Toin Corporation (7923) AI Stock Analysis

• Market Cap: ¥5.96B
• Dividend Yield: 1.72%
• Average Volume (3M): 4.19K
• Price to Earnings (P/E): 8.7
• Beta (1Y): 0.69
• Revenue Growth: 5.37%
• EPS Growth: 20.22%
• Country: JP
• Employees: 625
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Packaging & Containers
• EPS (TTM): 33.19
• Shares Outstanding: 6,377,500
• 10 Day Avg. Volume: 3,720
• 30 Day Avg. Volume: 4,193
• PEG Ratio: 0.25
• Price to Book (P/B): 0.31
• Price to Sales (P/S): 0.23
• P/FCF Ratio: 2.41
• 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: 80 Outperform
• Price Target: ¥1,381.00 ▲(69.45% Upside)

The score is driven primarily by solid financial performance (revenue growth, improving margins, and notably strong cash flow/FCF improvement) and an attractive low P/E valuation. Technicals confirm a strong uptrend, but the very overextended RSI/Stochastic readings meaningfully temper the score due to elevated pullback risk.

Positive Factors

Revenue Growth

Toin Corporation's consistent revenue growth reflects strong market demand and effective sales strategies, supporting long-term business expansion.

Cash Flow Improvement

The positive shift in free cash flow indicates improved financial health and liquidity, enabling Toin Corporation to invest in growth opportunities.

Profitability

Improved profitability margins suggest better cost management and operational efficiency, enhancing Toin Corporation's competitive positioning.

Negative Factors

Debt Levels

While leverage is moderate, historically high liabilities could strain financial flexibility if not managed, impacting long-term stability.

EBIT Volatility

Past EBIT volatility suggests potential operational risks, which could affect future profitability and require strategic adjustments.

Cash Flow Fluctuations

Fluctuations in cash flow highlight the need for careful management to ensure consistent liquidity and support ongoing operations.

Toin Corporation Business Overview & Revenue Model

Company Description

Toin Corporation engages in the packaging materials, precision coating, and other businesses. The company offers packaging material for food, daily necessities, cosmetics, and pharmaceutical markets; pressure-sensitive labels, glue labels, delayed labels, POP labels, and other products; package inserts for pharmaceuticals and cosmetics; glue, adhesive, and functional paint coating for smartphones, semi-conductors, storage media, building materials, and other applications; and contract packaging services and sales/promotional tools. Toin Corporation was incorporated in 1950 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Toin Corporation generates revenue through the sale of its electronic components and systems, with key revenue streams coming from contracts with automotive manufacturers, industrial equipment producers, and consumer electronics companies. The company benefits from long-term partnerships with major clients, which provide a steady flow of orders and contribute to recurring revenue. Additionally, Toin Corporation invests in research and development to innovate and expand its product offerings, which helps attract new customers and retain existing ones. The company's focus on quality and reliability also allows it to command premium pricing for its products, further enhancing its profitability.

Toin Corporation Financial Statement Overview

Summary

Solid overall fundamentals supported by consistent revenue growth (+7.97%), improving profitability (net margin 4.10%; EBIT margin 6.11%), and strong cash generation (FCF turned positive to 1.42B JPY; operating cash flow to net income 3.16). Balance sheet is stable with moderate leverage (debt-to-equity 0.36) and a strong equity ratio (53.39%), though historically higher liabilities and earlier EBIT volatility add some risk.

Income Statement

Toin Corporation has demonstrated consistent revenue growth over the years, with a revenue increase of 7.97% in the past year. The gross profit margin stands at a healthy 20.29%, and the net profit margin improved to 4.10%, indicating better profitability. EBIT and EBITDA margins are at 6.11% and 11.49% respectively, reflecting efficient cost management and operational improvements. However, the company experienced volatility in EBIT over earlier periods, suggesting potential operational risks.

Balance Sheet

The balance sheet shows a stable financial position with a debt-to-equity ratio of 0.36, indicating moderate leverage. Return on Equity (ROE) has improved to 5.47%, suggesting efficient use of equity to generate profits. The equity ratio is 53.39%, showcasing a strong equity base. However, the company's debt levels and liabilities have been relatively high, which may pose risks if not managed properly.

Cash Flow

The company's cash flow position is robust, with a significant improvement in free cash flow, turning positive to 1.42 billion JPY from a negative position. The operating cash flow to net income ratio is 3.16, indicating strong cash generation relative to net income. The free cash flow to net income ratio is 2.37, highlighting efficient cash usage and strong liquidity. However, historical fluctuations in free cash flow suggest the need for careful cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.72B	14.58B	13.51B	12.70B	11.52B	11.25B
Gross Profit	3.07B	2.96B	2.42B	1.95B	1.79B	1.80B
EBITDA	1.77B	1.68B	1.51B	980.38M	849.48M	1.13B
Net Income	612.35M	597.66M	487.92M	49.90M	-62.94M	118.59M
Balance Sheet
Total Assets	20.57B	20.46B	19.34B	18.13B	17.90B	18.10B
Cash, Cash Equivalents and Short-Term Investments	2.38B	2.68B	1.81B	2.09B	2.33B	2.26B
Total Debt	3.72B	3.93B	4.26B	3.29B	3.90B	4.08B
Total Liabilities	9.53B	9.48B	9.33B	8.87B	8.69B	8.83B
Stockholders Equity	10.98B	10.92B	9.96B	9.21B	9.17B	9.23B
Cash Flow
Free Cash Flow	0.00	1.42B	-1.35B	386.67M	326.77M	-154.04M
Operating Cash Flow	0.00	1.89B	546.28M	1.11B	852.94M	829.21M
Investing Cash Flow	0.00	-630.36M	-1.75B	-696.29M	-590.61M	-770.66M
Financing Cash Flow	0.00	-423.99M	894.32M	-677.82M	-222.49M	-41.24M

Toin Corporation Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7923, the sentiment is Positive. The current price of 815 is below the 20-day moving average (MA) of 1183.95, below the 50-day MA of 1031.38, and below the 200-day MA of 821.76, indicating a bullish trend. The MACD of 37.38 indicates Positive momentum. The RSI at 84.46 is Negative, neither overbought nor oversold. The STOCH value of 77.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7923.

Toin Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7923	80 Outperform	¥5.96B	8.70	―	1.72%	5.37%	20.22%
3943	78 Outperform	¥12.10B	13.98	―	4.54%	4.38%	-12.68%
3954	76 Outperform	¥14.61B	12.11	―	1.20%	6.42%	-6.32%
3944	73 Outperform	¥2.88B	8.22	―	2.09%	2.37%	98.09%
3951	70 Outperform	¥19.26B	13.77	―	4.39%	5.06%	-15.22%
3953	63 Neutral	¥2.83B	-30.32	―	6.31%	2.07%	-145.09%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%