Osaka Organic Chemical Industry Ltd. (4187) AI Stock Analysis

• Market Cap: ¥54.70B
• Dividend Yield: 2.75%
• Average Volume (3M): 41.70K
• Price to Earnings (P/E): 11.6
• Beta (1Y): 1.19
• Revenue Growth: 17.34%
• EPS Growth: 44.04%
• Country: JP
• Employees: 463
• Sector: Basic Materials
• Sector Strength: 67
• Industry: Chemicals - Specialty
• EPS (TTM): 49.96
• Shares Outstanding: 22,410,038
• 10 Day Avg. Volume: 44,270
• 30 Day Avg. Volume: 41,703
• PEG Ratio: -2.50
• Price to Book (P/B): 1.13
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -58.32
• 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: ¥3,799.51
• Price Target Upside: 53.89% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 75 Outperform
• Price Target: ¥2,754.00 ▲(11.54%Upside)

Osaka Organic Chemical Industry Ltd. scores well due to its strong financial performance, with effective profitability and cash flow management. Technical analysis shows mixed signals, but valuation metrics indicate the stock is reasonably priced with a decent dividend yield. The lack of recent earnings call data or notable corporate events limits further insights.

Osaka Organic Chemical Industry Ltd. Business Overview & Revenue Model

Company Description

Osaka Organic Chemical Industry Ltd. is a Japan-based company engaged in the chemical industry, primarily focusing on the production and distribution of organic chemicals. The company's product portfolio includes acrylic acid esters, methacrylic esters, and other specialty chemicals utilized in a variety of applications such as paints, adhesives, and electronics. With a commitment to innovation and quality, Osaka Organic Chemical Industry Ltd. serves a diverse range of industries by providing essential chemical solutions that meet rigorous standards.

How the Company Makes Money

Osaka Organic Chemical Industry Ltd. generates revenue through the manufacture and sale of its chemical products, particularly focusing on acrylic and methacrylic esters. These chemicals are sold to a wide range of industries, including automotive, electronics, and construction, where they are used in coatings, adhesives, sealants, and various other applications. The company benefits from its ability to produce high-quality, specialized chemical products that meet the specific needs of industrial clients. Additionally, strategic partnerships and long-term contracts with key industrial players contribute significantly to its revenue, helping to ensure a steady demand for its products. By continuously investing in research and development, Osaka Organic Chemical Industry Ltd. aims to innovate new products and maintain its competitive edge in the market.

Osaka Organic Chemical Industry Ltd. Financial Statement Overview

Summary

Osaka Organic Chemical Industry Ltd. demonstrates strong financial performance with robust revenue growth, healthy profit margins, low leverage, and impressive cash flow management. The company effectively manages its equity and maintains a solid capital structure, indicating financial stability and sound management.

Income Statement

Osaka Organic Chemical Industry Ltd. has shown a robust revenue growth rate of 13.13% from the previous fiscal year, indicating strong market demand. The gross profit margin is healthy at 29.62%, and the net profit margin is solid at 12.37%, reflecting effective cost management and profitability. The EBIT margin of 14.10% and EBITDA margin of 27.16% further demonstrate operational efficiency and profitable operations. The steady increase in revenue and profitability metrics positions the company favorably in the chemicals industry.

Balance Sheet

The balance sheet of Osaka Organic Chemical Industry Ltd. is strong, with a debt-to-equity ratio of 0.08, indicating low leverage and reduced financial risk. The company's return on equity (ROE) is commendable at 8.90%, showcasing effective management of equity to generate profits. Additionally, the equity ratio of 75.79% highlights a strong capital structure, with a significant portion of assets financed by equity rather than debt, providing financial stability and flexibility.

Cash Flow

Osaka Organic Chemical Industry Ltd. exhibits impressive cash flow management with a substantial improvement in free cash flow, transitioning from negative to positive. The free cash flow growth rate is remarkable, and the operating cash flow to net income ratio of 2.13 indicates strong cash generation from operations relative to net income. The free cash flow to net income ratio of 1.87 further underscores the company's ability to generate cash, supporting ongoing growth and investment opportunities.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
29.98B	32.70B	28.91B	32.24B	35.03B	28.68B
	Gross Profit
8.23B	9.69B	7.96B	10.29B	10.25B	8.41B
	EBIT
3.50B	4.61B	3.58B	5.93B	5.85B	4.44B
	EBITDA
7.96B	8.88B	6.91B	9.12B	9.64B	6.69B
	Net Income Common Stockholders
3.68B	4.04B	3.27B	4.73B	5.00B	3.31B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
12.00B	13.05B	7.89B	8.09B	9.92B	7.72B
	Total Assets
57.09B	59.96B	54.64B	52.84B	49.87B	45.32B
	Total Debt
4.07B	3.53B	4.92B	3.58B	2.25B	3.00B
	Net Debt
-7.93B	-9.52B	-2.97B	-4.51B	-7.67B	-4.52B
	Total Liabilities
12.30B	13.82B	11.01B	11.44B	10.74B	10.30B
	Stockholders Equity
44.13B	45.44B	42.98B	40.83B	38.65B	34.66B
Cash Flow		Free Cash Flow
2.84B	7.56B	-366.50M	-789.48M	3.51B	409.71M
	Operating Cash Flow
2.84B	8.60B	4.37B	4.73B	5.84B	4.80B
	Investing Cash Flow
0.00	-298.37M	-4.13B	-4.85B	-1.04B	-3.98B
	Financing Cash Flow
0.00	-3.13B	-476.17M	-1.56B	-1.83B	-648.20M

Osaka Organic Chemical Industry Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2469.00
• 50DMA: Positive
• 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:4187, the sentiment is Negative. The current price of 2469 is below the 20-day moving average (MA) of 2477.77, above the 50-day MA of 2374.19, and below the 200-day MA of 2685.36, indicating a neutral trend. The MACD of 36.70 indicates Positive momentum. The RSI at 49.64 is Neutral, neither overbought nor oversold. The STOCH value of 57.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4187.

Osaka Organic Chemical Industry Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4362	79 Outperform	¥55.26B	13.52		3.18%	6.36%	17.44%
4365	79 Outperform	¥59.80B	7.85		2.16%	5.44%	8.53%
4116	79 Outperform	¥54.93B	5.10		4.91%	4.12%	192.18%
4187	75 Outperform	¥54.70B	11.60	10.09%	2.75%	17.34%	44.04%
4078	71 Outperform	¥43.40B	8.33		5.63%	3.16%	―
4008	66 Neutral	¥60.06B	9.65		4.60%	3.21%	-1.94%
Sector *	51 Neutral	$2.03B	-1.27	-21.09%	3.98%	2.91%	-30.50%

Osaka Organic Chemical Industry Ltd. Corporate Events

Osaka Organic Chemical Industry Ltd. Forms Joint Venture in the U.S.

Osaka Organic Chemical Industry Ltd. has signed a basic agreement with Shin-Nakamura Chemical Co., Ltd. to establish a joint venture in the United States. This move aligns with their medium-term management plan, Progress & Development 2030, aiming to enhance the sales of specialty acrylic acid esters in the U.S. market. The joint venture is expected to have a negligible impact on the company’s financial results for the fiscal year ending November 30, 2025.

Osaka Organic Chemical Industry Ltd. Reports Strong Q1 Financial Performance

Osaka Organic Chemical Industry Ltd. reported a significant financial performance for the first quarter of the fiscal year ending November 30, 2025, with net sales increasing by 20.5% year-on-year to 8,516 million yen. The company’s operating profit also saw a notable rise of 135.2% year-on-year, attributed to increased sales and reduced depreciation, despite uncertainties in the economic outlook due to external factors.

Osaka Organic Chemical Industry Ltd. Reports Strong Q1 2025 Financial Results

Osaka Organic Chemical Industry Ltd. reported significant growth in its financial results for the three months ending February 28, 2025, with net sales increasing by 20.5% year-on-year. The company also saw substantial increases in operating profit and ordinary profit, indicating strong operational performance. Despite a decrease in comprehensive income, the company’s capital adequacy ratio improved, reflecting a stable financial position. The inclusion of a new subsidiary in Korea suggests an expansion strategy that could enhance its market presence in Asia.