Kimoto Co., Ltd. (7908) AI Stock Analysis

• Market Cap: ¥12.16B
• Dividend Yield: 3.1%
• Average Volume (3M): 117.57K
• Price to Earnings (P/E): 14.1
• Beta (1Y): 1.05
• Revenue Growth: 6.68%
• EPS Growth: -5.98%
• Country: JP
• Employees: 460
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 5.05
• Shares Outstanding: 54,772,564
• 10 Day Avg. Volume: 76,480
• 30 Day Avg. Volume: 117,566
• 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: ¥281.00
• Price Target Upside: 8.91% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 70 Neutral
• Price Target: ¥281.00 ▲(8.91% Upside)

Kimoto Co., Ltd. shows a strong financial foundation with improvements in profitability and cash flow management, which are the most significant factors contributing to the score. The technical analysis suggests a neutral trend with potential for upward movement, while the valuation indicates the stock is fairly valued with an attractive dividend yield. However, inconsistent revenue growth and fluctuations in free cash flow growth present challenges that need to be addressed.

Kimoto Co., Ltd. Business Overview & Revenue Model

Company Description

Kimoto Co., Ltd. (7908) is a Japan-based company primarily engaged in the manufacturing and sale of high-performance electronic materials. The company operates in various sectors, including semiconductor materials, display materials, and optical components. Kimoto's core products include photoresists, which are essential for semiconductor fabrication, and other materials used in the production of electronic devices, contributing to advancements in technology and electronics manufacturing.

How the Company Makes Money

Kimoto Co., Ltd. generates revenue through the sale of its specialized electronic materials to a wide range of industries, particularly in the semiconductor and electronics sectors. The company benefits from a diversified revenue model that includes direct sales to manufacturers and long-term contracts with key clients in the semiconductor industry. Significant partnerships with major technology firms enhance its market position and provide consistent income streams. Additionally, the company's focus on research and development allows it to innovate and introduce new products, catering to the evolving needs of its clients, which further drives revenue growth.

Kimoto Co., Ltd. Financial Statement Overview

Summary

Kimoto Co., Ltd. demonstrates a solid financial position with improvements in profitability and cash flow management. The company has managed to enhance its margins and reduce leverage, which strengthens its financial stability. However, inconsistent revenue growth and fluctuations in free cash flow growth present challenges that need to be addressed to ensure sustained financial health.

Income Statement

Kimoto Co., Ltd. has shown a mixed performance in its income statement. The gross profit margin has improved significantly over the years, reaching 38.38% in 2025 from 23.79% in 2023, indicating better cost management. The net profit margin has also improved to 8.76% in 2025 from negative margins in previous years, showcasing a turnaround in profitability. However, the revenue growth rate has been inconsistent, with a notable decline of 8.86% in 2025. The EBIT and EBITDA margins have improved, reflecting operational efficiency, but the volatility in revenue growth poses a risk.

Balance Sheet

The balance sheet of Kimoto Co., Ltd. is relatively strong, with a low debt-to-equity ratio indicating minimal leverage, which reduces financial risk. The return on equity has improved to 5.25% in 2025 from negative figures in 2023, reflecting better utilization of equity. The equity ratio remains stable, suggesting a solid capital structure. However, the company should focus on maintaining consistent ROE growth to enhance shareholder value.

Cash Flow

Kimoto Co., Ltd. has shown strong cash flow performance, with a significant improvement in operating cash flow and free cash flow. The free cash flow to net income ratio is robust at 78.07% in 2025, indicating efficient cash generation relative to net income. The operating cash flow to net income ratio is also healthy, suggesting good cash flow management. However, the company experienced fluctuations in free cash flow growth, which could impact future liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.29B	11.29B	9.91B	9.62B	12.23B	11.56B
Gross Profit	4.33B	4.33B	3.17B	2.29B	3.56B	3.06B
EBITDA	1.95B	1.95B	714.00M	-115.00M	1.30B	1.16B
Net Income	989.00M	989.00M	335.00M	-567.00M	684.00M	492.00M
Balance Sheet
Total Assets	23.05B	23.05B	22.60B	21.56B	23.82B	22.83B
Cash, Cash Equivalents and Short-Term Investments	12.88B	12.88B	13.17B	13.11B	14.15B	12.63B
Total Debt	7.00M	7.00M	10.00M	4.00M	6.00M	0.00
Total Liabilities	4.21B	4.21B	4.44B	3.87B	5.16B	4.87B
Stockholders Equity	18.84B	18.84B	18.16B	17.69B	18.66B	17.96B
Cash Flow
Free Cash Flow	0.00	1.44B	134.00M	-555.00M	1.45B	929.00M
Operating Cash Flow	0.00	1.84B	514.00M	-190.00M	1.57B	1.25B
Investing Cash Flow	0.00	-1.38B	-642.00M	-528.00M	-28.00M	-271.00M
Financing Cash Flow	0.00	-573.00M	-278.00M	-576.00M	-235.00M	-427.00M

Kimoto Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 258.00
• 50DMA: Positive
• 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:7908, the sentiment is Positive. The current price of 258 is above the 20-day moving average (MA) of 257.20, above the 50-day MA of 250.72, and above the 200-day MA of 256.72, indicating a bullish trend. The MACD of 1.40 indicates Positive momentum. The RSI at 56.00 is Neutral, neither overbought nor oversold. The STOCH value of 50.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7908.

Kimoto Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7927	76 Outperform	¥12.40B	8.37	8.22%	6.00%	6.38%	-23.94%
6919	75 Outperform	¥10.73B	58.12	2.64%	5.42%	-2.65%	-74.99%
7908	70 Neutral	¥12.16B	14.09	―	3.10%	6.68%	-5.98%
6772	65 Neutral	¥12.70B	20.42	9.36%	1.78%	1.49%	-26.82%
6928	64 Neutral	¥11.42B	16.58	2.05%	4.18%	8.68%	859.21%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%