the company’s governance and operational focus.

Taki Chemical Co., Ltd. Reports Strong Q1 2025 Financial Results

Taki Chemical Co., Ltd. reported a 6.3% increase in net sales for the first quarter of 2025, with significant growth in operating and ordinary profits. Despite a decrease in comprehensive income, the company forecasts continued growth in net sales and dividends for the fiscal year, indicating a positive outlook for stakeholders.

Taki Chemical Finalizes Treasury Shares Disposal for Stock Compensation

Taki Chemical Co., Ltd. has completed the payment procedures for the disposal of 7,382 treasury shares as restricted stock compensation, following a resolution from the Board of Directors. This move involves distributing shares to directors and executive officers, potentially impacting the company’s stock management and aligning executive interests with shareholder value.