DIC (4631) AI Stock Analysis

• Market Cap: $344.17B
• Dividend Yield: 2.71%
• Average Volume (3M): 398.87K
• Price to Earnings (P/E): 12.3
• Beta (1Y): 0.64
• Revenue Growth: -0.63%
• EPS Growth: N/A
• Country: JP
• Employees: 21,184
• Sector: Basic Materials
• Sector Strength: 66
• Industry: Chemicals - Specialty
• EPS (TTM): 73.86
• Shares Outstanding: 95,156,906
• 10 Day Avg. Volume: 443,430
• 30 Day Avg. Volume: 398,870
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.04
• Enterprise Value/Revenue: 0.65
• Enterprise Value/Gross Profit: 3.08
• Enterprise Value/Ebitda: 6.62
• 1Y Price Target: $3,470.08
• Price Target Upside: -5.83% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 74 Outperform
• Price Target: ¥3,250.00 ▼(-11.80% Downside)

DIC's strong valuation metrics and positive technical indicators drive its stock score, partially offset by the need for improved profitability margins and cash flow efficiency.

DIC Business Overview & Revenue Model

Company Description

DIC Corporation is a Japanese chemical company primarily engaged in the production of printing inks, organic pigments, and synthetic resins. As a global leader in these sectors, DIC serves a wide array of industries, including packaging, graphic arts, automotive, electronics, and food. The company is committed to sustainability and innovation, continuously developing solutions that meet the evolving needs of its customers around the world.

How the Company Makes Money

DIC Corporation generates revenue primarily through the sale of its chemical products, which include printing inks, organic pigments, and synthetic resins. The company serves various industries, with a significant portion of its earnings coming from the graphic arts sector due to its market-leading position in printing inks. DIC also benefits from its operations in the performance materials segment, where it supplies products to the automotive and electronics industries. Additionally, the company engages in strategic partnerships and joint ventures to enhance its technological capabilities and expand its market reach, further contributing to its revenue growth. Key factors influencing DIC's earnings include its global distribution network, ongoing product innovation, and commitment to sustainability, which align with increasing demand for eco-friendly products.

DIC Financial Statement Overview

Summary

DIC has shown a solid revenue growth trajectory and recovery in profitability, supported by stable balance sheet metrics. However, the net profit margin and operating cash flow have room for improvement.

Income Statement

DIC demonstrated a solid performance in the latest fiscal year, with a gross profit margin of 20.74% and an EBIT margin of 4.16%, indicating efficient cost management. The company also achieved a revenue growth rate of 3.12%, reflecting a positive sales trajectory. However, the net profit margin of 1.99% could be improved, and there's a notable recovery from a negative net income in the previous year.

Balance Sheet

DIC maintains a stable balance sheet with a debt-to-equity ratio of 1.21, which shows a moderate level of leverage. The equity ratio stands at 32.74%, indicating a solid capital structure. Return on Equity (ROE) at 5.31% shows room for improvement in generating returns for shareholders.

Cash Flow

The company has shown a significant decline in operating cash flow compared to the previous year. Free cash flow has shown growth, but the operating cash flow to net income ratio of 2.17 suggests current earnings are well-supported by cash flow. The free cash flow to net income ratio at 0.16 indicates limited cash flow generated relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.08T	1.07T	1.04T	1.05T	855.38B	701.22B
Gross Profit	228.14B	222.20B	186.38B	199.22B	177.32B	156.79B
EBITDA	106.31B	100.09B	37.90B	88.47B	72.34B	72.39B
Net Income	30.19B	21.31B	-39.86B	17.61B	4.37B	13.23B
Balance Sheet
Total Assets	1.21T	1.23T	1.24T	1.26T	1.07T	817.95B
Cash, Cash Equivalents and Short-Term Investments	61.72B	61.87B	87.53B	63.38B	38.25B	44.88B
Total Debt	472.47B	484.33B	528.96B	509.33B	384.21B	266.74B
Total Liabilities	802.56B	805.82B	845.62B	840.55B	690.47B	466.59B
Stockholders Equity	389.42B	401.42B	363.94B	387.00B	345.93B	318.49B
Cash Flow
Free Cash Flow	0.00	3.42B	31.02B	-37.46B	6.17B	20.46B
Operating Cash Flow	0.00	46.21B	89.09B	7.93B	44.81B	54.46B
Investing Cash Flow	0.00	-17.08B	-66.46B	-73.16B	-147.61B	-33.04B
Financing Cash Flow	0.00	-62.59B	-2.92B	83.95B	99.55B	6.34B

DIC Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3685.00
• 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:4631, the sentiment is Positive. The current price of 3685 is above the 20-day moving average (MA) of 3467.85, above the 50-day MA of 3155.38, and above the 200-day MA of 3080.24, indicating a bullish trend. The MACD of 142.77 indicates Negative momentum. The RSI at 77.47 is Negative, neither overbought nor oversold. The STOCH value of 84.54 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4631.

DIC Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4631	74 Outperform	$344.17B	12.30	7.05%	2.71%	-0.63%	―
Sector *	61 Neutral	$10.37B	6.45	-0.08%	2.84%	3.09%	-36.03%
DACHF	―	$2.52B	8.93	11.71%	4.12%	―	―
KANKF	―	$1.87B	12.39	4.90%	3.07%	―	―
ZEOOF	―	$2.30B	11.64	7.18%	5.19%	―	―
SZ8	―	€2.68B	21.58	6.78%	―	―	―
4626	77 Outperform	¥435.66B	39.48		2.45%	8.56%	1.27%

DIC Corporate Events

DIC Corporation Announces Increased Year-End Dividend Forecast

DIC Corporation has revised its year-end dividend forecast for fiscal year 2025, increasing it significantly due to successful asset reduction efforts. The company plans to distribute a total annual dividend of ¥200.00 per share, including a special dividend, as part of its strategy to provide additional returns to shareholders and optimize management resources.

The most recent analyst rating on (JP:4631) stock is a Buy with a Yen4000.00 price target. To see the full list of analyst forecasts on DIC stock, see the JP:4631 Stock Forecast page.

DIC Corporation Reports Mixed Financial Results for H1 FY2025

DIC Corporation reported a decrease in net sales for the first half of FY2025, attributed to a slowdown in pigment and ink shipments due to concerns over U.S. tariffs. Despite this, the company saw an increase in operating income due to successful cost reductions and sales price revisions, particularly in its overseas pigments business. The company has revised its full-term net sales forecast downward but expects operating income to exceed initial forecasts. Additionally, DIC plans to increase dividends to shareholders, reflecting its cash allocation policies.

The most recent analyst rating on (JP:4631) stock is a Buy with a Yen4000.00 price target. To see the full list of analyst forecasts on DIC stock, see the JP:4631 Stock Forecast page.

DIC Corporation Reports Mixed Financial Results and Dividend Increase for H1 2025

DIC Corporation reported its consolidated financial results for the first half of 2025, showing a decline in net sales by 2.9% compared to the previous year, while operating income increased by 22.9%. The company also announced a revision in its year-end dividend forecast, indicating an increase in ordinary and special dividends, reflecting a strategic move to enhance shareholder value.

The most recent analyst rating on (JP:4631) stock is a Buy with a Yen4000.00 price target. To see the full list of analyst forecasts on DIC stock, see the JP:4631 Stock Forecast page.