Fujimi Incorporated (5384) AI Stock Analysis

• Market Cap: ¥161.61B
• Dividend Yield: 3.45%
• Average Volume (3M): 249.29K
• Price to Earnings (P/E): 17.1
• Beta (1Y): 1.16
• Revenue Growth: 21.20%
• EPS Growth: 36.43%
• Country: JP
• Employees: 1,110
• Sector: Technology
• Sector Strength: 85
• Industry: Semiconductors
• EPS (TTM): 25.10
• Shares Outstanding: 80,098,500
• 10 Day Avg. Volume: 253,620
• 30 Day Avg. Volume: 249,290
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥2,225.00
• Price Target Upside: 4.95% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 69 Neutral
• Price Target: ¥2,271.00 ▲(7.12% Upside)

Fujimi Incorporated's strong financial performance is the most significant factor, supported by a robust balance sheet and consistent profitability. However, technical indicators suggest bearish momentum, and cash flow conversion issues could impact future growth. The valuation is reasonable, with a good dividend yield, balancing growth and income potential.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and demand for Fujimi's products, enhancing long-term business sustainability.

Balance Sheet Health

A strong balance sheet with minimal leverage provides financial stability and flexibility for future investments and growth opportunities.

Profitability

High profitability margins reflect efficient cost management and competitive pricing power, supporting sustainable business operations.

Negative Factors

Cash Flow Conversion

Low cash flow conversion can limit the company's ability to reinvest in growth opportunities and may impact financial flexibility.

Gross Profit Margin Decline

A declining gross profit margin may indicate rising costs or pricing pressures, potentially affecting long-term profitability.

Cash Flow Performance

Mixed cash flow performance suggests challenges in converting earnings into cash, which could impact future investment capabilities.

Fujimi Incorporated Business Overview & Revenue Model

Company Description

Fujimi Incorporated (5384) is a leading manufacturer based in Japan, primarily engaged in the production of precision abrasives and advanced materials. The company operates within the semiconductor, electronics, and ceramics sectors, offering a wide range of products including polishing compounds, grinding wheels, and other specialty materials. Fujimi's innovative solutions cater to industries such as automotive, optics, and telecommunications, positioning it as a critical player in the high-tech manufacturing landscape.

How the Company Makes Money

Fujimi Incorporated generates revenue through the sales of its precision abrasives and advanced materials, which are essential in various manufacturing processes, especially in the semiconductor and electronics industries. The company's revenue model is primarily driven by direct sales to manufacturers and industrial clients. Key revenue streams include the production of polishing compounds and grinding wheels tailored for specific applications, which are sold to customers globally. Additionally, Fujimi benefits from long-term contracts and partnerships with major players in the tech industry, helping to secure a steady demand for its products. The company's focus on research and development also allows it to innovate and introduce new products, further enhancing its market position and revenue potential.

Fujimi Incorporated Financial Statement Overview

Summary

Fujimi Incorporated shows strong financial performance with consistent revenue growth and profitability. The company maintains a robust balance sheet with minimal leverage, enhancing financial stability. However, cash flow metrics indicate potential areas for improvement in converting net income into free cash flow.

Income Statement

Fujimi Incorporated has demonstrated consistent revenue growth with a 3.42% increase in the latest year, following a recovery from a slight dip in the previous year. The company maintains strong profitability with a net profit margin of 15.09% and an EBIT margin of 19.61%, indicating efficient cost management. However, the gross profit margin has slightly decreased over the years, which could be a point of concern if the trend continues.

Balance Sheet

The company exhibits a robust financial position with a very low debt-to-equity ratio, indicating minimal leverage and a strong equity base. The return on equity stands at 12.39%, reflecting effective utilization of shareholder funds. The equity ratio is healthy, suggesting a stable capital structure with a high proportion of assets financed by equity.

Cash Flow

Fujimi Incorporated's cash flow performance is mixed. While the operating cash flow is strong, the free cash flow growth rate is exceptionally high due to a low base effect. The free cash flow to net income ratio is relatively low, suggesting that a smaller portion of net income is being converted into free cash flow, which could impact future investment capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	62.50B	62.50B	51.42B	58.39B	51.73B	41.96B
Gross Profit	27.45B	26.34B	22.34B	27.19B	24.39B	19.00B
EBITDA	13.70B	14.27B	10.78B	15.24B	14.05B	8.93B
Net Income	9.44B	9.43B	6.50B	10.59B	9.16B	5.61B
Balance Sheet
Total Assets	90.91B	90.91B	84.14B	80.10B	76.32B	66.26B
Cash, Cash Equivalents and Short-Term Investments	27.86B	27.86B	34.93B	36.24B	36.56B	31.32B
Total Debt	494.00M	494.00M	291.00M	352.00M	262.00M	144.00M
Total Liabilities	14.01B	14.01B	11.57B	11.09B	13.35B	10.17B
Stockholders Equity	76.12B	76.12B	72.58B	69.01B	62.97B	56.09B
Cash Flow
Free Cash Flow	0.00	413.00M	3.71B	5.62B	7.68B	7.46B
Operating Cash Flow	0.00	12.99B	7.45B	7.38B	9.30B	8.74B
Investing Cash Flow	0.00	-15.87B	-5.31B	-822.00M	-1.10B	-42.00M
Financing Cash Flow	0.00	-5.64B	-5.64B	-6.14B	-3.83B	-2.48B

Fujimi Incorporated Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2120.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5384, the sentiment is Positive. The current price of 2120 is above the 20-day moving average (MA) of 2103.40, below the 50-day MA of 2120.90, and above the 200-day MA of 2064.07, indicating a neutral trend. The MACD of -10.22 indicates Negative momentum. The RSI at 51.56 is Neutral, neither overbought nor oversold. The STOCH value of 82.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5384.

Fujimi Incorporated Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5384	69 Neutral	¥161.61B	17.10		3.45%	21.20%	36.43%
Sector *	61 Neutral	$36.58B	11.16	-10.43%	1.86%	8.71%	-7.09%
FRRZF	―	$1.25B	13.85	6.22%	―	―	―
TWA	―	€793.52M	21.18	10.40%	―	―	―
6707	54 Neutral	¥187.31B	3.50		0.38%	-58.24%	―
6871	―	¥175.73B	17.86		1.54%	―	―
6966	71 Outperform	¥135.23B	14.49		2.11%	6.31%	-37.42%

Fujimi Incorporated Corporate Events

Fujimi Inc. Posts Strong Financial Recovery and Growth in 2024

Fujimi Incorporated reported significant growth in their financial performance for the nine months ending December 31, 2024, with a 23.9% increase in net sales and a substantial rise in operating profit by 48.3%. This financial improvement reflects positively on their market position, indicating a robust recovery from the previous period’s declines and a promising outlook for stakeholders.