Titan Kogyo Kabushiki Kaisha (4098) AI Stock Analysis

• Market Cap: ¥2.48B
• Dividend Yield: 1.19%
• Average Volume (3M): 5.18K
• Price to Earnings (P/E): 18.2
• Beta (1Y): 0.40
• Revenue Growth: -1.01%
• EPS Growth: N/A
• Country: JP
• Employees: 304
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 7.65
• Shares Outstanding: 3,027,626
• 10 Day Avg. Volume: 4,080
• 30 Day Avg. Volume: 5,176
• PEG Ratio: -0.10
• Price to Book (P/B): 0.44
• Price to Sales (P/S): 0.29
• P/FCF Ratio: 3.58
• 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: 63 Neutral
• Price Target: ¥863.00 ▲(8.96% Upside)

The overall stock score of 63 reflects a moderate financial recovery with improved profitability and a stable balance sheet, though leverage remains a concern. Technical indicators suggest potential short-term weakness, while valuation metrics indicate fair pricing with a reasonable dividend yield. Continued focus on operational efficiency and debt management will be crucial for sustained growth.

Positive Factors

Product Diversification

Diversification into electronic and functional materials broadens revenue streams, reducing reliance on any single industry and enhancing resilience.

Strategic Partnerships

Partnerships with manufacturers strengthen market position and provide stable demand, supporting long-term revenue growth and competitive advantage.

Profitability Improvement

Improved profitability and margins indicate effective cost management and operational efficiency, enhancing financial stability and shareholder value.

Negative Factors

Revenue Decline

Past revenue decline suggests challenges in market demand or competition, posing risks to consistent growth and necessitating strategic adjustments.

Leverage Concerns

High leverage can limit financial flexibility and increase risk, especially if market conditions worsen, requiring careful debt management.

Cash Flow Consistency

Inconsistent cash flow generation can hinder investment and growth opportunities, stressing the need for improved cash management practices.

Titan Kogyo Kabushiki Kaisha Business Overview & Revenue Model

Company Description

Titan Kogyo Kabushiki Kaisha (4098) is a Japanese company primarily engaged in the manufacturing and sale of specialty chemicals and materials for various industrial applications. The company operates in sectors such as semiconductors, electronics, and automotive components, providing essential products including chemical solutions, advanced materials, and coatings that enhance performance and durability in numerous applications.

How the Company Makes Money

Titan Kogyo generates revenue through the sale of its specialty chemicals and materials, which are utilized in high-demand industries such as electronics and automotive manufacturing. The company focuses on innovation and quality, enabling it to establish long-term contracts and partnerships with major manufacturers in these sectors. Key revenue streams include direct product sales, ongoing supply agreements, and custom solutions tailored to specific industrial needs. Additionally, the company's investment in research and development allows it to introduce new products that meet evolving market demands, further driving sales and profitability.

Titan Kogyo Kabushiki Kaisha Financial Statement Overview

Summary

Titan Kogyo Kabushiki Kaisha has shown resilience in financial recovery, with improvements in profit margins and a return to profitability in 2025. The balance sheet is stable but with increased leverage, and cash flow performance is improving though consistency remains a challenge.

Income Statement

Titan Kogyo Kabushiki Kaisha has shown fluctuations in its revenue and profitability over recent years. The company experienced a decline in revenue from 2020 to 2022, followed by a slight recovery in 2025. The gross profit margin for 2025 is approximately 14.8%, indicating moderate efficiency in production costs. The net profit margin rebounded to 2.6% in 2025 from negative values in the prior year. EBIT and EBITDA margins have also improved, though they remain modest. Overall, while there are signs of improvement, the income statement reflects past challenges in maintaining stable profitability.

Balance Sheet

The balance sheet of Titan Kogyo Kabushiki Kaisha shows a stable equity base with a debt-to-equity ratio of approximately 1.28 in 2025, which indicates a moderate level of leverage. Return on equity improved to 3.9% in 2025, reflecting better profitability. The equity ratio stands at approximately 36.5%, indicating a solid proportion of equity financing. While the company maintains a balanced approach to leverage, the increase in total debt over the years could pose potential risks if not managed effectively.

Cash Flow

The company's cash flow performance has been mixed. Free cash flow in 2025 showed growth compared to 2024, indicating better cash management. The operating cash flow to net income ratio is 4.09, suggesting strong cash generation relative to net income. However, the free cash flow to net income ratio is 3.16, reflecting some challenges in converting net income into free cash flow. Overall, while there are positive signs of improvement, consistency in cash flow generation remains a key area for enhancement.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.81B	7.79B	7.95B	8.07B	8.15B	6.28B
Gross Profit	1.33B	1.16B	360.00M	1.45B	1.47B	988.00M
EBITDA	1.05B	1.16B	-621.00M	1.24B	1.23B	631.00M
Net Income	133.00M	200.00M	-1.68B	322.00M	265.00M	-178.00M
Balance Sheet
Total Assets	13.77B	13.99B	14.88B	16.76B	16.37B	15.70B
Cash, Cash Equivalents and Short-Term Investments	716.00M	825.00M	785.00M	402.00M	561.00M	586.00M
Total Debt	5.97B	6.53B	6.96B	7.41B	7.12B	4.27B
Total Liabilities	8.10B	8.34B	9.39B	9.66B	9.64B	9.26B
Stockholders Equity	5.13B	5.11B	4.99B	6.68B	6.33B	6.06B
Cash Flow
Free Cash Flow	0.00	632.00M	622.00M	-389.00M	-2.77B	-880.00M
Operating Cash Flow	0.00	817.00M	728.00M	-204.00M	687.00M	-149.00M
Investing Cash Flow	0.00	132.00M	187.00M	-180.00M	-3.45B	-770.00M
Financing Cash Flow	0.00	-909.00M	-512.00M	216.00M	2.74B	597.00M

Titan Kogyo Kabushiki Kaisha Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 792.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4098, the sentiment is Neutral. The current price of 792 is below the 20-day moving average (MA) of 811.45, below the 50-day MA of 818.12, and above the 200-day MA of 784.68, indicating a neutral trend. The MACD of -10.24 indicates Positive momentum. The RSI at 42.28 is Neutral, neither overbought nor oversold. The STOCH value of 18.53 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4098.

Titan Kogyo Kabushiki Kaisha Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4116	76 Outperform	¥70.48B	5.97	―	3.14%	1.57%	-33.97%
4028	74 Outperform	¥106.40B	7.64	―	4.71%	1.16%	167.89%
4112	69 Neutral	¥29.74B	13.88	―	2.75%	-11.70%	-54.82%
4092	66 Neutral	¥25.66B	10.19	―	4.13%	-3.41%	-12.83%
4098	63 Neutral	¥2.48B	18.18	―	1.19%	-1.01%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
4100	46 Neutral	¥7.40B	-2.00	―	―	12.11%	46.97%