Nihon Flush Co., Ltd. (7820) AI Stock Analysis

• Market Cap: ¥20.22B
• Dividend Yield: 4.46%
• Average Volume (3M): 21.99K
• Price to Earnings (P/E): 21.8
• Beta (1Y): 0.35
• Revenue Growth: -7.57%
• EPS Growth: -316.77%
• Country: JP
• Employees: 1,418
• Sector: Industrials
• Sector Strength: 72
• Industry: Construction
• EPS (TTM): 1.11
• Shares Outstanding: 25,060,000
• 10 Day Avg. Volume: 22,090
• 30 Day Avg. Volume: 21,990
• 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: ¥839.00
• Price Target Upside: 2.94% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: ¥839.00 ▲(2.94% Upside)

Nihon Flush Co., Ltd. has a moderate overall stock score of 58, primarily driven by financial challenges such as declining revenues and negative profitability. Technical analysis provides some positive signals, but valuation concerns due to negative earnings weigh on the score. The high dividend yield offers some appeal to income investors.

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

Company Description

Nihon Flush Co., Ltd. operates primarily in the manufacturing and sale of automotive interior and exterior components. The company specializes in the production of flush surfaces, which are used in various automotive applications to enhance vehicle aesthetics and functionality. Nihon Flush is known for its innovative designs and high-quality products that cater to the evolving demands of the automotive industry.

How the Company Makes Money

Nihon Flush Co., Ltd. generates revenue through the manufacturing and sale of its automotive components, particularly focusing on flush surfaces used in vehicle interiors and exteriors. The company collaborates with major automobile manufacturers to supply these components, often under long-term contracts. Revenue streams include sales to automotive OEMs (Original Equipment Manufacturers) and aftermarket sales. Nihon Flush's earnings are influenced by the demand in the automotive sector, technological advancements, and its ability to maintain strong partnerships with leading car manufacturers.

Nihon Flush Co., Ltd. Financial Statement Overview

Summary

The company faces financial headwinds with declining revenues and negative profitability. Despite a stable balance sheet with low leverage, negative net income and declining equity pose risks. Positive cash flow generation provides some cushion, but revenue and profit challenges need addressing.

Income Statement

The income statement reveals a troubling decline in financial performance. The company experienced a substantial drop in total revenue from 2024 to 2025, with a decrease in gross profit margin due to reduced gross profits. Net profit margin has turned negative, indicating the company is currently unprofitable. The EBIT and EBITDA margins have also shown declines, with EBITDA particularly weak. Revenue growth has been negative over the past year, reflecting significant challenges in maintaining sales levels.

Balance Sheet

The balance sheet displays moderate stability with a strong equity base. The debt-to-equity ratio remains low, suggesting conservative use of debt financing. However, there is a slight decrease in stockholders' equity over the past year. The equity ratio is strong, indicating a solid proportion of total assets funded by equity. Return on equity has turned negative, aligning with the negative net income, which poses concerns over the company's profitability.

Cash Flow

The cash flow statement highlights mixed performance. Operating cash flow has increased, showcasing improved operational efficiency. However, free cash flow growth is moderate. The operating cash flow to net income ratio is distorted due to negative net income, while the free cash flow to net income ratio similarly reflects this challenge. Despite these concerns, the company maintains positive free cash flow, which is a positive aspect.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	23.98B	23.98B	25.90B	27.33B	33.09B	28.88B
Gross Profit	5.66B	5.62B	6.31B	7.02B	9.39B	9.14B
EBITDA	-1.76B	-1.76B	2.47B	3.36B	5.99B	5.14B
Net Income	-2.79B	-2.79B	1.33B	1.88B	3.84B	3.30B
Balance Sheet
Total Assets	42.31B	42.31B	44.95B	43.60B	42.35B	35.17B
Cash, Cash Equivalents and Short-Term Investments	10.45B	10.45B	8.73B	8.83B	7.73B	7.30B
Total Debt	2.03B	2.03B	2.10B	1.29B	1.52B	1.83B
Total Liabilities	11.27B	11.27B	12.15B	10.73B	11.70B	10.34B
Stockholders Equity	30.21B	30.21B	31.59B	31.62B	29.49B	23.97B
Cash Flow
Free Cash Flow	0.00	1.99B	1.49B	2.05B	1.01B	867.67M
Operating Cash Flow	0.00	2.54B	1.70B	2.41B	1.50B	2.12B
Investing Cash Flow	0.00	-1.19B	-1.56B	-933.65M	-2.35B	-1.59B
Financing Cash Flow	0.00	-938.70M	-2.17B	-1.13B	-1.14B	481.26M

Nihon Flush Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 815.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7820, the sentiment is Negative. The current price of 815 is above the 20-day moving average (MA) of 809.00, above the 50-day MA of 808.82, and above the 200-day MA of 804.76, indicating a neutral trend. The MACD of 0.53 indicates Negative momentum. The RSI at 46.61 is Neutral, neither overbought nor oversold. The STOCH value of 51.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7820.

Nihon Flush Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1972	83 Outperform	30.04B	9.51	10.85%	4.51%	5.35%	18.24%
5940	74 Outperform	10.48B	4.43	9.52%	2.99%	3.90%	9.38%
7871	73 Outperform	17.77B	11.89	4.01%	2.93%	1.51%	-13.05%
7949	73 Outperform	46.96B	17.54	7.01%	2.45%	2.77%	8.52%
7820	58 Neutral	¥20.22B	21.76		4.46%	-7.57%	-316.77%
5932	52 Neutral	20.13B	-8.69	-2.56%	3.86%	1.81%	-129.27%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Nihon Flush Co., Ltd. Corporate Events

Nihon Flush Reports Decline in Q1 2025 Performance but Projects Positive Outlook for FY 2026

Nihon Flush Co., Ltd. reported a decline in its financial performance for the three months ended June 30, 2025, with net sales decreasing by 2.2% year-on-year. The company experienced a significant drop in profit attributable to owners of the parent, falling by 81.5% compared to the same period last year. Despite these challenges, the company maintains a strong equity-to-asset ratio of 72.2%. Looking forward, the company anticipates a positive outlook for the fiscal year ending March 31, 2026, with projected net sales growth of 8.4% and a substantial increase in operating profit by 129.7%.