Chori Co., Ltd. (8014) AI Stock Analysis

• Market Cap: ¥111.36B
• Dividend Yield: 3.74%
• Average Volume (3M): 19.38K
• Price to Earnings (P/E): 11.0
• Beta (1Y): 0.98
• Revenue Growth: -2.33%
• EPS Growth: -16.42%
• Country: JP
• Employees: 1,304
• Sector: Industrials
• Sector Strength: 72
• Industry: Conglomerates
• EPS (TTM): 100.93
• Shares Outstanding: 25,303,478
• 10 Day Avg. Volume: 22,180
• 30 Day Avg. Volume: 19,376
• PEG Ratio: 0.30
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 0.24
• P/FCF Ratio: 11.60
• 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: ¥5,179.00 ▲(26.47% Upside)
• Action: Reiterated Date: 11/01/25
• Date: Action: Reiterated 11/01/25

Chori Co., Ltd. is well-positioned with strong financial performance and a solid valuation. The technical analysis suggests a stable trend with no strong momentum. The absence of earnings call data and corporate events does not impact the score significantly. Overall, the stock presents a balanced investment opportunity with a good financial foundation and reasonable valuation.

Positive Factors

Balance Sheet Strength

Extremely low financial leverage and a high equity ratio provide durable financial flexibility. The improved ROE to 12.67% indicates the company is earning better returns on shareholder capital, supporting reinvestment, dividends, or strategic moves without relying on debt.

Cash Generation

Solid free cash flow and healthy cash conversion ratios imply the trading model reliably turns earnings into cash. That supports sustainable dividends, working capital needs and occasional capital expenditures, providing a durable buffer against cyclical revenue swings.

Margin Improvement & Stable Sales

Improving gross, EBIT and net margins alongside modest revenue growth indicate better cost control and pricing/transaction mix. For a trading and logistics intermediary, steady margins reflect sustainable operational efficiency and the ability to capture spreads over time.

Negative Factors

Revenue Growth Volatility

A materially negative revenue growth metric in the fundamentals suggests top-line volatility or a recent major contraction. Trading businesses are exposed to cyclical demand and commodity flows; persistent revenue declines would erode margins, cash flow and strategic optionality.

EPS Decline

Negative EPS growth indicates earnings per share have trended down, which can reflect margin pressure, one-offs, or capital changes. For a company that funds operations from trading spreads, sustained EPS weakness limits retained earnings, dividend sustainability and reinvestment capacity.

Rising Liabilities to Monitor

Although leverage is low today, the noted increase in total liabilities combined with a decline in free cash flow growth could reduce the company’s low-risk profile over time. A trend of rising liabilities would compress financial flexibility and raise refinancing or liquidity risk.

Chori Co., Ltd. Business Overview & Revenue Model

Company Description

Chori Co., Ltd. engages in textiles, chemicals, and machinery businesses in China and internationally. The company offers polyester yarn for use in other materials; fabrics for use in car seats; nylon yarn; waterproof fabrics for sportswear; nonwoven fabrics for construction and hygienic applications; nonwoven sheets; raw thread/raw cotton for natural and synthetic fabrics; construction and civil engineering products, such as cloth, waterproof nonwoven cloth materials, etc.; and various linen products. It also provides lightweight and thin fabrics, black materials, and the traditional garment worn; basic materials and finished products; materials for innerwear, sportswear, fitness wear, golf wear, uniforms, and business wear, as well as men's and ladies' wear; and backing and interlining cloths. In addition, the company offers urethane materials used in shock absorption, insulation materials, adhesives, coating materials, films, cosmetic raw materials, biodegradable plastics, various materials in the water treatment field, and various other items; inorganic chemical materials, metal materials, agriculture and fertilizer related materials, glass substrate raw materials used in flat panel displays, and lithium-ion battery materials; and industrial chemicals, such as phosphoric acid, phosphate, plastic raw materials, and raw materials for metallic surface treatment. Further, it imports and sells pharmaceutical and agrochemical ingredients, and intermediates; functional organic intermediates; and proteins, sweeteners, and other food chemicals, as well as offers research and manufacturing outsourcing services. Additionally, the company sells transportation equipment comprising four-and two-wheel vehicles and trucks, as well as exports agricultural machinery, construction machinery, and industrial equipment. The company was founded in 1861 and is headquartered in Osaka, Japan. Chori Co., Ltd. is a subsidiary of Toray Industries, Inc.

How the Company Makes Money

Chori Co., Ltd. generates revenue through a diversified business model that includes trading activities, manufacturing, and logistics services. The company's key revenue streams consist of the sale of textiles and fabrics, trading of chemicals and plastics, and the provision of supply chain solutions. Significant partnerships with manufacturers and suppliers enable Chori to maintain a competitive edge in pricing and product quality. Additionally, the company's focus on value-added services, such as logistics and custom solutions, enhances its profitability by attracting a broader client base and fostering long-term relationships.

Chori Co., Ltd. Financial Statement Overview

Summary

Chori Co., Ltd. demonstrates strong financial health with consistent revenue growth and improving profitability. The balance sheet is solid with low leverage, and cash flow generation is robust despite a decline in free cash flow growth. Overall, the company is well-positioned with a solid financial foundation.

Income Statement

Chori Co., Ltd. demonstrates strong profitability with a consistent increase in net income over the years. The company reported a net profit margin of 3.74% in 2025, up from 3.13% in 2024. The gross profit margin also improved slightly, reflecting effective cost management. Revenue growth is steady, with a year-over-year increase of 1.25% from 2024 to 2025. The EBIT margin increased to 4.93% in 2025, indicating efficient operations. Overall, the financial performance showcases robust revenue growth and improved profitability.

Balance Sheet

Chori Co., Ltd. maintains a solid balance sheet with a low debt-to-equity ratio of 0.015 in 2025, reflecting low financial leverage. The equity ratio stands at 62.98%, indicating a strong financial position with significant asset backing. Return on equity improved to 12.67% in 2025, highlighting effective utilization of shareholder funds. Although the company's equity base is strong, the slight increase in total liabilities over the years warrants monitoring.

Cash Flow

Chori Co., Ltd. exhibits stable cash flow generation with a free cash flow of ¥6,397 million in 2025, despite a decline from 2024. The operating cash flow to net income ratio is 0.61, indicating that operating activities generate sufficient cash to support earnings. The free cash flow to net income ratio of 0.55 suggests a good conversion of earnings into cash. While the decline in free cash flow growth is a concern, the company remains capable of sustaining its cash flow operations.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	306.15B	311.55B	307.70B	329.39B	284.10B	216.23B
Gross Profit	40.72B	40.52B	38.73B	37.06B	30.65B	26.36B
EBITDA	14.95B	17.54B	16.38B	14.54B	12.08B	5.05B
Net Income	10.01B	11.66B	9.62B	8.12B	6.81B	1.25B
Balance Sheet
Total Assets	139.95B	146.08B	143.35B	143.20B	134.12B	110.59B
Cash, Cash Equivalents and Short-Term Investments	21.77B	23.81B	21.46B	18.96B	12.24B	17.83B
Total Debt	1.58B	1.40B	2.75B	5.06B	5.30B	2.28B
Total Liabilities	48.39B	53.97B	61.25B	71.04B	69.03B	51.76B
Stockholders Equity	91.48B	92.01B	82.06B	72.16B	65.05B	58.79B
Cash Flow
Free Cash Flow	926.50M	6.40B	7.35B	8.57B	-2.56B	4.70B
Operating Cash Flow	1.03B	7.14B	9.69B	9.60B	-2.33B	5.89B
Investing Cash Flow	93.50M	-1.03B	-2.71B	-261.00M	197.00M	-357.00M
Financing Cash Flow	-1.07B	-4.78B	-5.38B	-3.10B	-4.01B	-887.00M

Chori Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4095.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8014, the sentiment is Positive. The current price of 4095 is below the 20-day moving average (MA) of 4381.00, below the 50-day MA of 4219.70, and above the 200-day MA of 3955.85, indicating a bullish trend. The MACD of 101.83 indicates Negative momentum. The RSI at 63.76 is Neutral, neither overbought nor oversold. The STOCH value of 56.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8014.

Chori Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8078	78 Outperform	¥358.83B	8.98	11.34%	3.38%	3.44%	6.97%
8014	73 Outperform	¥111.36B	11.00	―	3.74%	-2.33%	-16.42%
8020	73 Outperform	¥391.81B	12.02	―	3.13%	1.50%	9.82%
8015	70 Outperform	¥7.39T	19.80	13.49%	2.10%	5.32%	9.73%
8053	69 Neutral	¥7.66T	13.78	12.86%	2.48%	3.19%	72.26%
2768	65 Neutral	¥1.28T	12.22	11.17%	3.24%	2.12%	18.93%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Chori Co., Ltd. Corporate Events

Chori Overhauls Executive Lineup to Bolster Chemicals, Textile and China Operations

Chori Co., Ltd. has announced a broad reshuffle of its executive officer lineup effective April 1, 2026, following a Board of Directors resolution on February 27. President and CEO & COO Tatsuyuki Sakoda and several other executive officers will be reappointed, while Yasutaka Kawamura will be promoted to senior executive officer with expanded responsibilities in corporate planning and Chinese operations.

The company will add three new executive officers drawn from key business and corporate departments, strengthening leadership in life and fine chemicals, apparel, and human resources and innovation activities. At the same time, three senior executives will retire, signaling a generational shift designed to reinforce Chori’s divisional management, overseas governance, and internal control framework as it pursues growth in its core chemicals and textile businesses.

The most recent analyst rating on (JP:8014) stock is a Buy with a Yen5153.00 price target. To see the full list of analyst forecasts on Chori Co., Ltd. stock, see the JP:8014 Stock Forecast page.

Chori to Dissolve Loss-Making Subsidiary Tohcho and Book Major Tax Benefit

Chori Co., Ltd. has resolved to dissolve its consolidated subsidiary Tohcho Co., Limited and forgive loans of about US$41.38 million after prolonged efforts to recover receivables from a group of Chinese chemical manufacturers led to substantial non-performing loans and a suspension of Tohcho’s operations. The liquidation is expected to be completed in fiscal 2026, and because allowances for doubtful accounts were previously booked on these loans, the debt forgiveness will make those amounts tax-deductible and is projected to reduce Chori’s corporate taxes by ¥21.78 billion in the year ending March 31, 2026, an impact already reflected in its current earnings forecast.

The most recent analyst rating on (JP:8014) stock is a Buy with a Yen5153.00 price target. To see the full list of analyst forecasts on Chori Co., Ltd. stock, see the JP:8014 Stock Forecast page.

Chori Cuts Full-Year Sales and Profit Outlook on Weaker Textile and Chemical Demand

Chori Co., Ltd. has revised downward its full-year consolidated forecast for the year ending March 31, 2026, cutting projected net sales from ¥330 billion to ¥300 billion and trimming operating, ordinary, and pretax profit forecasts by about 9–10%, while leaving net profit attributable to owners of parent unchanged at ¥11 billion. The company cited weaker-than-expected performance over the nine months to December 31, 2025, driven by an overall decline in demand in its core Fibers, Textiles, and Garments Business and sluggish market conditions in performance chemicals, and noted that the flat net profit outlook reflects an anticipated reduction in income tax expenses, signaling margin pressure but some earnings resilience for shareholders despite a softer top line.

The most recent analyst rating on (JP:8014) stock is a Buy with a Yen4663.00 price target. To see the full list of analyst forecasts on Chori Co., Ltd. stock, see the JP:8014 Stock Forecast page.

Chori Lowers FY03/2026 Outlook but Maintains Strong Financial Base Under CIP2025

Chori Co., Ltd. reported that net sales and profit declined year-on-year for the third quarter of FY03/2026, prompting the company to lower its full-year earnings forecast in light of progress to date and the current business environment. Despite the weaker performance, Chori maintained a strong financial base with a high equity ratio and solid ROE and ROIC, while continuing to advance its medium-term management plan “Chori Innovation Plan 2025” by promoting digital transformation and launching dedicated project teams for business, financial, non-financial, human capital, and DX strategies aimed at transforming the company and reinforcing its position as a preferred partner.

The most recent analyst rating on (JP:8014) stock is a Buy with a Yen4663.00 price target. To see the full list of analyst forecasts on Chori Co., Ltd. stock, see the JP:8014 Stock Forecast page.

Chori Posts Lower Nine-Month Profit but Keeps Higher Dividend Plan and Trims Full-Year Outlook

Chori Co., Ltd. reported consolidated results for the nine months ended December 31, 2025, with net sales down 3.8% year on year to ¥221.6 billion and net profit attributable to owners of parent falling 16.7% to ¥7.6 billion, reflecting declines across operating profit, ordinary profit and comprehensive income. Despite the profit deterioration, the company’s financial position remained solid, with total assets of ¥148.5 billion, net assets of ¥96.2 billion and an equity ratio improving to 64.7%. Chori maintained its dividend policy, paying an interim dividend of ¥72 per share and forecasting a full-year total of ¥144 per share, up from the previous fiscal year, and revised its full-year forecast lower, now projecting a 3.7% decline in net sales to ¥300 billion and a 5.6% drop in net profit to ¥11 billion, signaling a more cautious earnings outlook for the current fiscal year.

The most recent analyst rating on (JP:8014) stock is a Buy with a Yen4663.00 price target. To see the full list of analyst forecasts on Chori Co., Ltd. stock, see the JP:8014 Stock Forecast page.