Tohoku Steel Co (5484) AI Stock Analysis

• Market Cap: $14.70B
• Dividend Yield: 2.07%
• Average Volume (3M): 1.95K
• Price to Earnings (P/E): 14.7
• Beta (1Y): 0.41
• Revenue Growth: -3.30%
• EPS Growth: 13.71%
• Country: JP
• Employees: 595
• Sector: Basic Materials
• Sector Strength: 56
• Industry: Steel
• EPS (TTM): 40.89
• Shares Outstanding: 7,550,000
• 10 Day Avg. Volume: 1,390
• 30 Day Avg. Volume: 1,953
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.39
• Enterprise Value/Revenue: 0.27
• Enterprise Value/Gross Profit: 1.65
• Enterprise Value/Ebitda: 2.41
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 69 Neutral
• Price Target: ―

Tohoku Steel Co's strong balance sheet is a key strength, as it provides financial stability. However, stagnant revenue growth and cash flow challenges weigh on the company's overall performance. Technical indicators suggest neutral to bearish market sentiment, and valuation metrics indicate a fairly valued stock with a modest dividend yield. The company needs to address growth and cash flow issues to improve its stock performance.

Tohoku Steel Co Business Overview & Revenue Model

Company Description

Tohoku Steel Co., Ltd. (5484) is a prominent Japanese company engaged in the production and distribution of specialty steels and related products. The company primarily operates in the steel manufacturing sector and is known for its high-quality steel products that cater to various industrial applications. Tohoku Steel Co. focuses on the development of unique steel materials that are used in automotive, construction, machinery, and electronics industries, providing essential components that meet stringent quality standards.

How the Company Makes Money

Tohoku Steel Co. generates revenue through the manufacturing and sale of specialty steel products. The company's key revenue streams include the production of high-performance steel alloys that are tailored to specific industrial needs, such as automotive parts, construction materials, and machinery components. Tohoku Steel Co. collaborates with various industrial clients and manufacturers, offering customized steel solutions to meet their specific requirements. The company benefits from strategic partnerships and long-term contracts with major industry players, which contribute significantly to its earnings. Additionally, Tohoku Steel Co. invests in research and development to innovate and improve its product offerings, ensuring a competitive edge in the specialty steel market.

Tohoku Steel Co Financial Statement Overview

Summary

Tohoku Steel Co demonstrates a strong balance sheet with zero debt and a high equity ratio, providing a stable foundation for operations. However, income statement metrics reveal moderate profitability and stagnant growth, while cash flow concerns highlight potential issues in cash management. The company is well-positioned to leverage its stable financial position but needs to address growth and cash flow challenges to enhance overall performance.

Income Statement

Tohoku Steel Co shows a stable revenue base with minor fluctuations in recent years. The Gross Profit Margin for TTM is approximately 16.1%, indicating decent profitability in operational efficiency. The Net Profit Margin stands at around 4.0% for TTM, showing room for improvement in cost management. Revenue growth has been relatively stagnant with slight declines, which is a concern for future scalability.

Balance Sheet

The company maintains a strong financial position with no debt recorded in the latest TTM balance sheet, leading to a Debt-to-Equity Ratio of zero, which signifies strong financial stability. The Equity Ratio is healthy at approximately 81.6%, indicating a robust capital structure. Return on Equity (ROE) is at 3.1% for TTM, reflecting moderate efficiency in using equity to generate profits.

Cash Flow

The cash flow statement shows challenges, with Free Cash Flow at zero for TTM, indicating potential issues in cash generation. Historical data shows variable Free Cash Flow growth, pointing to inconsistencies in cash management. The absence of Operating Cash Flow data for TTM limits comprehensive analysis, but the past figures suggest a need for improved cash flow management.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	21.18B	21.34B	21.56B	19.88B	16.19B
Gross Profit	3.35B	3.34B	3.31B	3.90B	2.90B
EBITDA	2.24B	2.12B	2.17B	2.25B	1.55B
Net Income	1.01B	974.51M	1.12B	1.15B	427.11M
Balance Sheet
Total Assets	34.03B	34.79B	32.71B	31.22B	29.79B
Cash, Cash Equivalents and Short-Term Investments	8.95B	7.98B	5.54B	6.44B	6.11B
Total Debt	0.00	1.95M	3.18M	4.42M	6.03M
Total Liabilities	6.11B	7.22B	6.44B	5.90B	5.62B
Stockholders Equity	27.92B	27.57B	26.27B	25.31B	24.17B
Cash Flow
Free Cash Flow	1.49B	1.90B	-371.70M	249.38M	608.45M
Operating Cash Flow	2.13B	2.85B	665.81M	1.30B	1.63B
Investing Cash Flow	-589.45M	-476.68M	-1.12B	-782.02M	-1.73B
Financing Cash Flow	-485.68M	-212.00M	-212.10M	-167.29M	-152.51M

Tohoku Steel Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1954.00
• 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:5484, the sentiment is Negative. The current price of 1954 is below the 20-day moving average (MA) of 1963.95, below the 50-day MA of 1988.00, and below the 200-day MA of 2010.63, indicating a bearish trend. The MACD of -14.64 indicates Negative momentum. The RSI at 46.53 is Neutral, neither overbought nor oversold. The STOCH value of 64.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5484.

Tohoku Steel Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5406	81 Outperform	$702.14B	5.21	12.39%	5.61%	-0.07%	24.81%
5440	71 Outperform	¥94.83B	8.71		4.12%	-1.22%	-13.03%
5410	71 Outperform	¥58.51B	5.12		5.96%	-7.29%	-17.17%
5484	69 Neutral	$14.70B	14.74		2.07%	-3.30%	13.71%
5411	64 Neutral	$1.07T	15.91	2.90%	5.52%	-7.02%	-57.67%
5401	63 Neutral	$3.15T	8.32	-0.24%	5.30%	-3.92%	-100.05%
Sector *	43 Neutral	C$927.89M	-8.64	-0.02%	2.70%	23.29%	-43.30%