JSP Corporation (7942) AI Stock Analysis

• Market Cap: ¥86.92B
• Dividend Yield: 3.31%
• Average Volume (3M): 81.62K
• Price to Earnings (P/E): 13.2
• Beta (1Y): 0.93
• 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: 73 Outperform
• Price Target: ¥3,251.00 ▲(32.86% Upside)
• Action: Reiterated Date: 02/03/26
• Date: Action: Reiterated 02/03/26

The score is driven primarily by solid financial quality with low leverage and stable profitability, tempered by uneven free-cash-flow conversion and some margin normalization versus 2024. Technicals add support with a clear uptrend (price above key moving averages and positive MACD), while valuation is favorable given the low P/E and ~3.3% dividend yield.

Positive Factors

Conservative balance sheet

Low leverage (debt-to-equity ~0.22) and a large equity base provide durable financial flexibility. This reduces refinancing and solvency risk across cycles, enabling the company to fund capex, sustain operations through downturns, and selectively invest in product or capacity upgrades without stressing liquidity.

Industry-level profitability

Sustained gross margin (~26%) and EBITDA margin (~11%) indicate structurally profitable product economics for foamed polymers and molded parts. Healthy margins support reinvestment, R&D for specialty formulations, and buffer against input-cost swings, underpinning longer-term cash generation ability.

Diversified B2B product mix and end markets

A product mix spanning commodity foams and higher value-added molded components across packaging, automotive and construction spreads demand risk. Exposure to multiple industrial end markets and value-added processing increases resilience to sector-specific downturns and supports margin uplift over time.

Negative Factors

Minimal revenue growth

Near-flat top-line growth (~1% TTM) signals limited organic demand expansion or pricing power. Over the medium term, weak revenue momentum constrains scale benefits, limits capacity to grow operating profit materially, and places more reliance on margin improvements or M&A for earnings growth.

Uneven cash conversion

Cash generation is inconsistent: FCF equals only ~21% of net income and shows meaningful year-to-year swings. Persistent volatility in cash conversion reduces predictability for dividends, debt paydown and reinvestment, increasing execution risk for capital allocation over the next several quarters.

Margin normalization and limited returns

A step-down from 2024 margin levels with net margin near ~4% and ROE around 5–7% points to pressure on profitability and modest capital efficiency. If structural cost pressures or product-mix shifts persist, the company may face constrained ability to improve returns without strategic changes.

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

Overall fundamentals are healthy with solid industry profitability (TTM gross margin ~26%, EBITDA margin ~11%) and a conservative balance sheet (low debt-to-equity ~0.22). Offsetting this, revenue growth is minimal (~1%), margins are down from the stronger 2024 annual level, and cash-flow conversion is uneven with relatively low TTM free cash flow versus net income (~21%) and volatility year-to-year.

Income Statement

TTM (Trailing-Twelve-Months) results show solid profitability for the industry, with gross margin at ~26% and EBITDA margin at ~11%, while net margin is a modest ~4%. Revenue is essentially flat in TTM (revenue growth rate ~1%), but profitability improved versus the latest annual period (net income up vs 2025 annual). A key weakness is the step-down from 2024 annual margins (EBITDA and net margin were higher), suggesting some cost pressure or normalization versus a stronger prior year.

Balance Sheet

The balance sheet looks conservatively positioned: debt-to-equity is low (~0.22 in TTM), and equity is large relative to assets, indicating good balance-sheet resilience. Returns are steady but not high, with return on equity around ~5–7% across periods (TTM ~5.4%), implying decent stability but limited capital efficiency. Overall leverage risk appears manageable, with no sign of aggressive debt buildup.

Cash Flow

Cash generation is mixed. TTM (Trailing-Twelve-Months) operating cash flow is positive (~¥12.1B) and free cash flow improved sharply versus the most recent annual period, but free cash flow remains relatively low versus accounting profits (free cash flow is ~21% of net income in TTM). The company also showed meaningful volatility year to year (strong 2024 annual free cash flow, then a much weaker 2025 annual), which reduces confidence in consistency despite the recent TTM rebound.

Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	142.60B	142.25B	135.05B	131.71B	114.13B	102.67B
Gross Profit	37.39B	36.53B	35.25B	29.09B	29.06B	28.73B
EBITDA	15.63B	15.27B	16.62B	10.82B	11.09B	10.95B
Net Income	5.79B	5.07B	6.39B	2.53B	2.89B	3.02B
Balance Sheet
Total Assets	160.53B	153.94B	151.60B	144.53B	134.53B	129.05B
Cash, Cash Equivalents and Short-Term Investments	16.62B	17.46B	19.45B	18.13B	16.19B	17.67B
Total Debt	23.24B	24.53B	24.63B	24.51B	20.71B	21.27B
Total Liabilities	51.98B	48.08B	51.54B	48.41B	44.30B	43.49B
Stockholders Equity	103.80B	101.03B	95.28B	91.71B	85.99B	82.49B
Cash Flow
Free Cash Flow	2.58B	712.00M	8.89B	525.00M	314.00M	6.54B
Operating Cash Flow	12.14B	8.90B	15.66B	8.72B	5.97B	12.21B
Investing Cash Flow	-8.06B	-8.61B	-8.06B	-6.48B	-5.89B	-5.17B
Financing Cash Flow	-3.83B	-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: Neutral

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 2781.30, below the 50-day MA of 2600.92, and above the 200-day MA of 2105.41, indicating a bullish trend. The MACD of 80.79 indicates Positive momentum. The RSI at 69.67 is Neutral, neither overbought nor oversold. The STOCH value of 66.07 is Neutral, 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
3943	78 Outperform	¥12.67B	19.09	―	4.54%	4.38%	-12.68%
7917	77 Outperform	¥118.55B	14.56	7.53%	3.01%	5.44%	45.99%
3950	76 Outperform	¥78.67B	12.49	―	6.64%	2.85%	-9.13%
7942	73 Outperform	¥86.92B	13.19	―	3.31%	0.83%	-9.16%
7864	70 Outperform	¥157.69B	7.06	10.46%	2.35%	4.56%	49.23%
3946	68 Neutral	¥60.72B	8.02	―	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 Confirms Reviewed Nine-Month Results and Lifts Full-Year Dividend Forecast

JSP Corporation reported consolidated net sales of ¥108.64 billion for the nine months ended December 31, 2025, a slight year-on-year increase, while operating profit rose 6.4% and profit attributable to owners of parent climbed 14.8%, lifting basic earnings per share to ¥215.00. Total assets and net assets also expanded compared with March 31, 2025, and the company confirmed there were no changes to the quarterly figures previously disclosed, following completion of an independent interim review.

The equity-to-asset ratio remained in the mid‑60% range despite a modest decline, and net assets per share increased, underscoring a solid financial base that supports ongoing shareholder returns. Reflecting this profitability and balance sheet strength, JSP is maintaining a ¥40 interim dividend and has revised its year-end dividend forecast upward to ¥50 per share, implying a total annual payout of ¥90 for the fiscal year ending March 31, 2026, which signals management’s confidence in earnings sustainability.

The most recent analyst rating on (JP:7942) stock is a Buy with a Yen2867.00 price target. To see the full list of analyst forecasts on JSP Corporation stock, see the JP:7942 Stock Forecast page.

JSP Lifts Earnings and Dividend Forecast on Strong ARPRO Demand

JSP Corporation has raised its consolidated forecast for the fiscal year ending March 31, 2026, projecting higher net sales of ¥143.0 billion and a 16–21% uplift in profits versus its previous outlook, driven by robust demand for its Advanced Material products, particularly ARPRO, across both automotive and non-automotive markets despite an initially anticipated downturn in North American automotive demand. Reflecting this improved earnings outlook and its policy of stable, shareholder-friendly capital allocation, the company also lifted its year-end dividend forecast by ¥10 to ¥50 per share, bringing the projected annual dividend to ¥90 per share, up from ¥80 in the prior year, signaling stronger returns for investors and confidence in its financial condition.

The most recent analyst rating on (JP:7942) stock is a Buy with a Yen2885.00 price target. To see the full list of analyst forecasts on JSP Corporation stock, see the JP:7942 Stock Forecast page.

JSP Lifts Profit and Dividend Outlook on Steady Nine-Month Results

JSP Corporation reported essentially flat net sales of ¥108.6 billion for the nine months to 31 December 2025, but improved profitability, with operating profit up 6.4% to ¥6.1 billion and profit attributable to owners of parent rising 14.8% to ¥5.6 billion, lifting basic earnings per share to ¥215.00. The company’s balance sheet strengthened modestly, with total assets increasing to ¥160.5 billion and net assets to ¥108.6 billion, while the equity-to-asset ratio stayed high at 64.7%, and it raised its full-year dividend forecast to a total of ¥90 per share and revised its earnings outlook, now guiding for FY2025 net sales of ¥143.0 billion and a 14.5% rise in full-year profit to ¥5.8 billion, signaling confidence in earnings resilience and continued shareholder returns despite only modest top-line growth.

The most recent analyst rating on (JP:7942) stock is a Buy with a Yen2885.00 price target. To see the full list of analyst forecasts on JSP Corporation stock, see the JP:7942 Stock Forecast page.