JSP Corporation (7942) AI Stock Analysis

• Market Cap: ¥72.64B
• Dividend Yield: 3.31%
• Average Volume (3M): 81.62K
• Price to Earnings (P/E): 11.0
• Beta (1Y): 0.89
• Revenue Growth: 0.83%
• EPS Growth: -9.16%
• Country: JP
• Employees: 3,053
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Packaging & Containers
• EPS (TTM): N/A
• Shares Outstanding: 31,413,471
• 10 Day Avg. Volume: 134,140
• 30 Day Avg. Volume: 81,620
• PEG Ratio: -0.83
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 0.38
• P/FCF Ratio: 75.46
• 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: 74 Outperform
• Price Target: ¥2,885.00 ▲(17.90% Upside)

JSP Corporation's stock is supported by strong technical indicators and a reasonable valuation, making it attractive for investors. However, financial performance challenges, particularly in revenue growth and cash flow generation, pose risks. The stock's bullish momentum is a significant positive, but potential overbought conditions should be monitored.

Positive Factors

Low leverage / strong equity base

A low debt-to-equity ratio provides durable financial flexibility, enabling JSP to fund capex, weather cyclical downturns, and pursue strategic investments without relying on costly external financing. This conservatism supports long-term stability and resilience.

Diversified end markets and partnerships

Exposure across construction, packaging and automotive plus partnerships with major builders and OEMs reduces single-market dependency. This structural diversification smooths demand volatility, supports steady order flow, and underpins multi-year revenue streams.

Healthy gross margin / production efficiency

A mid-20s gross margin signals durable cost advantages and efficient manufacturing in EPS and related materials. Higher gross margins give room to absorb input cost swings, sustain R&D and product development, and maintain competitiveness over several quarters.

Negative Factors

Severe free cash flow deterioration

A dramatic decline in free cash flow suggests structural issues converting earnings into cash, potentially from higher capex, working capital stress, or noncash adjustments. Persistent FCF weakness limits ability to invest, de-lever, or return capital long term.

Weak operating cash conversion

Low OCF-to-net-income implies earnings are not being supported by cash generation, raising concerns about earnings quality, reliance on accruals, or inventory/receivables build. Over months this can strain liquidity and constrain strategic options.

Low net margins and declining sales

Thin net margins combined with falling revenue point to pricing pressure, mix shifts or cost escalation. Persisting low profitability and revenue decline can erode returns on invested capital and limit resources for product development or market expansion.

JSP Corporation Business Overview & Revenue Model

Company Description

JSP Corporation manufactures and sells expanded polymers worldwide. The company offers materials products, such as ARPRO, an impact energy management material used in automotive applications, multi-use transport packaging, HVAC housings, and others; STYRODIA used in various applications comprising packaging for consumer electronics, hot and cold food containers, construction insulation, and within civil engineering materials; and FOAMCORE used in prefabricated bathrooms and automotive components. It also provides sheet and board products under the MIRAMAT, CAPLON, P-BOARD, STYRENE PAPER, MIRABOARD, and MIRAFOAM names for advertising boards, construction, food packaging, and industrial packaging markets. The company was incorporated in 1962 and is headquartered in Tokyo, Japan. JSP Corporation is a subsidiary of Mitsubishi Gas Chemical Company, Inc.

How the Company Makes Money

JSP Corporation generates revenue through the sale of its EPS products and related materials, serving key sectors such as construction, packaging, and automotive. The company has established a robust revenue model based on direct sales to manufacturers and distributors, along with strategic partnerships that enhance its market reach. Significant revenue streams include custom packaging solutions and high-performance insulation products. Additionally, JSP benefits from economies of scale in production and has leveraged its expertise to develop innovative products that meet industry-specific requirements, further solidifying its earnings. Collaborations with major construction firms and automotive manufacturers also contribute to consistent revenue generation, as these sectors demand high-quality materials for sustainable building and vehicle design.

JSP Corporation Financial Statement Overview

Summary

JSP Corporation shows a stable financial position with a strong balance sheet and efficient production processes. However, challenges in revenue growth and cash flow generation could impact future profitability and liquidity. The low leverage provides financial flexibility, but addressing declining revenue and improving cash flow conversion is crucial.

Income Statement

JSP Corporation's income statement shows a mixed performance. The company has a healthy gross profit margin of 25.8% TTM, indicating efficient production processes. However, the net profit margin is relatively low at 3.6% TTM, suggesting limited profitability after expenses. The revenue growth rate is negative at -0.7% TTM, indicating a decline in sales, which is a concern. EBIT and EBITDA margins are modest, reflecting moderate operational efficiency.

Balance Sheet

The balance sheet of JSP Corporation is relatively strong. The debt-to-equity ratio is low at 0.24 TTM, indicating conservative leverage and a strong equity base. Return on equity is moderate at 5.1% TTM, showing decent profitability relative to shareholder investments. The equity ratio is healthy, suggesting a stable financial structure with a significant portion of assets funded by equity.

Cash Flow

Cash flow analysis reveals some challenges. The free cash flow growth rate is significantly negative at -568.8% TTM, indicating a substantial decline in free cash flow. The operating cash flow to net income ratio is 0.26 TTM, suggesting that cash generation from operations is not fully covering net income. The free cash flow to net income ratio is negative, highlighting potential issues in converting profits into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	141.17B	142.25B	135.05B	131.71B	114.13B	102.67B
Gross Profit	36.58B	36.53B	35.25B	29.09B	29.06B	28.73B
EBITDA	14.54B	15.27B	16.62B	10.82B	11.09B	10.95B
Net Income	5.35B	5.07B	6.39B	2.53B	2.89B	3.02B
Balance Sheet
Total Assets	154.93B	153.94B	151.60B	144.53B	134.53B	129.05B
Cash, Cash Equivalents and Short-Term Investments	16.86B	17.46B	19.45B	18.13B	16.19B	17.67B
Total Debt	24.09B	24.53B	24.63B	24.51B	20.71B	21.27B
Total Liabilities	49.68B	48.08B	51.54B	48.41B	44.30B	43.49B
Stockholders Equity	100.53B	101.03B	95.28B	91.71B	85.99B	82.49B
Cash Flow
Free Cash Flow	1.08B	712.00M	8.89B	525.00M	314.00M	6.54B
Operating Cash Flow	10.76B	8.90B	15.66B	8.72B	5.97B	12.21B
Investing Cash Flow	-7.80B	-8.61B	-8.06B	-6.48B	-5.89B	-5.17B
Financing Cash Flow	-1.49B	-3.83B	-8.45B	1.02B	-2.56B	-2.27B

JSP Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2447.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7942, the sentiment is Positive. The current price of 2447 is below the 20-day moving average (MA) of 2512.00, above the 50-day MA of 2423.18, and above the 200-day MA of 2012.99, indicating a neutral trend. The MACD of 20.58 indicates Positive momentum. The RSI at 43.68 is Neutral, neither overbought nor oversold. The STOCH value of 8.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7942.

JSP Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3950	82 Outperform	¥76.14B	12.63	―	6.64%	2.85%	-9.13%
3943	78 Outperform	¥12.10B	13.98	―	4.54%	4.38%	-12.68%
7917	78 Outperform	¥89.49B	12.61	7.53%	3.01%	5.44%	45.99%
7864	77 Outperform	¥174.93B	10.96	10.46%	2.35%	4.56%	49.23%
7942	74 Outperform	¥72.64B	11.02	―	3.31%	0.83%	-9.16%
3946	68 Neutral	¥56.87B	7.51	―	3.50%	4.40%	47.13%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

JSP Corporation Corporate Events

JSP Corporation Reports Mixed Financial Results for H1 2025

JSP Corporation reported a slight decline in net sales and operating profit for the six months ending September 30, 2025, compared to the previous year. Despite this, the company saw an increase in profit attributable to owners, indicating a positive shift in profitability. The company’s financial position remains stable, with a slight decrease in equity-to-asset ratio. The forecast for the fiscal year ending March 31, 2026, suggests a minor decrease in net sales and profits, reflecting cautious expectations in the current market environment.

The most recent analyst rating on (JP:7942) stock is a Hold with a Yen2050.00 price target. To see the full list of analyst forecasts on JSP Corporation stock, see the JP:7942 Stock Forecast page.

JSP Corporation Reports Slight Decline in Financial Performance

JSP Corporation reported a slight decline in its financial performance for the six months ending September 30, 2025, with net sales and profits showing a decrease compared to the previous year. Despite this, the company maintained its dividend forecast and showed stability in its financial position, with a strong equity-to-asset ratio. The announcement indicates a cautious outlook for the fiscal year ending March 31, 2026, with slight declines expected in net sales and profits, reflecting challenges in the market environment.

The most recent analyst rating on (JP:7942) stock is a Hold with a Yen2050.00 price target. To see the full list of analyst forecasts on JSP Corporation stock, see the JP:7942 Stock Forecast page.