Krosaki Harima Corporation (5352) AI Stock Analysis

• Market Cap: ¥148.61B
• Dividend Yield: 2.77%
• Average Volume (3M): 133.41K
• Price to Earnings (P/E): 7.3
• Beta (1Y): 1.10
• Revenue Growth: 1.43%
• EPS Growth: 91.97%
• Country: JP
• Employees: 4,904
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction Materials
• EPS (TTM): 244.64
• Shares Outstanding: 36,458,110
• 10 Day Avg. Volume: 111,990
• 30 Day Avg. Volume: 133,413
• PEG Ratio: 7.10
• Price to Book (P/B): 0.91
• Price to Sales (P/S): 0.48
• P/FCF Ratio: -17.78
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: ¥4,681.00 ▲(12.66% Upside)

Krosaki Harima Corporation's stock score is driven by its solid financial performance and undervaluation, making it an attractive investment opportunity. The technical analysis shows strong momentum, although the high RSI suggests caution due to potential overbought conditions.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and effective product demand, supporting long-term business sustainability.

Profitability

Improved profit margins reflect efficient operations and cost management, enhancing the company's ability to generate profits over time.

Balance Sheet Health

A strong balance sheet with a favorable equity ratio ensures financial stability and resilience against economic fluctuations.

Negative Factors

Leverage Risk

Moderately high leverage can pose risks to financial flexibility, potentially impacting the company's ability to invest in growth opportunities.

Free Cash Flow Challenges

Limited free cash flow growth may constrain the company's ability to fund new projects or return capital to shareholders, affecting long-term growth.

Capital Expenditures

High capital expenditures, while necessary for growth, can strain cash resources and limit immediate financial flexibility.

Krosaki Harima Corporation Business Overview & Revenue Model

Company Description

Krosaki Harima Corporation, together with its subsidiaries, manufactures and sells refractory and ceramic products in Japan and internationally. The company's refractory products include blast furnace, hot store, coke oven, torpedo ladle, oxygen converter, secondary refining furnace, steel ladle, and continuous casting refractories, as well as unshaped and functional refractories, and refractories for kilns; and industrial furnaces comprising heating furnaces, incinerators, etc. It also provides fine ceramics that are used in the manufacturing processes of semiconductors, measurement devices, and satellites; NEXCERA, a low thermal expansion ceramic material used in the manufacturing processes of communications devices, home appliances, automobiles, and other products; Platect, a thermal ceramic for use in thermal insulation materials, heaters, landscape bricks, etc.; and high performance thermal insulation WDS. In addition, the company is involved in the furnace construction and maintenance activities. It serves iron and steel, materials, and cement sectors, as well as incinerators and power plants. The company was formerly known as Kurosaki Refractories Co.,Ltd. and changed its name to Krosaki Harima Corporation in April 2000. Krosaki Harima Corporation was founded in 1918 and is headquartered in Kitakyushu, Japan.

How the Company Makes Money

Krosaki Harima Corporation generates revenue primarily through the sale of refractory products and materials to industries such as steel manufacturing, cement production, and glass making. The company’s revenue model is based on direct sales to industrial clients, long-term contracts, and custom solutions tailored to specific customer needs. Key revenue streams include the production and sale of firebricks, monolithic refractories, and specialty refractory materials. Additionally, Krosaki Harima engages in strategic partnerships and collaborations with major industrial players, enhancing its market reach and ensuring a steady demand for its products. The company's focus on innovation and developing advanced materials also contributes to its competitive edge and revenue growth.

Krosaki Harima Corporation Financial Statement Overview

Summary

Krosaki Harima Corporation demonstrates solid financial health with strong profitability and growth metrics. The company shows strong revenue growth and efficient operations, despite some leverage risks and challenges in free cash flow growth due to capital expenditures.

Income Statement

Krosaki Harima Corporation shows strong revenue growth over the years, with significant improvements in gross and net profit margins. The EBIT and EBITDA margins reflect efficient operations, despite some fluctuations. The revenue growth rate is solid, indicating a strong market position in the construction materials industry.

Balance Sheet

The company maintains a healthy balance sheet with a favorable equity ratio. The debt-to-equity ratio is moderately high but manageable, suggesting some leverage risk. Return on equity is robust, showcasing the company's ability to generate profits from shareholder investments.

Cash Flow

The cash flow statement reveals challenges in free cash flow growth, primarily due to significant capital expenditures. However, the operating cash flow remains positive, reflecting good cash management. The operating cash flow to net income ratio is strong, although free cash flow to net income shows room for improvement.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	178.00B	177.92B	177.03B	165.20B	133.78B	113.66B
Gross Profit	35.88B	34.90B	35.38B	30.63B	24.81B	20.56B
EBITDA	24.46B	24.09B	23.34B	16.72B	12.61B	10.06B
Net Income	12.89B	12.54B	12.42B	8.28B	5.49B	4.33B
Balance Sheet
Total Assets	187.39B	187.06B	179.02B	163.34B	142.69B	130.35B
Cash, Cash Equivalents and Short-Term Investments	7.26B	8.32B	8.48B	4.43B	5.01B	5.30B
Total Debt	43.82B	41.74B	36.88B	39.38B	34.20B	32.78B
Total Liabilities	86.77B	85.42B	86.32B	85.48B	73.61B	67.07B
Stockholders Equity	94.00B	94.99B	87.17B	73.53B	65.34B	60.09B
Cash Flow
Free Cash Flow	0.00	-4.85B	6.84B	-3.56B	468.00M	4.30B
Operating Cash Flow	0.00	3.14B	13.72B	1.00B	4.12B	10.08B
Investing Cash Flow	0.00	-4.33B	-3.59B	-4.51B	-3.61B	-4.95B
Financing Cash Flow	0.00	986.00M	-6.24B	2.86B	-1.02B	-3.61B

Krosaki Harima Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4155.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5352, the sentiment is Positive. The current price of 4155 is above the 20-day moving average (MA) of 4147.25, above the 50-day MA of 4142.10, and above the 200-day MA of 3467.56, indicating a bullish trend. The MACD of 2.14 indicates Positive momentum. The RSI at 55.91 is Neutral, neither overbought nor oversold. The STOCH value of 72.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5352.

Krosaki Harima Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5352	76 Outperform	¥148.61B	7.32	―	2.77%	1.43%	91.97%
5363	75 Outperform	¥25.73B	8.68	―	3.52%	6.15%	17.51%
5357	73 Outperform	¥26.42B	14.83	―	5.04%	-2.29%	-41.92%
5233	67 Neutral	¥438.58B	8.47	7.93%	2.32%	-2.26%	-10.86%
5290	67 Neutral	¥73.34B	13.61	―	2.30%	-0.22%	25.09%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
5232	61 Neutral	¥127.56B	9.22	6.98%	3.13%	-2.13%	37.10%