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

• Market Cap: ¥17.71B
• Dividend Yield: 4.57%
• Average Volume (3M): 47.00K
• Price to Earnings (P/E): 6.9
• Beta (1Y): 1.22
• Revenue Growth: 0.79%
• EPS Growth: 60.97%
• Country: JP
• Employees: 747
• Sector: Basic Materials
• Sector Strength: 73
• Industry: Chemicals - Specialty
• EPS (TTM): 24.70
• Shares Outstanding: 8,922,775
• 10 Day Avg. Volume: 65,990
• 30 Day Avg. Volume: 47,000
• PEG Ratio: 2.24
• Price to Book (P/B): 0.41
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 73 Outperform
• Price Target: ¥2,250.00 ▲(11.50%Upside)

Nippon Chemical Industrial Co., Ltd. scores well overall, with the most significant strengths being its attractive valuation and strong financial performance. The valuation is particularly compelling with a low P/E ratio and high dividend yield. Financial performance is also robust, with significant revenue growth and improved profitability. Technical analysis suggests some short-term strength but highlights longer-term challenges. The absence of recent earnings call data and corporate events does not impact the overall score.

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

Company Description

Nippon Chemical Industrial Co., Ltd. is a Japanese company operating in the basic materials sector, primarily focused on the production and distribution of chemical products. The company engages in the manufacture and sale of a wide range of chemical goods, including inorganic chemicals, fine chemicals, and electronic materials. These products are essential for various industrial applications, serving sectors such as electronics, agriculture, and pharmaceuticals.

How the Company Makes Money

Nippon Chemical Industrial Co., Ltd. generates revenue through the sale of its chemical products to a diverse array of industries. The company's primary revenue streams include inorganic chemicals, which are used in manufacturing and industrial processes; fine chemicals, which cater to specialized applications in sectors like pharmaceuticals and agriculture; and electronic materials, which are critical for the electronics industry. Additionally, Nippon Chemical Industrial Co., Ltd. may engage in strategic partnerships and collaborations that enhance its portfolio and market reach, further contributing to its financial performance.

Nippon Chemical Industrial Co., Ltd. Financial Statement Overview

Summary

Nippon Chemical Industrial Co., Ltd. demonstrates a strong financial foundation with growing revenues and improving margins. The balance sheet is robust with manageable debt levels. However, cash flow management requires attention due to operating cash flow dropping to zero. Overall, the financial trajectory remains positive, but consistent cash flow is essential for stability.

Income Statement

Nippon Chemical Industrial Co., Ltd. shows strong financial health with a consistent revenue growth trend over the years, marked by a solid increase from 38,538 million to 40,748 million yen in the TTM period. The gross profit margin improved from 19% to 22.8%, and the EBIT margin has increased from 5.9% to 9.7%. However, the net profit margin in the TTM period is lower than historical highs, indicating room for improvement in cost management.

Balance Sheet

The company maintains a stable balance sheet with a healthy equity ratio of 60.4%. The debt-to-equity ratio has decreased slightly from previous years, indicating better leverage management. Return on equity stands at 5.8% in the TTM period, showing an improvement but still trailing higher industry benchmarks.

Cash Flow

The cash flow statement shows volatility with operating cash flow dropping to zero in the TTM period, posing a potential risk. Historical free cash flow fluctuations suggest inconsistent capital expenditure and investment strategies. Despite this, the company has previously shown resilience with positive free cash flows.

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	40.75B	38.54B	38.08B	37.27B	34.64B	36.24B
Gross Profit	9.30B	7.32B	6.31B	9.05B	7.84B	7.79B
EBITDA	7.61B	6.01B	4.58B	6.99B	5.67B	5.15B
Net Income	2.69B	1.59B	855.00M	3.73B	2.18B	1.86B
Balance Sheet
Total Assets	76.41B	76.50B	72.90B	70.43B	70.20B	65.95B
Cash, Cash Equivalents and Short-Term Investments	8.01B	8.74B	7.84B	9.01B	10.00B	9.39B
Total Debt	15.62B	16.53B	16.78B	15.92B	15.58B	15.99B
Total Liabilities	30.28B	31.46B	30.66B	28.57B	31.12B	30.18B
Stockholders Equity	46.13B	45.05B	42.24B	41.87B	39.07B	35.77B
Cash Flow
Free Cash Flow	0.00	897.00M	-1.32B	-3.04B	942.00M	-1.03B
Operating Cash Flow	0.00	6.15B	1.49B	1.98B	5.22B	4.78B
Investing Cash Flow	0.00	-4.41B	-2.82B	-3.08B	-3.54B	-5.50B
Financing Cash Flow	0.00	-870.00M	102.00M	120.00M	-1.02B	842.00M

Nippon Chemical Industrial Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2018.00
• 50DMA: Positive
• 100DMA: Negative
• 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 2018 is above the 20-day moving average (MA) of 2008.75, above the 50-day MA of 2016.72, and below the 200-day MA of 2291.80, indicating a neutral trend. The MACD of 3.32 indicates Negative momentum. The RSI at 51.57 is Neutral, neither overbought nor oversold. The STOCH value of 37.97 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
4229	80 Outperform	¥18.83B	9.81		3.52%	0.78%	-5.93%
4113	79 Outperform	¥17.75B	12.01		3.59%	4.85%	80.14%
4064	76 Outperform	¥17.39B	7.78		4.33%	12.71%	123.52%
4092	73 Outperform	¥17.71B	6.92		4.57%	0.79%	60.97%
4409	72 Outperform	¥16.32B	10.43		2.61%	5.96%	182.60%
4973	72 Outperform	¥17.63B	11.49		4.01%	10.43%	187.34%
Sector *	44 Neutral	C$976.20M	-6.71	-13.35%	2.69%	17.20%	-32.62%

Nippon Chemical Industrial Co., Ltd. Corporate Events

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.