NOF (4403) AI Stock Analysis

• Market Cap: $718.20B
• Dividend Yield: 1.48%
• Average Volume (3M): 675.42K
• Price to Earnings (P/E): 19.8
• Beta (1Y): 0.98
• Revenue Growth: 7.23%
• EPS Growth: 8.93%
• Country: JP
• Employees: 3,879
• Sector: Basic Materials
• Sector Strength: 69
• Industry: Chemicals - Specialty
• EPS (TTM): 37.74
• Shares Outstanding: 236,524,120
• 10 Day Avg. Volume: 677,110
• 30 Day Avg. Volume: 675,416
• PEG Ratio: 5.67
• Price to Book (P/B): 2.43
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: $2,869.99
• Price Target Upside: -5.65% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 80 Outperform
• Price Target: ¥3,248.00 ▲(6.77%Upside)

NOF's strong financial performance, characterized by revenue growth and financial stability, is the primary driver of the score. The technical indicators highlight positive momentum, though caution is advised due to potential overbought conditions. Valuation metrics suggest a fair price, consistent with market trends. The absence of earnings call and corporate events data means these factors did not influence the score.

NOF Business Overview & Revenue Model

Company Description

NOF Corporation manufactures chemicals Japan, rest of Asia, and internationally. The company operates through Functional Chemicals, Life Science, and Explosive & Propulsion segments. The Functional Chemicals segment offers fatty acids and glycerin, fatty acid derivatives, and surfactants, ethylene oxide and propylene oxide derivatives, organic peroxides, functional polymers, functional films, and electronic materials, as well as materials for anti-corrosion. The Life Science segment provides MPC-related products, raw materials for DDS drug formulation, edible oils, and functional foods. The Explosive & Propulsion segment offers industrial explosives, defense-related explosives, rocket propellant, automotive safety devices, and metal manufactured products. The company is also involved in logistics, insurance agency, and real estate businesses. NOF Corporation was founded in 1937 and is headquartered in Tokyo, Japan.

How the Company Makes Money

NOF Corporation generates revenue through the sale of its chemical products to a variety of industries. Its key revenue streams include the marketing and distribution of functional chemicals like surfactants and polymerizable monomers, which are essential in the manufacturing processes of personal care products and industrial applications. Additionally, the company earns from its life science division by providing pharmaceutical intermediates and raw materials for drug production. The electronic materials sector contributes to revenue by supplying advanced materials used in the production of semiconductors and other electronic components. Strategic partnerships and collaborations with industry leaders further enhance its market reach and revenue potential.

NOF Financial Statement Overview

Summary

NOF exhibits strong financial health with consistent revenue growth, stable profitability, and a robust balance sheet. Effective cost management and operational efficiency have improved net profit margins, while a high equity ratio indicates financial stability. Despite a slight decline in operating cash flow, the overall financials suggest a well-managed company with a promising outlook.

Income Statement

NOF has demonstrated consistent revenue growth over the past years, with a significant increase from 222.25 billion in 2024 to 238.31 billion in 2025, a growth rate of 7.22%. Gross profit margins have remained strong, and net profit margins have improved, reflecting effective cost management and operational efficiency. The EBIT and EBITDA margins are healthy, indicating robust profitability. Overall, NOF's income statement reflects a strong financial performance, marked by growth and profitability.

Balance Sheet

NOF's balance sheet is characterized by a strong equity position with a high equity ratio, indicating financial stability. The debt-to-equity ratio is low, suggesting conservative leverage and low financial risk. The return on equity is impressive, showcasing efficient use of shareholders' funds to generate profits. Overall, the balance sheet presents a solid financial position with minimal risk exposure.

Cash Flow

The operating cash flow remains strong, although it has seen a slight decline from the previous year. The free cash flow has shown positive growth, indicating effective capital management. The ratios of operating cash flow and free cash flow to net income are healthy, reflecting solid cash generation capabilities. However, the decline in operating cash flow warrants attention for future cash flow stability.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	238.31B	222.25B	217.71B	192.64B	172.65B
Gross Profit	85.15B	79.49B	75.94B	68.93B	57.39B
EBITDA	58.88B	49.08B	46.98B	41.51B	32.16B
Net Income	36.50B	33.99B	33.97B	26.69B	23.30B
Balance Sheet
Total Assets	357.20B	341.45B	309.44B	289.63B	271.54B
Cash, Cash Equivalents and Short-Term Investments	87.06B	91.74B	92.52B	85.43B	78.67B
Total Debt	5.04B	5.17B	4.84B	5.63B	9.94B
Total Liabilities	77.64B	75.54B	69.44B	67.93B	68.02B
Stockholders Equity	278.53B	265.00B	239.18B	220.93B	202.79B
Cash Flow
Free Cash Flow	12.64B	12.22B	17.11B	19.98B	24.74B
Operating Cash Flow	28.98B	29.97B	23.33B	27.39B	30.73B
Investing Cash Flow	-13.75B	-14.96B	-709.00M	-8.76B	1.89B
Financing Cash Flow	-22.02B	-17.10B	-16.17B	-15.31B	-8.04B

NOF Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3042.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4403, the sentiment is Positive. The current price of 3042 is above the 20-day moving average (MA) of 2850.35, above the 50-day MA of 2659.01, and above the 200-day MA of 2312.14, indicating a bullish trend. The MACD of 94.99 indicates Negative momentum. The RSI at 78.70 is Negative, neither overbought nor oversold. The STOCH value of 81.57 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4403.

NOF Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4403	80 Outperform	$718.20B	19.77	13.21%	1.48%	7.23%	8.93%
Sector *	74 Outperform	€1.22B	12.30	8.50%	2.79%	2.51%	-31.49%
ASGLF	―	$6.13B	―	-4.41%	0.16%	―	―
AWTRF	―	$3.31B	7.85	9.64%	0.42%	―	―
MBGCF	―	$3.29B	11.33	6.78%	3.42%	―	―
MITUF	―	$4.35B	20.81	3.69%	5.97%	―	―
UBEOF	―	$1.51B	10.29	-1.23%	7.01%	―	―

NOF Corporate Events

NOF Corporation Advances Treasury Share Buyback Strategy

NOF Corporation announced the purchase of 1,029,600 treasury shares for approximately 2.75 billion yen, conducted through open-market transactions on the Tokyo Stock Exchange. This move is part of a broader strategy approved by the Board of Directors to acquire up to 5 million shares by September 2025, reflecting the company’s efforts to enhance shareholder value and optimize capital structure.

NOF Corporation Announces Treasury Share Buyback

NOF Corporation has announced the purchase of 1,155,200 of its own common shares for a total of 2,765,988,100 yen, conducted through open-market transactions on the Tokyo Stock Exchange. This move is part of a larger plan approved by the Board of Directors to buy back up to 5,000,000 shares, aiming to enhance shareholder value and optimize capital structure.

NOF Corporation Reports Strong Fiscal Year 2025 Financial Results

NOF Corporation reported its consolidated financial results for the fiscal year ending March 31, 2025, showing a notable increase in net sales and profits compared to the previous year. The company achieved a 7.2% rise in net sales to 238,310 million yen and a 7.5% increase in operating profit to 45,308 million yen. Despite a decrease in comprehensive income, the company’s financial position remains robust with a slight improvement in the equity-to-asset ratio. The announcement reflects NOF’s continued growth and stability in the chemical industry, with implications for sustained shareholder value and market competitiveness.

NOF Corporation Announces Increased Year-End Dividend

NOF Corporation has announced an increase in its year-end dividend per share from the previously forecasted 21 yen to 24 yen, reflecting a strategic decision to enhance shareholder returns. This decision, which will be proposed at the upcoming Annual General Meeting, underscores the company’s commitment to maintaining a flexible approach to dividends and share management, despite a recent share split that affected dividend calculations.

NOF Corporation Announces Treasury Share Buyback to Enhance Shareholder Value

NOF Corporation has announced a decision to purchase up to 5,000,000 of its own shares, representing 2.14% of its outstanding shares, as part of its strategy to enhance shareholder value and improve capital efficiency. This move aligns with the company’s Mid-Term Management Plan, which aims for a stable return of profits and sets a target payout ratio of around 50% by the fiscal year 2025.

NOF Corporation Announces Executive Management Restructuring

NOF Corporation has announced changes in its executive management, effective June 27, 2025. The restructuring includes the appointment of new directors and operating officers, with the aim of strengthening the company’s leadership and strategic direction. This move is expected to enhance NOF’s operational efficiency and maintain its competitive edge in the industry.