Riken Vitamin Co., Ltd. (4526) AI Stock Analysis

• Market Cap: ¥70.80B
• Dividend Yield: 3.63%
• Average Volume (3M): 91.61K
• Price to Earnings (P/E): 9.8
• Beta (1Y): 0.49
• Revenue Growth: 1.78%
• EPS Growth: 19.50%
• Country: JP
• Employees: 1,857
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): 51.87
• Shares Outstanding: 30,705,100
• 10 Day Avg. Volume: 57,120
• 30 Day Avg. Volume: 91,606
• PEG Ratio: 0.50
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 0.77
• P/FCF Ratio: 23.45
• 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: 82 Outperform
• Price Target: ¥3,606.00 ▲(21.54% Upside)

Riken Vitamin Co., Ltd. achieves a robust overall stock score due to a combination of strong financial performance, attractive valuation, and positive technical indicators. The company's financial health, characterized by solid profitability and low leverage, is complemented by an undervalued stock price and a strong upward price trend. The absence of recent earnings call data or notable corporate events did not impact the score calculation.

Positive Factors

Conservative Capital Structure

Very low leverage and a high equity ratio provide long-term financial flexibility, lowering bankruptcy risk and enabling strategic investments or acquisitions without stressing interest coverage. This conservatism supports durable capital allocation and resilience through cycles.

Sustainable Profitability

Healthy gross and net margins indicate lasting pricing power or differentiated product mix in food ingredients and processed foods. Sustained margins support reinvestment, dividends, and buffer against raw-material swings, underpinning long-term operational stability.

Strong Cash Generation Metrics

High operating cash conversion shows the business reliably turns accounting profits into cash, enabling capex, R&D, and payouts. Even with lower free cash flow than earlier, the solid conversion rate supports sustainable investment and creditor confidence over the medium term.

Negative Factors

Declining Operating Cash Flow

A year-over-year decline in operating cash flow may constrain funded growth initiatives and reduce buffer for volatility. If persistent, weaker cash inflows limit reinvestment capacity and make the company more sensitive to working-capital swings or raw-material cost pressures.

Shrinking Asset Base / Cash

Reduction in total assets and cash could signal lower scale or depleted liquidity, which may hamper capacity expansion and raise refinancing needs. Over months, diminished cash reserves reduce operational flexibility and increase reliance on external funding for growth.

Pressure on Operating Efficiency

Falling EBIT suggests margin compression or rising operating costs that could erode long-term profitability if not addressed. Persistent declines would require pricing, mix, or cost-structure changes to restore operating leverage and protect free cash flow generation.

Riken Vitamin Co., Ltd. Business Overview & Revenue Model

Company Description

Riken Vitamin Co., Ltd. engages in the food ingredient, food application, health care, and chemical businesses in Japan. It offers food emulsifies for use in bread, cake, whipped topping, coffee cream, margarine, tofu, jam, marmalade, ice cream, cocoa, chocolate, noodle, and mashed potato applications; and distilled diglycerine ester, a substance that diglycerine reacts with fatty acids. The company also provides natural tocopherol for retarding oxidation to keep food products fresh; natural food colors; flavors for seasoning, sea food, chicken, and beef products; wakame seaweed that is used in wakame soup, seafood salads, instant noodles, and cup noodle ingredients; and stabilizers and emulsifiers system for frozen desserts and dairy products, as well as bakery emulsifiers and bread improvers, and cake improving agents and emulsifiers. In addition, it offers chemical improving agents, such as glycerol, polyglycerol, sorbitan, propylene glycol, and specialty esters, as well as other agents; and vitamins. The company was formerly known as Riken Vitamin Oil Co., Ltd. and changed its name to Riken Vitamin Co., Ltd. in 1980. Riken Vitamin Co., Ltd. was founded in 1917 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Riken Vitamin Co., Ltd. generates revenue through multiple streams, primarily by selling its core products, including vitamins and amino acids, to various industries such as pharmaceuticals, food, and dietary supplements. The company capitalizes on its strong research and development capabilities to create specialized products that meet specific health and nutrition needs, allowing it to command premium pricing. Additionally, Riken Vitamin engages in strategic partnerships with other companies in the health and wellness sectors, enhancing its market reach and distribution capabilities. The company also benefits from licensing agreements and collaborations that further diversify its revenue sources. Its established reputation for quality and innovation helps to maintain a loyal customer base, contributing to sustained earnings.

Riken Vitamin Co., Ltd. Financial Statement Overview

Summary

Riken Vitamin Co., Ltd. showcases strong financial performance with consistent revenue growth, impressive profitability margins, and a solid balance sheet. The company maintains a low debt-to-equity ratio and effective use of shareholders' capital, despite a decrease in operating cash flow.

Income Statement

Riken Vitamin Co., Ltd. has demonstrated a strong financial performance in the income statement with consistent revenue growth, notably a 4.48% increase in the latest year. The gross profit margin is solid at 32.70%, showing effective cost management. The net profit margin stands at 9.82%, indicating healthy profitability. Both EBIT and EBITDA margins have shown stability, with figures of 9.13% and 16.77% respectively, reflecting efficient core operations. However, the reduction in EBIT from the previous year indicates some pressure on operating efficiencies.

Balance Sheet

The company's balance sheet is strong, characterized by a low debt-to-equity ratio of 0.13, indicating conservative leverage. The return on equity is impressive at 11.86%, suggesting effective use of shareholders' capital. The equity ratio of 70.03% demonstrates a robust capital structure with a significant portion of assets financed by equity. The reduction in total liabilities over the years further enhances financial stability. However, a decrease in total assets and cash equivalents from the previous year needs monitoring.

Cash Flow

Riken Vitamin Co., Ltd. has shown a positive cash flow position with a substantial operating cash flow to net income ratio of 0.84, indicating strong cash-generating capabilities. The free cash flow to net income ratio is 0.33, reflecting ample free cash flow for reinvestment despite a decline in free cash flow from the prior year. While this suggests effective cash management, the decrease in operating cash flow over the past year is a point of concern and should be addressed.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	95.21B	95.58B	91.48B	88.75B	79.23B	77.72B
Gross Profit	30.97B	31.27B	29.89B	27.24B	25.57B	22.01B
EBITDA	15.63B	16.04B	15.35B	11.71B	24.23B	4.61B
Net Income	8.84B	9.39B	8.76B	6.41B	21.58B	-1.62B
Balance Sheet
Total Assets	112.78B	113.00B	118.78B	105.22B	102.66B	106.53B
Cash, Cash Equivalents and Short-Term Investments	20.05B	22.30B	23.38B	19.16B	17.30B	19.23B
Total Debt	10.13B	9.91B	16.05B	14.56B	17.53B	24.37B
Total Liabilities	33.72B	33.80B	42.13B	33.85B	36.12B	59.86B
Stockholders Equity	79.02B	79.16B	76.61B	71.34B	66.52B	46.16B
Cash Flow
Free Cash Flow	0.00	3.12B	7.42B	5.67B	3.44B	3.85B
Operating Cash Flow	0.00	7.89B	10.45B	7.83B	6.82B	7.63B
Investing Cash Flow	0.00	353.00M	-554.00M	-2.03B	-3.66B	-2.29B
Financing Cash Flow	0.00	-9.96B	-7.08B	-4.58B	-7.57B	-180.00M

Riken Vitamin Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2967.00
• 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:4526, the sentiment is Positive. The current price of 2967 is below the 20-day moving average (MA) of 3057.90, below the 50-day MA of 2971.74, and above the 200-day MA of 2782.39, indicating a bullish trend. The MACD of 40.99 indicates Positive momentum. The RSI at 62.11 is Neutral, neither overbought nor oversold. The STOCH value of 57.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4526.

Riken Vitamin Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4526	82 Outperform	¥70.80B	9.83	―	3.63%	1.78%	19.50%
4404	78 Outperform	¥25.43B	2.77	―	2.54%	2.80%	154.89%
2612	77 Outperform	¥36.90B	13.95	―	2.55%	8.21%	20.27%
2602	67 Neutral	¥182.46B	7.62	12.56%	3.44%	3.80%	63.03%
2613	65 Neutral	¥66.88B	12.94	―	3.77%	-3.91%	-25.32%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2226	61 Neutral	¥49.40B	22.37	―	1.19%	3.71%	-4.44%

Riken Vitamin Co., Ltd. Corporate Events

Riken Vitamin Reports Progress on Ongoing Share Buyback Program

Riken Vitamin Co., Ltd., a Tokyo Stock Exchange Prime Market-listed food ingredients and vitamin producer, continues to actively manage its capital structure through share repurchases authorized by its board in April 2025. During the period from January 1 to January 31, 2026, the company bought back 62,200 shares of its common stock on the Tokyo Stock Exchange at a total cost of approximately 190 million yen, bringing cumulative repurchases under the current program to 585,900 shares and about 1.66 billion yen. This leaves headroom under the existing authorization, which permits up to 1 million shares and 2 billion yen in total, indicating ongoing potential for further buybacks that may support shareholder returns and bolster metrics such as earnings per share and return on equity.

The most recent analyst rating on (JP:4526) stock is a Buy with a Yen3555.00 price target. To see the full list of analyst forecasts on Riken Vitamin Co., Ltd. stock, see the JP:4526 Stock Forecast page.

Riken Vitamin Updates Progress on Ongoing Share Buyback Program

Riken Vitamin Co., Ltd. has reported the latest progress of its share buyback program authorized by its board on April 30, 2025, under which it is repurchasing common stock on the Tokyo Stock Exchange. During the period from December 1 to December 31, 2025, the company acquired 61,600 shares for a total of 178,019,591 yen, bringing cumulative repurchases as of December 31, 2025, to 523,700 shares at a total cost of 1,474,531,634 yen, against an authorized ceiling of 1,000,000 shares or 2 billion yen to be executed by March 24, 2026, indicating ongoing efforts to enhance capital efficiency and shareholder returns through treasury stock acquisition.

The most recent analyst rating on (JP:4526) stock is a Buy with a Yen3244.00 price target. To see the full list of analyst forecasts on Riken Vitamin Co., Ltd. stock, see the JP:4526 Stock Forecast page.

Riken Vitamin Co., Ltd. Announces Share Buyback Progress

Riken Vitamin Co., Ltd. has announced the acquisition of 66,000 of its own shares, amounting to a total cost of 188,996,492 yen, through market purchases on the Tokyo Stock Exchange. This move is part of a broader strategy approved by the Board of Directors to acquire up to 1,000,000 shares, reflecting the company’s efforts to manage its capital structure and potentially enhance shareholder value.

The most recent analyst rating on (JP:4526) stock is a Buy with a Yen3244.00 price target. To see the full list of analyst forecasts on Riken Vitamin Co., Ltd. stock, see the JP:4526 Stock Forecast page.

Riken Vitamin Co., Ltd. Reports Mixed Financial Results for 1H FY2025

Riken Vitamin Co., Ltd. reported an increase in net sales for the first half of FY2025, although operating and ordinary profits declined due to challenges in overseas markets, particularly in China and Southeast Asia. The domestic market saw profit growth driven by reduced advertising expenses, while the overseas segment faced significant profitability declines due to weak sales and intensified competition. The company’s strategic adjustments, including reallocating corporate expenses and focusing on high-demand sectors, are expected to impact future performance.

The most recent analyst rating on (JP:4526) stock is a Buy with a Yen3244.00 price target. To see the full list of analyst forecasts on Riken Vitamin Co., Ltd. stock, see the JP:4526 Stock Forecast page.

Riken Vitamin Co., Ltd. Reports Mixed Financial Results for H1 2025

Riken Vitamin Co., Ltd. reported its consolidated financial results for the six months ended September 30, 2025, showing a slight increase in net sales by 0.2% to ¥47,265 million. However, operating profit decreased by 11.6% to ¥4,091 million. The company maintained a stable equity ratio of 71.5% and announced an increase in dividends, reflecting a positive outlook for stakeholders.

The most recent analyst rating on (JP:4526) stock is a Buy with a Yen3244.00 price target. To see the full list of analyst forecasts on Riken Vitamin Co., Ltd. stock, see the JP:4526 Stock Forecast page.

Riken Vitamin Co., Ltd. Announces Share Buyback Progress

Riken Vitamin Co., Ltd. announced the acquisition of 86,100 of its own shares, totaling approximately 244 million yen, through market purchases on the Tokyo Stock Exchange during October 2025. This move is part of a broader strategy approved by the Board of Directors to acquire up to 1,000,000 shares by March 2026, reflecting the company’s efforts to optimize its capital structure and potentially enhance shareholder value.

The most recent analyst rating on (JP:4526) stock is a Buy with a Yen3244.00 price target. To see the full list of analyst forecasts on Riken Vitamin Co., Ltd. stock, see the JP:4526 Stock Forecast page.