Hayashikane Sangyo Co., Ltd. (2286) AI Stock Analysis

Hayashikane Sangyo Co., Ltd.

(TSE/TYO:2286)

Select Model

Rating:60Neutral

Price Target:JPY 930.00▲(4.97% Upside)

Action:reiterated

Date:08/19/26

The overall score of 60 reflects a company with a solid balance sheet and attractive valuation, offset by operational headwinds. The most significant positive factors are the low P/E ratio and high dividend yield, which suggest the stock may be undervalued. The primary risk is the declining revenue and weak cash flow conversion, which raise concerns about the sustainability of the dividend and future growth. Technicals are neutral and do not provide a strong directional signal.

Positive Factors

Improving ProfitabilityThe recovery in operating profit and net income from the weak 2023 base indicates improved earnings power. Although margins remain modest, sustained profitability improvement could strengthen internal funding and resilience.

Negative Factors

Recent Revenue ContractionThe recent sales decline interrupts the prior expansion trend and raises questions about demand, customer retention, or competitive positioning. Without renewed growth, operating leverage and the company’s ability to expand earnings may remain limited.

Hayashikane Sangyo Co., Ltd. (2286) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 7.26B
Dividend Yield: 4.84%
Average Volume (3M): 27.04K
Price to Earnings (P/E): 8.5
Beta (1Y): 0.36
Revenue Growth: -7.74%
EPS Growth: -38.30%
Country: Japan
Employees: 462
Sector: Consumer Defensive
Sector Strength: 62
Industry: Packaged Foods

Hayashikane Sangyo Co., Ltd. Business Overview & Revenue Model

Company Description

Hayashikane Sangyo Co.,Ltd. is a Japanese enterprise specializing in the production and distribution of various food items. The company's operations are segmented into three core areas: Fisheries Food, Livestock Food, and Feed businesses. Its diverse...

How the Company Makes Money

null

Hayashikane Sangyo Co., Ltd. Financial Statement Overview

Summary

Financial performance is mixed. Profitability is improving with margins at multi-year highs, and the balance sheet is strong with reduced leverage. However, revenue declined 6.7% and free cash flow generation is weak, converting only 12.5% of net income, which tempers the overall score.

Income Statement

55Neutral

Balance Sheet

75Positive

Cash Flow

42Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	45.06B	45.59B	49.27B	47.38B	42.54B	40.39B
Gross Profit	5.55B	6.14B	5.66B	5.20B	4.74B	5.86B
EBITDA	1.72B	2.66B	2.56B	1.87B	1.30B	2.05B
Net Income	857.00M	1.27B	1.05B	749.17M	333.19M	707.83M
Balance Sheet
Total Assets	30.65B	28.24B	27.63B	29.04B	26.76B	26.49B
Cash, Cash Equivalents and Short-Term Investments	1.66B	1.96B	3.16B	2.51B	843.52M	1.95B
Total Debt	8.91B	7.93B	8.41B	9.28B	10.37B	10.47B
Total Liabilities	17.47B	14.66B	15.84B	17.95B	16.82B	16.72B
Stockholders Equity	13.18B	13.57B	11.79B	11.09B	9.93B	9.77B
Cash Flow
Free Cash Flow	0	160.00M	496.00M	2.99B	-694.84M	291.51M
Operating Cash Flow	0	714.00M	1.11B	3.58B	-310.87M	683.76M
Investing Cash Flow	0	-638.00M	885.00M	-399.05M	-452.02M	18.81M
Financing Cash Flow	0	-1.27B	-1.35B	-1.24B	-615.68M	-737.50M

Hayashikane Sangyo Co., Ltd. Technical Analysis

Technical Analysis SentimentPositive

Last Price886.00

Price Trends

50DMA897.84Negative

100DMA887.18Positive

200DMA863.03Positive

Market Momentum

MACD-3.69Negative

RSI53.63Neutral

STOCH94.25Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2286, the sentiment is Positive. The current price of 886.00 is above the 20-day moving average (MA) of 881.40, below the 50-day MA of 897.84, and above the 200-day MA of 863.03, indicating a neutral trend. The MACD of -3.69 indicates Negative momentum. The RSI at 53.63 is Neutral, neither overbought nor oversold. The STOCH value of 94.25 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:2286.

Hayashikane Sangyo Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

JP:2286 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:2813	79Outperform	JPY 10.75B	8.41	―	2.53%	8.64%	8.94%
Sector *	62Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
JP:2911	62Neutral	JPY 4.16B	23.50	―	1.98%	-3.21%	-30.61%
JP:2286	60Neutral	JPY 7.82B	8.49	―	4.84%	-7.74%	-38.30%
JP:2293	46Neutral	JPY 5.55B	-39.05	―	0.74%	-3.61%	76.41%
JP:2291	44Neutral	JPY 1.67B	24.96	―	―	-2.98%	―
JP:2901	37Underperform	JPY 1.97B	25.91	―	5.80%	―	―

* Consumer Defensive Sector Average

Performance Comparison

JP:2286 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:2286	Hayashikane Sangyo Co., Ltd.	889.00	207.22	30.39%
JP:2291	Fukutome Meat Packers,Ltd.	501.00	-151.00	-23.16%
JP:2293	Takizawa Ham Co., Ltd.	2701.00	86.00	3.29%
JP:2813	Wakou Shokuhin Co., Ltd.	3950.00	1006.72	34.20%
JP:2901	Ishigaki Foods Co., Ltd.	69.00	-515.81	-88.20%
JP:2911	Asahimatsu Foods Co., Ltd.	2278.00	47.98	2.15%

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 19, 2026

Hayashikane Sangyo Co., Ltd. AI Stock Analysis