Ajinomoto Co AI Stock Analysis
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Ajinomoto Co (AJNMY) AI Stock Analysis
Ajinomoto Co
(Other OTC:AJNMY)
The score is held back primarily by rich valuation (high P/E with a modest yield). Financial performance is steady overall—good revenue and gross margin trends, moderate leverage, and positive free cash flow—but weaker cash conversion and some net margin pressure reduce confidence. Technically, the trend is positive, yet overbought momentum indicators suggest higher near-term downside risk.
Ajinomoto Co (AJNMY) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $15.25B
- Dividend Yield
- 0.83%
- Average Volume (3M)
- 51.62K
- Price to Earnings (P/E)
- 56.1
- Beta (1Y)
- 0.59
- Revenue Growth
- 4.22%
- EPS Growth
- 112.51%
- Country
- US
- Employees
- 34,862
- Sector
- Consumer Defensive
- Sector Strength
- 62
- Industry
- Packaged Foods
Ajinomoto Co Business Overview & Revenue Model
Company Description
Ajinomoto Co., Inc. engages in the seasonings and foods, frozen foods, and healthcare and other businesses in Japan and internationally. Its Seasonings and Foods segment offers sauces and seasonings products under the AJI-NO-MOTO, HON-DASHI, Cook Do,...
How the Company Makes Money
Ajinomoto makes money primarily by manufacturing and selling branded consumer foods and seasonings and by supplying specialty ingredients and amino-acid–based materials to business customers. 1) Branded consumer foods and seasonings (B2C revenue): A...
Ajinomoto Co Earnings Call Summary
The earnings call highlighted record sales and profits, strong performance in overseas markets, and positive shareholder returns. However, these positives were offset by challenges in the Japan Frozen Foods segment, impacts from structural reforms, and shipment delays in the Bio-Pharma Services. Despite the lowlights, the overall outlook for FY 2025 remains optimistic, with significant growth expected in key business areas.
Q4-2025 Updates
Positive Updates
Negative Updates
Company Guidance
The Ajinomoto earnings call provided comprehensive guidance for the fiscal year 2025, highlighting significant metrics and strategic initiatives. Sales and business profit for FY 2024 reached unprecedented levels, with sales at JPY 1.530 trillion, a 6% increase year-on-year, and business profit at JPY 159.3 billion, a 7.9% rise. Despite structural reform expenses impacting profit attributable to owners, the FY 2025 forecast projects further growth, with sales expected to reach JPY 1.618 trillion, a 5.7% increase, and business profit anticipated to hit JPY 180 billion, a 13% rise. The company plans to enhance shareholder returns by increasing dividends and repurchasing shares. Additionally, Ajinomoto aims to achieve a 19% ROE, excluding the Forge acquisition impact, surpassing its initial target. The call also outlined strategic focus areas, including premium product launches and operational improvements in frozen foods, along with a significant increase in profit from Bio-Pharma Services and Ingredients.
Ajinomoto Co Financial Statement Overview
Summary
Income statement strength (78) from strong TTM revenue growth and slightly better gross margin is tempered by net margin compression versus prior years. Balance sheet is solid (72) with moderate leverage, though leverage has risen versus FY2023. Cash flow is the main drag (63) due to mixed cash conversion (FCF only a bit over half of net income) despite positive OCF/FCF.
Income Statement
78PositiveBalance Sheet
72PositiveCash Flow
63Positive| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.53T | 1.53T | 1.44T | 1.36T | 1.15T | 1.07T |
| Gross Profit | 561.29B | 550.76B | 511.45B | 470.39B | 425.90B | 406.22B |
| EBITDA | 197.73B | 209.22B | 219.41B | 202.42B | 188.15B | 168.89B |
| Net Income | 71.62B | 70.27B | 87.12B | 94.06B | 75.72B | 59.42B |
Balance Sheet | ||||||
| Total Assets | 1.77T | 1.72T | 1.77T | 1.51T | 1.46T | 1.43T |
| Cash, Cash Equivalents and Short-Term Investments | 156.01B | 182.77B | 194.19B | 145.09B | 169.26B | 193.69B |
| Total Debt | 514.46B | 455.35B | 491.68B | 288.56B | 313.91B | 350.42B |
| Total Liabilities | 976.05B | 907.86B | 890.43B | 688.77B | 717.32B | 763.44B |
| Stockholders Equity | 726.43B | 746.80B | 814.69B | 768.68B | 686.91B | 620.26B |
Cash Flow | ||||||
| Free Cash Flow | 128.49B | 114.81B | 96.05B | 44.59B | 64.86B | 79.61B |
| Operating Cash Flow | 223.36B | 209.90B | 168.07B | 117.64B | 145.58B | 165.65B |
| Investing Cash Flow | -62.78B | -77.38B | -132.43B | -30.09B | -61.57B | -66.25B |
| Financing Cash Flow | -192.49B | -137.68B | -6.75B | -111.06B | -123.06B | -60.39B |
Ajinomoto Co Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AJNMY, the sentiment is Negative. The current price of 26.44 is below the 20-day moving average (MA) of 30.74, below the 50-day MA of 31.87, and below the 200-day MA of 31.42, indicating a bearish trend. The MACD of -1.62 indicates Positive momentum. The RSI at 23.98 is Positive, neither overbought nor oversold. The STOCH value of 0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AJNMY.
Ajinomoto Co Peers Comparison
Overall Rating
MKC77Outperform
INGR63Neutral- AJNMY62Neutral
HRL58Neutral
KHC58Neutral
GIS48Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| MKC | 77Outperform | $12.64B | 8.46 | 22.32% | 4.09% | 13.23% | 91.32% |
| INGR | 63Neutral | $5.86B | 10.59 | 12.58% | 3.49% | -0.98% | -12.90% |
| Sector * | 62Neutral | $20.33B | 14.63 | -3.31% | 3.23% | 1.93% | -12.26% |
| AJNMY | 62Neutral | $24.77B | 56.07 | 10.67% | 0.83% | 4.22% | 112.51% |
| HRL | 58Neutral | $12.16B | 35.06 | 4.33% | 5.30% | 0.73% | -54.64% |
| KHC | 58Neutral | $29.73B | -8.60 | -8.91% | 6.37% | -1.53% | 21.36% |
| GIS | 48Neutral | $18.35B | -20.80 | -10.69% | 7.11% | -4.49% | -131.46% |
* Consumer Defensive Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| AJNMY | Ajinomoto Co Inc (Adr) | 26.44 | 1.94 | 7.93% | |
| GIS | General Mills Inc | 34.32 | -9.62 | -21.89% | |
| HRL | Hormel Foods Corp | 22.09 | 0.98 | 4.65% | |
| MKC | McCormick & Company Inc | 46.96 | -15.36 | -24.65% | |
| INGR | Ingredion | 94.14 | -9.47 | -9.14% | |
| KHC | Kraft Heinz Co | 25.11 | 2.19 | 9.55% |
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Feb 08, 2026