Toray Industries (TRYIY) AI Stock Analysis

• Market Cap: $10.18B
• Dividend Yield: 1.51%
• Average Volume (3M): 818.00
• Price to Earnings (P/E): 24.6
• Beta (1Y): 0.25
• Revenue Growth: -1.45%
• EPS Growth: 30.18%
• Country: US
• Employees: 48,140
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): 0.17
• Shares Outstanding: 815,740,700
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 818
• PEG Ratio: 0.08
• Price to Book (P/B): 0.95
• Price to Sales (P/S): 0.63
• P/FCF Ratio: 21.39
• Enterprise Value/Market Cap: 1.48
• Enterprise Value/Revenue: <0.01
• Enterprise Value/Gross Profit: 0.03
• Enterprise Value/Ebitda: 0.06
• 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: 55 Neutral
• Price Target: $12.50 ▼(-3.47% Downside)

The overall stock score of 55 reflects a combination of stable financial performance and bearish technical indicators. The high P/E ratio suggests potential overvaluation, while the oversold RSI and low Stochastic indicate possible continued downward pressure. The lack of earnings call and corporate events data limits additional insights.

Positive Factors

Strong Equity Base

A strong equity base enhances financial stability, providing a buffer against economic downturns and supporting long-term investment capacity.

Sustainability Focus

Toray's emphasis on sustainability aligns with global trends, potentially driving demand for eco-friendly materials and supporting long-term growth.

Diverse Revenue Streams

Diversified revenue streams across multiple sectors reduce dependency on a single market, enhancing resilience and growth potential.

Negative Factors

Declining Revenue Growth

Declining revenue growth can signal weakening demand or competitive pressures, potentially impacting long-term profitability and market position.

Free Cash Flow Decline

Declining free cash flow growth may indicate liquidity challenges, limiting the company's ability to invest in growth opportunities or weather economic downturns.

Low Return on Equity

Low ROE suggests limited profitability from shareholders' equity, which may deter investment and affect the company's ability to generate shareholder value.

Toray Industries Business Overview & Revenue Model

Company Description

Toray Industries, Inc., together with its subsidiaries, manufactures, processes, and sells fibers and textiles, performance chemicals, carbon fiber composite materials, environment and engineering products, and life science products in Japan, China, North America, Europe, and internationally. The company offers filament yarns, staple fibers, and spun yarns, as well as woven and knitted fabrics of nylon, polyester, acrylics, and others; non-woven fabrics; ultra-fine fibers; and apparel products. It also provides nylon, ABS, PBT, PPS, and other resins and molded products; polyolefin foam products; polyester, polyethylene, polypropylene, and other films; processed film products; raw materials for synthetic fibers and other plastics; fine chemicals; electronic and information materials; and graphic materials. In addition, the company offers carbon fibers, carbon fiber composite materials, and molded products; analysis, physical evaluation, research, and other services; and pharmaceuticals, medical devices, etc. Further, it provides engineering services; condominiums; industrial equipment and machinery; IT-related equipment; water treatment membranes and related equipment; and materials for housing, building, and civil engineering applications. The company was formerly known as Toyo Rayon Co., Ltd. and changed its name to Toray Industries, Inc. in 1970. The company was incorporated in 1926 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Toray Industries generates revenue through multiple key streams, primarily by selling a diverse range of high-value materials and products across its various business segments. The company earns significant income from its fibers and textiles division, which includes synthetic fibers used in apparel and industrial applications. Additionally, the performance chemicals segment contributes to revenue through specialty chemicals and films. Another essential revenue stream comes from the advanced composites sector, particularly carbon fiber products used in lightweight automotive and aerospace components. Toray also engages in strategic partnerships and joint ventures with other companies to expand its market reach and enhance technological capabilities, further driving its earnings. Factors such as increasing demand for lightweight materials in various industries, innovations in product development, and a focus on sustainability initiatives play a crucial role in the company’s financial performance.

Toray Industries Financial Statement Overview

Summary

Toray Industries demonstrates a stable financial position with moderate profitability and leverage. The company maintains solid profit margins and a strong equity base, but the decline in revenue and free cash flow growth poses potential risks.

Income Statement

Toray Industries shows a mixed performance in its income statement. The TTM data reveals a slight decline in revenue growth, with a negative growth rate of -1.64%. However, the company maintains a stable gross profit margin of approximately 19.83% and a net profit margin of 2.70%. The EBIT and EBITDA margins are moderate at 4.69% and 9.78%, respectively. Despite the revenue decline, the company has managed to sustain its profitability margins, indicating operational efficiency.

Balance Sheet

The balance sheet of Toray Industries indicates a solid financial structure with a debt-to-equity ratio of 0.54, reflecting moderate leverage. The return on equity (ROE) is relatively low at 3.95%, suggesting limited profitability from shareholders' equity. However, the equity ratio stands at 50.74%, indicating a strong equity base relative to total assets, which enhances financial stability.

Cash Flow

The cash flow statement shows some challenges, with a significant decline in free cash flow growth at -23.66% TTM. The operating cash flow to net income ratio is 0.28, and the free cash flow to net income ratio is 0.23, indicating adequate cash generation relative to net income. However, the negative free cash flow growth suggests potential liquidity concerns that need to be addressed.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.52T	2.56T	2.46T	2.49T	2.23T	1.88T
Gross Profit	500.10B	505.89B	443.52B	420.83B	377.50B	438.36B
EBITDA	245.19B	265.29B	207.84B	219.00B	252.43B	206.08B
Net Income	68.20B	77.91B	21.90B	72.82B	84.23B	45.79B
Balance Sheet
Total Assets	3.30T	3.29T	3.47T	3.19T	2.85T	2.65T
Cash, Cash Equivalents and Short-Term Investments	228.61B	254.52B	248.86B	254.69B	242.49B	242.49B
Total Debt	904.32B	842.66B	949.68B	950.09B	935.66B	973.93B
Total Liabilities	1.51T	1.47T	1.62T	1.56T	1.53T	1.47T
Stockholders Equity	1.67T	1.71T	1.74T	1.54T	1.41T	1.24T
Cash Flow
Free Cash Flow	57.86B	75.78B	51.55B	43.00B	89.11B	85.62B
Operating Cash Flow	247.81B	255.03B	185.68B	145.21B	211.59B	225.77B
Investing Cash Flow	-77.30B	-63.20B	-121.00B	-102.72B	-97.87B	-142.36B
Financing Cash Flow	-172.73B	-188.52B	-70.37B	-57.38B	-69.40B	-67.59B

Toray Industries Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.95
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRYIY, the sentiment is Positive. The current price of 12.95 is above the 20-day moving average (MA) of 12.60, above the 50-day MA of 12.65, and below the 200-day MA of 13.23, indicating a neutral trend. The MACD of 0.10 indicates Negative momentum. The RSI at 55.01 is Neutral, neither overbought nor oversold. The STOCH value of 74.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TRYIY.

Toray Industries Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ZGN	74 Outperform	$4.32B	25.80	10.58%	1.32%	-1.88%	-5.94%
GIII	71 Outperform	$1.24B	7.30	11.32%	―	1.19%	1.62%
COLM	68 Neutral	$2.98B	16.64	10.84%	2.17%	2.76%	-7.83%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
TRYIY	55 Neutral	$10.18B	24.56	3.37%	1.51%	-1.45%	30.18%
AIN	55 Neutral	$1.36B	―	-6.19%	2.28%	-9.37%	-160.13%
UFI	41 Neutral	$63.16M	―	-9.61%	―	-5.26%	42.84%

Toray Industries Corporate Events

Toray Industries Reports Decline in Q1 2025 Earnings

Toray Industries, Inc., a leading Japanese multinational corporation, operates in the chemical industry, specializing in fibers and textiles, performance chemicals, carbon fiber composite materials, environment and engineering, and life sciences. The company is known for its commitment to innovation and sustainable growth.