Nisshin Seifun Group Inc. (2002) AI Stock Analysis

• Market Cap: ¥525.12B
• Dividend Yield: 2.95%
• Average Volume (3M): 852.08K
• Price to Earnings (P/E): 16.8
• Beta (1Y): 0.53
• Revenue Growth: 0.67%
• EPS Growth: -22.08%
• Country: JP
• Employees: 9,574
• Sector: Consumer Defensive
• Sector Strength: 78
• Industry: Packaged Foods
• EPS (TTM): 34.21
• Shares Outstanding: 290,657,900
• 10 Day Avg. Volume: 498,210
• 30 Day Avg. Volume: 852,083
• PEG Ratio: -6.36
• Price to Book (P/B): 1.09
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 44.69
• 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: ¥2,000.00
• Price Target Upside: 8.05% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

Nisshin Seifun Group Inc. scores a 70.0, reflecting its strong financial performance and reasonable valuation. The company's recovery from past challenges indicates a positive outlook, while the stock's attractive dividend yield provides an additional incentive for investors. However, technical indicators suggest caution due to potential downward momentum.

Nisshin Seifun Group Inc. Business Overview & Revenue Model

Company Description

Nisshin Seifun Group Inc. is a Japanese conglomerate primarily engaged in the production and distribution of flour and other food-related products. The company operates through various segments, including the Flour Milling Business, the Food Business, and the Others Business, which encompasses pet foods and engineering. Nisshin Seifun is renowned for its high-quality flour products and has expanded its portfolio to include a wide range of food products, such as pasta, premixes, and processed foods, catering to both domestic and international markets.

How the Company Makes Money

Nisshin Seifun Group Inc. generates revenue primarily through its Flour Milling and Food segments. The Flour Milling segment produces and sells wheat flour and wheat bran, which are essential ingredients for bakeries, confectioneries, and noodle manufacturers. The Food segment includes the production and sale of pasta, premixes, and various processed food products, catering to both consumer and industrial needs. Additionally, the company earns income from its Others segment, which involves pet food manufacturing and engineering services. Key revenue streams also include strategic partnerships and joint ventures that enhance its market presence and operational efficiency, as well as exports to international markets, contributing to its diversified income sources.

Nisshin Seifun Group Inc. Financial Statement Overview

Summary

Nisshin Seifun Group Inc. presents a strong financial performance, characterized by robust revenue growth and profitability indicators. Despite challenges in 2023 affecting net income and cash flow metrics, the company has demonstrated resilience and recovery, which bodes well for future financial health.

Income Statement

Nisshin Seifun Group Inc. shows strong profitability with a consistent gross profit margin of over 20%. The company has demonstrated positive revenue growth over the years, particularly from 2022 to 2024. The EBIT and EBITDA margins are stable, indicating operational efficiency. However, the net profit margin faced a setback in 2023 but has since recovered, showing resilience in profitability.

Balance Sheet

The company maintains a solid financial structure with a low debt-to-equity ratio, indicating prudent financial management. The equity ratio is robust, reflecting strong capitalization. However, the return on equity (ROE) experienced fluctuations, notably decreasing in 2023 due to negative net income, but has improved afterward, showcasing recovery in shareholder returns.

Cash Flow

Nisshin Seifun Group Inc. has demonstrated stable free cash flow generation, with a significant recovery in free cash flow from 2023 onwards. The operating cash flow to net income ratio indicates effective cash generation relative to reported profits. However, the free cash flow growth rate is volatile, pointing to potential areas for improvement in cash flow consistency.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
855.01B	858.25B	798.68B	679.74B	679.50B	712.18B
	Gross Profit
188.86B	184.13B	160.62B	148.08B	189.09B	199.82B
	EBIT
45.37B	47.79B	32.83B	29.43B	27.20B	28.85B
	EBITDA
72.43B	76.91B	59.55B	58.35B	54.91B	55.76B
	Net Income Common Stockholders
32.76B	31.74B	-10.38B	17.51B	19.01B	22.41B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
114.29B	109.47B	82.97B	70.71B	61.73B	57.23B
	Total Assets
829.63B	826.70B	713.87B	723.07B	687.41B	666.22B
	Total Debt
81.47B	88.31B	85.05B	79.51B	76.95B	84.29B
	Net Debt
-27.23B	-19.37B	2.07B	9.91B	15.67B	34.58B
	Total Liabilities
301.46B	310.32B	275.38B	262.43B	242.64B	257.17B
	Stockholders Equity
510.37B	500.30B	423.88B	449.27B	433.20B	395.13B
Cash Flow		Free Cash Flow
11.83B	44.00B	4.76B	23.15B	32.15B	16.50B
	Operating Cash Flow
19.71B	73.19B	23.42B	41.83B	49.51B	38.42B
	Investing Cash Flow
-8.56B	-30.94B	487.00M	-15.52B	-17.11B	-96.84B
	Financing Cash Flow
-2.29B	-19.54B	-10.63B	-17.85B	-31.26B	8.34B

Nisshin Seifun Group Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1851.00
• 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:2002, the sentiment is Positive. The current price of 1851 is above the 20-day moving average (MA) of 1833.10, above the 50-day MA of 1757.70, and above the 200-day MA of 1770.82, indicating a bullish trend. The MACD of 28.18 indicates Positive momentum. The RSI at 62.60 is Neutral, neither overbought nor oversold. The STOCH value of 47.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2002.

Nisshin Seifun Group Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2875	76 Outperform	¥979.61B	15.31	13.14%	1.74%	12.15%	44.46%
2809	75 Outperform	¥460.52B	16.35	9.19%	1.65%	5.92%	56.91%
2801	74 Outperform	$1.35T	21.40	12.17%	1.70%	7.29%	9.77%
2802	74 Outperform	$3.25T	46.58	8.89%	1.20%	8.76%	-0.23%
2002	70 Outperform	¥525.12B	16.80		2.95%	0.67%	-22.08%
2871	69 Neutral	€497.75B	20.06	9.55%	2.35%	3.70%	0.75%
Sector *	64 Neutral	$8.72B	14.80	5.05%	174.27%	3.54%	3.26%

Nisshin Seifun Group Inc. Corporate Events

Nisshin Seifun Announces Executive Leadership Change

Nisshin Seifun Group Inc. announced a change in its executive leadership, with Kenji Sakamoto appointed as the new Representative Director and Senior Managing Executive Officer, replacing Naoto Masujima, who will become a Senior Corporate Adviser. This leadership transition is part of the company’s strategic restructuring to enhance its executive framework, potentially impacting its operational efficiency and industry positioning.

Nisshin Seifun Adjusts Treasury Share Strategy for Fiscal 2025

Nisshin Seifun Group Inc. announced adjustments to its financial results for the third quarter of fiscal 2025, highlighting changes in the acquisition and cancellation of treasury shares. The acquisition aimed to enhance shareholder returns and improve capital efficiency, while the cancellation was to address share dilution concerns. These strategic actions reflect the company’s alignment with current business environment demands, potentially impacting its financial structure and shareholder value.