Lion (4912) AI Stock Analysis

• Market Cap: $428.27B
• Dividend Yield: 1.84%
• Average Volume (3M): 1.03M
• Price to Earnings (P/E): 20.7
• Beta (1Y): 0.31
• Revenue Growth: 1.29%
• EPS Growth: 4.72%
• Country: JP
• Employees: 7,654
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Household & Personal Products
• EPS (TTM): 20.18
• Shares Outstanding: 279,782,750
• 10 Day Avg. Volume: 1,005,220
• 30 Day Avg. Volume: 1,031,153
• 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: 0.89
• Enterprise Value/Revenue: 0.92
• Enterprise Value/Gross Profit: 2.02
• Enterprise Value/Ebitda: 7.66
• 1Y Price Target: $1,923.31
• Price Target Upside: 21.88% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 69 Neutral
• Price Target: ¥1,687.00 ▲(6.91% Upside)

Lion's overall stock score is primarily influenced by its strong financial performance, despite recent challenges in revenue and cash flow. The technical analysis suggests a bearish trend with potential for a rebound, while the valuation indicates the stock may be overvalued. The absence of earnings call data and corporate events limits additional insights.

Lion Business Overview & Revenue Model

Company Description

Lion Corporation manufactures and sells consumer and industrial products in Japan and internationally. It operates through three segments: Consumer Products Business, Industrial Products Business, and Overseas Business. The company offers dental and oral care products, including toothpastes, toothbrushes, dental floss, dental rinses, mouthwashes and breath fresheners, periodontitis ointments, and denture products; body care products, such as shampoos and conditioners, hand soaps, sanitizers, wet wipes, body washes, skin and acne care products, antiperspirants and deodorants, hair-nourishment treatments, men's care and toiletries products, and foot care products. It also provides antipyretic analgesics, eye drops and eye care products, cold medicines, gargles, cold relief products, topical anti-inflammatory analgesics, antidiarrheal and gastrointestinal medicines, health tonic drinks and vitamin supplements, acne and anti-drowsiness medicines, and dermatologic agents. In addition, the company offers fabric care products, such as laundry detergent, delicate detergent, prewash treatment, stain remover, bleach, and fabric softener; clothing care products; household cleaners; kitchen cleanup products comprises dishwashing detergents and antibacterial and deodorizing products; and food preparation products. Further, it provides health and beauty food products consisting of supplements and health tonic drinks; specialty chemicals, and chemical products, include rubber processing and additive agents, mandrel release agents, fatty acid methyl esters, plant-based electrical insulating oils, concrete admixtures, ground improvement and asphalt recycling agents, surfactants, and cosmetics ingredients, as well as electro-conductive carbon black and pressure-sensitive adhesives; pet supplies; and gift and special order products. The company was founded in 1891 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Lion Corporation generates its revenue through the sale of its diverse range of personal care, healthcare, and household products. The company’s key revenue streams include its oral care products, such as toothpaste and mouthwash, which hold a significant market share in Japan. Additionally, its laundry detergents and cleaning products contribute substantially to its income. Lion Corporation also benefits from strategic partnerships and collaborations that enhance its distribution network and expand its market reach, particularly in Asia. The company invests in research and development to innovate and maintain its competitive edge, which is crucial for sustaining its revenue growth.

Lion Financial Statement Overview

Summary

Lion exhibits strong profitability and a robust balance sheet with low leverage. However, the recent decline in revenue and free cash flow growth in the TTM period presents potential challenges. The company maintains operational efficiency, but the focus should be on reversing the revenue and cash flow trends to sustain long-term growth.

Income Statement

Lion's income statement shows a stable gross profit margin of around 45% over the years, indicating efficient cost management. However, the TTM data reveals a revenue decline of 10.8%, which is concerning. The net profit margin remains modest at 5.2% in the TTM, reflecting consistent profitability, though slightly lower than previous years. EBIT and EBITDA margins are stable, suggesting operational efficiency. Overall, while profitability is stable, the recent revenue decline is a potential risk.

Balance Sheet

Lion maintains a strong balance sheet with a low debt-to-equity ratio of 0.10 in the TTM, indicating low financial leverage and reduced risk. The return on equity is moderate at 7.5%, showing decent profitability relative to shareholder equity. The equity ratio is healthy, reflecting a strong capital structure. Overall, the balance sheet is robust, with low leverage and solid equity positioning.

Cash Flow

The cash flow statement shows a decline in free cash flow growth by 30.8% in the TTM, which is a concern. The operating cash flow to net income ratio is 0.34, indicating adequate cash generation relative to net income. The free cash flow to net income ratio is 0.52, suggesting reasonable cash flow conversion. While cash flow generation is adequate, the significant decline in free cash flow growth poses a risk.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	413.77B	412.94B	402.77B	389.87B	366.23B	355.35B
Gross Profit	188.99B	188.78B	180.60B	174.61B	179.10B	179.87B
EBITDA	49.88B	49.55B	43.42B	47.31B	46.06B	56.37B
Net Income	20.88B	21.20B	14.62B	21.94B	23.76B	29.87B
Balance Sheet
Total Assets	468.81B	497.17B	486.36B	469.28B	428.02B	435.50B
Cash, Cash Equivalents and Short-Term Investments	80.78B	102.24B	85.53B	101.08B	97.25B	121.53B
Total Debt	29.31B	29.74B	30.34B	32.17B	8.37B	8.12B
Total Liabilities	151.52B	181.47B	188.23B	190.11B	163.01B	190.65B
Stockholders Equity	295.97B	293.72B	280.32B	264.25B	251.57B	231.72B
Cash Flow
Free Cash Flow	13.90B	25.60B	5.08B	18.82B	-23.63B	13.80B
Operating Cash Flow	36.51B	43.66B	30.07B	41.96B	19.30B	40.73B
Investing Cash Flow	-17.23B	-7.66B	-34.79B	-19.54B	-34.18B	-19.87B
Financing Cash Flow	-11.70B	-21.20B	-11.76B	-19.82B	-10.22B	-9.14B

Lion Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1578.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4912, the sentiment is Neutral. The current price of 1578 is below the 20-day moving average (MA) of 1596.45, above the 50-day MA of 1563.34, and below the 200-day MA of 1640.54, indicating a neutral trend. The MACD of -2.94 indicates Positive momentum. The RSI at 47.54 is Neutral, neither overbought nor oversold. The STOCH value of 27.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4912.

Lion Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4527	76 Outperform	592.70B	16.86	11.92%	1.41%	15.90%	13.60%
4919	72 Outperform	82.32B	25.89	―	3.48%	4.06%	-22.80%
4928	70 Outperform	162.07B	21.25	15.26%	4.74%	-1.63%	1.81%
4912	69 Neutral	$428.27B	20.73	7.29%	1.84%	1.29%	4.72%
4927	68 Neutral	300.87B	46.29	5.63%	3.82%	-0.89%	-34.14%
4967	60 Neutral	404.41B	34.01	4.72%	1.89%	-6.64%	-13.78%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%

Lion Corporate Events

Lion Corporation Reports Stable First Half 2025 Financial Results with Increased Dividends

Lion Corporation’s financial results for the first half of 2025 show a slight increase in net sales and operating profit, despite a decrease in profit before tax and profit attributable to owners. The company’s core operating income improved significantly, indicating strong regular business performance. The financial position remains stable with a slight increase in total equity, and the company has announced an increase in cash dividends per share, reflecting confidence in future earnings.

The most recent analyst rating on (JP:4912) stock is a Buy with a Yen1750.00 price target. To see the full list of analyst forecasts on Lion stock, see the JP:4912 Stock Forecast page.