Rinko Corporation (9355) AI Stock Analysis

• Market Cap: ¥5.93B
• Dividend Yield: 1.44%
• Average Volume (3M): 1.05K
• Price to Earnings (P/E): 8.0
• Beta (1Y): 0.19
• Revenue Growth: 3.99%
• EPS Growth: 151.49%
• Country: JP
• Employees: 586
• Sector: Industrials
• Sector Strength: 72
• Industry: Integrated Freight & Logistics
• EPS (TTM): 90.92
• Shares Outstanding: 2,700,000
• 10 Day Avg. Volume: 1,440
• 30 Day Avg. Volume: 1,050
• PEG Ratio: 0.16
• Price to Book (P/B): 0.25
• Price to Sales (P/S): 0.33
• P/FCF Ratio: 6.85
• 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: 68 Neutral
• Price Target: ¥2,398.00 ▲(15.45% Upside)
• Action: Downgraded Date: 11/01/25
• Date: Action: Downgraded 11/01/25

Rinko Corporation's overall stock score is driven by its strong financial performance and attractive valuation. The company has improved its profitability and financial stability, although it faces challenges in maintaining cash flow growth. Technical indicators suggest potential short-term weakness, but the stock remains undervalued with a reasonable dividend yield.

Positive Factors

Margin Improvement & Profitability

Rinko's gross margin jumped from 5.4% in 2021 to 12.8%, and net margin recovered from -11% to 3.9% by 2025. This reflects durable operational improvements and cost discipline that strengthen earnings power, improve cash flow potential, and make profitability less sensitive to short-term demand swings.

Lower Leverage & Stronger Equity Base

The reduction in leverage and higher equity ratio indicate a lasting de-risking of the balance sheet. Lower D/E improves financial flexibility, reduces refinancing stress, and increases capacity for capex or strategic investment without materially raising insolvency risk in a cyclical downturn.

High Cash Conversion & Positive FCF

A strong OCF/net income ratio (2.52) and positive free cash flow show earnings quality and reliable cash generation. This structural cash conversion supports dividends, debt paydown, and reinvestment capacity, providing a durable buffer versus companies with weaker conversion metrics.

Negative Factors

Declining Free Cash Flow Growth

Although FCF is positive, the recent decline signals pressure on internal funding for growth or debt reduction. If FCF growth does not recover, the company may need to cut investments or rely on external financing, which would weaken long-term strategic flexibility and capital allocation.

Residual Debt Burden

Despite lower leverage ratios, the absolute level of debt remains material. In slower cycles, interest and principal obligations could constrain cash flow use, limit M&A or capex capacity, and increase refinancing risk, meaning debt reduction remains a necessary structural priority.

Modest Revenue Growth & Low ROE

Top-line expansion is modest and ROE is low (2.9%), indicating limited returns on capital and constrained organic growth momentum. Over the medium term, slow revenue traction and weak ROE can cap scalability and make it harder to materially improve shareholder returns without higher-margin wins or efficiency gains.

Rinko Corporation Business Overview & Revenue Model

Company Description

Rinko Corporation provides harbor transportation services in Japan and internationally. The company engages in port transportation comprising port cargo handling, conventional vessel cargo handling, and ship agency, as well as insurance agency; freight forwarding; warehousing, custom clearance, air cargo handling, and real estate businesses; and international logistics, including customs clearance, international maritime, and collection and delivery, packaging, labeling, and storage. It is also involved in land transportation; and product and machines sales business, as well as industrial waste disposal businesses. The company was formerly known as Niigata Shinko Development and changed its name to Rinko Corporation in 1991. Rinko Corporation was founded in 1905 and is headquartered in Niigata, Japan.

How the Company Makes Money

Rinko Corporation generates revenue through multiple streams, primarily by selling its specialized industrial materials and components to various industries. The company benefits from long-term contracts with major clients in the electronics and automotive sectors, which provide a steady income base. Additionally, Rinko engages in custom manufacturing services, allowing for higher margins on bespoke projects. Strategic partnerships with key players in technology and construction sectors enhance its market reach and foster collaboration on innovative product development, further contributing to its revenue. The company's investment in research and development also leads to the introduction of new products, creating additional sales opportunities in emerging markets.

Rinko Corporation Financial Statement Overview

Summary

Rinko Corporation has shown significant improvement in its financial health over the past few years. The company has returned to profitability with improved margins and a more stable financial structure. However, challenges remain in managing debt levels and sustaining free cash flow growth.

Income Statement

Rinko Corporation has demonstrated a solid improvement in its financial performance over the years. The gross profit margin has improved significantly from 5.4% in 2021 to 12.8% in 2025, indicating better cost management. The net profit margin also improved from a negative 11% in 2021 to 3.9% in 2025, showing a return to profitability. Revenue growth has been steady, with a 3.3% increase from 2024 to 2025. EBIT and EBITDA margins have improved, reflecting enhanced operational efficiency. However, the company faced challenges in 2021 with negative margins, which they have since overcome.

Balance Sheet

The balance sheet of Rinko Corporation shows a stable financial position with a debt-to-equity ratio of 0.53 in 2025, down from 0.86 in 2021, indicating reduced leverage. The equity ratio has improved to 46.7% in 2025 from 37.5% in 2021, reflecting a stronger equity base. Return on equity (ROE) has increased to 2.9% in 2025, up from negative values in 2021, showing improved profitability. However, the company still carries a substantial amount of debt, which poses a risk if not managed carefully.

Cash Flow

Rinko Corporation's cash flow statement reveals a mixed performance. The operating cash flow to net income ratio is strong at 2.52 in 2025, indicating good cash generation relative to net income. Free cash flow has been positive, although it decreased from 2024 to 2025. The free cash flow to net income ratio is 1.23 in 2025, showing adequate cash flow generation. However, free cash flow growth has been negative, suggesting challenges in maintaining cash flow growth.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	13.61B	13.54B	13.11B	13.44B	12.69B	14.20B
Gross Profit	1.70B	1.73B	1.47B	1.48B	1.32B	761.76M
EBITDA	1.27B	1.49B	1.18B	1.51B	1.26B	-316.35M
Net Income	530.04M	526.84M	357.90M	683.32M	455.16M	-1.57B
Balance Sheet
Total Assets	38.47B	38.50B	38.59B	36.96B	36.69B	36.73B
Cash, Cash Equivalents and Short-Term Investments	507.04M	381.36M	367.03M	743.96M	404.04M	620.26M
Total Debt	9.71B	9.57B	9.95B	10.68B	11.39B	12.58B
Total Liabilities	20.54B	20.52B	20.74B	20.92B	21.46B	22.97B
Stockholders Equity	17.93B	17.98B	17.85B	16.05B	15.22B	13.76B
Cash Flow
Free Cash Flow	0.00	647.90M	836.81M	852.10M	835.16M	437.33M
Operating Cash Flow	0.00	1.33B	1.40B	1.26B	943.01M	685.38M
Investing Cash Flow	0.00	-756.37M	-590.73M	-18.49M	70.57M	-233.59M
Financing Cash Flow	0.00	-557.64M	-1.19B	-905.13M	-1.23B	-280.40M

Rinko Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2077.00
• 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:9355, the sentiment is Positive. The current price of 2077 is below the 20-day moving average (MA) of 2157.55, below the 50-day MA of 2143.46, and above the 200-day MA of 1907.38, indicating a bullish trend. The MACD of 6.63 indicates Positive momentum. The RSI at 62.30 is Neutral, neither overbought nor oversold. The STOCH value of 67.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9355.

Rinko Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9036	77 Outperform	¥6.51B	25.32	―	1.24%	-2.89%	―
9051	76 Outperform	¥7.61B	22.88	―	1.05%	2.07%	-29.13%
9363	72 Outperform	¥3.05B	8.90	―	2.83%	5.46%	11.93%
9366	71 Outperform	¥5.49B	12.81	―	3.44%	5.32%	8.54%
9355	68 Neutral	¥5.93B	7.96	―	1.44%	3.99%	151.49%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
9326	41 Neutral	¥4.84B	-15.78	―	2.35%	17.65%	-5123.90%