Maezawa Kasei Industries Co., Ltd. (7925) AI Stock Analysis

• Market Cap: ¥34.15B
• Dividend Yield: 3.45%
• Average Volume (3M): 57.22K
• Price to Earnings (P/E): 17.8
• Beta (1Y): 0.74
• Revenue Growth: 4.17%
• EPS Growth: 23.25%
• Country: JP
• Employees: 567
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals
• EPS (TTM): 35.44
• Shares Outstanding: 15,732,000
• 10 Day Avg. Volume: 66,800
• 30 Day Avg. Volume: 57,220
• PEG Ratio: 0.62
• Price to Book (P/B): 0.66
• Price to Sales (P/S): 1.13
• P/FCF Ratio: 25.50
• 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: 71 Outperform
• Price Target: ¥2,287.00 ▲(3.95% Upside)

Maezawa Kasei Industries scores well due to its strong financial performance, characterized by steady revenue growth and a robust balance sheet. The valuation is attractive with a reasonable P/E ratio and a solid dividend yield. However, technical indicators suggest a bearish trend, which slightly offsets the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for the company's products, supporting long-term business expansion and market presence.

Balance Sheet Strength

A strong balance sheet with minimal debt enhances financial stability and provides flexibility for future investments and growth opportunities.

Profit Margins

Healthy profit margins indicate efficient operations and pricing power, supporting sustainable profitability and competitive positioning.

Negative Factors

Cash Flow Pressure

Weak cash flow generation can limit the company's ability to invest in growth opportunities and meet financial obligations, impacting long-term sustainability.

Free Cash Flow Decline

A decline in free cash flow may constrain the company's ability to fund new projects and return capital to shareholders, affecting future growth.

Operating Cash Flow

While cash conversion is adequate, there is a need to enhance operating cash flow to support ongoing operations and strategic initiatives.

Maezawa Kasei Industries Co., Ltd. Business Overview & Revenue Model

Company Description

Maezawa Kasei Industries Co., Ltd. produces and sells water and sewerage related products, and environmental equipment. The company was founded in 1937 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Maezawa Kasei Industries generates revenue through the production and sale of a wide array of chemical products, including resins, coatings, and specialty materials. The company has established key revenue streams from its core businesses, which include the automotive sector where it supplies materials for vehicle manufacturing, and the electronics industry, providing advanced materials for component production. Additionally, Maezawa Kasei benefits from long-term partnerships with major manufacturers, ensuring a steady demand for its products. The company also invests in research and development to innovate and expand its product offerings, further enhancing its market position and revenue potential.

Maezawa Kasei Industries Co., Ltd. Financial Statement Overview

Summary

Maezawa Kasei Industries presents a solid financial position characterized by steady revenue growth, strong profit margins, and a healthy balance sheet with low leverage. While cash flow performance has been under pressure, the company's operations remain efficient. The focus should be on enhancing profitability and cash generation to sustain growth and shareholder value.

Income Statement

Maezawa Kasei Industries has shown consistent revenue growth with a 1.01% increase in the most recent year. The company maintains a strong gross profit margin of 36.31% and a solid net profit margin of 7.10%. While EBIT and EBITDA margins are healthy at 8.96% and 15.13% respectively, indicating efficient operations, there is room for improvement in increasing profitability further.

Balance Sheet

The company's balance sheet is robust, with a low debt-to-equity ratio of 0.008, showcasing minimal reliance on debt and strong financial stability. The return on equity is reasonable at 4.14%, although there is potential to enhance shareholder returns. An equity ratio of 82.98% underscores a strong capital structure, providing a cushion against market fluctuations.

Cash Flow

Cash flow analysis reveals a decrease in free cash flow due to reduced operating cash flow, with a year-on-year decline of 42.84%. The operating cash flow to net income ratio of 1.09 and free cash flow to net income ratio of 0.62 suggest adequate cash conversion, although there is an opportunity to enhance cash flow generation to support future investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	24.62B	24.17B	23.93B	23.50B	21.88B	20.98B
Gross Profit	8.97B	8.77B	8.28B	8.31B	7.33B	6.75B
EBITDA	3.87B	3.66B	3.13B	3.31B	2.47B	2.49B
Net Income	1.87B	1.71B	1.36B	1.46B	797.00M	755.00M
Balance Sheet
Total Assets	49.91B	49.90B	49.35B	46.51B	45.27B	44.92B
Cash, Cash Equivalents and Short-Term Investments	14.04B	14.21B	15.45B	14.30B	14.32B	15.04B
Total Debt	330.00M	330.00M	330.00M	390.00M	430.00M	430.00M
Total Liabilities	8.28B	8.39B	8.93B	8.15B	7.75B	7.56B
Stockholders Equity	41.52B	41.41B	40.32B	38.27B	37.52B	37.36B
Cash Flow
Free Cash Flow	0.00	1.07B	1.87B	1.03B	826.00M	1.57B
Operating Cash Flow	0.00	1.87B	2.62B	1.78B	1.75B	2.17B
Investing Cash Flow	0.00	-459.00M	-761.00M	-1.59B	-694.00M	-642.00M
Financing Cash Flow	0.00	-850.00M	-812.00M	-812.00M	-676.00M	-538.00M

Maezawa Kasei Industries Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2200.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7925, the sentiment is Positive. The current price of 2200 is above the 20-day moving average (MA) of 2194.25, above the 50-day MA of 2137.38, and above the 200-day MA of 1973.80, indicating a bullish trend. The MACD of 43.90 indicates Negative momentum. The RSI at 67.20 is Neutral, neither overbought nor oversold. The STOCH value of 84.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7925.

Maezawa Kasei Industries Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4463	81 Outperform	¥24.30B	9.70	―	3.53%	6.99%	-0.30%
4220	77 Outperform	¥77.84B	9.67	―	3.06%	2.02%	30.10%
7925	71 Outperform	¥34.15B	17.82	―	3.45%	4.17%	23.25%
4025	66 Neutral	¥34.66B	11.93	―	0.13%	9.78%	40.00%
4970	65 Neutral	¥60.32B	24.54	―	0.67%	10.18%	-14.36%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
4249	51 Neutral	¥34.37B	-5.11	―	4.66%	-6.34%	-419.93%

Maezawa Kasei Industries Co., Ltd. Corporate Events

Maezawa Kasei Announces Shareholder Meeting for Joint Holding Company Formation

Maezawa Kasei Industries Co., Ltd. has announced the setting of a record date for an extraordinary general meeting of shareholders, scheduled for March 31, 2026, to discuss the approval of a share transfer plan with Maezawa Industries, Inc. This move is part of a larger strategy to establish a joint holding company through a joint share transfer, which will result in significant amendments to the company’s Articles of Incorporation. The proposed changes will streamline administrative procedures and eliminate the record date system for ordinary general meetings, as the company will become a wholly-owned subsidiary of the new joint holding company, effective June 1, 2026.

The most recent analyst rating on (JP:7925) stock is a Buy with a Yen2287.00 price target. To see the full list of analyst forecasts on Maezawa Kasei Industries Co., Ltd. stock, see the JP:7925 Stock Forecast page.

Maezawa Industries and MAEZAWA KASEI INDUSTRIES Announce Management Integration

Maezawa Industries, Inc. and MAEZAWA KASEI INDUSTRIES CO., LTD. have agreed to a management integration to form MAEZAWA Holdings CO., LTD., a joint holding company, through a share transfer set for June 1, 2026. This strategic move aims to strengthen their business foundation, enhance corporate value, and support sustainable growth amid market challenges, ultimately benefiting stakeholders by expanding business domains and improving proposal capabilities.

The most recent analyst rating on (JP:7925) stock is a Buy with a Yen2287.00 price target. To see the full list of analyst forecasts on Maezawa Kasei Industries Co., Ltd. stock, see the JP:7925 Stock Forecast page.

Maezawa Kasei Industries Reports Strong Financial Performance for H1 2025

Maezawa Kasei Industries reported a positive financial performance for the six months ending September 30, 2025, with net sales increasing by 5.6% and a significant rise in profit attributable to owners by 24.5%. The company’s strong financial results reflect its effective operational strategies and market positioning, which could enhance stakeholder confidence and support future growth.

The most recent analyst rating on (JP:7925) stock is a Buy with a Yen2287.00 price target. To see the full list of analyst forecasts on Maezawa Kasei Industries Co., Ltd. stock, see the JP:7925 Stock Forecast page.