KVK Corporation (6484) AI Stock Analysis

• Market Cap: ¥21.66B
• Dividend Yield: 3.46%
• Average Volume (3M): 2.34K
• Price to Earnings (P/E): 9.0
• Beta (1Y): 0.29
• Revenue Growth: 3.87%
• EPS Growth: 5.89%
• Country: JP
• Employees: 1,064
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): 81.43
• Shares Outstanding: 8,322,178
• 10 Day Avg. Volume: 1,710
• 30 Day Avg. Volume: 2,343
• PEG Ratio: 1.16
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 0.51
• P/FCF Ratio: 5.37
• 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: 81 Outperform
• Price Target: ¥3,048.00 ▲(27.00% Upside)

KVK Corporation's strong financial performance and attractive valuation are the primary drivers of its high score. The technical analysis suggests a strong upward trend, although the high RSI indicates potential overbought conditions. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

Strong Balance Sheet

A strong balance sheet with low leverage enhances financial stability, providing resilience against economic fluctuations and enabling strategic investments.

Cash Flow Improvement

Improved cash flow indicates strong cash generation ability, supporting sustainable operations and potential for reinvestment in growth opportunities.

Stable Profit Margins

Stable profit margins reflect effective cost control and operational efficiency, contributing to consistent profitability and competitive positioning.

Negative Factors

Slight Revenue Growth Decline

A slight decline in revenue growth may signal emerging market challenges, potentially impacting future sales and necessitating strategic adjustments.

Room for Cash Flow Optimization

Opportunities for optimizing cash flow management could enhance financial flexibility, allowing for more efficient capital allocation and investment.

Potential Market Challenges

Potential market challenges could hinder growth prospects, requiring strategic initiatives to adapt to changing market dynamics and sustain competitiveness.

KVK Corporation Business Overview & Revenue Model

Company Description

KVK Corporation manufactures and sells faucets in Japan. It offers bathroom, kitchen, and sink fixtures; pipes and pipe fittings; and other faucet parts. KVK Corporation was founded in 1939 and is headquartered in Gifu, Japan.

How the Company Makes Money

KVK Corporation generates revenue primarily through the sale of its pharmaceutical products, including generic drugs and specialty medications. The company leverages its strong manufacturing capabilities to produce a variety of formulations, which helps to maintain competitive pricing and high margins. Key revenue streams include direct sales to wholesalers, pharmacy chains, and healthcare institutions. Additionally, KVK may engage in partnerships with other pharmaceutical companies for co-development or distribution agreements, which can provide additional financial resources and market access. The company’s commitment to research and development also positions it to capitalize on emerging market trends and expanding therapeutic areas, further contributing to its earnings.

KVK Corporation Financial Statement Overview

Summary

KVK Corporation exhibits strong financial health with stable profitability and a robust balance sheet. The company effectively manages its costs and maintains low leverage, ensuring financial stability. While cash flow management shows positive trends, there is potential for further optimization.

Income Statement

KVK Corporation has demonstrated consistent revenue growth over the years, with a slight decline in the most recent period. The gross profit margin remains robust, indicating efficient cost management. Net profit margin and EBIT margin are stable, reflecting strong operational performance. However, the slight dip in revenue growth rate suggests potential market challenges.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio, highlighting prudent financial management. The equity ratio is high, indicating a solid capital structure. Return on equity is healthy, showcasing effective use of shareholder funds. Overall, the balance sheet reflects financial stability and low leverage risk.

Cash Flow

KVK Corporation's cash flow statement shows a significant improvement in free cash flow, driven by increased operating cash flow. The operating cash flow to net income ratio is strong, indicating good cash generation relative to profits. However, the free cash flow to net income ratio suggests room for improvement in capital expenditure management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	30.17B	29.65B	29.80B	29.74B	27.96B	25.44B
Gross Profit	7.71B	7.61B	7.46B	7.34B	7.53B	8.01B
EBITDA	4.13B	4.11B	3.54B	3.27B	3.24B	3.86B
Net Income	2.24B	2.11B	1.98B	1.77B	1.69B	2.20B
Balance Sheet
Total Assets	35.62B	36.28B	34.46B	36.16B	32.33B	30.48B
Cash, Cash Equivalents and Short-Term Investments	5.09B	5.46B	2.76B	5.66B	6.10B	6.70B
Total Debt	177.04M	190.23M	122.88M	341.18M	77.22M	47.19M
Total Liabilities	7.03B	7.95B	7.45B	11.49B	9.05B	8.52B
Stockholders Equity	28.59B	28.33B	27.01B	24.67B	23.27B	21.97B
Cash Flow
Free Cash Flow	0.00	2.80B	-2.73B	461.84M	401.45M	2.26B
Operating Cash Flow	0.00	3.57B	615.51M	2.31B	1.23B	2.82B
Investing Cash Flow	0.00	-242.67M	-3.16B	-2.32B	-1.16B	-424.84M
Financing Cash Flow	0.00	-606.63M	-434.81M	-425.76M	-736.11M	-443.25M

KVK Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2400.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6484, the sentiment is Positive. The current price of 2400 is below the 20-day moving average (MA) of 2430.30, above the 50-day MA of 2340.48, and above the 200-day MA of 2060.55, indicating a bullish trend. The MACD of 95.05 indicates Negative momentum. The RSI at 76.29 is Negative, neither overbought nor oversold. The STOCH value of 88.12 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6484.

KVK Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5951	82 Outperform	¥15.36B	11.62	―	2.30%	9.86%	119.10%
6484	81 Outperform	¥21.66B	8.97	―	3.46%	3.87%	5.89%
5956	81 Outperform	¥5.52B	7.60	―	1.76%	7.17%	214.23%
7981	79 Outperform	¥197.77B	14.24	―	3.41%	6.17%	61.39%
5941	70 Outperform	¥16.76B	9.51	―	2.66%	8.62%	11.21%
5946	66 Neutral	¥67.55B	32.63	1.51%	2.27%	1.82%	-32.79%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%