Nozaki Insatsu Shigyo Co., Ltd. (7919) AI Stock Analysis

• Market Cap: ¥3.44B
• Dividend Yield: 3.69%
• Average Volume (3M): 26.67K
• Price to Earnings (P/E): 10.0
• Beta (1Y): 0.53
• Revenue Growth: 0.62%
• EPS Growth: -24.08%
• Country: JP
• Employees: 413
• Sector: Industrials
• Sector Strength: 72
• Industry: Specialty Business Services
• EPS (TTM): 7.51
• Shares Outstanding: 21,460,000
• 10 Day Avg. Volume: 18,990
• 30 Day Avg. Volume: 26,673
• PEG Ratio: -0.80
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.19
• P/FCF Ratio: -6.89
• 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: 66 Neutral
• Price Target: ¥216.00 ▲(4.85% Upside)

The score is driven primarily by improving profitability and generally stable balance sheet trends, offset by volatile and recently negative free cash flow. Valuation is a positive contributor due to the low P/E and solid dividend yield, while technical indicators point to near-term weakness despite some longer-term support.

Positive Factors

Revenue & margin improvement

Sustained revenue growth and multi-year gross/net margin expansion indicate enduring operational improvements (pricing, mix, cost control). This bolsters durable earnings power and free cash generation capacity, supporting reinvestment or dividends over the medium term.

Strong operating cash flow quality

Robust operating cash flow relative to net income signals high-quality earnings and internal funding ability. Over 2–6 months this underpins capital spending, dividend coverage or debt reduction without relying heavily on external financing, enhancing financial resilience.

Stable leverage and cash buffer

A stable debt-to-equity profile combined with a healthy cash position provides financial flexibility to absorb shocks, fund strategic initiatives, or smooth operations. This balance sheet strength supports continuity of operations and strategic choices over the medium term.

Negative Factors

Rising reliance on debt

A declining equity ratio and greater dependence on debt raise solvency and interest-rate sensitivity risks. Over the coming months higher leverage can constrain capital allocation, increase financing costs, and reduce headroom for opportunistic investments or shocks.

Free cash flow volatility and 2025 shortfall

Volatile FCF and a 2025 negative outflow driven by elevated capex reduce predictable internal funding. If investment does not quickly produce returns, liquidity pressure could force external financing or cutbacks, weakening strategic flexibility over the medium term.

Earnings volatility / EPS decline

A sharp EPS contraction and a prior net income dip reveal profit instability. Persistent earnings volatility undermines confidence in margin gains and dividend sustainability, complicates planning, and could necessitate corrective measures that affect growth over several quarters.

Nozaki Insatsu Shigyo Co., Ltd. Business Overview & Revenue Model

Company Description

Nozaki Insatsu Shigyo Co., Ltd. engages in commercial printing business in Japan. It provides paper container packaging products, including tapered and wing taper trays, wind patches, animated cases, opel and touch cases, security printing, and security design. The company also offers flexible packing products, such as rolls and bag making; labels, which include color, security, functional, and decorative labels; printer/customizing machines; and calendars, sample book/pictorial records, paper bags, and business forms. The company was formerly known as Nozaki Shigyo Co., Ltd. and changed its name to Nozaki Insatsu Shigyo Co., Ltd. in 1962. Nozaki Insatsu Shigyo Co., Ltd. was incorporated in 1940 and is based in Kyoto, Japan.

How the Company Makes Money

The company generates revenue through multiple streams, primarily from the sale of its printing services. This includes providing customized printing solutions for clients in various industries, which involves both short-run and large-volume printing orders. Additionally, Nozaki Insatsu Shigyo Co., Ltd. benefits from long-term partnerships with businesses in sectors like publishing and advertising, which provide a steady flow of projects. The company's revenue is further supported by its ability to offer value-added services such as graphic design and pre-press services, enhancing customer satisfaction and retention.

Nozaki Insatsu Shigyo Co., Ltd. Financial Statement Overview

Summary

Income statement trends are positive with improving gross, EBIT/EBITDA, and net margins (back to a 3.6% net margin in 2025), but profitability was uneven with a net income dip in 2024. The balance sheet is generally stable with prudent leverage and healthy cash vs. debt, though the equity ratio has edged down and liabilities have increased. Cash flow is the main constraint: operating cash flow is strong, but free cash flow has been volatile and turned negative in 2025 due to higher capex.

Income Statement

Nozaki Insatsu Shigyo Co., Ltd. has demonstrated consistent revenue growth over the past few years, with a notable increase in gross profit margin from 17.0% in 2020 to 19.9% in 2025. The net profit margin has improved significantly, rising from a loss in 2020 to 3.6% in 2025. EBIT and EBITDA margins have also shown upward trends, indicating enhanced operational efficiency. However, the company experienced a dip in net income in 2024, affecting overall profitability.

Balance Sheet

The company's debt-to-equity ratio has remained stable, showing prudent financial management. However, the equity ratio has slightly decreased over the years, indicating a higher reliance on debt financing. Return on equity has improved, reflecting better net income performance. The balance sheet shows a healthy cash position relative to debt, but a slight increase in liabilities poses a potential risk.

Cash Flow

The cash flow statements reveal strong operating cash flow, though free cash flow has been volatile due to significant capital expenditures. The free cash flow saw a substantial drop in 2025, reflecting increased investment activities. Despite this, the operating cash flow to net income ratio remains robust, suggesting effective cash management. However, the negative free cash flow in 2025 is a concern for long-term sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.63B	14.57B	14.16B	13.44B	13.08B	13.11B
Gross Profit	2.88B	2.90B	2.74B	2.37B	2.16B	2.06B
EBITDA	1.34B	1.37B	1.30B	1.03B	770.78M	849.52M
Net Income	480.81M	522.14M	573.22M	253.29M	10.12M	80.56M
Balance Sheet
Total Assets	10.79B	10.67B	10.75B	10.30B	10.20B	10.70B
Cash, Cash Equivalents and Short-Term Investments	1.36B	1.43B	1.63B	1.25B	1.20B	1.05B
Total Debt	2.63B	2.40B	2.02B	1.94B	2.40B	2.73B
Total Liabilities	6.20B	6.04B	6.48B	6.53B	6.68B	7.16B
Stockholders Equity	4.34B	4.41B	4.06B	3.58B	3.35B	3.37B
Cash Flow
Free Cash Flow	0.00	-397.70M	359.02M	549.25M	555.09M	38.14M
Operating Cash Flow	0.00	653.57M	1.10B	910.61M	942.99M	316.62M
Investing Cash Flow	0.00	-1.06B	-683.55M	-377.31M	-412.18M	-275.56M
Financing Cash Flow	0.00	206.13M	-32.24M	-492.20M	-372.60M	68.60M

Nozaki Insatsu Shigyo Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 206.00
• 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:7919, the sentiment is Negative. The current price of 206 is below the 20-day moving average (MA) of 215.10, above the 50-day MA of 204.22, and above the 200-day MA of 191.86, indicating a neutral trend. The MACD of 2.94 indicates Positive momentum. The RSI at 31.64 is Neutral, neither overbought nor oversold. The STOCH value of 21.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7919.

Nozaki Insatsu Shigyo Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7811	83 Outperform	¥17.70B	8.60	―	3.62%	7.07%	79.18%
7987	69 Neutral	¥15.19B	8.64	―	3.79%	-0.03%	84.08%
7919	66 Neutral	¥3.44B	9.98	―	3.69%	0.62%	-24.08%
3948	65 Neutral	¥7.24B	35.78	―	2.94%	-2.81%	57.37%
7893	65 Neutral	¥29.51B	-59.74	―	3.97%	4.10%	-121.49%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
7916	61 Neutral	¥5.62B	10.35	―	2.72%	-1.30%	―