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Arakawa Chemical Industries,Ltd. (JP:4968)
:4968
Japanese Market
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Arakawa Chemical Industries,Ltd. (4968) Price & Analysis

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4968 Stock Chart & Stats

¥1066.00
-¥10.00(-0.91%)
At close: 4:00 PM EST
¥1066.00
-¥10.00(-0.91%)

Bulls Say, Bears Say

Bulls Say
Recurring B2B Specialty-chemicals ModelArakawa’s core B2B model sells formulated resins and functional chemicals to industrial customers, creating recurring demand tied to manufacturing operations. Value-added formulations and technical support increase switching costs, helping secure repeat business and stable revenue over the medium term.
Profitability Recovery And Improved MarginsThe company moved from loss-making to positive profitability with modest revenue growth and materially better gross and EBITDA margins. This indicates operational recovery, better product mix or cost control, and supports more durable earnings if the company sustains specialty, higher-margin sales.
Manageable Leverage And Equity RebuildingLeverage near two-thirds of equity is moderate for specialty chemicals and recent equity build-up strengthens the balance sheet. This provides financial flexibility to navigate cyclicality, fund targeted investment, and reduces short-term solvency risk versus periods of prior stress.
Bears Say
Weak Cash Conversion And FCF VolatilityLow operating-cash conversion and historically volatile free cash flow limit Arakawa’s capacity to self-fund growth, pay dividends, or rapidly deleverage. Poor conversion increases sensitivity to working-capital swings and raises execution risk for sustained investment or resilience in tougher demand environments.
Thin Net MarginsA TTM net margin below 3% leaves minimal buffer against raw-material cost inflation or pricing pressure. Even with improved gross and EBITDA margins, weak bottom-line profitability makes earnings and shareholder returns vulnerable to cyclical downturns or competitive shifts in pricing or product mix.
Low Returns On EquityROE under 5% signals limited capital efficiency and modest shareholder value creation. Over the medium term this constrains the company’s ability to finance expansion or R&D from internal returns and may pressure management to choose between reinvestment and external financing.

Arakawa Chemical Industries,Ltd. News

4968 FAQ

What was Arakawa Chemical Industries,Ltd.’s price range in the past 12 months?
Arakawa Chemical Industries,Ltd. lowest stock price was ¥1040.00 and its highest was ¥2673.00 in the past 12 months.
    What is Arakawa Chemical Industries,Ltd.’s market cap?
    Arakawa Chemical Industries,Ltd.’s market cap is ¥49.34B.
      When is Arakawa Chemical Industries,Ltd.’s upcoming earnings report date?
      Arakawa Chemical Industries,Ltd.’s upcoming earnings report date is Nov 04, 2026 which is in 80 days.
        How were Arakawa Chemical Industries,Ltd.’s earnings last quarter?
        Arakawa Chemical Industries,Ltd. released its earnings results on Aug 05, 2026. The company reported ¥65.37 earnings per share for the quarter, missing the consensus estimate of N/A by N/A.
          Is Arakawa Chemical Industries,Ltd. overvalued?
          According to Wall Street analysts Arakawa Chemical Industries,Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium
            Does Arakawa Chemical Industries,Ltd. pay dividends?
            Arakawa Chemical Industries,Ltd. pays a Semiannually dividend of ¥27.5 which represents an annual dividend yield of 2.01%. See more information on Arakawa Chemical Industries,Ltd. dividends here
              What is Arakawa Chemical Industries,Ltd.’s EPS estimate?
              Arakawa Chemical Industries,Ltd.’s EPS estimate for its next earnings report is not yet available.
              How many shares outstanding does Arakawa Chemical Industries,Ltd. have?
              Arakawa Chemical Industries,Ltd. has 20,652,400 shares outstanding.
                What happened to Arakawa Chemical Industries,Ltd.’s price movement after its last earnings report?
                Arakawa Chemical Industries,Ltd. reported an EPS of ¥65.37 in its last earnings report, missing expectations of N/A. Following the earnings report the stock price went up 20.65%.
                  Which hedge fund is a major shareholder of Arakawa Chemical Industries,Ltd.?
                  Currently, no hedge funds are holding shares in JP:4968
                  What is the TipRanks Smart Score and how is it calculated?
                  Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                    Company Description

                    Arakawa Chemical Industries,Ltd.

                    Arakawa Chemical Industries, Ltd. is a global chemical producer with operations across Asia, China, Europe, and the United States. The company specializes in the development and sale of diverse chemical products, including performance coatings, materials for paper production, resins essential for printing inks and adhesives, and advanced electronic component materials. For the papermaking industry, Arakawa provides a comprehensive suite of chemicals such as water-repellents, sizing agents, surface enhancers, and strengthening agents, which are vital for manufacturing various paper products like books, newspapers, tissues, and corrugated cardboard. Their portfolio also encompasses a wide array of coating solutions and adhesive compounds. This includes various printing inks for offset, book/magazine gravure, and food-package gravure applications; tackifiers for adhesives and tapes; release agents for specialty papers; and polymerization emulsifiers critical for synthetic rubber manufacturing. They also produce ester gums designed to improve chewing sensations and a range of resins that serve as foundational raw materials for paints and film coatings. Notable branded offerings include ARKON hydrogenated petroleum resins and PINECRYSTAL colorless rosin derivatives. Furthermore, Arakawa delivers a comprehensive selection of electronic materials, spanning numerous resin types such as rosin-modified phenolic, polyurethane, alkyd, polyester, modified epoxy, and hydrogenated hydrocarbon resins, alongside rosin ester products, cleaning systems, and associated peripherals. The company also innovates with photo-curing polymers, organic-inorganic hybrid resins, and hybrid polyimide films. Founded in Osaka, Japan, in 1876, the company was initially known as Arakawa Forest Chemical Industries, Ltd. before officially changing its name to Arakawa Chemical Industries, Ltd. in April 1977.

                    Arakawa Chemical Industries,Ltd. (4968) Earnings & Revenues

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