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Japan Pure Chemical Co., Ltd. (JP:4973)
:4973
Japanese Market

Japan Pure Chemical Co., Ltd. (4973) AI Stock Analysis

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JP:4973

Japan Pure Chemical Co., Ltd.

(4973)

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Outperform 77 (OpenAI - 5.2)
Rating:77Outperform
Price Target:
¥6,050.00
▲(73.85% Upside)
Action:ReiteratedDate:01/28/26
The score is primarily supported by strong financial health (notably the debt-free balance sheet) and improved profitability. Technicals also support the stock, though overbought momentum signals elevate near-term pullback risk. Valuation is reasonable with a moderate P/E and a ~3% dividend yield.
Positive Factors
Debt-free balance sheet
Zero debt materially reduces financial risk and interest-rate sensitivity, giving management durable flexibility to weather downturns, fund capex or return cash to shareholders without refinancing pressure. This structural strength supports long-term resilience and strategic optionality.
Negative Factors
Inconsistent revenue trend
A multi-year shrinking top line signals erosion of end-market demand, customer losses or limited new-business wins. Even with improved margins, persistent revenue declines constrain long-term scale, capex returns and ability to diversify product exposure, risking repeatable growth.
Read all positive and negative factors
Positive Factors
Negative Factors
Debt-free balance sheet
Zero debt materially reduces financial risk and interest-rate sensitivity, giving management durable flexibility to weather downturns, fund capex or return cash to shareholders without refinancing pressure. This structural strength supports long-term resilience and strategic optionality.
Read all positive factors

Japan Pure Chemical Co., Ltd. (4973) vs. iShares MSCI Japan ETF (EWJ)

Japan Pure Chemical Co., Ltd. Business Overview & Revenue Model

Company Description
Japan Pure Chemical Co., Ltd. develops, manufactures, and sells metal plating chemicals for electronic devices in Japan. The company provides gold electroplating formulation for semiconductor applications; gold electroplating formulation for PWB, ...
How the Company Makes Money
Japan Pure Chemical Co., Ltd. generates revenue primarily through the sale of its high-purity chemical products. The company's key revenue streams include supplying chemicals for electronic materials, which are crucial in the production of semicon...

Japan Pure Chemical Co., Ltd. Financial Statement Overview

Summary
Strong overall financial quality driven by a debt-free, conservative balance sheet and a meaningful 2025 profitability rebound. Offsetting factors are inconsistent revenue (declining over 2023–2025) and volatile cash flow conversion in the last two years, which raises questions about the durability of the earnings improvement.
Income Statement
72
Positive
Balance Sheet
90
Very Positive
Cash Flow
63
Positive
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue12.94B12.61B11.42B16.25B18.71B16.62B
Gross Profit1.60B1.63B1.37B1.58B2.19B1.96B
EBITDA2.08B2.26B402.00M651.98M1.32B1.06B
Net Income1.44B1.58B548.26M569.98M974.20M790.52M
Balance Sheet
Total Assets15.98B15.86B17.14B15.61B16.87B16.15B
Cash, Cash Equivalents and Short-Term Investments7.00B7.59B6.16B5.77B4.03B4.37B
Total Debt0.000.000.000.000.000.00
Total Liabilities2.09B2.26B2.60B2.11B2.62B2.90B
Stockholders Equity13.89B13.59B14.54B13.51B14.24B13.25B
Cash Flow
Free Cash Flow0.00500.71M551.90M2.52B94.59M332.71M
Operating Cash Flow0.00579.79M684.68M2.54B180.01M363.91M
Investing Cash Flow0.001.52B166.77M19.76M-93.61M-40.68M
Financing Cash Flow0.00-676.56M-457.99M-824.05M-425.58M-447.16M

Japan Pure Chemical Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3480.00
Price Trends
50DMA
4873.74
Negative
100DMA
4118.60
Positive
200DMA
3561.20
Positive
Market Momentum
MACD
18.71
Negative
RSI
49.87
Neutral
STOCH
73.21
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4973, the sentiment is Positive. The current price of 3480 is below the 20-day moving average (MA) of 4781.73, below the 50-day MA of 4873.74, and below the 200-day MA of 3561.20, indicating a neutral trend. The MACD of 18.71 indicates Negative momentum. The RSI at 49.87 is Neutral, neither overbought nor oversold. The STOCH value of 73.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4973.

Japan Pure Chemical Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
¥26.90B6.283.63%18.02%18.04%
75
Outperform
¥55.20B16.362.92%3.03%28.27%
73
Outperform
¥63.50B18.376.31%4.01%6.38%22.81%
70
Outperform
¥58.51B-468.174.37%-1.09%
66
Neutral
¥37.81B11.772.37%-11.70%-54.82%
62
Neutral
¥25.75B9.974.27%5.72%28.92%
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:4973
Japan Pure Chemical Co., Ltd.
4,800.00
2,014.97
72.35%
JP:4109
Stella Chemifa
5,050.00
1,721.35
51.71%
JP:4078
Sakai Chemical Industry Co., Ltd.
3,690.00
1,438.67
63.90%
JP:4112
Hodogaya Chemical Co., Ltd.
2,315.00
963.26
71.26%
JP:4362
Nippon Fine Chemical Co., Ltd.
2,487.00
598.63
31.70%
JP:4968
Arakawa Chemical Industries,Ltd.
1,298.00
342.38
35.83%

Japan Pure Chemical Co., Ltd. Corporate Events

Japan Pure Chemical Reports Shift in Major Shareholder to Hibiki Path Advisors SPC
Feb 10, 2026
Japan Pure Chemical has announced a change in its major shareholder structure following the filing of a large shareholding report with the Kanto Local Finance Bureau. Hibiki Path Advisors SPC, an investment entity based in the Cayman Islands, has ...
Japan Pure Chemical Highlights Revenue Sensitivity to Noble Metal Price Swings
Jan 26, 2026
In its financial results for the third quarter ended December 31, 2025, Japan Pure Chemical Co., Ltd. highlighted that its sales are heavily influenced by the mix between transactions involving noble metals with chemicals and those involving chemi...
Japan Pure Chemical to Book ¥300 Million Extraordinary Gain from Sale of Investment Securities
Jan 26, 2026
Japan Pure Chemical Co., Ltd. has resolved to sell a portion of its holdings in listed equity securities, in line with its FY2025–2027 medium-term management plan to reduce specified investment shares to below 20% of net assets. The transact...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jan 28, 2026