Nippon Carbide Industries Company,Incorporated (4064) AI Stock Analysis

• Market Cap: ¥20.61B
• Dividend Yield: 3.79%
• Average Volume (3M): 40.29K
• Price to Earnings (P/E): 9.8
• Beta (1Y): 0.93
• Revenue Growth: 9.61%
• EPS Growth: 173.72%
• Country: JP
• Employees: 3,297
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 106.92
• Shares Outstanding: 9,419,659
• 10 Day Avg. Volume: 33,980
• 30 Day Avg. Volume: 40,290
• PEG Ratio: 0.06
• Price to Book (P/B): 0.47
• Price to Sales (P/S): 0.35
• P/FCF Ratio: 5.41
• 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: 80 Outperform
• Price Target: ¥2,684.00 ▲(8.40% Upside)

Nippon Carbide Industries scores highly due to its strong financial performance, characterized by robust revenue growth and improved profitability. The technical analysis indicates a bullish trend with strong momentum, although caution is advised as the RSI approaches overbought levels. The stock's valuation is particularly attractive, with a low P/E ratio and a solid dividend yield, making it appealing for value and income investors.

Positive Factors

Revenue Growth

The consistent revenue growth reflects the company's expanding market presence and successful product offerings, particularly in high-tech industries.

Profitability Margins

Improved profitability margins indicate enhanced operational efficiency and cost management, contributing to long-term financial health.

Balance Sheet Health

Reduced leverage and a strong equity position enhance financial stability, providing resilience against economic fluctuations.

Negative Factors

Asset Growth

Limited asset growth could restrict the company's ability to scale operations and capitalize on new opportunities, impacting long-term expansion.

Cash Flow Consistency

Inconsistent cash flow generation may hinder strategic investments and operational flexibility, affecting long-term growth prospects.

Net Income Fluctuations

Volatile net income can affect investor confidence and may indicate underlying operational challenges, impacting financial predictability.

Nippon Carbide Industries Company,Incorporated Business Overview & Revenue Model

Company Description

Nippon Carbide Industries Company, Incorporated (4064) is a leading Japanese manufacturer specializing in the development and production of chemical products, particularly in the fields of semiconductor materials, electronic materials, and specialty chemicals. The company operates in various sectors, including electronics, automotive, and industrial applications, providing a diverse range of products such as photoresists, etching agents, and other advanced materials that cater to the needs of high-tech industries.

How the Company Makes Money

Nippon Carbide Industries generates revenue primarily through the sale of its specialty chemical products and materials used in semiconductor manufacturing and electronics. The company's revenue model is built on a combination of direct sales to manufacturers in the electronics and automotive sectors, as well as partnerships with technology firms for the development of customized materials. Key revenue streams include sales from photoresists, etching materials, and other electronic components. Additionally, Nippon Carbide leverages its research and development capabilities to innovate and expand its product offerings, which helps to maintain and grow its market share. Strategic alliances with major players in the semiconductor and electronics industries further enhance its revenue potential.

Nippon Carbide Industries Company,Incorporated Financial Statement Overview

Summary

Nippon Carbide Industries demonstrates a robust financial position with strong revenue growth and improved profitability margins. The balance sheet is characterized by low leverage and growing equity, ensuring financial stability. Cash flow metrics indicate strong cash generation capabilities, although some fluctuations exist. Overall, the company is on a positive financial trajectory, with minor areas for enhancement in asset growth and cash flow consistency.

Income Statement

Nippon Carbide Industries has shown strong revenue growth from 43.23 billion JPY in 2021 to 48.73 billion JPY in 2025, a notable increase of approximately 12.7% over 4 years. The gross profit margin has remained healthy, averaging around 32% annually. The net profit margin improved significantly from 2.36% in 2023 to 4.54% in 2025, showcasing enhanced profitability. Additionally, EBIT and EBITDA margins have shown consistent improvement, indicating strong operational efficiency. The company's revenue growth and improved margins denote a positive trajectory, although the fluctuations in net income warrant careful monitoring.

Balance Sheet

The company's balance sheet reveals a solid equity position with stockholders' equity increasing from 24.44 billion JPY in 2020 to 35.72 billion JPY in 2025. The debt-to-equity ratio improved from 0.77 in 2020 to 0.27 in 2025, indicating reduced leverage and financial risk. The equity ratio has been strong, reflecting financial stability. However, the total assets have shown moderate growth, suggesting potential limitations in asset expansion. Overall, the company's low debt levels and strong equity position are commendable, though asset growth should be observed.

Cash Flow

The operating cash flow has been stable, and free cash flow has grown from 1.14 billion JPY in 2021 to 3.11 billion JPY in 2025, representing a significant 172.8% increase. The operating cash flow to net income ratio remains strong, indicating efficient cash generation relative to reported profits. However, the free cash flow to net income ratio fluctuated, suggesting some inconsistency in cash utilization. Despite this, the company's ability to generate free cash flow is a positive aspect, with room for improvement in consistency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	49.26B	48.73B	43.23B	44.01B	47.00B	42.23B
Gross Profit	16.09B	15.60B	12.20B	12.61B	14.14B	13.12B
EBITDA	5.55B	5.47B	3.88B	3.29B	4.81B	5.42B
Net Income	2.08B	2.21B	999.00M	332.00M	1.93B	2.41B
Balance Sheet
Total Assets	62.76B	63.36B	61.02B	61.84B	64.55B	63.91B
Cash, Cash Equivalents and Short-Term Investments	14.00B	14.54B	13.44B	10.91B	11.38B	12.98B
Total Debt	9.98B	9.61B	11.16B	11.46B	14.37B	18.89B
Total Liabilities	25.60B	25.45B	26.40B	28.75B	32.50B	35.41B
Stockholders Equity	34.93B	35.72B	32.63B	31.23B	30.32B	26.95B
Cash Flow
Free Cash Flow	0.00	3.11B	2.43B	1.46B	1.76B	1.14B
Operating Cash Flow	0.00	4.11B	5.37B	3.61B	4.30B	3.79B
Investing Cash Flow	0.00	-1.21B	-2.44B	-2.15B	-2.36B	-1.05B
Financing Cash Flow	0.00	-2.54B	-1.26B	-3.21B	-4.21B	1.03B

Nippon Carbide Industries Company,Incorporated Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2476.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4064, the sentiment is Positive. The current price of 2476 is above the 20-day moving average (MA) of 2299.65, above the 50-day MA of 2215.21, and above the 200-day MA of 1914.00, indicating a bullish trend. The MACD of 77.80 indicates Negative momentum. The RSI at 73.79 is Negative, neither overbought nor oversold. The STOCH value of 94.01 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4064.

Nippon Carbide Industries Company,Incorporated Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4064	80 Outperform	¥20.61B	9.78	―	3.79%	9.61%	173.72%
4112	69 Neutral	¥29.74B	13.88	―	2.75%	-11.70%	-54.82%
4231	69 Neutral	¥19.39B	5.65	―	5.41%	0.91%	100.31%
4092	66 Neutral	¥25.66B	10.19	―	4.13%	-3.41%	-12.83%
4113	66 Neutral	¥17.11B	9.04	―	3.27%	13.09%	89.45%
4410	66 Neutral	¥21.47B	20.67	―	4.66%	7.19%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Nippon Carbide Industries Company,Incorporated Corporate Events

Nippon Carbide Industries Reports Strong Mid-Year Financial Performance

Nippon Carbide Industries reported a notable increase in its financial performance for the six months ending September 30, 2025, with net sales rising by 3.8% and profit attributable to owners increasing by 80.6% compared to the previous year. The company also announced a slight increase in dividends and provided a forecast for the fiscal year ending March 31, 2026, indicating a modest growth in net sales but a decrease in operating and ordinary profits, reflecting potential challenges in maintaining profit margins.

The most recent analyst rating on (JP:4064) stock is a Buy with a Yen2339.00 price target. To see the full list of analyst forecasts on Nippon Carbide Industries Company,Incorporated stock, see the JP:4064 Stock Forecast page.