Tokai Carbon Co (5301) AI Stock Analysis

• Market Cap: ¥211.04B
• Dividend Yield: 3.03%
• Average Volume (3M): 1.44M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.95
• Revenue Growth: -7.36%
• EPS Growth: -574.56%
• Country: JP
• Employees: 4,625
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 36.61
• Shares Outstanding: 225,171,140
• 10 Day Avg. Volume: 1,561,290
• 30 Day Avg. Volume: 1,439,100
• PEG Ratio: 0.01
• Price to Book (P/B): 0.68
• Price to Sales (P/S): 0.56
• P/FCF Ratio: 20.89
• 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): 69.9
• Revenue Forecast (FY): ¥327.43B

• Rating: 54 Neutral
• Price Target: ¥1,047.00 ▼(-3.64% Downside)

The overall stock score is primarily influenced by financial performance challenges, particularly in profitability, and a concerning valuation due to a negative P/E ratio. Technical analysis offers some hope with potential upward momentum, but the stock remains under pressure in the short term.

Tokai Carbon Co Business Overview & Revenue Model

Company Description

Tokai Carbon Co., Ltd. is a leading manufacturer of carbon products and materials, specializing in the production of carbon black, graphite electrodes, and other carbon-related products. Established in Japan, the company operates across various sectors, including steel, automotive, and electronics, providing essential materials for industrial applications. Tokai Carbon is recognized for its innovation and quality, catering to a global clientele with a focus on sustainability and advanced technology.

How the Company Makes Money

Tokai Carbon generates revenue primarily through the sale of its core products, which include carbon black used in tires and rubber products, graphite electrodes for electric arc furnaces in steel production, and other specialty carbon materials. The company has established key partnerships with manufacturers in the automotive and steel industries, which are critical to its revenue streams. Additionally, Tokai Carbon benefits from economies of scale in production and a strong global distribution network, allowing it to optimize its pricing strategies and enhance profitability. Fluctuations in demand for its products, particularly in the steel and automotive sectors, alongside the global prices of raw materials, also play a significant role in its earnings.

Tokai Carbon Co Financial Statement Overview

Summary

Tokai Carbon Co faces significant challenges in profitability as indicated by the recent income statement. The balance sheet remains relatively stable, though increasing debt is a concern. Cash flow stability suggests operational resilience, but profitability issues need addressing for long-term sustainability.

Income Statement

The income statement shows a significant decline in revenue from 2023 to 2024, with a steep drop in net income leading to a negative net profit margin for 2024. Gross profit margin also decreased. Despite historical growth, the recent downturn indicates challenges in profitability and revenue growth.

Balance Sheet

The balance sheet reflects a reasonable debt-to-equity ratio and a stable equity base. However, the total debt has increased, impacting the company's leverage. The equity ratio remains healthy, indicating good asset coverage by equity.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth, yet operating cash flow remains relatively strong. The free cash flow to net income ratio is unfavorable due to negative net income, pointing to challenges in converting profits into cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	337.27B	350.11B	363.95B	340.37B	258.87B	201.54B
Gross Profit	81.30B	80.64B	98.73B	94.05B	70.73B	49.55B
EBITDA	-5.70B	-3.95B	80.78B	78.14B	54.52B	34.47B
Net Income	-51.86B	-56.74B	25.47B	22.42B	16.11B	1.02B
Balance Sheet
Total Assets	606.57B	640.75B	640.00B	576.47B	512.50B	459.71B
Cash, Cash Equivalents and Short-Term Investments	72.22B	92.21B	77.47B	70.91B	78.86B	67.17B
Total Debt	198.54B	199.11B	166.64B	171.45B	168.25B	158.64B
Total Liabilities	298.52B	315.60B	279.90B	275.60B	255.94B	234.89B
Stockholders Equity	274.56B	289.56B	324.49B	268.82B	229.21B	201.27B
Cash Flow
Free Cash Flow	0.00	9.36B	12.46B	-4.01B	8.54B	27.79B
Operating Cash Flow	0.00	64.47B	62.07B	41.20B	38.07B	55.02B
Investing Cash Flow	0.00	-70.78B	-47.63B	-49.90B	-35.28B	-44.30B
Financing Cash Flow	0.00	9.41B	-14.51B	-10.63B	1.21B	927.00M

Tokai Carbon Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1086.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5301, the sentiment is Negative. The current price of 1086.5 is above the 20-day moving average (MA) of 1062.47, above the 50-day MA of 1041.23, and above the 200-day MA of 970.10, indicating a neutral trend. The MACD of -10.58 indicates Positive momentum. The RSI at 36.24 is Neutral, neither overbought nor oversold. The STOCH value of 11.55 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5301.

Tokai Carbon Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4182	77 Outperform	$549.88B	13.28	6.42%	3.46%	-6.27%	40.98%
4205	72 Outperform	$317.10B	8.80	9.65%	4.21%	0.87%	16.71%
5302	69 Neutral	$48.10B	11.80	7.92%	4.57%	-2.88%	-6.99%
5304	65 Neutral	¥44.54B	10.45	―	4.72%	-27.68%	-43.78%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
5301	54 Neutral	¥211.04B	―	-14.04%	3.03%	-7.36%	-574.56%
4208	51 Neutral	$218.85B	-41.36	-1.26%	4.85%	-7.45%	-71.68%

Tokai Carbon Co Corporate Events

Tokai Carbon Announces 4th Series Bond Issuance

Tokai Carbon Co., Ltd. has announced the issuance of its 4th Series of Unsecured Straight Bonds, amounting to 10 billion yen, with a coupon rate of 1.663% per annum and a maturity date set for October 9, 2030. This move is part of Tokai Carbon’s strategic financial management, potentially enhancing its liquidity and financial stability, while also reflecting its strong credit ratings from major rating agencies.

The most recent analyst rating on (JP:5301) stock is a Hold with a Yen1045.00 price target. To see the full list of analyst forecasts on Tokai Carbon Co stock, see the JP:5301 Stock Forecast page.

Tokai Carbon Completes Strategic Acquisition in Thailand

Tokai Carbon Co., Ltd. has completed the acquisition of Bridgestone Carbon Black (Thailand) Co., Ltd., now renamed Thai Tokai Carbon Product Rojana Co., Ltd., in partnership with Thai Tokai Carbon Product Co., Ltd. This strategic move enhances Tokai Carbon’s footprint in the carbon black manufacturing sector, with the acquisition price set at 2,050,000,000 Thai Baht. The impact of this acquisition on Tokai Carbon’s consolidated performance is under evaluation, with further disclosures to be made as necessary.

The most recent analyst rating on (JP:5301) stock is a Hold with a Yen1045.00 price target. To see the full list of analyst forecasts on Tokai Carbon Co stock, see the JP:5301 Stock Forecast page.

Tokai Carbon Reports Mixed Earnings Amid Global Challenges

Tokai Carbon Co., Ltd., a prominent player in the chemical industry, specializes in manufacturing carbon-related products such as carbon black, graphite electrodes, and industrial furnaces, catering to a diverse range of sectors including automotive, electronics, and energy.

Tokai Carbon Reports Q2 Earnings Discrepancy with Positive Income Results

Tokai Carbon Co., Ltd. announced a discrepancy between its FY2025 Q2 earnings forecast and actual results, with net sales falling short due to reduced sales volume in the carbon black segment. However, the company exceeded expectations in operating, ordinary, and net income due to successful cost reduction initiatives, maintaining its overall FY2025 forecast.

The most recent analyst rating on (JP:5301) stock is a Hold with a Yen950.00 price target. To see the full list of analyst forecasts on Tokai Carbon Co stock, see the JP:5301 Stock Forecast page.

Tokai Carbon Co. Reports Improved Profitability Amid Decline in Sales

Tokai Carbon Co., Ltd. reported its consolidated financial results for the second quarter of the fiscal year ending December 31, 2025, showing a decline in net sales by 7.5% compared to the previous year. However, the company experienced significant growth in operating income and net income attributable to owners, with increases of 65.7% and 133.2% respectively, indicating improved profitability despite reduced sales. This financial performance highlights Tokai Carbon’s ability to enhance operational efficiency and profitability, which could positively impact its market positioning and stakeholder confidence.

The most recent analyst rating on (JP:5301) stock is a Hold with a Yen950.00 price target. To see the full list of analyst forecasts on Tokai Carbon Co stock, see the JP:5301 Stock Forecast page.