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Nakamuraya Co., Ltd. (JP:2204)
:2204
Japanese Market
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Nakamuraya Co., Ltd. (2204) AI Stock Analysis

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JP:2204

Nakamuraya Co., Ltd.

(2204)

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Neutral 68 (OpenAI - 5.2)
Rating:68Neutral
Price Target:
¥3,559.00
▲(15.74% Upside)
Action:Downgraded
Date:08/10/26
The score is primarily driven by solid financial fundamentals—especially very low leverage and materially improved free cash flow—offset by a major top-line warning sign from the steep TTM revenue decline. Technicals add modest support (price above key moving averages with neutral RSI), while valuation is only average at ~20x earnings with a ~2.3% dividend yield.
Positive Factors
Very low leverage / conservative balance sheet
Extremely low leverage provides durable financial flexibility: the company can absorb demand shocks, fund working capital or capex from internal resources, and pursue selective investments or M&A without refinancing risk, supporting resilience over the next 2–6 months.
Negative Factors
Steep recent TTM revenue decline
A nearly 46% TTM revenue decline is a structural concern: sustained top-line loss can outpace margin gains, erode distribution relationships, and undermine the sustainability of current cash-flow and profit improvements if the business cannot restore demand or replace lost channels.
Read all positive and negative factors
Positive Factors
Negative Factors
Very low leverage / conservative balance sheet
Extremely low leverage provides durable financial flexibility: the company can absorb demand shocks, fund working capital or capex from internal resources, and pursue selective investments or M&A without refinancing risk, supporting resilience over the next 2–6 months.
Read all positive factors

Nakamuraya Co., Ltd. (2204) vs. iShares MSCI Japan ETF (EWJ)

Nakamuraya Co., Ltd. Business Overview & Revenue Model

Company Description
Headquartered in Tokyo, Japan, Nakamuraya Co., Ltd. is a long-established company, founded in 1901. It primarily focuses on the production and sale of a diverse array of food products throughout Japan, encompassing traditional Japanese and Western...
How the Company Makes Money
Nakamuraya makes money primarily by selling food products across multiple categories. Its core revenue model is product-based: it earns sales revenue from (1) manufacturing and selling packaged foods (including curry-related products and other pre...

Nakamuraya Co., Ltd. Financial Statement Overview

Summary
Overall financial quality is solid, supported by a conservative balance sheet (very low leverage; debt-to-equity ~0.05) and a clear recovery in cash flow (TTM operating cash flow ~¥6.0B; free cash flow ~¥4.9B). Profitability has improved to modestly positive levels (EBIT margin ~3.5% in 2026; net margin ~2.5% TTM). The main risk is the steep TTM revenue decline (~45.7%), which could undermine the sustainability of recent earnings and cash-flow improvements.
Income Statement
62
Positive
Balance Sheet
78
Positive
Cash Flow
71
Positive
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue37.18B37.35B37.25B37.77B35.55B33.06B
Gross Profit13.82B13.98B13.52B13.55B12.15B11.72B
EBITDA3.03B3.13B2.58B2.33B1.37B1.38B
Net Income801.34M917.52M884.95M405.11M-28.17M232.60M
Balance Sheet
Total Assets47.99B50.09B45.50B45.74B44.82B44.46B
Cash, Cash Equivalents and Short-Term Investments1.36B2.86B2.62B1.14B1.22B1.19B
Total Debt1.63B1.46B495.05M2.98B6.84B6.56B
Total Liabilities20.18B21.34B18.47B19.13B19.08B18.38B
Stockholders Equity27.81B28.75B27.04B26.61B25.74B26.08B
Cash Flow
Free Cash Flow4.94B3.92B4.48B3.89B-90.58M-29.75M
Operating Cash Flow5.97B6.19B5.17B4.71B658.08M503.97M
Investing Cash Flow-4.95B-6.26B-653.75M-109.96M-605.15M-250.12M
Financing Cash Flow-914.09M308.38M-3.03B-4.68B-17.36M-212.76M

Nakamuraya Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3075.00
Price Trends
50DMA
3205.40
Negative
100DMA
3177.00
Positive
200DMA
3138.50
Positive
Market Momentum
MACD
-9.55
Positive
RSI
51.32
Neutral
STOCH
42.33
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2204, the sentiment is Positive. The current price of 3075 is below the 20-day moving average (MA) of 3195.75, below the 50-day MA of 3205.40, and below the 200-day MA of 3138.50, indicating a neutral trend. The MACD of -9.55 indicates Positive momentum. The RSI at 51.32 is Neutral, neither overbought nor oversold. The STOCH value of 42.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2204.

Nakamuraya Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
¥767.58B17.779.23%1.60%4.70%12.93%
73
Outperform
¥190.25B17.770.76%5.84%41.39%
70
Outperform
¥88.07B21.001.66%23.42%-65.03%
68
Neutral
¥19.07B23.282.37%-0.24%-2.64%
66
Neutral
¥559.94B19.193.08%1.68%-11.62%
62
Neutral
$20.33B14.63-3.31%3.23%1.93%-12.26%
62
Neutral
¥355.38B33.223.68%2.50%0.01%1.50%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:2204
Nakamuraya Co., Ltd.
3,200.00
124.38
4.04%
JP:2810
House Foods Group
3,903.00
1,000.35
34.46%
JP:2212
Yamazaki Baking Co
3,789.00
459.65
13.81%
JP:2002
Nisshin Seifun Group Inc.
2,046.50
241.40
13.37%
JP:2220
Kameda Seika Co., Ltd.
1,340.00
-57.22
-4.10%
JP:2805
S&B Foods Inc.
7,320.00
3,930.50
115.96%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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: Aug 10, 2026