Tokuyama (4043) AI Stock Analysis

• Market Cap: ¥301.34B
• Dividend Yield: 2.65%
• Average Volume (3M): 407.64K
• Price to Earnings (P/E): 12.6
• Beta (1Y): 0.86
• Revenue Growth: -0.04%
• EPS Growth: 3.15%
• Country: JP
• Employees: 5,734
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 100.54
• Shares Outstanding: 72,088,326
• 10 Day Avg. Volume: 395,260
• 30 Day Avg. Volume: 407,639
• PEG Ratio: 0.27
• Price to Book (P/B): 0.77
• Price to Sales (P/S): 0.58
• P/FCF Ratio: 6.74
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: ¥4,636.00 ▲(10.70% Upside)

Tokuyama's strong financial performance and bullish technical indicators are the primary drivers of its solid stock score. The company is attractively valued with a reasonable P/E ratio and a healthy dividend yield. The absence of earnings call data and corporate events does not detract from the overall positive outlook.

Positive Factors

Cash Generation

Strong cash generation enhances Tokuyama's ability to invest in growth opportunities and maintain financial flexibility, supporting long-term stability.

Profitability

Improved profitability reflects effective cost management and operational efficiency, which can drive sustainable growth and shareholder value.

Balance Sheet Health

A strong equity base provides Tokuyama with a solid financial foundation, reducing risk and enhancing its capacity to weather economic fluctuations.

Negative Factors

Revenue Growth

Sluggish revenue growth may limit Tokuyama's ability to expand market share and capitalize on new opportunities, potentially impacting long-term competitiveness.

Operating Cash Flow Variability

Variability in operating cash flow could signal challenges in converting earnings to cash, affecting liquidity and investment capacity over time.

Revenue Decline

A decline in revenue growth indicates potential market challenges or competitive pressures, which could hinder Tokuyama's long-term expansion efforts.

Tokuyama Business Overview & Revenue Model

Company Description

Tokuyama Corporation produces and sells various chemical products in Japan. The company operates through six segments: Chemicals, Cement, Electronics Materials, Life Science, Eco Business, and Others. The Chemicals segment offers caustic soda, soda ash, calcium chloride, sodium silicate, vinyl chloride monomer, polyvinyl chloride resin, propylene oxide, chlorinated solvents, and hydrogen. The Cement segment provides cement, ready-mixed concrete, and cement-type stabilizer, as well as engages in the resource recycling business. The Electronic Materials segment provides polycrystalline silicon; fumed silica and tetrachlorosilane; aluminum nitride; high-purity chemicals for electronics manufacturing and photoresist developer; and isopropyl alcohol. The Life Science segment provides medical diagnosis systems, dental materials and equipment, pharmaceutical ingredients and intermediates, plastic lens-related materials for glasses, and microporous film. The Eco Business segment offers plastic window sashes, ion exchange membranes, as well as engages in waste gypsum board recycling activity. The company was formerly known as Tokuyama Soda Co., Ltd. and changed its name to Tokuyama Corporation in April 1994. Tokuyama Corporation was incorporated in 1918 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Tokuyama generates revenue through multiple streams, primarily from the sale of its chemical products and materials. Key revenue streams include the semiconductor materials division, which supplies silicon wafers and other related products; the pharmaceutical sector, which focuses on active pharmaceutical ingredients; and construction materials, which includes cement and other construction-related chemicals. The company also benefits from strategic partnerships with various technology firms and suppliers, enabling it to expand its market reach and enhance product development. Additionally, Tokuyama's commitment to research and development allows it to innovate and introduce new products, contributing to increased sales and market share.

Tokuyama Financial Statement Overview

Summary

Tokuyama demonstrates steady revenue growth and improved profitability, supported by effective cost management and stable cash flow generation. The balance sheet remains strong with controlled leverage and a robust equity base, while cash flows indicate efficient cash conversion despite some fluctuations.

Income Statement

Tokuyama's revenue showed a modest increase from 2024 to 2025, with a revenue growth rate of 0.32%. The gross profit margin improved to 31.52% in 2025, reflecting efficient cost management. The net profit margin increased to 6.82%, indicating enhanced profitability. The EBIT margin was 8.74%, and the EBITDA margin was 15.13%, both showing positive trends. Overall, the company demonstrates strong profitability with stable revenue growth.

Balance Sheet

The debt-to-equity ratio improved from 0.42 in 2024 to 0.42 in 2025, showing consistent leverage management. The return on equity (ROE) increased to 8.94%, indicating effective use of equity to generate profit. The equity ratio was 54.94%, reflecting a strong equity base. Overall, Tokuyama maintains a solid balance sheet with stable leverage and equity management.

Cash Flow

Tokuyama's free cash flow grew by 22.83%, showcasing strong cash-generating abilities. However, the operating cash flow to net income ratio decreased to 2.24, while the free cash flow to net income ratio remained stable at 1.27, indicating effective conversion of net income to cash flow. Overall, the cash flow statements reflect robust cash management, albeit with some variability in operating cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	342.38B	343.07B	341.99B	351.79B	293.83B	302.41B
Gross Profit	109.27B	108.14B	99.52B	90.78B	95.41B	95.15B
EBITDA	49.39B	51.91B	44.88B	36.79B	48.75B	49.49B
Net Income	20.90B	23.39B	17.75B	9.36B	28.00B	24.53B
Balance Sheet
Total Assets	474.44B	476.21B	457.36B	478.34B	433.21B	386.79B
Cash, Cash Equivalents and Short-Term Investments	79.84B	75.54B	48.68B	68.08B	83.12B	83.68B
Total Debt	113.15B	110.69B	105.78B	142.45B	109.22B	98.44B
Total Liabilities	197.73B	202.35B	197.41B	236.74B	200.29B	181.53B
Stockholders Equity	262.17B	261.56B	249.25B	229.45B	224.50B	198.56B
Cash Flow
Free Cash Flow	0.00	29.77B	24.24B	-43.72B	-5.90B	19.51B
Operating Cash Flow	0.00	52.37B	55.83B	-11.80B	25.99B	43.31B
Investing Cash Flow	0.00	-23.48B	-30.41B	-33.76B	-33.80B	-19.28B
Financing Cash Flow	0.00	-1.11B	-46.51B	30.15B	5.12B	-22.53B

Tokuyama Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4188.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4043, the sentiment is Positive. The current price of 4188 is above the 20-day moving average (MA) of 4137.75, above the 50-day MA of 4013.70, and above the 200-day MA of 3330.45, indicating a bullish trend. The MACD of 50.51 indicates Negative momentum. The RSI at 58.97 is Neutral, neither overbought nor oversold. The STOCH value of 70.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4043.

Tokuyama Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4205	79 Outperform	¥352.71B	10.10	9.65%	3.91%	0.87%	16.71%
4043	75 Outperform	¥301.34B	12.61	8.86%	2.65%	-0.04%	3.15%
4046	75 Outperform	¥289.18B	22.91	―	1.00%	-3.06%	45.21%
4118	74 Outperform	¥285.59B	10.82	5.47%	3.41%	2.60%	9.50%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
4208	57 Neutral	¥256.43B	44.39	1.47%	4.29%	-7.45%	-71.68%
4182	55 Neutral	¥566.07B	-76.75	-1.15%	3.49%	-6.83%	-123.67%

Tokuyama Corporate Events

Tokuyama Reports Q2 2025 Results and Consolidates New Acquisitions

Tokuyama Corporation reported a decrease in net sales for Q2 of fiscal 2025 despite strong semiconductor-related product sales, attributed to declining overseas vinyl chloride-related product prices. However, operating profit increased due to improved manufacturing costs. The acquisition of IVD and IVDM businesses was finalized, and these will be consolidated into Tokuyama’s operations from the second half of FY2025, impacting segment forecasts.

The most recent analyst rating on (JP:4043) stock is a Hold with a Yen4036.00 price target. To see the full list of analyst forecasts on Tokuyama stock, see the JP:4043 Stock Forecast page.

Tokuyama Corporation Reports Strong Profit Growth in Q2 Fiscal 2025

Tokuyama Corporation reported its consolidated financial results for the second quarter of fiscal 2025, showing a slight decline in net sales by 1.1% compared to the previous year. However, the company achieved significant growth in operating profit and ordinary profit, with increases of 37.2% and 39.2% respectively. The comprehensive income also saw a substantial rise of 69.8%. The company maintained its dividend forecast and noted changes in its scope of consolidation, adding A&T Suzhou Co., Ltd. and removing FL Tokuyama Corporation. These results indicate a strong operational performance despite a challenging market environment, potentially enhancing Tokuyama’s industry positioning and offering positive implications for stakeholders.

The most recent analyst rating on (JP:4043) stock is a Hold with a Yen4036.00 price target. To see the full list of analyst forecasts on Tokuyama stock, see the JP:4043 Stock Forecast page.