ONO Pharmaceutical Co (4528) AI Stock Analysis

• Market Cap: ¥768.58B
• Dividend Yield: 4.89%
• Average Volume (3M): 2.03M
• Price to Earnings (P/E): 15.2
• Beta (1Y): 0.38
• Revenue Growth: -3.14%
• EPS Growth: -59.94%
• Country: JP
• Employees: 3,853
• Sector: Healthcare
• Sector Strength: 37
• Industry: Drug Manufacturers - General
• EPS (TTM): -13.94
• Shares Outstanding: 498,692,800
• 10 Day Avg. Volume: 2,250,060
• 30 Day Avg. Volume: 2,030,876
• PEG Ratio: -0.47
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 9.98
• 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: ¥1,299.93
• Price Target Upside: -20.57% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 1

• Rating: 74 Outperform
• Price Target: ¥1,820.00 ▲(11.21%Upside)

ONO Pharmaceutical's overall stock score is bolstered by its solid financial performance and attractive valuation, particularly its strong dividend yield and reasonable P/E ratio. Technical analysis indicates a moderate positive trend, adding to the company's appeal. The lack of earnings call data limits insights into future guidance and sentiment, but the company's financial stability and valuation metrics provide a strong foundation.

ONO Pharmaceutical Co Business Overview & Revenue Model

Company Description

Ono Pharmaceutical Co., Ltd., together with its subsidiaries, produces, purchases, and sells pharmaceuticals and diagnostic reagents worldwide. It offers OPDIVO intravenous infusions for the treatment of malignant tumors; KYPROLIS for intravenous injection; EMEND capsules/PROEMEND intravenous injections for chemotherapy-induced nausea and vomiting; DEMSER capsules for improvement of the symptoms in patients with pheochromocytoma; and MEKTOVI, VELEXBRU, and ADLUMIZ tablets, as well as BRAFTOVI capsules for malignant tumors. The company also provides GLACTIV and FORXIGA tablets for type 2 diabetes; FORXIGA tablets for the treatment of diabetes; ONOACT injections for tachyarrhythmia; OPALMON tablets to treat peripheral circulatory disorder; CORALAN for treatment of chronic heart failure; ORENCIA injections for rheumatoid arthritis; RIVASTACH patches for Alzheimer's disease; ONGENTYS tablets for the treatment of Parkinson's disease; PARSABIV, an intravenous injection for dialysis patients; STAYBLA tablets for overactive bladder; ONON capsules and dry syrups for bronchial asthma and allergic rhinitis; and JOYCLU intra-articular injection for the improvement of joint function, as well as RECALBON tablets for osteoporosis. In addition, it is developing products for esophageal, urothelial carcinoma, Hodgkin's lymphoma, ovarian, bladder, prostate, hepatocellular carcinoma, pancreatic, biliary tract, virus positive/negative solid carcinoma, gastric, esophageal, urothelial, hepatocellular, thyroid, colorectal, melanoma, acute myeloid leukemia, non-small cell lung cancer, primary central nervous system lymphoma, myelodysplastic syndrome, polymyositis/dermatomyositis, tachyarrhythmia, pemphigus, generalized scleroderma, enthesopathy, diabetic polyneuropathy, neurodegenerative, autoimmune, narcolepsy, and thrombosis. The company was founded in 1717 and is headquartered in Osaka, Japan.

How the Company Makes Money

ONO Pharmaceutical Co. makes money primarily through the sale of its pharmaceutical products. The company's revenue model is centered around the research and development of new drugs, which are then commercialized and sold in both domestic and international markets. A significant portion of their earnings comes from their flagship product, Opdivo, which is widely used in cancer treatment. Additionally, ONO collaborates with other pharmaceutical companies through strategic alliances and licensing agreements, which further contribute to its revenue streams. These partnerships often involve co-development, co-marketing, or licensing of promising drug candidates, allowing ONO to expand its market presence and share development costs.

ONO Pharmaceutical Co Financial Statement Overview

Summary

ONO Pharmaceutical demonstrates a solid financial position overall, with a strong balance sheet and healthy profitability metrics. While recent revenue and profit declines pose challenges, the company's low leverage and substantial cash reserves provide a buffer against potential risks. Continued focus on operational efficiency and revenue recovery will be crucial for sustaining financial strength.

Income Statement

ONO Pharmaceutical has shown strong revenue growth over the past years, with a notable increase from 2020 to 2024. Despite a recent decline in revenues in 2025, the company maintains robust profitability metrics with a high gross profit margin of approximately 69.6% and a solid net profit margin of 10.28%. The decline in EBIT and EBITDA margins in 2025 indicates potential operational challenges, but the overall profitability remains strong compared to industry standards.

Balance Sheet

The balance sheet reflects a strong equity position with an equity ratio consistently above 70%. The debt-to-equity ratio is low at 0.19, indicating low financial leverage, which reduces financial risk. Return on equity has decreased to 6.39% in 2025, pointing to reduced efficiency in using equity capital. However, the overall financial stability is commendable with substantial cash reserves.

Cash Flow

ONO Pharmaceutical's cash flow statement reveals a mixed performance. The free cash flow has decreased by 14.24% from 2024 to 2025, which may impact future investments. However, the operating cash flow to net income ratio remains strong at 1.65, indicating efficient cash generation from operations. The positive free cash flow to net income ratio of 1.54 further supports cash flow stability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	486.87B	502.67B	447.19B	361.36B	309.28B
Gross Profit	338.92B	375.55B	337.13B	267.85B	223.71B
EBITDA	91.42B	181.98B	161.11B	128.54B	114.54B
Net Income	50.05B	127.98B	112.72B	80.52B	75.42B
Balance Sheet
Total Assets	1.06T	913.67B	882.44B	739.20B	746.84B
Cash, Cash Equivalents and Short-Term Investments	209.05B	166.14B	164.29B	116.97B	104.97B
Total Debt	146.68B	8.86B	9.17B	8.80B	9.05B
Total Liabilities	275.84B	115.06B	134.62B	77.53B	105.69B
Stockholders Equity	782.45B	792.96B	741.87B	655.91B	635.55B
Cash Flow
Free Cash Flow	77.03B	89.83B	145.11B	49.55B	53.68B
Operating Cash Flow	82.46B	110.66B	159.61B	61.83B	73.98B
Investing Cash Flow	-136.78B	48.08B	-100.26B	6.04B	-57.59B
Financing Cash Flow	94.30B	-89.85B	-32.48B	-60.24B	-24.75B

ONO Pharmaceutical Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1636.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4528, the sentiment is Positive. The current price of 1636.5 is above the 20-day moving average (MA) of 1591.72, above the 50-day MA of 1562.73, and below the 200-day MA of 1648.09, indicating a neutral trend. The MACD of 17.48 indicates Negative momentum. The RSI at 58.64 is Neutral, neither overbought nor oversold. The STOCH value of 43.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4528.

ONO Pharmaceutical Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4528	74 Outperform	¥768.58B	15.25	6.25%	4.89%	-3.14%	-59.94%
Sector *	46 Neutral	C$201.68M	-3.28	-23.14%	1.87%	20.75%	-0.36%
ALPMF	―	$18.36B	53.87	3.22%	0.50%	―	―
CHGCF	―	$80.20B	28.50	22.80%	0.05%	―	―
DSKYF	―	$46.37B	24.33	17.60%	0.08%	―	―
ESALF	―	$7.96B	23.82	5.34%	0.15%	―	―
OTSKF	―	$24.75B	9.96	13.46%	0.04%	―	―

ONO Pharmaceutical Co Corporate Events

ONO Pharmaceutical Reports Decline but Forecasts Recovery

ONO Pharmaceutical Co., Ltd. reported a significant decline in its financial performance for the fiscal year ended March 31, 2025, with a notable decrease in revenue and profit compared to the previous year. Despite the downturn, the company forecasts a moderate recovery in the upcoming fiscal year, with slight revenue growth and improved profitability, indicating strategic adjustments to enhance its market position.