Kaken Pharmaceutical Co (4521) AI Stock Analysis

• Market Cap: $137.74B
• Dividend Yield: 3.01%
• Average Volume (3M): 130.73K
• Price to Earnings (P/E): 10.5
• Beta (1Y): 0.29
• Revenue Growth: 30.52%
• EPS Growth: 73.96%
• Country: JP
• Employees: 1,135
• Sector: Healthcare
• Sector Strength: 37
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -140.89
• Shares Outstanding: 44,139,730
• 10 Day Avg. Volume: 102,200
• 30 Day Avg. Volume: 130,726
• PEG Ratio: -0.34
• Price to Book (P/B): 0.97
• 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: $5,599.53
• Price Target Upside: 46.43% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 72 Outperform
• Price Target: ¥4,241.00 ▲(10.90%Upside)

Kaken Pharmaceutical Co has a strong financial foundation and attractive valuation, with significant revenue growth and profitability. However, technical analysis suggests cautious trading sentiment, with mixed signals and bearish momentum in the short term. The company's stable balance sheet and solid dividend yield support an overall positive outlook, despite the need for vigilance regarding market fluctuations.

Kaken Pharmaceutical Co Business Overview & Revenue Model

Company Description

Kaken Pharmaceutical Co., Ltd. is a Japanese pharmaceutical company that operates within the healthcare sector. It is primarily engaged in the research, development, manufacture, and sale of pharmaceuticals and medical devices. The company's core products include prescription medications, dermatological treatments, and orthopedic devices. With a strong emphasis on innovation, Kaken Pharmaceutical focuses on providing solutions for unmet medical needs, particularly in areas like dermatology, orthopedics, and immunology.

How the Company Makes Money

Kaken Pharmaceutical Co., Ltd. generates revenue through the sale of its pharmaceutical products and medical devices. Its primary revenue streams include the sale of prescription drugs, particularly those used in dermatology and orthopedics. The company invests in research and development to create innovative therapies that address specific medical conditions, which in turn drives sales. Additionally, Kaken collaborates with other pharmaceutical companies and engages in licensing agreements to broaden its product portfolio and market reach. These partnerships and its strong distribution network contribute significantly to the company's earnings.

Kaken Pharmaceutical Co Financial Statement Overview

Summary

Kaken Pharmaceutical Co exhibits strong financial performance with robust profitability, solid revenue growth, and a stable balance sheet with low leverage. It demonstrates efficient cash management, though some historical volatility in revenue and cash flow suggests a need for cautious planning.

Income Statement

Kaken Pharmaceutical Co has demonstrated strong revenue growth, with a significant increase from the previous year, and robust profitability metrics. The Gross Profit Margin and Net Profit Margin improved significantly, standing at 61.96% and 14.83% respectively in the latest year. EBIT and EBITDA margins also showed solid performances at 22.37% and 23.42%. However, the revenue growth has been somewhat volatile in the past, indicating potential market fluctuations.

Balance Sheet

The company maintains a very healthy balance sheet with a low Debt-to-Equity Ratio of 0.025, which indicates low leverage and financial stability. Return on Equity is strong at 9.14%, reflecting efficient use of equity. The Equity Ratio stands at a healthy 80.16%, signifying a strong equity base. These metrics indicate a stable financial position with minimal financial risk.

Cash Flow

Kaken Pharmaceutical Co has seen substantial growth in Free Cash Flow, with a remarkable increase in the latest year. The Operating Cash Flow to Net Income Ratio is strong at 2.14, indicating good cash generation relative to net income. Despite these strengths, historical fluctuations in cash flow and a dip in Free Cash Flow in 2024 suggest potential volatility in cash generation.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	94.03B	72.04B	72.98B	76.03B	74.98B
Gross Profit	58.26B	38.54B	39.56B	41.58B	40.91B
EBITDA	22.02B	12.57B	10.57B	16.38B	20.11B
Net Income	13.95B	8.03B	5.44B	9.55B	13.40B
Balance Sheet
Total Assets	190.42B	171.62B	166.33B	165.18B	163.33B
Cash, Cash Equivalents and Short-Term Investments	70.08B	65.32B	74.26B	74.62B	77.31B
Total Debt	3.85B	3.85B	3.85B	3.85B	3.85B
Total Liabilities	37.78B	27.87B	29.49B	26.86B	27.08B
Stockholders Equity	152.63B	143.75B	136.26B	137.75B	136.26B
Cash Flow
Free Cash Flow	25.64B	410.00M	7.05B	10.08B	12.09B
Operating Cash Flow	29.78B	2.58B	9.25B	13.34B	14.38B
Investing Cash Flow	-19.65B	-5.85B	-2.63B	-7.89B	-1.64B
Financing Cash Flow	-5.37B	-5.66B	-6.99B	-8.13B	-8.75B

Kaken Pharmaceutical Co Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 3824.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4521, the sentiment is Neutral. The current price of 3824 is above the 20-day moving average (MA) of 3800.05, above the 50-day MA of 3795.64, and below the 200-day MA of 4097.15, indicating a neutral trend. The MACD of -2.08 indicates Negative momentum. The RSI at 51.79 is Neutral, neither overbought nor oversold. The STOCH value of 86.96 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4521.

Kaken Pharmaceutical Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4553	81 Outperform	¥157.24B	8.28	11.38%	2.19%	13.89%	17.38%
4521	72 Outperform	$137.74B	10.46	9.44%	3.01%	30.52%	73.96%
4534	67 Neutral	¥101.07B	18.52	4.35%	2.69%	5.31%	90.37%
4547	66 Neutral	$168.90B	15.08	5.47%	2.18%	16.87%	11.24%
4551	65 Neutral	$177.54B	31.98	4.56%	1.90%	9.56%	5.09%
4887	65 Neutral	¥192.80B	20.08		2.51%	-3.69%	-18.73%
Sector *	64 Neutral	¥342.82B	11.02	-2.99%	2.56%	11.77%	-10.16%