Nippon Chemical Industrial Co., Ltd. (4092) AI Stock Analysis

• Market Cap: ¥18.01B
• Dividend Yield: 3.96%
• Average Volume (3M): 42.95K
• Price to Earnings (P/E): 7.0
• Beta (1Y): 1.22
• Revenue Growth: 0.79%
• EPS Growth: 60.97%
• Country: JP
• Employees: 747
• Sector: Basic Materials
• Sector Strength: 69
• Industry: Chemicals - Specialty
• EPS (TTM): 24.70
• Shares Outstanding: 8,922,775
• 10 Day Avg. Volume: 30,910
• 30 Day Avg. Volume: 42,950
• PEG Ratio: -1.43
• Price to Book (P/B): 0.39
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥2,201.00
• Price Target Upside: 8.16% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 71 Outperform
• Price Target: ¥2,249.00 ▲(10.52%Upside)

Nippon Chemical Industrial Co., Ltd. receives a solid score based on its strong financial performance and attractive valuation. The company's robust revenue growth, improved profitability, and efficient cash management contribute positively. Despite technical indicators showing mixed signals, the stock's low P/E ratio and high dividend yield enhance its appeal to value investors.

Nippon Chemical Industrial Co., Ltd. Business Overview & Revenue Model

Company Description

Nippon Chemical Industrial Co., Ltd. is a Japanese company that engages in the manufacturing and sale of a wide range of chemical products. The company operates in various sectors, including basic chemicals, functional materials, electronic materials, and environmental chemicals. Its core products encompass inorganic chemicals, organic chemicals, and specialty chemicals that serve industries such as electronics, automotive, and agriculture.

How the Company Makes Money

Nippon Chemical Industrial Co., Ltd. generates revenue through the production and sale of its diverse chemical product portfolio. The company's key revenue streams include the sale of inorganic chemicals like sulfuric acid and hydrochloric acid, which are essential for various industrial applications. It also earns income from its functional materials and electronic materials, which are used in high-tech applications, including semiconductors and display panels. Additionally, Nippon Chemical's specialty chemicals, developed for specific applications such as agriculture and environmental protection, contribute to its earnings. Strategic partnerships and collaborations with other industrial players and research institutions further bolster its revenue opportunities by enhancing product innovation and market reach.

Nippon Chemical Industrial Co., Ltd. Financial Statement Overview

Summary

Nippon Chemical Industrial Co., Ltd. demonstrates strong financial health with robust revenue growth, improved profitability, and efficient cash flow management. While leverage is controlled and equity levels are high, the company faces challenges in maintaining high free cash flow due to capital expenditures. Overall, the financial outlook is positive, supported by strategic operational improvements.

Income Statement

The company shows solid revenue growth with a 0.79% increase from 2024 to 2025. Gross profit margin improved to 22.34%, indicating efficient production. Net profit margin increased to 6.59%, showing better cost control and profitability. EBIT and EBITDA margins also improved, reaching 8.42% and 18.03% respectively, highlighting strong operational performance.

Balance Sheet

The company maintains a healthy debt-to-equity ratio of 0.32, indicating manageable leverage. Return on Equity (ROE) increased to 5.52%, reflecting enhanced profitability. The equity ratio stands at 61.77%, suggesting a solid capital structure with substantial owner financing.

Cash Flow

Operating cash flow to net income ratio remains robust at 2.49, indicating efficient cash generation relative to profits. The free cash flow to net income ratio is lower at 0.46, reflecting significant capital expenditures. Despite this, free cash flow growth of 32.42% from 2024 to 2025 is a positive sign of improving liquidity.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	38.84B	38.54B	38.08B	37.27B	34.64B
Gross Profit	8.68B	7.32B	6.31B	9.05B	7.84B
EBITDA	7.01B	6.01B	4.58B	6.99B	5.67B
Net Income	2.56B	1.59B	855.00M	3.73B	2.18B
Balance Sheet
Total Assets	75.11B	76.50B	72.90B	70.43B	70.20B
Cash, Cash Equivalents and Short-Term Investments	7.93B	8.74B	7.84B	9.01B	10.00B
Total Debt	15.07B	16.53B	16.78B	15.92B	15.58B
Total Liabilities	28.71B	31.46B	30.66B	28.57B	31.12B
Stockholders Equity	46.40B	45.05B	42.24B	41.87B	39.07B
Cash Flow
Free Cash Flow	1.19B	897.00M	-1.32B	-3.04B	942.00M
Operating Cash Flow	6.37B	6.15B	1.49B	1.98B	5.22B
Investing Cash Flow	-5.07B	-4.41B	-2.82B	-3.08B	-3.54B
Financing Cash Flow	-2.42B	-870.00M	102.00M	120.00M	-1.02B

Nippon Chemical Industrial Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2035.00
• 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:4092, the sentiment is Positive. The current price of 2035 is above the 20-day moving average (MA) of 2032.00, above the 50-day MA of 2002.56, and below the 200-day MA of 2251.07, indicating a neutral trend. The MACD of 12.37 indicates Negative momentum. The RSI at 64.28 is Neutral, neither overbought nor oversold. The STOCH value of 65.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4092.

Nippon Chemical Industrial Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4113	79 Outperform	¥18.80B	12.72		2.36%	4.85%	80.14%
4064	76 Outperform	¥17.51B	7.83		4.25%	12.71%	123.52%
4409	74 Outperform	¥17.13B	10.94		2.49%	5.96%	182.60%
4229	74 Outperform	¥18.61B	9.70		3.56%	0.78%	-5.93%
4973	72 Outperform	¥17.99B	11.73		3.93%	10.43%	187.34%
4092	71 Outperform	¥18.01B	7.04		3.96%	0.79%	60.97%
Sector *	44 Neutral	AU$1.50B	-6.14	-41.37%	3.91%	-3.45%	-43.04%

Nippon Chemical Industrial Co., Ltd. Corporate Events

Nippon Chemical Announces Disposal of Treasury Shares for Executive Remuneration

Nippon Chemical Industrial Co., Ltd. has announced the disposal of 20,541 treasury shares as part of a restricted share-based remuneration plan. This move aims to align the interests of directors and executive officers with those of shareholders by sharing the risks and benefits of share price fluctuations, thereby enhancing corporate value and commitment to the company’s growth.

Nippon Chemical Industrial Reports Fiscal Year 2025 Financial Results

Nippon Chemical Industrial Co., Ltd. reported its consolidated financial results for the fiscal year ending March 31, 2025, showing a slight increase in net sales by 0.8% to ¥38,843 million. The company experienced significant growth in operating profit, which rose by 47.6% to ¥3,342 million, and profit attributable to owners of the parent increased by 60.9% to ¥2,559 million. Despite these positive results, comprehensive income decreased by 33.7% compared to the previous fiscal year. The company also announced an increase in annual dividends per share, reflecting its commitment to returning value to shareholders.