Tanaka Chemical Corp. (4080) AI Stock Analysis

• Market Cap: €13.60B
• Dividend Yield: N/A
• Average Volume (3M): 38.71K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.24
• Revenue Growth: -19.70%
• EPS Growth: -159.15%
• Country: JP
• Employees: 151
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals
• EPS (TTM): 7.47
• Shares Outstanding: 32,533,000
• 10 Day Avg. Volume: 47,430
• 30 Day Avg. Volume: 38,706
• PEG Ratio: 0.54
• Price to Book (P/B): 0.90
• Price to Sales (P/S): 0.42
• P/FCF Ratio: -10.58
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: ¥396.00 ▼(-4.81% Downside)

The overall stock score is primarily influenced by the challenging financial performance, with declining revenues and profitability being significant concerns. Technical analysis provides some support, but valuation metrics indicate potential overvaluation. The absence of earnings call insights and corporate events limits additional context.

Tanaka Chemical Corp. Business Overview & Revenue Model

Company Description

Tanaka Chemical Corp. (4080) is a leading Japanese chemical manufacturer specializing in a diverse range of products, including advanced materials, specialty chemicals, and electronic materials. The company operates primarily in sectors such as electronics, automotive, and pharmaceuticals, providing innovative solutions that cater to the evolving needs of these industries. Core products include chemical components for semiconductors, high-performance materials for display technologies, and specialty coatings that enhance product durability and performance.

How the Company Makes Money

Tanaka Chemical Corp. generates revenue through multiple key streams. Primarily, the company derives income from the sale of specialty chemicals and advanced materials to major industries such as electronics and automotive, which are experiencing growth due to technological advancements and increased demand for high-performance materials. Additionally, Tanaka has formed strategic partnerships with leading technology firms and manufacturers, allowing it to leverage collaborative innovation and secure long-term supply contracts. The company also benefits from a robust research and development pipeline, enabling it to introduce new products that meet the specific needs of its clients, thus sustaining its competitive edge and ensuring a steady flow of revenue.

Tanaka Chemical Corp. Financial Statement Overview

Summary

Tanaka Chemical Corp. faces a challenging financial landscape with declining revenues and profitability. Increasing leverage and negative net income impact the balance sheet's health, while cash flow management remains a concern. Strategic changes may be necessary to restore financial stability and growth.

Income Statement

Tanaka Chemical Corp. has experienced fluctuating revenues, peaking in 2023 with subsequent declines. The gross profit margin has been volatile, with the latest year showing a significant decrease. The net profit margin turned negative in the most recent year, indicating challenges in profitability. The negative EBIT and reduced EBITDA margin further highlight operational inefficiencies.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, though it has increased over recent years, indicating rising leverage. The equity ratio remains stable, suggesting a balanced approach to financing. However, the return on equity has turned negative, reflecting recent net losses and potential concerns about shareholder returns.

Cash Flow

Free cash flow has deteriorated significantly, transitioning from positive to negative in the latest period. The operating cash flow to net income ratio indicates operational challenges, as cash generation from operations is weak relative to net income. The free cash flow to net income ratio underscores the strain on cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	48.96B	36.50B	47.99B	57.67B	40.53B	22.75B
Gross Profit	3.88B	1.80B	4.88B	4.22B	3.00B	1.86B
EBITDA	2.88B	2.32B	4.87B	3.60B	2.48B	1.35B
Net Income	857.00M	-257.00M	2.56B	1.29B	731.00M	-414.36M
Balance Sheet
Total Assets	36.23B	33.04B	38.13B	40.09B	39.02B	33.89B
Cash, Cash Equivalents and Short-Term Investments	4.97B	1.59B	1.32B	1.61B	1.30B	2.53B
Total Debt	11.25B	9.23B	10.80B	12.30B	14.60B	13.80B
Total Liabilities	19.83B	16.20B	20.90B	25.43B	25.66B	21.27B
Stockholders Equity	16.40B	16.84B	17.23B	14.66B	13.36B	12.62B
Cash Flow
Free Cash Flow	4.26B	-1.43B	2.79B	6.69B	-2.26B	-7.94B
Operating Cash Flow	4.26B	264.00M	3.43B	8.24B	145.00M	-90.14M
Investing Cash Flow	0.00	-416.00M	-536.00M	-1.42B	-2.20B	-7.77B
Financing Cash Flow	0.00	-2.27B	-1.50B	-2.34B	794.00M	8.69B

Tanaka Chemical Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 416.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4080, the sentiment is Positive. The current price of 416 is above the 20-day moving average (MA) of 406.35, above the 50-day MA of 401.92, and below the 200-day MA of 431.69, indicating a neutral trend. The MACD of 5.54 indicates Negative momentum. The RSI at 60.38 is Neutral, neither overbought nor oversold. The STOCH value of 23.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4080.

Tanaka Chemical Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4093	77 Outperform	¥12.41B	10.00	―	3.88%	-1.36%	-18.70%
4531	74 Outperform	¥6.15B	8.74	―	3.21%	9.92%	-27.64%
4040	69 Neutral	¥6.30B	6.12	―	2.21%	6.80%	-19.87%
4960	67 Neutral	¥5.72B	39.89	―	0.96%	-5.30%	-6.24%
4366	65 Neutral	¥8.81B	10.55	―	1.68%	9.07%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
4080	48 Neutral	€13.60B	-10.44	-7.76%	―	-19.70%	-159.15%