Nihon Trim Co., Ltd. (6788) AI Stock Analysis

• Market Cap: ¥38.76B
• Dividend Yield: 2.59%
• Average Volume (3M): 13.15K
• Price to Earnings (P/E): 19.8
• Beta (1Y): 0.62
• Revenue Growth: 10.25%
• EPS Growth: -9.38%
• Country: JP
• Employees: 663
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): 60.83
• Shares Outstanding: 8,656,780
• 10 Day Avg. Volume: 14,600
• 30 Day Avg. Volume: 13,146
• PEG Ratio: 3.11
• Price to Book (P/B): 1.23
• Price to Sales (P/S): 1.32
• P/FCF Ratio: 15.43
• 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): 285.9
• Revenue Forecast (FY): ¥24.50B

• Rating: 78 Outperform
• Price Target: ¥5,409.00 ▲(7.32% Upside)
• Action: Reiterated Date: 10/23/25
• Date: Action: Reiterated 10/23/25

Nihon Trim Co., Ltd. demonstrates strong financial performance with robust growth, profitability, and stability, which is the most significant factor in its overall score. Technical analysis supports a positive trend, although caution is advised due to high stochastic levels. The valuation is reasonable, with a fair P/E ratio and attractive dividend yield, contributing positively to the score.

Positive Factors

Financial Stability

Nihon Trim's low leverage and high equity ratio indicate a solid capital structure, minimizing financial risk and ensuring long-term stability.

Revenue Growth

Consistent revenue growth highlights the company's expanding market presence and successful product adoption, supporting future profitability.

Cash Flow Generation

Strong free cash flow generation enhances financial flexibility, allowing for reinvestment in growth opportunities and shareholder returns.

Negative Factors

EPS Decline

A decline in EPS suggests challenges in maintaining profitability, potentially impacting investor confidence and future earnings growth.

Operating Cash Flow Decline

A decrease in operating cash flow may signal operational inefficiencies or increased costs, affecting the company's ability to fund operations.

Earnings Pressure

Despite strong growth, pressures on earnings due to declining EPS could affect long-term profitability and strategic investments.

Nihon Trim Co., Ltd. Business Overview & Revenue Model

Company Description

Nihon Trim Co., Ltd. develops and sells electrolyzed hydrogen water systems in Japan and internationally. The company also offers cartridges and electrolyzed hydrogen water apparatuses for agriculture and livestock industries, as well as households; and electrolyzed water hemodialysis systems for medical care. In addition, it manufactures and sells bottled water; and undertakes research and development works of electrolyzed hydrogen water. Nihon Trim Co., Ltd. was founded in 1982 and is headquartered in Osaka, Japan.

How the Company Makes Money

Nihon Trim Co., Ltd. generates revenue through the sale of its water purification products and health devices, targeting both consumer and commercial markets. The company's revenue model is based on direct sales, where it sells products through various distribution channels, including retail, online platforms, and partnerships with health and wellness providers. Key revenue streams include the sales of ionized water generators, replacement filters, and accessories. Additionally, Nihon Trim may engage in collaborations with healthcare institutions and wellness centers, which can enhance its market reach and contribute to its overall earnings.

Nihon Trim Co., Ltd. Financial Statement Overview

Summary

Nihon Trim Co., Ltd. presents a strong financial profile across all verticals. The income statement reflects solid growth and profitability, supported by efficient operations. The balance sheet is very strong, with low leverage and a high equity ratio, indicating financial stability. Cash flows are positive with consistent free cash flow generation, although there is a slight decline in operating cash flow. Overall, the company's financial health is robust, with strengths in growth, profitability, and stability.

Income Statement

Nihon Trim Co., Ltd. has shown a strong revenue growth trajectory with consistent increases over the past five years. The gross profit margin is robust, indicating efficient cost management. The EBIT and EBITDA margins are stable, reflecting consistent operational efficiency. The net profit margin also shows healthy profitability. Overall, the income statement reflects strong financial performance with growing revenues and stable profitability margins.

Balance Sheet

The balance sheet is strong with a low debt-to-equity ratio, indicating conservative leverage and financial stability. The equity ratio is high, reflecting a solid capital structure with a significant portion of assets financed by equity. Return on equity is robust, demonstrating effective use of shareholder funds to generate profit. Overall, the balance sheet suggests a stable and well-capitalized company with low financial risk.

Cash Flow

Cash flow analysis shows positive free cash flow with consistent growth, indicating strong operational cash generation. The operating cash flow to net income ratio is healthy, suggesting good cash conversion efficiency. Although there is a slight decrease in operating cash flow over the last year, the overall cash flow position remains strong. The company maintains a balanced financing approach, supporting stable cash flow management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	22.95B	22.46B	20.41B	17.95B	16.28B	14.92B
Gross Profit	15.64B	15.42B	14.22B	12.43B	11.25B	10.50B
EBITDA	3.77B	3.98B	3.73B	2.94B	2.55B	2.60B
Net Income	2.07B	2.24B	2.15B	1.65B	1.94B	1.52B
Balance Sheet
Total Assets	34.81B	35.35B	31.54B	29.05B	26.59B	24.93B
Cash, Cash Equivalents and Short-Term Investments	14.66B	16.40B	15.26B	12.80B	12.38B	10.73B
Total Debt	1.12B	1.19B	74.03M	56.11M	7.35M	1.02B
Total Liabilities	10.26B	9.81B	7.92B	6.92B	5.79B	7.11B
Stockholders Equity	23.00B	23.97B	22.31B	21.03B	19.85B	17.44B
Cash Flow
Free Cash Flow	501.92M	1.92B	2.54B	1.62B	608.25M	1.77B
Operating Cash Flow	587.25M	2.68B	2.97B	1.94B	1.15B	2.68B
Investing Cash Flow	561.05M	-1.89B	-882.83M	-551.14M	432.24M	-887.11M
Financing Cash Flow	-350.69M	552.58M	-998.18M	-500.49M	568.37M	109.35M

Nihon Trim Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5040.00
• 50DMA: Negative
• 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:6788, the sentiment is Negative. The current price of 5040 is below the 20-day moving average (MA) of 5043.25, above the 50-day MA of 5001.00, and above the 200-day MA of 4663.95, indicating a neutral trend. The MACD of 16.46 indicates Positive momentum. The RSI at 47.60 is Neutral, neither overbought nor oversold. The STOCH value of 25.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6788.

Nihon Trim Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6332	80 Outperform	¥137.67B	8.02	―	3.20%	2.46%	533.70%
6331	79 Outperform	¥87.30B	13.22	16.37%	2.79%	31.48%	16.11%
6788	78 Outperform	¥38.76B	19.83	8.89%	2.59%	10.25%	-9.38%
9551	76 Outperform	¥149.48B	18.11	12.54%	1.84%	13.86%	51.05%
6368	71 Outperform	¥805.35B	28.30	―	1.43%	7.87%	38.32%
6489	68 Neutral	¥39.12B	11.77	―	2.74%	0.18%	-18.93%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Nihon Trim Co., Ltd. Corporate Events

Nihon Trim Hits Record Q3 Sales but Profit Slips on Upfront Investment

Nihon Trim reported record third-quarter net sales of 18,345 million yen, up 8.1% year on year, but profits fell at all levels as ordinary profit declined 15.2% to 2,425 million yen and profit attributable to owners of parent dropped 16.2% to 1,560 million yen on higher upfront and operating expenses. Direct sales grew 4.1% to 6,494 million yen, supported by a new color launch and price revisions for its main model and continued focus on sports and beauty markets, while wholesale sales slid 10.3% to 719 million yen even as earlier weakness at existing agents began to recover.

Sales of water purification cartridges rose 3.7% to 4,517 million yen on strong customer follow-up, but SG&A expenses increased due to expanded hiring and heavier advertising and promotion. The bottled water business delivered robust growth with net sales up 31.0% to 3,321 million yen, though profitability is expected to decline as the company boosts advertising to gain market share, and its electrolyzed water hemodialysis business expanded installations to 37 facilities with 1,127 beds, while regenerative medicine subsidiary StemCell Institute Inc. posted a record third-quarter net sales performance despite higher costs from organizational restructuring and human resource investment.

The most recent analyst rating on (JP:6788) stock is a Buy with a Yen5885.00 price target. To see the full list of analyst forecasts on Nihon Trim Co., Ltd. stock, see the JP:6788 Stock Forecast page.

Nihon Trim Posts Higher Sales but Weaker Profits, Keeps Full-Year Outlook and Dividend

Nihon Trim reported consolidated net sales of ¥18.3 billion for the nine months ended December 31, 2025, up 8.1% year on year, while operating profit fell 14.6% to ¥2.28 billion and profit attributable to owners of parent declined 16.2% to ¥1.56 billion. Total assets edged down to ¥34.9 billion and the equity ratio slipped to 66.5%, reflecting lower net assets and an increase in treasury shares.

For the full fiscal year ending March 31, 2026, the company maintained its forecast of ¥25.0 billion in net sales and ¥2.3 billion in profit attributable to owners of parent, implying modest profit growth despite recent margin pressure. The annual dividend forecast remains unchanged at ¥130 per share, signaling management’s intent to sustain shareholder returns even as profitability softens in the current nine-month period.

The most recent analyst rating on (JP:6788) stock is a Buy with a Yen5885.00 price target. To see the full list of analyst forecasts on Nihon Trim Co., Ltd. stock, see the JP:6788 Stock Forecast page.