Toin Corporation (7923) AI Stock Analysis

• Market Cap: ¥4.21B
• Dividend Yield: 2.09%
• Average Volume (3M): 3.60K
• Price to Earnings (P/E): 6.1
• Beta (1Y): 0.67
• 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: 4,130
• 30 Day Avg. Volume: 3,603
• 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: 76 Outperform
• Price Target: ¥1,013.00 ▲(24.29% Upside)

Toin Corporation's strong financial performance, characterized by revenue growth and robust cash flow, is the primary driver of its stock score. The undervaluation indicated by the low P/E ratio further enhances its attractiveness. Technical indicators suggest a generally positive trend, though short-term caution is advised due to the negative MACD. The absence of significant earnings call insights or corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for Toin's packaging solutions, supporting long-term business expansion and market presence.

Cash Flow Generation

Strong cash flow generation enhances financial flexibility, allowing Toin to invest in growth opportunities and manage debt effectively.

Profitability Margins

Improved profitability margins reflect efficient cost management and operational improvements, contributing to sustainable earnings growth.

Negative Factors

Debt Levels

While leverage is moderate, relatively high debt levels could pose risks if not managed properly, potentially impacting financial stability.

EBIT Volatility

EBIT volatility may indicate operational challenges, potentially affecting profitability and requiring strategic adjustments to stabilize earnings.

EPS Growth Decline

A decline in EPS growth suggests challenges in maintaining profitability, which could impact investor confidence and future earnings potential.

Toin Corporation Business Overview & Revenue Model

Company Description

Toin Corporation (7923) is a Japanese company primarily engaged in the manufacturing and sale of specialized electronic components and systems. The company operates in sectors such as automotive, industrial machinery, and consumer electronics, providing innovative solutions including sensors, circuit boards, and power supply units. Toin Corporation is known for its focus on high-quality products and advanced technology, catering to a diverse range of industries.

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

Toin Corporation presents a solid financial profile with notable revenue growth, improved profitability margins, and strong cash flow generation. The balance sheet reflects a stable equity base with moderate leverage. While the company has shown improvements across key financial metrics, continued focus on managing debt levels and maintaining operational efficiency will be crucial to sustain its positive trajectory.

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: Negative
• Last Price: 815.00
• 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:7923, the sentiment is Negative. The current price of 815 is below the 20-day moving average (MA) of 848.20, below the 50-day MA of 863.22, and above the 200-day MA of 739.29, indicating a neutral trend. The MACD of -5.63 indicates Positive momentum. The RSI at 45.90 is Neutral, neither overbought nor oversold. The STOCH value of 28.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7923.

Toin Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3943	78 Outperform	¥11.22B	12.97	―	4.64%	4.38%	-12.68%
3954	76 Outperform	¥12.83B	10.40	―	1.57%	6.42%	-6.32%
7923	76 Outperform	¥4.21B	6.14	―	2.09%	5.37%	20.22%
3944	73 Outperform	¥2.59B	7.28	―	2.12%	2.37%	98.09%
3951	70 Outperform	¥18.83B	12.04	―	4.38%	5.06%	-15.22%
3953	63 Neutral	¥2.77B	―	―	6.32%	2.07%	-145.09%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%