Inabata & Co., Ltd. (8098) AI Stock Analysis

• Market Cap: ¥200.41B
• Dividend Yield: 3.43%
• Average Volume (3M): 121.20K
• Price to Earnings (P/E): 10.4
• Beta (1Y): 0.75
• Revenue Growth: 2.05%
• EPS Growth: 7.74%
• Country: JP
• Employees: 4,631
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): N/A
• Shares Outstanding: 53,714,127
• 10 Day Avg. Volume: 92,220
• 30 Day Avg. Volume: 121,203
• PEG Ratio: 18.45
• Price to Book (P/B): 0.83
• Price to Sales (P/S): 0.21
• P/FCF Ratio: 10.72
• 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: 79 Outperform
• Price Target: ¥4,551.00 ▲(21.52% Upside)
• Action: Reiterated Date: 10/31/25
• Date: Action: Reiterated 10/31/25

Inabata & Co., Ltd. receives a strong overall stock score due to its robust financial performance, characterized by significant revenue growth and stable profitability. The stock's attractive valuation with a low P/E ratio and high dividend yield further enhances its appeal. Technical indicators suggest a neutral to positive outlook, supporting the stock's overall strength.

Positive Factors

Balance sheet strength

A low debt-to-equity ratio (0.35) and a 47.11% equity ratio signal a conservative capital structure that supports the company’s trading operations. This provides durable financial flexibility to fund inventory and receivables, absorb cyclical shocks, and invest in growth without stressing liquidity.

Cash generation

Sustained free cash flow expansion and a solid FCF-to-net-income ratio (0.81) indicate the business converts earnings into cash reliably. For a trading company, persistent positive operating cash flow underpins dividends, working capital needs, and reinvestment into supply-chain services, strengthening long-term stability.

Diversified trading model

A broad industrial footprint across electronics, chemicals, life sciences and plastics reduces single-sector cyclicality. Combined with logistics, sourcing and financing services, this sōgō shōsha model creates recurring B2B relationships and cross-selling opportunities that support steady transaction volumes over time.

Negative Factors

Thin profitability margins

Relatively low net and EBITDA margins are characteristic of trading businesses but limit earnings resilience. Thin margins make profitability highly sensitive to cost inflation, commodity price swings, and commodity spread compression, constraining the firm’s ability to rapidly scale returns without structural margin improvement.

Low return on equity

ROE near 9.5% suggests the company is not extracting high returns from shareholder capital. Persistently modest ROE can pressure long-term shareholder value unless management raises margins, improves asset turnover, or reallocates capital to higher-return initiatives in its trading and services businesses.

Earnings volatility

Negative EPS and recent revenue-growth measures point to earnings volatility, which may reflect swings in trading volumes, product mix, or margin pressure. For a distributor reliant on spreads and volumes, persistent volatility can hinder predictable reinvestment and dividend planning over the medium term.

Inabata & Co., Ltd. Business Overview & Revenue Model

Company Description

Inabata & Co.,Ltd. provides solutions and services for information and electronics, chemicals, life industry, and plastics businesses worldwide. The company offers polarizing films, alignment layer materials, materials for backlights and touch screens, chemical products for LCD manufacturing, and materials and equipment for OLEDs; and LED encapsulants, special use tape materials, chemical products for LCDs, connectors, and devices related to LCDs and OLEDs. It also provides materials for toners and peripheral components; 3D printer-related products and film-related materials; inkjet ingredients and other products; materials and equipment for imaging, semiconductors, automobiles, and life science; industrial, electronics, and optics materials; materials for energy-related fields; semiconductor and electronics peripheral, and processing equipment components; and biotechnology. In addition, the company offers vinyl chloride plastics, plasticizers, additives, commodity resins, compounds, elastomers, engineering plastics, synthetic rubbers, plastic products, machinery, molding machines and auxiliary equipment, laser welding machines, recycling materials, heat dissipating products, printed circuit boards, aluminum products, cellulose nanofiber and plastic composites, polyolefin resins and film products, resin sheets and molded products, sporting goods, and plastic compounds. Further, it sells materials and intermediates for the plastic, super engineering plastic, urethane, fiber, and papermaking and cardboard industries, as well as data recording papers; coating materials; and materials for automobile parts and chemicals, housing, housing material, housing equipment manufacturers, pharmaceutical, advanced medication, chemical, insect repellent, insecticide, and home product industries. Additionally, it offers frozen fruits and vegetables; and fish slices, shrimps, crabs, shellfish, squids, etc. Inabata & Co.,Ltd. was founded in 1890 and is headquartered in Osaka, Japan.

How the Company Makes Money

Inabata primarily makes money through trading and distribution activities, earning gross profit on the spread between procurement costs and selling prices for products it sources and delivers to customers. Key revenue streams come from (1) Information & Electronics: distributing electronic materials and components and supporting customers with supply-chain functions such as sourcing, logistics, and inventory management; (2) Chemicals: trading chemical products and intermediates for industrial use; (3) Life Industry: handling materials and products for life-science and food-related sectors; and (4) Plastics: supplying plastic raw materials and related products to manufacturers. Across segments, earnings are driven by transaction volume, product mix/margins, and the company’s ability to provide value-added services (e.g., logistics coordination, import/export handling, quality/technical support, and financing/credit support customary in trading businesses). Specific major partnerships, contract terms, or customer concentration details are null.

Inabata & Co., Ltd. Financial Statement Overview

Summary

Inabata & Co., Ltd. exhibits robust financial health with significant revenue growth and stable profitability margins. The balance sheet is stable with a manageable debt-to-equity ratio and strong equity backing. Cash flow is solid, with effective cash generation relative to net income. However, there is room for improvement in net profit margin and return on equity.

Income Statement

The company demonstrates strong revenue growth with a notable increase from ¥577.58 billion in 2021 to ¥837.84 billion in 2025, reflecting robust market demand. Gross profit margin remained relatively stable, achieving 9.42% in 2025. The net profit margin has shown slight fluctuations, reaching 2.37% in 2025. EBITDA margin is healthy at 4.18% for the same period, indicating efficient cost management. Overall, the company's income statement highlights solid growth and profitability, although net profit margin could be improved.

Balance Sheet

Inabata & Co., Ltd. maintains a stable balance sheet with a manageable debt-to-equity ratio of 0.35 in 2025. The equity ratio stands at 47.11%, underscoring a strong capital structure with significant shareholder equity backing. Return on equity is relatively low at 9.53%, suggesting room for improvement in utilizing equity capital to generate profits. The company's balance sheet reflects stability and prudent financial management, though enhancing ROE would be beneficial.

Cash Flow

The company showcases a solid cash flow position with free cash flow growing from ¥8.49 billion in 2020 to ¥16.12 billion in 2025. Operating cash flow is consistently positive, albeit showing some volatility over the years. The free cash flow to net income ratio of 0.81 indicates effective cash generation relative to net income. Although the free cash flow growth rate was negative from 2024 to 2025, the overall cash flow health is commendable with strong operational cash flow management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	828.36B	837.84B	766.02B	735.62B	680.96B	577.58B
Gross Profit	79.52B	78.92B	69.29B	62.88B	57.37B	46.04B
EBITDA	30.08B	30.19B	24.83B	23.78B	23.07B	17.85B
Net Income	19.51B	19.83B	20.00B	19.48B	22.35B	13.79B
Balance Sheet
Total Assets	448.41B	441.97B	427.32B	380.44B	389.06B	353.23B
Cash, Cash Equivalents and Short-Term Investments	59.56B	59.84B	51.37B	36.35B	35.40B	31.46B
Total Debt	81.14B	75.46B	64.72B	66.76B	66.22B	42.53B
Total Liabilities	232.65B	225.41B	220.56B	198.93B	212.14B	177.42B
Stockholders Equity	206.98B	208.16B	200.17B	179.46B	174.92B	173.80B
Cash Flow
Free Cash Flow	0.00	16.12B	27.59B	7.39B	-13.12B	15.75B
Operating Cash Flow	0.00	19.90B	30.19B	9.91B	-11.45B	17.61B
Investing Cash Flow	0.00	-9.50B	-1.39B	8.28B	5.45B	-423.00M
Financing Cash Flow	0.00	-805.00M	-14.98B	-17.57B	6.00B	-17.58B

Inabata & Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3745.00
• 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:8098, the sentiment is Negative. The current price of 3745 is below the 20-day moving average (MA) of 4145.25, below the 50-day MA of 4051.30, and above the 200-day MA of 3574.70, indicating a neutral trend. The MACD of -21.85 indicates Positive momentum. The RSI at 43.46 is Neutral, neither overbought nor oversold. The STOCH value of 45.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:8098.

Inabata & Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8098	79 Outperform	¥200.41B	10.43	―	3.43%	2.05%	7.74%
4203	76 Outperform	¥446.33B	17.67	6.52%	1.82%	3.25%	-11.31%
4118	74 Outperform	¥301.27B	9.05	5.47%	3.41%	2.60%	9.50%
4182	67 Neutral	¥770.74B	77.75	-2.50%	3.49%	-6.83%	-123.67%
4631	65 Neutral	¥363.86B	10.69	8.14%	2.61%	-1.45%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
4183	61 Neutral	¥754.98B	12.79	2.01%	3.82%	-4.63%	-65.11%

Inabata & Co., Ltd. Corporate Events

Inabata Posts Stable Nine-Month Results, Confirms Dividend Hike and Full-Year Outlook

Inabata & Co., Ltd. reported consolidated results for the nine months ended December 31, 2025, with net sales down 1.6% year on year to ¥624.8 billion and operating profit edging slightly lower by 0.5% to ¥20.3 billion, while ordinary profit rose 3.0% to ¥21.5 billion and profit attributable to owners of parent declined 4.1% to ¥16.7 billion, partly due to a reduced average share count. Total assets increased to ¥493.9 billion and equity expanded to ¥230.2 billion, lifting net assets to ¥240.3 billion, and the company maintained a solid equity ratio of 46.6%; it also confirmed its dividend trajectory with a higher interim dividend and an unchanged full-year payout forecast, and left its full-year FY2026 earnings outlook intact, projecting modest sales growth but slight declines in profits, signaling stable operations but limited near-term earnings expansion for shareholders.

The most recent analyst rating on (JP:8098) stock is a Buy with a Yen4466.00 price target. To see the full list of analyst forecasts on Inabata & Co., Ltd. stock, see the JP:8098 Stock Forecast page.