OSAKA SODA CO.,LTD. (4046) AI Stock Analysis

• Market Cap: ¥223.79B
• Dividend Yield: 1.16%
• Average Volume (3M): 419.05K
• Price to Earnings (P/E): 21.1
• Beta (1Y): 0.78
• Revenue Growth: 4.85%
• EPS Growth: 35.53%
• Country: JP
• Employees: 1,025
• Sector: Basic Materials
• Sector Strength: 67
• Industry: Chemicals - Specialty
• EPS (TTM): 18.95
• Shares Outstanding: 133,660,080
• 10 Day Avg. Volume: 447,690
• 30 Day Avg. Volume: 419,050
• PEG Ratio: 0.35
• Price to Book (P/B): 0.22
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.06
• 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: 79 Outperform
• Price Target: ¥1,807.00 ▲(5.18%Upside)

OSAKA SODA CO.,LTD.'s strong financial performance and positive technical indicators are the most significant factors contributing to the score. The company's robust cash flow and low leverage are key strengths. Valuation is reasonable, providing moderate appeal to investors.

OSAKA SODA CO.,LTD. Business Overview & Revenue Model

Company Description

Osaka Soda Co., Ltd. is a Japanese chemical company engaged in the production and distribution of various chemical products. The company operates in several sectors including chemicals, pharmaceuticals, and functional materials. Its core products include basic chemicals like caustic soda and hydrogen peroxide, as well as advanced materials such as epoxy resins and synthetic rubber. Osaka Soda also focuses on the development of pharmaceutical intermediates and active pharmaceutical ingredients (APIs).

How the Company Makes Money

Osaka Soda Co., Ltd. makes money primarily through the manufacture and sale of its chemical products. The company's revenue streams include sales of basic chemicals, which are essential for various industrial processes, and advanced materials that are used in specialized applications such as electronics and automotive sectors. Additionally, the pharmaceuticals segment contributes to its earnings by providing APIs and intermediates to pharmaceutical companies. Strategic partnerships and collaborations with industries that utilize their chemical products also significantly bolster their revenue. Furthermore, Osaka Soda invests in research and development to innovate and expand its product offerings, which in turn enhances its market position and profitability.

OSAKA SODA CO.,LTD. Financial Statement Overview

Summary

OSAKA SODA CO.,LTD. demonstrates strong financial health with consistent revenue growth, solid profitability, and a robust balance sheet. High profitability margins, low leverage, and excellent cash flow conversion are key strengths.

Income Statement

OSAKA SODA CO.,LTD. has demonstrated strong financial performance, with a consistent revenue growth rate over the past years. The gross profit margin stands at a healthy 29.15% in 2025, reflecting efficient production and cost management. The net profit margin has improved significantly to 10.42%, indicating enhanced profitability. Margins such as EBIT and EBITDA have also shown robust levels at 13.36% and 18.90%, respectively, underscoring solid operational efficiency.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.07, highlighting low leverage and financial stability. The return on equity is impressive at 8.94%, indicating effective use of shareholders' funds. Equity ratio at 75.08% suggests a stable capital structure with a high proportion of assets financed by equity, reducing financial risk.

Cash Flow

OSAKA SODA CO.,LTD. shows strong cash flow metrics, with a remarkable free cash flow growth rate of 218.95% in 2025. The operating cash flow to net income ratio is 1.65, reflecting robust cash generation relative to profit. Furthermore, the free cash flow to net income ratio is 1.00, indicating effective conversion of net income into free cash flow, enhancing liquidity.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
98.99B	99.14B	94.56B	104.21B	88.08B	97.27B
	Gross Profit
28.64B	28.90B	24.80B	30.47B	26.09B	20.98B
	EBIT
13.53B	13.25B	10.49B	15.56B	12.40B	8.34B
	EBITDA
16.73B	18.74B	14.23B	19.29B	16.32B	12.42B
	Net Income Common Stockholders
10.29B	10.33B	7.65B	10.57B	9.44B	6.05B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
39.44B	43.31B	38.43B	36.84B	37.02B	31.93B
	Total Assets
154.75B	153.94B	150.54B	138.03B	129.16B	119.37B
	Total Debt
8.30B	8.31B	8.42B	8.50B	16.81B	16.89B
	Net Debt
-8.15B	-8.03B	-6.02B	-4.34B	296.00M	-541.00M
	Total Liabilities
39.55B	38.33B	40.78B	38.49B	45.27B	42.14B
	Stockholders Equity
115.20B	115.59B	109.76B	99.53B	83.87B	77.22B
Cash Flow		Free Cash Flow
0.00	10.31B	3.23B	4.25B	7.63B	7.52B
	Operating Cash Flow
0.00	17.05B	8.60B	9.35B	13.38B	9.35B
	Investing Cash Flow
0.00	-8.13B	-4.26B	-5.38B	-6.96B	-1.85B
	Financing Cash Flow
0.00	-4.22B	-3.20B	-4.60B	-1.65B	-4.46B

OSAKA SODA CO.,LTD. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1718.00
• 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:4046, the sentiment is Positive. The current price of 1718 is above the 20-day moving average (MA) of 1620.10, above the 50-day MA of 1545.22, and above the 200-day MA of 1650.64, indicating a bullish trend. The MACD of 55.92 indicates Negative momentum. The RSI at 68.04 is Neutral, neither overbought nor oversold. The STOCH value of 71.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4046.

OSAKA SODA CO.,LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4202	80 Outperform	$318.72B	6.61	13.58%	5.00%	5.10%	-8.39%
4046	79 Outperform	¥223.79B	21.07		1.16%	4.85%	35.53%
4043	75 Outperform	$208.19B	8.90	9.01%	3.43%	0.32%	31.76%
4118	73 Outperform	$243.85B	9.62	5.38%	3.61%	5.89%	11.92%
4023	67 Neutral	€165.96B	20.48	3.58%	2.83%	-8.97%	-12.58%
Sector *	51 Neutral	$2.01B	-1.26	-21.11%	4.38%	2.92%	-30.46%
4208	51 Neutral	$219.87B	11.14	-1.23%	4.88%	3.96%	-116.60%

OSAKA SODA CO.,LTD. Corporate Events

OSAKA SODA Announces Corrections to Financial Results

OSAKA SODA Co., Ltd. announced corrections to its consolidated financial results for the fiscal year ended March 31, 2025, due to issues in the aggregation of sales from agent transactions. While sales and cost of goods sold figures were adjusted downward, the corrections do not impact the company’s profit metrics such as operating profit and ordinary profit, indicating stability in its financial health despite the adjustments.

Osaka Soda Co., Ltd. Reports Robust Financial Growth for FY 2025

Osaka Soda Co., Ltd. reported a significant improvement in its financial performance for the fiscal year ended March 31, 2025, with notable increases in net sales, operating profit, and profit attributable to owners of the parent. The company’s strategic initiatives, including a stock split, have positively impacted its financial metrics, indicating a strong market position and promising future growth prospects.