Ohara Inc. (5218) AI Stock Analysis

• Market Cap: ¥27.22B
• Dividend Yield: 2.06%
• Average Volume (3M): 36.14K
• Price to Earnings (P/E): 15.8
• Beta (1Y): 1.07
• Revenue Growth: 6.16%
• EPS Growth: 79.65%
• Country: JP
• Employees: 1,454
• Sector: Technology
• Sector Strength: 87
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 18.52
• Shares Outstanding: 25,450,000
• 10 Day Avg. Volume: 50,460
• 30 Day Avg. Volume: 36,136
• PEG Ratio: 0.31
• Price to Book (P/B): 0.66
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 35.82
• 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

• Rating: 73 Outperform
• Price Target: ¥1,179.00 ▲(5.46%Upside)

Ohara Inc.'s stock is bolstered by its strong financial stability and fair valuation, making it appealing for risk-averse investors. However, technical signals indicate caution due to potential bearish trends, while cash flow management issues highlight areas for improvement.

Ohara Inc. Business Overview & Revenue Model

Company Description

Ohara Inc. (5218) is a global leader in the manufacturing and distribution of optical glass products. The company specializes in producing high-quality optical glass materials used in a variety of sectors including electronics, telecommunications, and precision instruments. Ohara's product portfolio includes optical glass, glass ceramics, and other specialized materials designed to meet the needs of advanced technology applications.

How the Company Makes Money

Ohara Inc. generates revenue primarily through the sale of its optical glass products to a diverse range of industries. Key revenue streams include sales to electronics firms that use optical glass in the production of cameras, displays, and various electronic devices, as well as to telecommunications companies that require high-performance glass materials for fiber optics and other communication technologies. Ohara also partners with precision instrument manufacturers to supply specialized glass solutions that enhance the performance and accuracy of their products. Additionally, the company may benefit from long-term contracts and collaborations with leading technology firms, ensuring a steady demand for its innovative materials.

Ohara Inc. Financial Statement Overview

Summary

Ohara Inc. shows strong profitability with stable margins and a robust balance sheet, but faces challenges with declining revenue and operational margins. Cash flow management needs improvement, indicating potential issues in sustaining growth.

Income Statement

Ohara Inc. demonstrates strong profitability with a consistent gross profit margin over 30% and a stable net profit margin around 5.5%. However, revenue has slightly declined over the years, with a notable drop in EBIT and EBITDA margins, indicating potential operational challenges.

Balance Sheet

The company maintains a robust balance sheet with a low debt-to-equity ratio and a high equity ratio over 70%, reflecting financial stability and low leverage risks. The return on equity remains healthy, although slightly declining, aligning with the net income trend.

Cash Flow

Cash flow analysis shows a fluctuating free cash flow with recent growth, though not consistently positive across years. The operating cash flow to net income ratio indicates efficient cash generation relative to profits, yet the volatility in free cash flow suggests potential cash management issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	26.81B	27.91B	28.12B	28.30B	23.52B	17.87B
Gross Profit	8.20B	8.78B	8.95B	9.19B	6.48B	3.57B
EBITDA	3.61B	4.12B	4.18B	4.96B	3.18B	-2.03B
Net Income	956.99M	1.57B	1.57B	2.12B	1.46B	-4.23B
Balance Sheet
Total Assets	62.67B	65.11B	61.84B	60.68B	53.61B	49.62B
Cash, Cash Equivalents and Short-Term Investments	14.48B	15.16B	14.81B	14.46B	12.97B	12.55B
Total Debt	6.15B	5.86B	6.60B	5.96B	6.07B	7.11B
Total Liabilities	13.59B	14.28B	14.53B	15.42B	13.49B	13.44B
Stockholders Equity	48.80B	50.51B	47.05B	45.02B	39.98B	36.17B
Cash Flow
Free Cash Flow	1.52B	1.07B	136.01M	823.95M	1.09B	1.62B
Operating Cash Flow	1.52B	2.74B	1.84B	2.30B	1.94B	2.48B
Investing Cash Flow	0.00	-2.23B	-2.11B	-1.99B	-780.92M	-2.41B
Financing Cash Flow	0.00	-1.25B	-7.28M	-760.54M	-1.41B	1.38B

Ohara Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1118.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5218, the sentiment is Positive. The current price of 1118 is above the 20-day moving average (MA) of 1057.45, above the 50-day MA of 1048.24, and below the 200-day MA of 1145.21, indicating a neutral trend. The MACD of 14.07 indicates Negative momentum. The RSI at 64.33 is Neutral, neither overbought nor oversold. The STOCH value of 85.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5218.

Ohara Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6677	83 Outperform	¥28.22B	8.42		4.05%	5.60%	26.47%
6800	79 Outperform	¥32.22B	14.47		3.47%	7.79%	47.38%
6785	78 Outperform	¥25.27B	8.86	11.35%	5.11%	20.81%	48.73%
6787	76 Outperform	¥177.81B	12.13		1.16%	15.24%	35.69%
5218	73 Outperform	¥27.22B	15.84	3.53%	2.06%	6.16%	79.65%
Sector *	69 Neutral	¥229.24B	14.26	7.64%	2.72%	9.14%	8.60%
5216	49 Neutral	¥10.73B	298.95		―	163.40%	90.90%