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

• Market Cap: ¥40.90B
• Dividend Yield: 1.77%
• Average Volume (3M): 13.87K
• Price to Earnings (P/E): 22.3
• Beta (1Y): 0.47
• Revenue Growth: 5.03%
• EPS Growth: 8.02%
• Country: JP
• Employees: 1,270
• Sector: Industrials
• Sector Strength: 72
• Industry: Business Equipment & Supplies
• EPS (TTM): N/A
• Shares Outstanding: 20,738,007
• 10 Day Avg. Volume: 15,410
• 30 Day Avg. Volume: 13,873
• PEG Ratio: 2.56
• Price to Book (P/B): 0.95
• Price to Sales (P/S): 0.83
• P/FCF Ratio: 17.39
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: ¥2,191.00 ▲(9.66% Upside)

Nichiban Co., Ltd. receives an overall stock score of 72, driven primarily by its strong financial performance, which reflects consistent revenue growth and solid profitability. The technical analysis presents mixed signals, with some short-term weakness but potential upward momentum. The valuation is reasonable, suggesting the stock is fairly valued with moderate income potential. The absence of earnings call and corporate events data did not impact the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion and stability.

Profitability Margins

Strong profitability margins reflect efficient cost management and operational effectiveness, enhancing the company's ability to reinvest in growth.

Balance Sheet Health

A strong balance sheet with low leverage provides financial flexibility and reduces risk, supporting sustainable growth and resilience against economic fluctuations.

Negative Factors

Free Cash Flow Decline

A decline in free cash flow can limit the company's ability to fund new projects or return capital to shareholders, potentially impacting future growth.

Equity Ratio

While the equity ratio is solid, moderate return on equity suggests potential challenges in maximizing shareholder returns, which could affect investor appeal.

Cash Flow Management

Effective cash flow management is crucial, but recent declines highlight potential vulnerabilities in cash generation, which could impact liquidity in challenging times.

Nichiban Co., Ltd. Business Overview & Revenue Model

Company Description

Nichiban Co., Ltd. manufactures and sells medical products and tapes in Asia and Europe. It offers medical products, including surgical tapes, dressing tapes, first-aid bandages, hemostatic bandages, and others. The company also provides OTC products, such as anti-inflammatory patches, foot care products, waterproof films, and bandages. In addition, it offers taping tapes comprising cotton, elastic, kinesiology, strapping tapes, and others; and stationery products consisting of cellulose adhesive tapes, double sided tapes, adhesive transfer tapes, book binding tapes, and others. Further, the company provides industrial tapes for non-heavy duty packaging, carton boxes, agricultural use, vehicles, and machinery, as well as specialized tapes; and cellulose, OPP packing, kraft paper, lithographic, and crepe tapes. Nichiban Co., Ltd. was founded in 1918 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Nichiban Co., Ltd. generates revenue through the manufacturing and sale of its adhesive products. The company's primary revenue streams include the industrial sector, where it provides specialized adhesive tapes used in manufacturing and construction; the consumer market, where it offers household and office adhesive products; and the healthcare sector, where it supplies medical tapes and adhesive products used in medical settings. Nichiban's earnings are bolstered by its strong distribution networks and partnerships, both domestically and internationally, allowing it to effectively reach various market segments. The company's focus on research and development also plays a significant role in maintaining its competitive edge and driving sales through innovative product offerings.

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. The company effectively manages its operational and financial activities, maintaining low leverage and ensuring sufficient equity backing. Despite a temporary decline in free cash flow, the company has shown resilience in cash flow management.

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	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	49.86B	49.46B	46.86B	45.56B	43.13B	41.34B
Gross Profit	15.05B	14.90B	13.87B	12.97B	13.50B	13.18B
EBITDA	4.51B	5.81B	5.11B	6.22B	5.14B	4.28B
Net Income	2.02B	1.96B	1.83B	2.37B	1.81B	1.35B
Balance Sheet
Total Assets	67.40B	67.60B	68.04B	69.12B	64.43B	61.21B
Cash, Cash Equivalents and Short-Term Investments	15.76B	14.66B	13.40B	15.11B	14.20B	13.90B
Total Debt	2.00B	2.12B	2.13B	2.17B	2.73B	2.47B
Total Liabilities	24.64B	24.41B	26.34B	28.52B	25.47B	23.14B
Stockholders Equity	42.76B	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: Neutral
• Last Price: 1998.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• 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 Neutral. The current price of 1998 is above the 20-day moving average (MA) of 1984.85, above the 50-day MA of 1966.08, and above the 200-day MA of 1968.92, indicating a neutral trend. The MACD of 3.77 indicates Positive momentum. The RSI at 47.47 is Neutral, neither overbought nor oversold. The STOCH value of 23.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral 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	75 Outperform	¥185.70B	13.53	―	2.56%	-0.26%	3.35%
7976	74 Outperform	¥115.41B	16.06	―	2.09%	6.39%	-34.84%
4218	72 Outperform	¥40.90B	22.25	―	1.77%	5.03%	8.02%
7975	70 Neutral	¥4.40B	21.07	―	2.03%	3.24%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
7957	61 Neutral	¥2.22B	3.93	―	5.27%	0.34%	―
7962	58 Neutral	¥23.32B	66.95	―	1.69%	-2.71%	―

Nichiban Co., Ltd. Corporate Events

Nichiban Co., Ltd. Reports Mixed Financial Results for H1 2025

Nichiban Co., Ltd. reported its consolidated financial results for the six months ending September 30, 2025, showing a modest increase in net sales by 1.6% compared to the previous year. However, the company experienced declines in operating profit, ordinary profit, and profit attributable to owners of the parent, reflecting a challenging period. Despite these setbacks, Nichiban maintains a strong equity-to-asset ratio of 64.1%, indicating financial stability. The company has not revised its forecast for the fiscal year ending March 31, 2026, projecting a 4.1% increase in net sales and a 16% rise in operating profit, suggesting optimism for future growth.

The most recent analyst rating on (JP:4218) stock is a Buy with a Yen2191.00 price target. To see the full list of analyst forecasts on Nichiban Co., Ltd. stock, see the JP:4218 Stock Forecast page.