Tokuyama (4043) AI Stock Analysis

• Market Cap: $219.45B
• Dividend Yield: 3.2%
• Average Volume (3M): 534.06K
• Price to Earnings (P/E): 9.4
• Beta (1Y): 0.96
• Revenue Growth: 0.32%
• EPS Growth: 31.76%
• Country: JP
• Employees: 5,734
• Sector: Basic Materials
• Sector Strength: 71
• Industry: Chemicals - Specialty
• EPS (TTM): 89.93
• Shares Outstanding: 72,088,326
• 10 Day Avg. Volume: 693,970
• 30 Day Avg. Volume: 534,063
• PEG Ratio: -0.24
• Price to Book (P/B): 0.66
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.46
• 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: 75 Outperform
• Price Target: ―

Tokuyama's strong financial performance, characterized by improved profitability and stable revenue growth, forms the foundation for its solid stock score. Technical indicators support a bullish outlook, although caution is advised due to potential overbought conditions. The stock's attractive valuation further enhances its appeal, making it a compelling option in the specialty chemicals industry.

Tokuyama Business Overview & Revenue Model

Company Description

Tokuyama Corporation, identified by the ticker 4043, is a diversified Japanese chemical company that operates across several sectors including chemicals, specialty products, cement, and life & healthcare. The company's core products range from basic chemicals such as soda ash and caustic soda to more advanced materials like polycrystalline silicon and semiconductor-related products. Tokuyama also provides cement and building materials, contributing to infrastructure development, and is involved in the production of medical products, emphasizing its role in the life sciences sector.

How the Company Makes Money

Tokuyama Corporation generates revenue through a diversified portfolio of products and services, primarily within the chemicals and materials sectors. The company's key revenue streams include the sale of basic chemicals, which are essential for various industrial applications, and specialty products used in electronics and healthcare. The cement segment also contributes significantly to Tokuyama's income, driven by demands in construction and infrastructure projects. Additionally, Tokuyama leverages its expertise in polycrystalline silicon production for the semiconductor and solar industries, further diversifying its income sources. The company's earnings are bolstered by strategic partnerships and investments in research and development, enabling innovation and competitive advantage in high-tech and sustainable solutions.

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. These factors contribute to a solid financial standing in the specialty chemicals industry.

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	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	345.12B	343.07B	341.99B	351.79B	293.83B	302.41B
Gross Profit	106.45B	108.14B	99.52B	90.78B	95.41B	95.15B
EBITDA	46.78B	51.92B	44.96B	37.07B	49.32B	50.24B
Net Income	22.76B	23.39B	17.75B	9.36B	28.00B	24.53B
Balance Sheet
Total Assets	477.41B	476.21B	457.36B	478.34B	433.21B	386.79B
Cash, Cash Equivalents and Short-Term Investments	69.64B	75.54B	48.68B	68.08B	83.12B	83.68B
Total Debt	110.96B	110.69B	105.78B	142.45B	109.22B	98.44B
Total Liabilities	207.32B	202.34B	197.41B	236.74B	200.29B	181.53B
Stockholders Equity	257.21B	261.56B	249.26B	229.45B	224.50B	198.56B
Cash Flow
Free Cash Flow	1.26B	29.77B	24.24B	-43.72B	-5.90B	19.51B
Operating Cash Flow	8.58B	52.37B	55.83B	-11.80B	25.99B	43.31B
Investing Cash Flow	-8.07B	-23.48B	-30.41B	-33.76B	-33.80B	-19.28B
Financing Cash Flow	-7.29B	-1.11B	-46.51B	30.15B	5.12B	-22.53B

Tokuyama Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3050.00
• 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 3050 is above the 20-day moving average (MA) of 2970.07, above the 50-day MA of 2878.79, and above the 200-day MA of 2705.50, indicating a bullish trend. The MACD of 53.23 indicates Negative momentum. The RSI at 58.97 is Neutral, neither overbought nor oversold. The STOCH value of 79.64 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
4043	75 Outperform	$219.45B	9.38	9.01%	3.20%	0.32%	31.76%
4046	74 Outperform	¥234.47B	22.07		1.11%	1.99%	35.53%
4205	74 Outperform	$298.68B	11.90	7.16%	4.60%	10.04%	-13.38%
4118	73 Outperform	$245.56B	9.69	5.38%	3.60%	5.89%	11.95%
Sector *	70 Neutral	¥174.11B	11.04	6.29%	3.52%	3.95%	5.88%
4182	69 Neutral	$436.49B	9.83	6.78%	4.34%	-4.90%	20.59%
4208	54 Neutral	$219.19B	11.14	-1.23%	4.83%	3.96%	-116.62%

Tokuyama Corporate Events

Tokuyama Corporation Updates Management Strategies for Sustainable Growth

Tokuyama Corporation has announced updates on its management strategies to improve capital cost awareness and stock price performance. Despite growth in business performance and stock price, the company’s price book-value ratio remains below 1x, prompting efforts to transform its business portfolio. Key initiatives include enhancing shareholder returns, prioritizing investments in growth businesses, and discontinuing underperforming operations. The company aims to exceed a PBR of 1x and achieve sustainable growth, aligning with its Medium-Term Management Plan 2025.

Tokuyama Reports Strong Fiscal 2024 Performance and Plans Increased Dividends

Tokuyama Corporation reported an increase in both net sales and operating profit for fiscal 2024, driven by strong sales of semiconductor-related products and cost reductions. Despite not meeting all targets of their Medium-Term Management Plan 2025, the company forecasts record highs in net sales, operating profit, and ordinary profit for FY2025. Additionally, Tokuyama plans to enhance shareholder returns by increasing dividends, with a year-end dividend of ¥50 per share for FY2024 and a planned ¥60 per share for FY2025, marking a ¥20 increase for two consecutive periods.

Tokuyama Acquires JSR’s In Vitro Diagnostics Business to Boost Healthcare Domain

Tokuyama Corporation announced its acquisition of JSR Corporation’s in vitro diagnostics and pharmaceutical materials businesses, aiming to enhance its healthcare domain. This strategic move is expected to accelerate product development, generate synergies, and expand market reach in Japan, Korea, and China, positioning Tokuyama as a significant player in the healthcare industry.

Tokuyama Corporation Announces Leadership Changes

Tokuyama Corporation announced changes in its leadership, with Fumiaki Iwasaki being nominated as the new Representative Director, effective June 24, 2025. This change is part of a new management system aimed at enhancing the company’s strategic direction and operational efficiency. The transition is expected to impact the company’s focus on life sciences, new business development, and environmental safety, potentially strengthening its market position and stakeholder relations.