SHIMOJIMA Co., Ltd. (7482) AI Stock Analysis

• Market Cap: ¥27.24B
• Dividend Yield: 4.49%
• Average Volume (3M): 125.50K
• Price to Earnings (P/E): 13.4
• Beta (1Y): 0.83
• Revenue Growth: 4.99%
• EPS Growth: -12.09%
• Country: JP
• Employees: 812
• Sector: Consumer Cyclical
• Sector Strength: 62
• Industry: Packaging & Containers
• EPS (TTM): 9.04
• Shares Outstanding: 23,647,825
• 10 Day Avg. Volume: 61,940
• 30 Day Avg. Volume: 125,496
• PEG Ratio: -10.05
• Price to Book (P/B): 0.86
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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

• Rating: 73 Outperform
• Price Target: ¥1,346.00 ▲(11.98%Upside)

SHIMOJIMA Co., Ltd. achieves a solid overall stock score, primarily driven by strong financial performance, particularly a robust balance sheet and stable revenue growth. Valuation factors, including a fair P/E ratio and high dividend yield, enhance the stock's attractiveness. However, technical analysis indicates bearish momentum, which slightly offsets the positive financial and valuation aspects.

SHIMOJIMA Co., Ltd. Business Overview & Revenue Model

Company Description

SHIMOJIMA Co., Ltd. (7482) is a Japan-based company primarily engaged in the wholesale distribution of paper products and packaging materials. The company offers a wide range of products including paper bags, wrapping paper, and other packaging solutions, catering to various industries such as retail, food services, and logistics. With a focus on quality and sustainability, SHIMOJIMA has established itself as a key player in the packaging and materials sector in Japan.

How the Company Makes Money

SHIMOJIMA Co., Ltd. generates its revenue through the sale of paper and packaging products, operating primarily as a wholesaler. The company supplies its products to a diverse clientele across multiple industries, which include retail businesses, food service providers, and logistics companies. SHIMOJIMA's revenue streams are primarily driven by the volume of packaging materials sold, and its ability to maintain a broad and reliable distribution network. Additionally, the company may engage in partnerships with manufacturers for exclusive distribution rights or joint ventures to expand its market presence. The focus on environmentally friendly and sustainable products also positions SHIMOJIMA to attract eco-conscious businesses, potentially enhancing its competitive edge and revenue opportunities.

SHIMOJIMA Co., Ltd. Financial Statement Overview

Summary

SHIMOJIMA Co., Ltd. exhibits strong financial health with impressive revenue growth and profitability, supported by a robust balance sheet with low leverage. However, the absence of recent cash flow data could indicate challenges in maintaining liquidity, which warrants monitoring.

Income Statement

SHIMOJIMA Co., Ltd. demonstrates strong growth and profitability. The TTM gross profit margin stands at 32.15%, with a net profit margin of 3.30%, reflecting stable cost management and profitability. Revenue has grown steadily, with a TTM revenue growth rate of 3.55% and significant improvement from previous years. The EBIT and EBITDA margins are also healthy at 4.48% and 6.27% respectively, indicating effective operational efficiency.

Balance Sheet

The company's balance sheet is robust, characterized by a very low debt-to-equity ratio of 0.0026, underscoring minimal leverage and financial stability. SHIMOJIMA Co., Ltd. maintains a high equity ratio of 81.92%, indicating strong equity financing. The return on equity is 5.64%, showcasing reasonable profitability relative to shareholder equity.

Cash Flow

Cash flow performance is mixed with no reported operating or free cash flows in the TTM period, which raises concerns about cash generation sustainability. Previously, the operating cash flow to net income ratio was robust, and free cash flow showed growth. However, the current lack of cash flow data is a potential risk factor.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
59.84B	57.79B	55.03B	48.06B	47.10B	48.25B
	Gross Profit
19.25B	19.17B	17.54B	14.97B	15.06B	15.31B
	EBIT
2.68B	3.26B	2.01B	44.00M	275.00M	505.00M
	EBITDA
3.75B	4.61B	3.05B	1.18B	1.25B	1.44B
	Net Income Common Stockholders
1.98B	2.37B	1.54B	87.00M	-331.00M	331.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
7.04B	9.68B	7.14B	6.04B	7.63B	7.33B
	Total Assets
42.80B	43.41B	40.02B	37.76B	38.29B	39.37B
	Total Debt
90.00M	424.00M	425.00M	599.00M	614.00M	681.00M
	Net Debt
-6.95B	-9.26B	-6.71B	-5.44B	-7.01B	-6.65B
	Total Liabilities
7.66B	8.65B	7.34B	6.13B	6.07B	6.44B
	Stockholders Equity
35.07B	34.69B	32.62B	31.56B	32.17B	32.81B
Cash Flow		Free Cash Flow
0.00	3.34B	639.00M	-696.00M	472.00M	-384.00M
	Operating Cash Flow
0.00	4.70B	2.33B	430.00M	1.10B	822.00M
	Investing Cash Flow
0.00	-1.48B	-378.00M	-1.38B	-407.00M	-2.46B
	Financing Cash Flow
0.00	-678.00M	-686.00M	-647.00M	-404.00M	-647.00M

SHIMOJIMA Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1202.00
• 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:7482, the sentiment is Negative. The current price of 1202 is above the 20-day moving average (MA) of 1199.45, below the 50-day MA of 1210.47, and below the 200-day MA of 1255.79, indicating a neutral trend. The MACD of -4.28 indicates Negative momentum. The RSI at 48.60 is Neutral, neither overbought nor oversold. The STOCH value of 41.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7482.

SHIMOJIMA Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3947	79 Outperform	¥19.17B	4.79		3.62%	9.75%	153.81%
3950	79 Outperform	¥63.06B	10.74		3.55%	2.76%	-3.98%
3946	74 Outperform	¥46.48B	7.16		3.53%	3.82%	22.44%
7482	73 Outperform	¥27.24B	13.44		4.49%	4.99%	-12.09%
3951	73 Outperform	¥18.64B	10.78		4.39%	4.95%	6.56%
3943	69 Neutral	¥10.29B	9.94		4.22%	6.92%	-11.72%
Sector *	62 Neutral	$6.88B	11.32	2.90%	3.87%	2.70%	-24.57%

SHIMOJIMA Co., Ltd. Corporate Events

Shimojima Co., Ltd. Plans New Distribution Center to Boost Logistics

Shimojima Co., Ltd. has announced plans to acquire non-current assets to build a new distribution center in Hyogo Prefecture, scheduled for completion in June 2028. This strategic move aims to enhance the company’s logistics capacity and optimize its nationwide distribution process, with an investment of approximately ¥15.0 billion funded through its own resources and borrowings.

Shimojima Co., Ltd. Completes Share Distribution and Alters Major Shareholder

Shimojima Co., Ltd. has completed an off-floor distribution of 1,140,000 shares at a price of 1,085 Yen per share, which has resulted in a change of its major shareholder. This strategic move aims to enhance the liquidity and distribution of the company’s shares, potentially impacting its market presence and shareholder dynamics.

Shimojima Co., Ltd. Announces Off-Floor Share Distribution

Shimojima Co., Ltd. has announced plans to conduct an off-floor distribution of 1,140,000 shares to improve the liquidity and distribution of its shares. The distribution will take place on May 20, 2025, with a limit of 10,000 shares per purchasing customer, and the price will be determined based on the closing price the day before distribution. This move is intended to enhance the company’s stock market presence and could be postponed if market conditions fluctuate rapidly.

Shimojima Co., Ltd. Announces Executive Changes

Shimojima Co., Ltd. has announced changes in its executive team, including the appointment of a new Audit & Supervisory Board Member and changes in executive officers, effective June 25, 2025. These changes are part of the company’s ongoing efforts to strengthen its governance and operational efficiency, potentially impacting its strategic direction and stakeholder relations.

Shimojima Co., Ltd. Introduces New Dividend Policy to Enhance Shareholder Returns

Shimojima Co., Ltd. has announced a change in its dividend policy to include a consolidated dividend on equity ratio (DOE) as a new indicator, aiming to enhance the level and stability of dividends for shareholders. This strategic move underscores the company’s commitment to profit distribution as a key management issue, potentially strengthening its market position and benefiting stakeholders by providing clearer guidance on dividend returns.

Shimojima Co., Ltd. Reports Fiscal Year 2025 Financial Results and Positive Outlook for 2026

Shimojima Co., Ltd. reported its consolidated financial results for the fiscal year ending March 31, 2025, showing a 5% increase in net sales to ¥60,680 million. However, the company experienced a decline in operating and ordinary profits by 8.5% and 8.8% respectively, with profit attributable to owners down by 12%. Despite these declines, the company increased its annual dividend per share to ¥54.00, reflecting a commitment to shareholder returns. Looking ahead, Shimojima forecasts growth in the fiscal year ending March 31, 2026, with expected increases in net sales, operating profit, and ordinary profit, indicating a positive outlook for the company.