Trusco Nakayama Corporation (9830) AI Stock Analysis

• Market Cap: ¥160.17B
• Dividend Yield: 2.42%
• Average Volume (3M): 120.09K
• Price to Earnings (P/E): 10.1
• Beta (1Y): 0.73
• Revenue Growth: 9.74%
• EPS Growth: 6.48%
• Country: JP
• Employees: 1,704
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Distribution
• EPS (TTM): 53.80
• Shares Outstanding: 66,008,740
• 10 Day Avg. Volume: 121,960
• 30 Day Avg. Volume: 120,090
• PEG Ratio: 0.31
• Price to Book (P/B): 0.89
• Price to Sales (P/S): 0.52
• P/FCF Ratio: -24.70
• 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: ¥2,681.00 ▲(11.52% Upside)

Trusco Nakayama Corporation's strong financial performance and attractive valuation are the primary drivers of its stock score. The company's robust revenue growth and profitability, combined with a low P/E ratio, make it an appealing investment. However, technical indicators suggest potential short-term volatility, and negative free cash flow highlights a need for improved cash management.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion and stability.

Profitability

Improving profit margins reflect efficient cost management and pricing strategies, enhancing the company's ability to generate sustainable profits.

Balance Sheet Health

A strong balance sheet with low leverage provides financial stability and flexibility, enabling the company to invest in growth opportunities.

Negative Factors

Negative Free Cash Flow

Negative free cash flow suggests potential cash management challenges, which could limit the company's ability to fund future growth and investments.

Cash Management Concerns

Inefficient cash management may hinder the company's ability to reinvest in its operations, affecting long-term growth prospects.

Investment Efficiency

Suboptimal investment efficiency can strain financial resources, potentially affecting the company's ability to capitalize on new opportunities.

Trusco Nakayama Corporation Business Overview & Revenue Model

Company Description

Trusco Nakayama Corporation operates as a specialized trading company in Japan and internationally. The company engages in the wholesale of machine tools, distribution equipment, environmental safety equipment, and other equipment; and metal products, as well as planning and development of the products under the Trusco brand name. It sells its products to dealers of machine tools, welding consumables, electrical materials, architectural hardware, and tubing materials, as well as do-it-yourself stores, home centers, and other customers. The company was formerly known as Nakayama Kiko Co., Ltd. and changed its name to Trusco Nakayama Corporation in 1994. Trusco Nakayama Corporation was founded in 1959 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Trusco Nakayama Corporation generates revenue primarily through the wholesale distribution of its extensive product lineup. The company's revenue model is based on the sale of tools and equipment to retailers and industrial clients, often leveraging bulk purchasing to secure competitive pricing. Key revenue streams include direct sales to businesses in the manufacturing and construction sectors, as well as partnerships with various suppliers to expand their product offerings. Additionally, Trusco Nakayama benefits from maintaining a strong inventory management system, allowing for efficient logistics and timely delivery, which in turn fosters customer loyalty and repeat business. The company may also engage in promotional activities and special contracts that further enhance its revenue potential.

Trusco Nakayama Corporation Financial Statement Overview

Summary

Trusco Nakayama Corporation demonstrates strong financial performance with solid revenue growth and profitability. The balance sheet is stable, with low leverage and strong equity. However, the negative free cash flow indicates cash flow management challenges, which could impact future growth investments.

Income Statement

Trusco Nakayama Corporation has shown a strong revenue growth of 10.03% over the last year, with improving profit margins. The gross profit margin has increased to 20.91%, and the net profit margin improved to 5.45% from the previous year. The company's EBIT and EBITDA margins also reflect good operational efficiency at 6.77% and 8.84% respectively, indicating healthy profitability.

Balance Sheet

The company's balance sheet is robust with a debt-to-equity ratio of 0.32, reflecting manageable leverage levels. The return on equity is healthy at 9.25%, indicating effective use of shareholders' equity. The equity ratio stands at 64.39%, suggesting a solid financial structure with significant equity financing.

Cash Flow

Cash flow from operations is strong, but the free cash flow is negative, indicating higher capital expenditures. The operating cash flow to net income ratio is favorable at 0.81, suggesting good cash generation relative to net income. However, the free cash flow to net income ratio is negative, highlighting potential concerns over investment efficiency and cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	309.80B	295.02B	268.15B	246.45B	226.83B	213.40B
Gross Profit	60.55B	61.68B	57.52B	52.16B	40.74B	45.91B
EBITDA	30.52B	26.07B	24.24B	22.04B	24.02B	18.23B
Net Income	17.33B	16.09B	12.27B	10.63B	11.60B	8.01B
Balance Sheet
Total Assets	298.21B	270.29B	244.88B	225.21B	223.07B	208.85B
Cash, Cash Equivalents and Short-Term Investments	56.69B	41.35B	43.28B	39.40B	41.47B	32.38B
Total Debt	80.00B	56.50B	50.00B	45.00B	52.00B	52.00B
Total Liabilities	118.45B	96.30B	84.16B	74.20B	80.40B	75.89B
Stockholders Equity	179.75B	174.00B	160.72B	151.00B	142.67B	132.96B
Cash Flow
Free Cash Flow	0.00	-6.27B	1.69B	7.25B	7.33B	6.20B
Operating Cash Flow	0.00	13.02B	14.80B	12.18B	15.93B	15.07B
Investing Cash Flow	0.00	-18.27B	-13.11B	-5.17B	-4.60B	-8.74B
Financing Cash Flow	0.00	3.24B	1.93B	-9.11B	-2.24B	7.72B

Trusco Nakayama Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2404.00
• 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:9830, the sentiment is Positive. The current price of 2404 is above the 20-day moving average (MA) of 2398.45, above the 50-day MA of 2365.47, and above the 200-day MA of 2183.07, indicating a bullish trend. The MACD of 24.41 indicates Negative momentum. The RSI at 60.75 is Neutral, neither overbought nor oversold. The STOCH value of 35.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9830.

Trusco Nakayama Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8061	79 Outperform	¥87.53B	15.37	―	3.38%	10.74%	-26.50%
9830	74 Outperform	¥160.17B	10.08	―	2.42%	9.74%	6.48%
8052	73 Outperform	¥56.60B	10.62	―	3.00%	16.06%	31.78%
3176	70 Neutral	¥44.07B	9.64	―	3.87%	2.66%	-11.41%
7128	68 Neutral	¥54.12B	27.40	―	3.24%	-2.85%	-56.68%
9902	64 Neutral	¥76.07B	15.14	―	3.17%	5.95%	23.97%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Trusco Nakayama Corporation Corporate Events

Trusco Nakayama Reports Strong Nine-Month Financial Performance

Trusco Nakayama Corporation reported its consolidated financial results for the nine months ended September 30, 2025, showing a 9.7% increase in net sales to ¥237,350 million. Despite a slight decrease in profit attributable to owners of the parent, the company experienced significant growth in operating and ordinary profit, reflecting a strong operational performance. The company’s total assets increased, although the equity-to-asset ratio slightly decreased. The forecast for the fiscal year ending December 31, 2025, anticipates continued growth in net sales and profits, indicating a positive outlook for stakeholders.

The most recent analyst rating on (JP:9830) stock is a Buy with a Yen2681.00 price target. To see the full list of analyst forecasts on Trusco Nakayama Corporation stock, see the JP:9830 Stock Forecast page.