Taiheiyo Cement (5233) AI Stock Analysis

• Market Cap: ¥431.92B
• Dividend Yield: 2.35%
• Average Volume (3M): 625.97K
• Price to Earnings (P/E): 8.3
• Beta (1Y): 0.84
• Revenue Growth: -2.26%
• EPS Growth: -10.86%
• Country: JP
• Employees: 12,540
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction Materials
• EPS (TTM): 158.47
• Shares Outstanding: 118,191,580
• 10 Day Avg. Volume: 658,710
• 30 Day Avg. Volume: 625,966
• PEG Ratio: 0.22
• Price to Book (P/B): 0.69
• Price to Sales (P/S): 0.50
• P/FCF Ratio: 13.37
• 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: 67 Neutral
• Price Target: ¥4,111.00 ▲(9.71% Upside)

The overall stock score of 67 reflects Taiheiyo Cement's solid financial performance and attractive valuation. However, the technical analysis indicates bearish momentum, which tempers the overall score. The lack of recent earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Revenue Diversification

Diversified revenue streams from multiple construction materials and environmental solutions reduce dependency on a single market, enhancing stability.

Sustainability Initiatives

Commitment to sustainability through innovative technologies positions the company as a leader in eco-friendly construction, appealing to environmentally conscious clients.

Profitability Improvements

Improved net profit margin reflects effective cost control and operational efficiency, supporting long-term profitability and competitive edge.

Negative Factors

Revenue Growth Challenges

Sluggish revenue growth may indicate market saturation or increased competition, potentially impacting future expansion and market share.

Earnings Decline

Declining earnings per share suggests potential issues in profitability or increased costs, which could affect investor confidence and financial health.

Liquidity Concerns

Limited liquidity may constrain the company's ability to invest in growth opportunities or weather economic downturns, impacting long-term resilience.

Taiheiyo Cement Business Overview & Revenue Model

Company Description

Taiheiyo Cement Corporation engages in the cement, mineral resources, environmental, and construction materials businesses in Japan and internationally. The company's Cement segment offers ordinary Portland cement, specialty cement, soil stabilizers, and ready-mixed concrete. Its Mineral Resources segment sells limestone aggregate products comprising course and fine aggregate used in ready-mixed concrete, and aggregate used in concrete products and civil engineering; sandstone and andesite as aggregate materials; quicklime, slaked lime, filler, silica, and silica powder; and hollow ceramics, sepiolite, wollastonite, and kaolin, as well as recycles surplus construction soil. The company's Environmental segment recycles used tires, waste plastics, paper sludge, waste casting sand, other industrial waste, surplus soil from water purification, sewage sludge, dredging sludge, and other wastes discarded from municipalities, as well as engages in the CFC treatment and building waste treatment plants; develops and commercializes environmental recycling technologies, including ash washing system and applied kiln system; supplies flue gas desulfurization materials, such as calcium carbonate to coal-fired power plants; and sells slag powder and other inorganic materials, coal, heavy oil, and other fuels, as well as chemicals and gypsum. Its Construction Materials segment produces precast concrete products; promenades, interlocking blocks, and concrete housing products; acoustic panels used to reduce construction noise; and fireproof covering materials used in tunnels. The company's Other Businesses segment leases land for office buildings, commercial stores, leisure facilities, distribution warehouses, and other structures, as well as develops land for residential housing; and engages in the data processing, transportation and warehouse, engineering, chemical products, and sports businesses. Taiheiyo Cement Corporation was incorporated in 1881 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Taiheiyo Cement generates revenue primarily through the sale of cement and other construction materials. The company produces a wide range of cement types, including ordinary Portland cement, blended cement, and specialty cements, which are sold to construction firms, contractors, and distributors. Additionally, revenue is derived from concrete products and aggregates, further diversifying its income streams. The company benefits from partnerships with construction and infrastructure companies, which often leads to long-term contracts for supply. Furthermore, Taiheiyo Cement invests in environmental solutions, such as waste recycling and carbon capture technologies, which not only enhance its sustainability profile but also open new revenue opportunities in eco-friendly construction materials.

Taiheiyo Cement Financial Statement Overview

Summary

Taiheiyo Cement demonstrates a solid financial performance with steady revenue growth and profitability improvements. The balance sheet reflects moderate leverage and sound financial health, while cash flow generation is stable, though there is room for improvement in liquidity.

Income Statement

The company's revenue has shown a steady growth trajectory, with a revenue growth rate of 1.13% from 2024 to 2025. The gross profit margin for the latest year is 24.22%, indicating solid profitability. The net profit margin improved to 6.41% in 2025, reflecting enhanced cost control and operational efficiency. The EBIT and EBITDA margins of 8.68% and 15.60% respectively suggest robust core operational performance despite industry pressures.

Balance Sheet

The balance sheet shows a stable financial structure with a debt-to-equity ratio of 0.64, indicating moderate leverage. Return on equity is at 8.95%, reflecting decent profitability relative to shareholder equity. The equity ratio stands at 45.07%, showing a healthy balance between equity and total assets, which provides financial stability.

Cash Flow

The cash flow analysis reveals a positive free cash flow growth from the previous year, although it's relatively modest. The operating cash flow to net income ratio is strong at 2.05, indicating efficient cash generation relative to profits. The free cash flow to net income ratio of 0.58 signifies the company's ability to generate cash after capital expenditures, though improvement is needed to enhance liquidity.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	898.63B	896.29B	886.27B	809.54B	708.20B	863.90B
Gross Profit	218.18B	217.09B	192.21B	141.17B	175.33B	191.22B
EBITDA	140.91B	139.84B	127.97B	50.84B	101.08B	121.34B
Net Income	50.72B	57.43B	43.27B	-33.21B	28.97B	46.80B
Balance Sheet
Total Assets	1.41T	1.42T	1.34T	1.27T	1.10T	1.04T
Cash, Cash Equivalents and Short-Term Investments	74.01B	74.99B	80.10B	79.84B	60.27B	73.07B
Total Debt	406.26B	410.83B	395.27B	430.00B	284.07B	262.45B
Total Liabilities	754.73B	747.57B	741.87B	740.00B	558.20B	537.40B
Stockholders Equity	625.69B	641.67B	563.21B	494.96B	510.62B	470.92B
Cash Flow
Free Cash Flow	0.00	33.31B	53.18B	-64.26B	3.42B	51.58B
Operating Cash Flow	0.00	117.87B	140.54B	-268.00M	71.19B	110.40B
Investing Cash Flow	0.00	-106.53B	-82.14B	-93.34B	-83.92B	-47.81B
Financing Cash Flow	0.00	-20.61B	-59.48B	112.08B	-3.74B	-43.95B

Taiheiyo Cement Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3747.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5233, the sentiment is Negative. The current price of 3747 is below the 20-day moving average (MA) of 3748.30, below the 50-day MA of 3868.98, and below the 200-day MA of 3789.24, indicating a bearish trend. The MACD of -19.67 indicates Negative momentum. The RSI at 45.79 is Neutral, neither overbought nor oversold. The STOCH value of 60.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5233.

Taiheiyo Cement Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5288	80 Outperform	¥54.09B	10.34	―	3.29%	9.50%	77.72%
5268	69 Neutral	¥13.96B	65.41	―	1.32%	-2.82%	-44.93%
5233	67 Neutral	¥431.92B	8.34	7.93%	2.35%	-2.26%	-10.86%
5285	67 Neutral	¥19.37B	8.32	―	3.17%	18.19%	27.62%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
5232	61 Neutral	¥123.01B	8.89	6.98%	3.25%	-2.13%	37.10%
5269	49 Neutral	¥18.18B	-141.02	―	3.24%	-3.73%	-143.19%

Taiheiyo Cement Corporate Events

Taiheiyo Cement Introduces Restricted Stock Incentive Plan

Taiheiyo Cement Corporation announced the introduction of a Restricted Stock Incentive Plan aimed at motivating employees by aligning their interests with the company’s stock performance. The plan involves disposing of treasury shares to the Taiheiyo Cement Employee Shareholding Association, with a maximum of 179,130 shares to be allocated, representing a minor dilution of the company’s total shares and voting rights.

Taiheiyo Cement Revises Financial Forecasts Amid Market Challenges

Taiheiyo Cement has revised its financial forecast for the fiscal year ending March 31, 2026, due to declining demand in the United States and intense competition in the Philippines. The company expects lower net sales, operating profit, ordinary profit, and profit attributable to owners of the parent compared to previous forecasts, indicating challenges in its operational and market environment.

Taiheiyo Cement Reports Financial Results and Strategic Focus

Taiheiyo Cement’s financial results for the six months ending September 30, 2025, highlight its ongoing commitment to sustainable development and competitive positioning in the cement industry. The company’s strategic focus on environmentally efficient solutions is designed to enhance its market presence and stakeholder value.

Taiheiyo Cement Reports Decline in Six-Month Financial Results

Taiheiyo Cement Corporation reported its consolidated financial results for the six months ended September 30, 2025, showing a decline in net sales and profits compared to the previous year. The company experienced a 1.2% decrease in net sales and a significant drop in profit attributable to owners of the parent by 18.9%. Despite these challenges, the company has announced a revision to its financial results forecast for the fiscal year ending March 31, 2026, indicating a modest increase in net sales but a decline in operating and ordinary profits. The dividend forecast remains unchanged, reflecting the company’s commitment to shareholder returns.

Taiheiyo Cement Expands US Operations with Strategic Acquisition

Taiheiyo Cement’s subsidiary, CalPortland Company, is set to acquire Vulcan Materials Company’s ready-mixed concrete business assets in California, pending regulatory approval. This strategic acquisition will allow Taiheiyo to expand into Northern California’s San Francisco Bay Area and enhance efficiencies in Southern California’s San Diego region, capitalizing on the robust demand for ready-mix concrete driven by AI-related infrastructure investments and urban redevelopment projects. The acquisition is expected to bolster Taiheiyo’s revenue base, create new synergies, and provide stable demand for its cement products, contributing to steady growth in sales and profits.

Taiheiyo Cement Completes Successful Tender Offer for Pacific Systems Shares

Taiheiyo Cement Corporation successfully completed a tender offer for shares of Pacific Systems Corporation, acquiring 478,940 shares, which exceeded the minimum requirement of 14,400 shares. This acquisition is part of Taiheiyo Cement’s strategic expansion efforts, potentially enhancing its market position and operational capabilities in the technology sector.