Nichiban Co., Ltd. (4218) AI Stock Analysis

• Market Cap: ¥40.68B
• Dividend Yield: 1.78%
• Average Volume (3M): 13.11K
• Price to Earnings (P/E): 20.4
• Beta (1Y): 0.49
• Revenue Growth: 5.54%
• EPS Growth: 8.03%
• Country: JP
• Employees: 1,270
• Sector: Industrials
• Sector Strength: 85
• Industry: Business Equipment & Supplies
• EPS (TTM): 14.12
• Shares Outstanding: 20,738,007
• 10 Day Avg. Volume: 11,910
• 30 Day Avg. Volume: 13,113
• PEG Ratio: 0.54
• Price to Book (P/B): 0.98
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.81K
• 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: ¥2,600.00
• Price Target Upside: 32.45% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 69 Neutral
• Price Target: ¥2,137.00 ▲(8.86%Upside)

Nichiban Co., Ltd. achieves a solid overall score due to its strong financial performance, characterized by consistent revenue growth and solid profitability margins. However, technical analysis suggests bearish momentum with the stock trading below key moving averages. Valuation concerns are present with a moderately high P/E ratio, although the dividend yield provides some balance. The absence of recent earnings call insights and corporate events limits additional context.

Nichiban Co., Ltd. Business Overview & Revenue Model

Company Description

Nichiban Co., Ltd. (4218) is a Japanese company primarily engaged in the production and distribution of adhesive products and medical supplies. Established in 1918, the company is well-known for its innovative adhesive tapes, including stationery and industrial tapes, as well as medical products such as surgical tapes and wound care items. Nichiban operates in multiple sectors, serving both consumer and professional markets, with a strong presence in Japan and internationally.

How the Company Makes Money

Nichiban Co., Ltd. generates revenue through the sale of its adhesive products and medical supplies. The company's core revenue streams include its diverse range of adhesive tapes, which are used in various industries such as packaging, automotive, and electronics. Additionally, its medical division contributes significantly to earnings through the sale of surgical tapes, wound care products, and other medical supplies to healthcare providers and institutions. Nichiban also collaborates with other companies and distributors to expand its market reach and enhance its sales channels. The company's success is further supported by its focus on research and development, enabling it to introduce innovative products that meet the evolving needs of its customers.

Nichiban Co., Ltd. Financial Statement Overview

Summary

Nichiban Co., Ltd. exhibits strong financial performance with consistent revenue growth, solid profitability margins, and a stable balance sheet. Effective cash flow management, despite a temporary decline, positions the company well for future growth and stability.

Income Statement

Nichiban Co., Ltd. demonstrates robust financial health with consistent revenue growth and strong profitability. The gross profit margin is solid, reflecting efficient cost management, while net profit margin shows steady improvement, indicating enhanced profitability. The company has maintained a positive revenue growth trajectory, with revenue increasing year-over-year. EBIT and EBITDA margins are healthy, signifying effective operational control and strong earnings capability.

Balance Sheet

The balance sheet of Nichiban Co., Ltd. reveals a stable financial position with a low debt-to-equity ratio, suggesting conservative leverage and a strong equity base. The return on equity is moderate, indicating reasonable profitability for shareholders. The equity ratio is solid, underscoring the company's reliance on equity financing. Overall, the company maintains a healthy balance between assets and liabilities, with a strong equity foundation.

Cash Flow

Nichiban Co., Ltd. shows a stable cash flow position with positive operating cash flow and a recovering free cash flow after a dip in the previous year. The operating cash flow to net income ratio indicates efficient cash generation relative to profits, while free cash flow to net income ratio reflects improved cash retention. Although there was a temporary decline in free cash flow, the company has demonstrated effective management of cash flows in recent periods.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
48.74B	49.46B	46.86B	45.56B	43.13B	41.34B
	Gross Profit
14.80B	14.90B	13.87B	12.97B	13.50B	13.18B
	EBIT
2.71B	2.59B	2.07B	1.61B	2.45B	2.00B
	EBITDA
5.79B	5.81B	4.87B	6.22B	5.14B	4.28B
	Net Income Common Stockholders
2.11B	1.96B	1.83B	2.37B	1.81B	1.35B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
14.15B	14.66B	13.40B	15.11B	14.20B	13.90B
	Total Assets
68.68B	67.60B	68.04B	69.12B	64.43B	61.21B
	Total Debt
2.00B	2.12B	2.13B	2.17B	2.73B	2.47B
	Net Debt
-12.15B	-12.54B	-11.27B	-12.94B	-11.47B	-11.43B
	Total Liabilities
25.94B	24.41B	26.34B	28.52B	25.47B	23.14B
	Stockholders Equity
42.74B	43.19B	41.70B	40.60B	38.96B	38.08B
Cash Flow		Free Cash Flow
0.00	2.35B	-577.00M	22.00M	938.00M	3.23B
	Operating Cash Flow
0.00	3.69B	3.19B	2.92B	4.06B	5.91B
	Investing Cash Flow
0.00	-1.70B	-3.69B	-1.15B	-2.90B	-3.07B
	Financing Cash Flow
0.00	-763.00M	-1.23B	-867.00M	-691.00M	-772.00M

Nichiban Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1963.00
• 50DMA: Negative
• 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:4218, the sentiment is Negative. The current price of 1963 is above the 20-day moving average (MA) of 1954.65, below the 50-day MA of 1968.88, and above the 200-day MA of 1960.38, indicating a bearish trend. The MACD of -6.86 indicates Negative momentum. The RSI at 46.85 is Neutral, neither overbought nor oversold. The STOCH value of 31.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4218.

Nichiban Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7846	79 Outperform	¥154.95B	10.92		3.18%	5.42%	13.99%
7975	70 Neutral	¥3.96B	9.63		2.14%	4.74%	―
4218	69 Neutral	¥40.68B	20.40		1.78%	5.54%	8.03%
7976	69 Neutral	¥106.45B	10.43		2.08%	20.31%	6.00%
7957	66 Neutral	¥2.16B	5.00		5.53%	12.55%	―
Sector *	66 Neutral	$4.49B	12.22	5.40%	3.71%	4.17%	-11.97%
7962	54 Neutral	¥25.03B	168.34		1.59%	1.78%	-46.92%

Nichiban Co., Ltd. Corporate Events

Nichiban Co., Ltd. Delays Office Relocation to November 2025

Nichiban Co., Ltd. has announced a delay in the relocation of its head office and Tokyo office from the initially planned summer 2025 to November 2025 due to construction schedule delays. This change may impact the company’s operational timelines and could have implications for its strategic planning and stakeholder engagements.

The most recent analyst rating on (JP:4218) stock is a Buy with a Yen2850.00 price target. To see the full list of analyst forecasts on Nichiban Co., Ltd. stock, see the JP:4218 Stock Forecast page.

Nichiban Co., Ltd. Proposes Amendments to Articles of Incorporation

Nichiban Co., Ltd. announced proposed amendments to its Articles of Incorporation, which will be addressed at the upcoming Annual General Meeting of Shareholders. The changes include removing the non-life insurance agency business, relocating the head office to Chiyoda-ku, Tokyo, and updating the convener and chairperson roles within the Board of Directors to reflect current operations. These amendments aim to enhance management efficiency, streamline decision-making, and align corporate governance with operational practices.

Nichiban Co., Ltd. Maintains Independence Amidst Significant Stake by TAIHO PHARMACEUTICAL

Nichiban Co., Ltd. has announced that TAIHO PHARMACEUTICAL CO., LTD. holds 33.22% of its voting rights, establishing a significant but non-controlling interest. Despite this association, Nichiban maintains its independence in business operations and management decisions, while fostering a cooperative relationship with TAIHO PHARMACEUTICAL to leverage potential synergies.

Nichiban Co., Ltd. Reports Strong Financial Growth for Fiscal Year 2025

Nichiban Co., Ltd. reported a positive financial performance for the fiscal year ending March 31, 2025, with a 5.5% increase in net sales and a significant rise in operating profit by 24.8%. The company’s strategic focus on efficiency and market expansion has resulted in improved profitability and a stable dividend payout, indicating a strong position in the adhesive products market.

Nichiban Co., Ltd. Announces Board Changes to Enhance Governance

Nichiban Co., Ltd. announced changes in its board of directors, with the nomination of Junko Sugawara as an outside director. Sugawara, with her extensive experience as a corporate manager, is expected to contribute significantly to the company’s decision-making process, bringing an independent perspective. The changes are part of Nichiban’s ongoing efforts to strengthen its corporate governance and strategic direction.