Nippon Sanso Holdings Corporation (4091) AI Stock Analysis

• Market Cap: ¥2.03T
• Dividend Yield: 1.14%
• Average Volume (3M): 557.70K
• Price to Earnings (P/E): 19.0
• Beta (1Y): 0.79
• Revenue Growth: 2.35%
• EPS Growth: 0.43%
• Country: JP
• Employees: 19,533
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals
• EPS (TTM): N/A
• Shares Outstanding: 433,092,830
• 10 Day Avg. Volume: 573,680
• 30 Day Avg. Volume: 557,703
• PEG Ratio: -2.94
• Price to Book (P/B): 1.99
• Price to Sales (P/S): 1.49
• P/FCF Ratio: 22.12
• 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: 70 Outperform
• Price Target: ¥5,253.00 ▲(13.21% Upside)

Nippon Sanso Holdings Corporation's strong financial performance and positive earnings call insights are the primary drivers of its overall score. However, technical indicators suggest a bearish trend, and valuation metrics indicate moderate attractiveness. The company's sustainability initiatives and strategic focus provide a balanced outlook amidst sector challenges.

Positive Factors

Revenue Growth

Consistent revenue and core operating income growth indicate strong market demand and effective cost management, supporting long-term business stability.

Sustainability Initiatives

Commitment to sustainability enhances brand reputation and aligns with global regulatory trends, potentially opening new market opportunities.

European Market Expansion

Growth in the European market strengthens the company's international presence and diversifies revenue streams, reducing dependency on domestic markets.

Negative Factors

Non-Recurring Impairment Charge

Significant impairment charges can impact financial results and reflect potential risks in customer reliability and project execution.

Challenges in Gas and Semiconductor Sectors

Declining gas volumes and semiconductor sector challenges may affect future revenue growth and operational efficiency.

CapEx Backlog Decrease

A reduced CapEx backlog could limit future growth opportunities and indicate potential project execution challenges.

Nippon Sanso Holdings Corporation Business Overview & Revenue Model

Company Description

Nippon Sanso Holdings Corporation engages in the gas business in Japan, the United States, Europe, Asia, and Oceania. It operates through five segments: Gas Business in Japan; Gas Business in the United States; Gas Business in Europe; Gas Business in Asia and Oceania; and Thermos Business. The company offers oxygen, nitrogen, argon, carbon dioxide, helium, hydrogen, and acetylene; welding, cutting, gas supply, and medical gases and related equipment; air separation and electronic material gases; and refining and supply equipment installation services. It also manufactures and sells household goods, such as stainless-steel vacuum-insulated bottles, tumblers, and fry pans. The company was formerly known as Taiyo Nippon Sanso Corporation and changed its name to Nippon Sanso Holdings Corporation in October 2020. Nippon Sanso Holdings Corporation was founded in 1910 and is headquartered in Tokyo, Japan. Nippon Sanso Holdings Corporation is a subsidiary of Mitsubishi Chemical Group Corporation.

How the Company Makes Money

Nippon Sanso Holdings generates revenue primarily through the sale of industrial gases, which are utilized in a wide range of applications across different industries. The company has established long-term contracts with key customers, ensuring a consistent and stable income stream. Additionally, revenues are bolstered by the provision of specialized gas-related services, including equipment maintenance, gas supply systems, and safety consulting. Significant partnerships with major manufacturers and healthcare providers further enhance its market reach and revenue potential. The company's commitment to innovation in gas production and distribution technologies also enables it to capture new opportunities and drive growth in emerging markets.

Nippon Sanso Holdings Corporation Financial Statement Overview

Summary

Nippon Sanso Holdings Corporation demonstrates solid financial health with strong cash flow and stable profitability metrics. While revenue growth has recently declined, the company maintains efficient operations and cash generation. The balance sheet shows improved leverage, though it remains an area to monitor.

Income Statement

Nippon Sanso Holdings Corporation shows strong gross profit margins consistently above 40%, indicating efficient cost management. However, the net profit margin is relatively low at around 7.5%, suggesting room for improvement in cost control or pricing strategies. The revenue growth rate has recently turned negative, which could be a concern if it continues. EBIT and EBITDA margins are stable, reflecting solid operational performance.

Balance Sheet

The company's debt-to-equity ratio has improved over time, indicating better leverage management, but it remains relatively high, which could pose risks if interest rates rise. Return on equity is stable at around 10%, showing decent profitability from shareholders' investments. The equity ratio is moderate, suggesting a balanced approach to financing assets.

Cash Flow

Operating cash flow is strong, with a healthy ratio to net income, indicating good cash generation from operations. Free cash flow has grown significantly, which is a positive sign for future investments or debt reduction. The free cash flow to net income ratio is robust, highlighting efficient cash conversion.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.32T	1.31T	1.26T	1.19T	957.17B	818.24B
Gross Profit	551.45B	545.44B	510.98B	438.63B	358.57B	317.44B
EBITDA	292.86B	280.98B	284.39B	227.44B	191.77B	171.35B
Net Income	107.01B	98.78B	105.90B	73.08B	64.10B	55.21B
Balance Sheet
Total Assets	2.54T	2.42T	2.41T	2.16T	1.98T	1.84T
Cash, Cash Equivalents and Short-Term Investments	142.87B	144.53B	126.10B	132.22B	93.70B	91.06B
Total Debt	866.07B	850.57B	890.26B	900.02B	890.34B	912.62B
Total Liabilities	1.43T	1.40T	1.46T	1.40T	1.32T	1.29T
Stockholders Equity	1.07T	980.45B	914.48B	724.31B	628.71B	513.16B
Cash Flow
Free Cash Flow	122.47B	88.32B	97.63B	96.13B	74.28B	89.16B
Operating Cash Flow	235.62B	235.15B	215.98B	187.96B	148.76B	149.23B
Investing Cash Flow	-173.03B	-142.93B	-124.65B	-98.07B	-70.86B	-59.69B
Financing Cash Flow	-78.01B	-73.29B	-110.07B	-54.43B	-77.95B	-103.16B

Nippon Sanso Holdings Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4640.00
• 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:4091, the sentiment is Negative. The current price of 4640 is below the 20-day moving average (MA) of 4823.80, below the 50-day MA of 4926.06, and below the 200-day MA of 5068.96, indicating a bearish trend. The MACD of -77.54 indicates Positive momentum. The RSI at 38.29 is Neutral, neither overbought nor oversold. The STOCH value of 21.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4091.

Nippon Sanso Holdings Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4004	72 Outperform	¥1.09T	101.77	1.67%	1.08%	-1.90%	-71.97%
4042	71 Outperform	$735.70B	18.21	4.79%	4.32%	-1.21%	-27.21%
4091	70 Outperform	¥2.03T	18.98	―	1.14%	2.35%	0.43%
3407	69 Neutral	¥1.89T	13.48	7.48%	2.87%	3.55%	95.65%
4188	68 Neutral	$1.20T	10.95	1.09%	3.59%	-11.50%	25.86%
4005	66 Neutral	¥738.98B	8.71	8.79%	2.70%	-1.64%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Nippon Sanso Holdings Corporation Corporate Events

Nippon Sanso Holdings Increases Dividend Forecast for Fiscal Year 2026

Nippon Sanso Holdings Corporation announced an increase in its interim dividend to 29 yen per share and revised its year-end dividend forecast to 29 yen per share, resulting in an annual dividend forecast of 58 yen per share. This decision aligns with the company’s policy of balancing earnings allocation for corporate growth and stable shareholder returns.

Nippon Sanso Holdings Reports Strong First Half Financial Performance

Nippon Sanso Holdings Corporation reported its financial results for the first half of the fiscal year ending March 31, 2026, showing a slight increase in revenue and a significant rise in net income compared to the previous year. The company has revised its dividend forecasts upward, reflecting its strong performance and positive outlook for the full fiscal year, which may enhance its market position and benefit its stakeholders.

Nippon Sanso Expands in Australia and New Zealand with Strategic Acquisition

Nippon Sanso Holdings Corporation has announced a significant change in its specified subsidiary status following the acquisition of Coregas Pty Ltd, Blacksmith Jacks Pty Ltd, and Coregas NZ Limited from Wesfarmers. This acquisition, completed through its Australian subsidiary, NSC (Australia) Pty Ltd, enhances the company’s market position in the industrial gas sector in Australia and New Zealand, with Coregas Pty Ltd now representing a substantial part of the company’s capital.