DKS Co., Ltd. (4461) AI Stock Analysis

• Market Cap: ¥88.46B
• Dividend Yield: 1.24%
• Average Volume (3M): 144.71K
• Price to Earnings (P/E): 23.0
• Beta (1Y): 1.30
• Revenue Growth: 8.78%
• EPS Growth: 19.37%
• Country: JP
• Employees: 1,111
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 121.16
• Shares Outstanding: 10,684,321
• 10 Day Avg. Volume: 174,660
• 30 Day Avg. Volume: 144,713
• PEG Ratio: 0.08
• Price to Book (P/B): 0.68
• Price to Sales (P/S): 0.36
• P/FCF Ratio: 4.89
• 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: 76 Outperform
• Price Target: ¥8,490.00 ▲(3.16% Upside)

DKS Co., Ltd. scores well due to its strong financial performance and positive technical indicators. The company's robust revenue growth and improved profitability margins are significant strengths. Technical analysis shows strong upward momentum, although caution is advised due to potential overbought conditions. Valuation is fair, with a reasonable P/E ratio and moderate dividend yield.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong demand for DKS's products and effective market penetration, supporting long-term business expansion.

Profitability Improvements

Improved profitability margins suggest effective cost management and operational efficiency, which can sustain long-term financial health.

Cash Flow Strength

Strong cash flow growth enhances financial flexibility, enabling DKS to invest in growth opportunities and weather economic fluctuations.

Negative Factors

High Debt Levels

While manageable, the debt level requires careful monitoring to avoid potential strain on cash flows and limit financial agility.

Valuation Concerns

High valuation metrics could limit upside potential and make the stock less attractive to value-focused investors, impacting demand.

Limited Earnings Call Data

The absence of earnings call data may limit transparency and investor insight into management's strategic direction and operational plans.

DKS Co., Ltd. Business Overview & Revenue Model

Company Description

DKS Co. Ltd. produces and sells surfactants and other industrial chemicals for various industries in Japan and internationally. It operates through six segments: Surfactants, Amenity Materials, Polyurethane Materials, Functional Materials, Electronic Device Materials, and Life Sciences. The company offers nonionic, anionic, cationic, polymerizable, and amphoteric surfactants, as well as formulated surfactant blends; and amenity materials, including sucrose fatty acid esters, sodium carboxymethyl celluloses, cellulose nanofibers and polymers, polyvinyl pyrrolidone, polyacrylamide and polyacrylate, industrial deodorants, and other products. It also provides polyurethane materials, such as polyether polyol, urethane prepolymer, and urethane systems; functional materials comprising radiation-curable monomers and oligomers, waterborne polyurethanes, flame retardants, and amide-based lubricants; and electronic device materials that include ionic liquids, ion-conductive polymers, and ceramic/metal injection molding materials, as well as conductive pastes for electronics, injection molding pellets, and functional inorganic materials. Further, the company supplies health food products that include an I. Japonica-Bombyx Fungus dietary supplement; and Sudachin, a peel extract powder made from citrus fruit. DKS Co. Ltd was formerly known as Dai-ichi Kogyo Seiyaku Co., Ltd. and changed its name to DKS Co. Ltd. in 2013. The company was founded in 1909 and is headquartered in Kyoto, Japan.

How the Company Makes Money

DKS Co., Ltd. generates revenue through multiple streams, primarily from the sale of its electronic components and devices to various industries. Key revenue streams include direct sales to manufacturers and distributors, as well as licensing agreements for proprietary technology. The company also benefits from strategic partnerships with major players in the electronics industry, which enhance its market reach and product offerings. Additionally, DKS Co., Ltd. may engage in research and development projects funded by clients, further contributing to its earnings.

DKS Co., Ltd. Financial Statement Overview

Summary

DKS Co., Ltd. exhibits strong financial health with notable revenue growth and improved profitability margins. The balance sheet is well-managed, with a solid equity base and manageable debt levels. Cash flow trends are positive, showing effective cash conversion and reinvestment strategies.

Income Statement

DKS Co., Ltd. has demonstrated strong revenue growth with a 16.08% increase in revenue from 2024 to 2025. The Gross Profit Margin improved to 24.89%, showing effective cost management. EBIT and EBITDA margins have also improved to 7.31% and 11.85% respectively, indicating enhanced operational efficiency. Net Profit Margin increased to 3.53%, a positive trend from previous years, enhancing overall profitability.

Balance Sheet

The Debt-to-Equity Ratio is 0.81, suggesting a stable leverage position. The company's Return on Equity improved to 6.67%, reflecting efficient use of equity to generate profits. The Equity Ratio stands at 39.88%, indicating a solid financial structure with significant equity backing. There is a consistent increase in total assets, further strengthening the balance sheet.

Cash Flow

Operating Cash Flow to Net Income Ratio is strong at 2.91, showing robust cash generation relative to net income. Free Cash Flow grew by 17.41% from 2024 to 2025, indicating better capital management. The Free Cash Flow to Net Income Ratio is 2.08, emphasizing the company's ability to convert earnings into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	74.77B	73.25B	63.12B	65.08B	62.67B	59.14B
Gross Profit	19.24B	18.24B	13.15B	12.96B	15.72B	15.18B
EBITDA	9.10B	8.68B	5.85B	3.83B	7.98B	7.46B
Net Income	2.96B	2.58B	1.17B	-407.00M	2.49B	2.56B
Balance Sheet
Total Assets	94.19B	97.11B	94.54B	85.03B	86.47B	85.03B
Cash, Cash Equivalents and Short-Term Investments	15.44B	16.75B	16.13B	9.13B	12.22B	11.60B
Total Debt	30.52B	31.35B	35.14B	32.47B	30.87B	32.10B
Total Liabilities	50.29B	52.60B	53.24B	46.73B	46.09B	47.63B
Stockholders Equity	38.95B	38.73B	36.75B	34.35B	36.77B	34.65B
Cash Flow
Free Cash Flow	0.00	5.39B	4.59B	-2.11B	2.86B	557.00M
Operating Cash Flow	0.00	7.53B	7.09B	724.00M	5.52B	4.96B
Investing Cash Flow	0.00	-2.14B	-2.01B	-2.88B	-2.70B	-3.80B
Financing Cash Flow	0.00	-5.04B	1.65B	-1.03B	-2.34B	255.00M

DKS Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8230.00
• 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:4461, the sentiment is Positive. The current price of 8230 is below the 20-day moving average (MA) of 8316.00, above the 50-day MA of 7781.80, and above the 200-day MA of 5173.86, indicating a bullish trend. The MACD of 209.82 indicates Positive momentum. The RSI at 54.61 is Neutral, neither overbought nor oversold. The STOCH value of 65.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4461.

DKS Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4462	78 Outperform	¥33.81B	13.00	―	1.90%	2.15%	16.14%
4461	76 Outperform	¥88.46B	23.05	―	1.24%	8.78%	19.37%
4464	75 Outperform	¥87.44B	29.67	―	1.12%	3.77%	7.65%
4611	74 Outperform	¥38.30B	4.74	―	3.70%	14.83%	51.42%
4094	70 Outperform	¥49.20B	20.81	―	3.77%	8.54%	6.93%
4112	65 Neutral	¥37.63B	19.66	―	2.37%	-11.70%	-54.82%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

DKS Co., Ltd. Corporate Events

DKS Co., Ltd. Completes Treasury Stock Disposal Under Incentive Plan

DKS Co., Ltd. has completed the payment procedures for the disposal of treasury stock under its Employee Shareholding Association-Restricted Stock Incentive Plan. The number of shares to be disposed of was adjusted due to partial forfeiture, resulting in a disposal of 29,641 shares instead of the initially planned 31,857 shares, reflecting changes in the number of consenting members.

The most recent analyst rating on (JP:4461) stock is a Buy with a Yen8490.00 price target. To see the full list of analyst forecasts on DKS Co., Ltd. stock, see the JP:4461 Stock Forecast page.

DKS and DWTI Achieve Breakthrough in Dry Eye Treatment Research

DKS Co. Ltd. and D. Western Therapeutics Institute, Inc. have announced positive results from their joint research project aimed at developing a treatment for dry eye. The collaboration, which began in December 2024, has confirmed the pharmacological effects of a synthesized compound in animal models, leading to an extension of their research agreement. This project is part of DKS’s efforts in its Life & Wellness segment to enhance research and development in the pharmaceutical field, with the goal of improving quality of life in an aging society. The joint research results will not impact the earnings forecast for the fiscal year ending March 2026.

The most recent analyst rating on (JP:4461) stock is a Buy with a Yen6677.00 price target. To see the full list of analyst forecasts on DKS Co., Ltd. stock, see the JP:4461 Stock Forecast page.

DKS Co., Ltd. Partners with Kyoto University for Neurodegenerative Disease Research

DKS Co., Ltd. has initiated a joint research project with Kyoto University to develop new drugs for neurodegenerative diseases, such as Parkinson’s and Alzheimer’s. This collaboration aims to evaluate the efficacy of DKS’s compounds and understand their mechanisms of action, with the goal of providing alternative treatments to existing symptomatic therapies. The research will utilize the Share Lab EVER SHIMOGAMO facility to enhance testing capabilities and foster collaboration with experts, thereby potentially improving the quality of life for patients.

The most recent analyst rating on (JP:4461) stock is a Buy with a Yen6677.00 price target. To see the full list of analyst forecasts on DKS Co., Ltd. stock, see the JP:4461 Stock Forecast page.

DKS Co., Ltd. Revises Financial and Dividend Forecasts Upward

DKS Co., Ltd. has revised its financial and dividend forecasts for the fiscal year ending March 31, 2026, due to strong performance in its Electronics & IT and Environment & Energy segments. The company expects record-high profits, surpassing previous forecasts and targets set in its mid-term management plan ‘SMART 2030.’ Consequently, the annual dividend per share is projected to increase, reflecting the company’s commitment to stable shareholder returns.

The most recent analyst rating on (JP:4461) stock is a Buy with a Yen6677.00 price target. To see the full list of analyst forecasts on DKS Co., Ltd. stock, see the JP:4461 Stock Forecast page.

DKS Co., Ltd. Reports Strong Financial Performance and Upward Forecast Revisions

DKS Co., Ltd. reported strong financial results for the six months ending September 30, 2025, with a notable increase in net sales and profits compared to the previous year. The company revised its earnings and dividend forecasts upwards, indicating confidence in its continued growth and stability, which is likely to positively impact stakeholders and enhance its industry positioning.

The most recent analyst rating on (JP:4461) stock is a Buy with a Yen6677.00 price target. To see the full list of analyst forecasts on DKS Co., Ltd. stock, see the JP:4461 Stock Forecast page.