Kameda Seika Co., Ltd. (2220) AI Stock Analysis

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Kameda Seika Co., Ltd.

(TSE/TYO:2220)

Select Model

Rating:70Outperform

Price Target:JPY 1,480.00▲(13.32% Upside)

Action:upgraded

Date:08/17/26

The score is driven primarily by improved 2026 financial results (strong growth, sharply higher margins and ROE) but tempered by weak cash conversion and modestly higher leverage. Technicals are supportive with the stock trading above key moving averages and a positive MACD, though momentum looks stretched (high Stochastic). Valuation is acceptable but not compelling, with a mid-range P/E and a modest dividend yield.

Positive Factors

Revenue and Margin ExpansionThe sharp improvement in sales and profitability indicates stronger operating performance and product or channel traction. If sustained, higher margins can improve resilience and provide resources for continued brand investment.

Negative Factors

Weak Cash ConversionCash generation has not kept pace with reported earnings, and free cash flow remains modest and historically uneven. Persistent working-capital or other cash timing pressures could limit reinvestment, debt reduction, and earnings quality.

Kameda Seika Co., Ltd. (2220) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 82.79B
Dividend Yield: 1.68%
Average Volume (3M): 283.53K
Price to Earnings (P/E): 21.5
Beta (1Y): 0.16
Revenue Growth: 17.28%
EPS Growth: -85.71%
Country: Japan
Employees: 4,533
Sector: Consumer Defensive
Sector Strength: 62
Industry: Packaged Foods

Kameda Seika Co., Ltd. Business Overview & Revenue Model

Company Description

Kameda Seika Co.,Ltd., established in 1946 and headquartered in Niigata, Japan, stands as a leading manufacturer and vendor of rice crackers and various snack items across the Japanese market. Beyond its core snack production, the company's extensive...

How the Company Makes Money

Kameda Seika makes money mainly by selling packaged snack products, especially rice crackers and other rice-based snacks, to wholesalers, retailers, and other business customers. Revenue is generated from (1) domestic sales in Japan through mass reta...

Kameda Seika Co., Ltd. Financial Statement Overview

Summary

Strong 2026 rebound (revenue +22.1% and net margin up to 17.9%) and sharply higher ROE (23.9%) support the score. Offsetting factors are weaker cash flow quality (OCF only ~0.41x of net income; uneven FCF history) and a step-up in leverage (debt-to-equity 0.49 vs. 0.33), raising questions about earnings durability and cash conversion.

Income Statement

78Positive

Balance Sheet

72Positive

Cash Flow

58Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	141.29B	138.05B	103.26B	95.53B	94.99B	85.16B
Gross Profit	40.03B	39.77B	28.07B	25.75B	24.53B	23.88B
EBITDA	18.73B	17.99B	11.85B	10.63B	9.66B	10.02B
Net Income	3.84B	24.65B	5.42B	2.26B	1.89B	4.42B
Balance Sheet
Total Assets	185.12B	188.22B	123.86B	120.51B	111.18B	103.42B
Cash, Cash Equivalents and Short-Term Investments	18.19B	20.61B	10.10B	9.22B	8.28B	6.87B
Total Debt	42.42B	50.18B	24.72B	23.78B	23.52B	19.12B
Total Liabilities	78.99B	81.75B	44.95B	46.79B	43.18B	37.37B
Stockholders Equity	102.66B	102.93B	75.59B	69.94B	64.86B	63.41B
Cash Flow
Free Cash Flow	2.14B	4.22B	1.54B	2.31B	935.00M	48.00M
Operating Cash Flow	3.57B	11.90B	9.44B	9.73B	8.29B	8.30B
Investing Cash Flow	-1.38B	-26.02B	-7.83B	-8.14B	-8.44B	-9.84B
Financing Cash Flow	-3.23B	23.51B	-1.22B	-1.25B	972.00M	1.20B

Kameda Seika Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price1306.00

Price Trends

50DMA1320.88Negative

100DMA1291.88Positive

200DMA1325.21Negative

Market Momentum

MACD5.12Positive

RSI48.00Neutral

STOCH43.79Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2220, the sentiment is Negative. The current price of 1306.00 is below the 20-day moving average (MA) of 1330.60, below the 50-day MA of 1320.88, and below the 200-day MA of 1325.21, indicating a bearish trend. The MACD of 5.12 indicates Positive momentum. The RSI at 48.00 is Neutral, neither overbought nor oversold. The STOCH value of 43.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2220.

Kameda Seika Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

JP:2220 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:2264	77Outperform	JPY 389.75B	18.28	―	2.09%	2.67%	112.23%
JP:2229	75Outperform	JPY 375.26B	21.82	8.58%	2.09%	5.69%	6.85%
JP:2220	70Outperform	JPY 88.13B	21.52	―	1.68%	17.28%	-85.71%
Sector *	62Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
JP:2226	62Neutral	JPY 51.48B	17.72	―	1.15%	3.30%	25.95%
JP:2269	59Neutral	JPY 1.18T	28.38	5.27%	2.55%	3.53%	-14.19%
JP:2206	58Neutral	JPY 328.83B	56.66	2.03%	1.89%	6.48%	-20.29%

* Consumer Defensive Sector Average

Performance Comparison

JP:2220 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:2220	Kameda Seika Co., Ltd.	1306.00	17.61	1.37%
JP:2229	CALBEE	3160.00	284.53	9.90%
JP:2269	Meiji Holdings Co	4222.00	1155.82	37.70%
JP:2206	Ezaki Glico Co., Ltd.	5017.00	-187.01	-3.59%
JP:2226	KOIKE-YA Inc.	4790.00	243.89	5.36%
JP:2264	Morinaga Milk Industry Co., Ltd.	1232.50	340.36	38.15%

Kameda Seika Co., Ltd. Corporate Events

Kameda Seika Q1 Profit Jumps on Operations But Net Income Slumps After One-Off Effects

Jul 31, 2026

Kameda Seika reported consolidated net sales of ¥35.37 billion for the quarter ended June 30, 2026, up 4.4% year on year, with operating income jumping 43.5% to ¥2.06 billion and ordinary income rising 58.4% to ¥2.11 billion. Net income attributable...

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 17, 2026

Kameda Seika Co., Ltd. AI Stock Analysis