Chemipro Kasei Kaisya,Ltd. (4960) AI Stock Analysis

• Market Cap: ¥5.74B
• Dividend Yield: 1.06%
• Average Volume (3M): 36.18K
• Price to Earnings (P/E): 61.5
• Beta (1Y): 0.47
• Revenue Growth: -9.63%
• EPS Growth: -1.71%
• Country: JP
• Employees: 193
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals
• EPS (TTM): -0.72
• Shares Outstanding: 16,623,613
• 10 Day Avg. Volume: 59,080
• 30 Day Avg. Volume: 36,176
• PEG Ratio: 17.94
• Price to Book (P/B): 0.98
• Price to Sales (P/S): 0.48
• P/FCF Ratio: 4.49
• 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: 63 Neutral
• Price Target: ¥389.00 ▲(17.88% Upside)

The score is supported primarily by solid financial performance (stable margins, improving profitability, and strong operating cash flow). Technicals are constructive but somewhat stretched due to overbought RSI. Valuation is the main drag given the very high P/E and low dividend yield.

Positive Factors

Cash Flow Management

Strong cash flow management indicates the company's ability to generate cash from operations, supporting financial stability and investment capacity.

Profitability and Cost Control

Effective cost management and profitability improvements enhance the company's competitive position and financial health over time.

Return on Equity

Improving ROE suggests better utilization of equity capital, reflecting efficient management and potential for shareholder value growth.

Negative Factors

Revenue Growth Challenges

Inconsistent revenue growth can hinder long-term expansion and market share gains, posing a challenge to sustaining competitive advantage.

High Leverage

High leverage increases financial risk, especially in volatile markets, potentially impacting the company's ability to invest and grow.

Free Cash Flow Volatility

Volatile free cash flow can limit the company's ability to fund new projects and return capital to shareholders, affecting long-term growth.

Chemipro Kasei Kaisya,Ltd. Business Overview & Revenue Model

Company Description

Chemipro Kasei Kaisha, Ltd. manufactures and sells chemicals and household products in Japan. The company offers chemicals, including UV absorbers, light stabilizers, antioxidants, organic electronic materials, intermediates for dyestuffs, and other products, such as color developer, corrosion inhibitors, and intermediates. It also provides ultraviolet absorbers, medical and agricultural chemical intermediates, electronic materials, etc. In addition, the company manufactures plastic additives. Further, it develops, manufactures, and sells wood preservatives, fungicides, and insecticides. Chemipro Kasei Kaisha, Ltd. was incorporated in 1949 and is based in Kobe, Japan.

How the Company Makes Money

Chemipro Kasei Kaisya, Ltd. generates revenue primarily through the sale of its chemical products to various industries. The company operates on a business-to-business (B2B) model, where it supplies its products to manufacturers and other businesses in need of chemical solutions. Key revenue streams include sales of fine chemicals used in pharmaceuticals, agrochemicals, and materials for industrial applications. Additionally, the company may engage in long-term contracts and partnerships with other firms in related sectors, providing a stable revenue base. Factors contributing to its earnings include the demand for specialty chemicals driven by advancements in technology and increasing regulations in the agricultural and pharmaceutical sectors.

Chemipro Kasei Kaisya,Ltd. Financial Statement Overview

Summary

Solid profitability and cost control with stable EBIT/EBITDA margins and improving net margin/ROE. Cash flow is consistently strong versus reported earnings, but inconsistent revenue growth and relatively high leverage temper the score.

Income Statement

The company shows a stable gross profit margin and a slight increase in net profit margin, indicating efficient cost management. However, revenue growth has been inconsistent, particularly a decline from 2020 to 2021. EBIT and EBITDA margins show minor fluctuations, reflecting stability in core operations despite revenue challenges.

Balance Sheet

The debt-to-equity ratio is relatively high, suggesting significant leverage which could be a risk in a volatile market. The equity ratio is stable, indicating the company maintains a balanced asset base. Return on equity has been improving, showing increasing profitability relative to shareholder equity.

Cash Flow

The company demonstrates strong cash flow management with consistent operating cash flow, though free cash flow growth shows some volatility. The operating cash flow to net income ratio suggests robust cash earnings relative to reported profits, enhancing financial stability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.71B	9.24B	9.76B	9.74B	9.55B
Gross Profit	1.45B	1.50B	1.37B	1.66B	1.43B
EBITDA	651.08M	647.30M	665.54M	830.86M	726.80M
Net Income	128.08M	126.17M	71.08M	179.17M	180.16M
Balance Sheet
Total Assets	13.30B	13.71B	13.78B	13.45B	13.64B
Cash, Cash Equivalents and Short-Term Investments	2.15B	1.88B	956.72M	1.91B	2.14B
Total Debt	5.55B	6.18B	6.08B	5.95B	6.91B
Total Liabilities	8.52B	9.03B	9.19B	8.88B	9.12B
Stockholders Equity	4.78B	4.68B	4.60B	4.57B	4.53B
Cash Flow
Free Cash Flow	1.05B	900.60M	-924.38M	856.60M	267.90M
Operating Cash Flow	1.26B	1.18B	-694.99M	1.11B	588.18M
Investing Cash Flow	-288.57M	-213.17M	-230.97M	-248.94M	-222.80M
Financing Cash Flow	-713.97M	-43.94M	-29.48M	-1.08B	-118.39M

Chemipro Kasei Kaisya,Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 330.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4960, the sentiment is Positive. The current price of 330 is below the 20-day moving average (MA) of 337.70, below the 50-day MA of 332.14, and above the 200-day MA of 296.47, indicating a bullish trend. The MACD of 9.74 indicates Negative momentum. The RSI at 54.73 is Neutral, neither overbought nor oversold. The STOCH value of 22.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4960.

Chemipro Kasei Kaisya,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4531	74 Outperform	¥7.55B	10.88	―	2.97%	9.92%	-27.64%
4274	72 Outperform	¥4.22B	26.01	―	0.98%	-4.35%	-19.25%
4885	70 Outperform	¥3.07B	14.65	―	4.25%	7.90%	-39.51%
4960	63 Neutral	¥5.74B	61.51	―	1.06%	-9.63%	-1.71%
4102	62 Neutral	¥3.19B	18.56	―	2.12%	-5.18%	4.52%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
4360	53 Neutral	¥6.02B	-19.50	―	1.93%	13.64%	-151.98%