Tanaka Chemical Corp. (4080) AI Stock Analysis

• Market Cap: ¥13.21B
• Dividend Yield: 0.86%
• Average Volume (3M): 36.07K
• Price to Earnings (P/E): 7.5
• Beta (1Y): 1.29
• Revenue Growth: -23.94%
• EPS Growth: -110.06%
• Country: JP
• Employees: 151
• Sector: Basic Materials
• Sector Strength: 72
• Industry: Chemicals
• EPS (TTM): -41.69
• Shares Outstanding: 32,533,000
• 10 Day Avg. Volume: 34,310
• 30 Day Avg. Volume: 36,066
• PEG Ratio: 0.43
• Price to Book (P/B): 0.80
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.50
• 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: ¥406.69
• Price Target Upside: 0.17% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 44 Neutral
• Price Target: ¥405.00 ▼(-0.25%Downside)

The overall stock score is driven by poor financial performance and unfavorable valuation. Technical analysis also reflects bearish trends. The absence of dividends and negative earnings highlight significant risks.

Tanaka Chemical Corp. Business Overview & Revenue Model

Company Description

Tanaka Chemical Corp. (4080) is a Japanese company primarily engaged in the development, production, and sale of chemical products. The company operates in the specialty chemicals sector, focusing on manufacturing high-performance materials for various industrial applications. Its core products include lithium-ion battery materials, catalysts, and other fine chemicals used in electronics, automotive, and energy sectors.

How the Company Makes Money

Tanaka Chemical Corp. generates revenue through the sale of its chemical products, which are essential components in a wide range of industries. The company's primary revenue stream comes from its lithium-ion battery materials, which are in high demand due to the growing electric vehicle market and the need for efficient energy storage solutions. Additionally, the company earns income from its catalyst products, which are used to facilitate chemical reactions in industrial processes. Tanaka Chemical Corp. also benefits from strategic partnerships and collaborations with major electronics and automotive manufacturers, enhancing its market reach and ensuring steady demand for its products.

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	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	36.50B	47.99B	57.67B	40.53B	22.75B
Gross Profit	1.80B	4.88B	4.22B	3.00B	1.86B
EBITDA	2.32B	4.87B	3.60B	2.48B	1.35B
Net Income	-257.00M	2.56B	1.29B	731.00M	-414.36M
Balance Sheet
Total Assets	33.04B	38.13B	40.09B	39.02B	33.89B
Cash, Cash Equivalents and Short-Term Investments	1.59B	1.32B	1.61B	1.30B	2.53B
Total Debt	9.23B	10.80B	12.30B	14.60B	13.80B
Total Liabilities	16.20B	20.90B	25.43B	25.66B	21.27B
Stockholders Equity	16.84B	17.23B	14.66B	13.36B	12.62B
Cash Flow
Free Cash Flow	-1.43B	2.79B	6.69B	-2.26B	-7.94B
Operating Cash Flow	264.00M	3.43B	8.24B	145.00M	-90.14M
Investing Cash Flow	-416.00M	-536.00M	-1.42B	-2.20B	-7.77B
Financing Cash Flow	-2.27B	-1.50B	-2.34B	794.00M	8.69B

Tanaka Chemical Corp. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 406.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• 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 Negative. The current price of 406 is below the 20-day moving average (MA) of 417.00, below the 50-day MA of 413.14, and below the 200-day MA of 515.24, indicating a bearish trend. The MACD of -1.80 indicates Positive momentum. The RSI at 44.61 is Neutral, neither overbought nor oversold. The STOCH value of 21.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4080.

Tanaka Chemical Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4366	78 Outperform	¥8.37B	9.76		2.05%	13.02%	―
4040	76 Outperform	¥7.50B	6.37		1.71%	4.57%	-13.43%
4093	75 Outperform	¥12.16B	9.40		4.02%	-1.75%	-9.10%
4531	73 Outperform	¥5.76B	6.38		3.41%	16.98%	16.45%
4960	59 Neutral	¥4.59B	34.96		1.25%	5.14%	1.96%
Sector *	44 Neutral	C$980.66M	-6.79	-13.68%	1.76%	17.37%	-32.98%
4080	44 Neutral	¥13.21B	7.54	-1.83%	0.86%	-23.94%	-110.06%