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Nippon Pigment Company, Limited (JP:4119)
:4119
Japanese Market
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Nippon Pigment Company, Limited (4119) AI Stock Analysis

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JP:4119

Nippon Pigment Company, Limited

(4119)

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Outperform 73 (OpenAI - 5.2)
Rating:73Outperform
Price Target:
¥6,723.00
▲(84.95% Upside)
Action:UpgradedDate:04/22/26
The score is driven primarily by solid financial performance (strong growth and improved profitability with a healthy balance sheet) and very attractive valuation (low P/E plus dividend yield). Technicals are supportive with clear bullish trend signals, but near-overbought momentum readings and weak recent free cash flow temper the overall rating.
Positive Factors
Robust revenue growth and improved net margin
Sustained 42% revenue growth with a TTM net margin near 13.8% indicates structural demand recovery and better pricing/ mix. This combination supports durable earnings capacity over months, enabling reinvestment in higher-value pigment grades and strengthening long-term profitability prospects.
Negative Factors
Negative free cash flow and weak cash conversion
Negative FCF and an operating cash flow to net income shortfall reflect cash conversion issues driven by higher capex. This reduces internal funding for growth or payouts, may force external financing, and weakens the cushion against demand or input-cost shocks over coming quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Robust revenue growth and improved net margin
Sustained 42% revenue growth with a TTM net margin near 13.8% indicates structural demand recovery and better pricing/ mix. This combination supports durable earnings capacity over months, enabling reinvestment in higher-value pigment grades and strengthening long-term profitability prospects.
Read all positive factors

Nippon Pigment Company, Limited (4119) vs. iShares MSCI Japan ETF (EWJ)

Nippon Pigment Company, Limited Business Overview & Revenue Model

Company Description
Nippon Pigment Company Limited manufactures and sells liquid dispersion products, colorants, and resin compounds. It primarily offers various resin compounds, such as olefin and styrene resins, and engineering plastic products; coloring agents for...
How the Company Makes Money
Nippon Pigment generates revenue primarily by selling pigments and pigment-based chemical materials to business customers that incorporate these inputs into their own products (e.g., coatings, inks, plastics, and other formulated materials). Its e...

Nippon Pigment Company, Limited Financial Statement Overview

Summary
Strong revenue growth (+42.1% YoY) and improved profitability (TTM net margin ~13.77%) support the score, alongside a solid balance sheet (equity ratio ~44.97%, debt-to-equity ~0.33). Offsetting this, recent cash flow quality is weak with negative free cash flow and an unfavorable operating cash flow to net income relationship.
Income Statement
76
Positive
Balance Sheet
68
Positive
Cash Flow
55
Neutral
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue40.77B37.92B26.68B27.46B27.57B30.12B
Gross Profit6.00B5.47B3.78B3.19B4.36B3.05B
EBITDA1.04B1.06B1.36B1.09B2.43B1.46B
Net Income-1.37B5.03B740.70M-519.89M885.51M-116.83M
Balance Sheet
Total Assets43.83B44.41B29.63B29.08B32.77B32.34B
Cash, Cash Equivalents and Short-Term Investments4.10B4.26B3.64B2.80B5.14B5.91B
Total Debt6.40B6.70B4.90B5.55B8.42B10.04B
Total Liabilities22.87B22.83B13.93B13.89B17.79B18.55B
Stockholders Equity19.28B19.78B14.50B14.15B13.98B12.92B
Cash Flow
Free Cash Flow0.00-1.34B910.61M-7.23M903.12M926.35M
Operating Cash Flow0.00-413.96M1.52B993.15M1.29B1.76B
Investing Cash Flow0.0078.62M191.69M-698.65M-366.67M-721.52M
Financing Cash Flow0.00743.16M-896.77M-3.17B-1.77B2.34B

Nippon Pigment Company, Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3635.00
Price Trends
50DMA
4831.47
Positive
100DMA
4182.48
Positive
200DMA
3763.93
Positive
Market Momentum
MACD
194.46
Positive
RSI
66.06
Neutral
STOCH
78.78
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4119, the sentiment is Positive. The current price of 3635 is below the 20-day moving average (MA) of 5346.36, below the 50-day MA of 4831.47, and below the 200-day MA of 3763.93, indicating a bullish trend. The MACD of 194.46 indicates Positive momentum. The RSI at 66.06 is Neutral, neither overbought nor oversold. The STOCH value of 78.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4119.

Nippon Pigment Company, Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
¥62.55B9.611.92%-1.44%55.92%
77
Outperform
¥116.77B10.073.72%4.93%30.22%
76
Outperform
¥77.67B6.043.04%-0.11%-31.90%
75
Outperform
¥84.62B10.302.22%3.15%49.35%
73
Outperform
¥9.07B2.662.84%24.73%-112.57%
71
Outperform
¥17.70B4.283.61%8.37%154.72%
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:4119
Nippon Pigment Company, Limited
5,780.00
2,798.28
93.85%
JP:4022
Rasa Industries,Ltd.
2,131.00
1,611.71
310.37%
JP:4116
Dainichiseika Color & Chemicals Mfg.Co., Ltd.
1,074.00
363.03
51.06%
JP:4275
Carlit Holdings Co., Ltd.
2,761.00
1,725.93
166.74%
JP:4633
Sakata Inx Corp.
2,335.00
570.24
32.31%
JP:4635
Tokyo Printing Ink Manufacturing Co., Ltd.
1,309.00
557.17
74.11%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Apr 22, 2026