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Pharma Foods International Co., Ltd. (2929) AI Stock Analysis

JP:2929

Pharma Foods International Co., Ltd.

(TSE/TYO:2929)

Select Model
Rating:71Outperform
Price Target:JPY 683.00â–²(10.52% Upside)
Action:upgraded
Date:09/12/26

The overall score of 71 is driven primarily by the stock's highly attractive valuation and strong technical momentum. The low P/E ratio, solid dividend yield, and a clear bullish price trend trading above all major moving averages are the most significant positive factors. However, the score is weighed down by underlying fundamental risks, notably a shrinking top-line, increased financial leverage, and severe negative operating cash flows.

Positive Factors
Branded wellness modelThe company operates a branded consumer wellness model centered on supplements and functional foods for specific health and beauty needs. Own-brand positioning can support customer recognition, differentiated formulations, and repeat purchasing, providing a durable foundation for revenue generation.
Negative Factors
Revenue contractionThe latest revenue contraction indicates that demand or sales execution has not yet established a consistently expanding trajectory. Persistent top-line weakness could reduce operating leverage, limit reinvestment capacity, and make the company more dependent on margin management or product-level recovery.

Pharma Foods International Co., Ltd. (2929) vs. iShares MSCI Japan ETF (EWJ)

-40%-30%-20%-10%0%10%20%30%JP:2929-19.09%EWJ+16.91%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 17.95B
Dividend Yield
3.55%
Average Volume (3M)
224.84K
Price to Earnings (P/E)
9.0
Beta (1Y)
0.79
Revenue Growth
-3.12%
EPS Growth
406.78%
Country
Japan
Employees
613
Sector
Healthcare
Sector Strength
51
Industry
Drug Manufacturers - Specialty & Generic

Pharma Foods International Co., Ltd. Business Overview & Revenue Model

Company Description

Pharma Foods International Co., Ltd. is a Japanese enterprise dedicated to the research, development, and commercialization of ingredients for functional foods. Its diverse product portfolio features items such as Pharma-GABA, Bonepep, Ovopron (a spe...

How the Company Makes Money

Pharma Foods International primarily makes money by selling branded health-related consumer products, especially dietary supplements and other functional food/wellness items. Revenue is generated when customers purchase these products through the com...

Pharma Foods International Co., Ltd. Financial Statement Overview

Summary

Financial performance is mixed. While the company boasts exceptional gross margins near 80% and a strong rebound in net income, these positives are offset by a 5.6% year-over-year revenue contraction. Furthermore, rising debt levels and a severe deterioration in free cash flow point to working capital inefficiencies.

Income Statement

55Neutral

Balance Sheet

60Neutral

Cash Flow

30Negative
Financial statement breakdown
BreakdownTTMJul 2026Jul 2025Jul 2024Jul 2023Jul 2022
Income Statement
Total Revenue63.22B63.22B65.26B62.15B68.57B60.19B
Gross Profit50.66B50.66B52.53B48.65B55.21B48.06B
EBITDA3.37B3.37B3.15B6.02B4.16B1.60B
Net Income1.99B1.99B368.00M3.21B3.08B-374.00M
Balance Sheet
Total Assets35.12B35.12B32.78B36.57B36.23B31.16B
Cash, Cash Equivalents and Short-Term Investments7.79B7.79B9.16B15.67B16.31B8.85B
Total Debt17.17B17.17B12.66B16.90B20.12B16.89B
Total Liabilities21.95B21.95B21.23B24.99B26.60B24.08B
Stockholders Equity13.17B13.17B11.55B11.59B9.63B7.07B
Cash Flow
Free Cash Flow-5.19B-5.19B-1.98B4.54B5.74B-6.53B
Operating Cash Flow-1.18B-1.18B-1.09B5.49B6.13B-6.07B
Investing Cash Flow-4.00B-4.00B-950.00M-1.39B-1.01B-2.54B
Financing Cash Flow3.81B3.81B-4.47B-4.84B2.34B7.68B

Pharma Foods International Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price618.00

Price Trends

50DMA661.20Negative
100DMA613.96Positive
200DMA628.08Negative

Market Momentum

MACD-9.88Positive
RSI30.68Neutral
STOCH8.46Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2929, the sentiment is Negative. The current price of 618.00 is below the 20-day moving average (MA) of 672.05, below the 50-day MA of 661.20, and below the 200-day MA of 628.08, indicating a bearish trend. The MACD of -9.88 indicates Positive momentum. The RSI at 30.68 is Neutral, neither overbought nor oversold. The STOCH value of 8.46 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:2929.

Pharma Foods International Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (51)

Financial Indicators

JP:2929 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:4524JP:452482OutperformJPY 8.95B11.38―2.97%0.98%69.36%
JP:2929JP:292971OutperformJPY 18.40B9.04―3.55%-3.12%406.78%
JP:4540JP:454065NeutralJPY 292.34B9.459.68%4.13%10.38%19.96%
Sector *51Neutral$7.86B-0.30-43.30%2.27%22.53%-2.21%
JP:4539JP:453947NeutralJPY 5.47B-11.34―3.35%0.31%-194.72%
JP:4512JP:451245NeutralJPY 10.52B30.43―1.17%25.89%―

* Healthcare Sector Average

Performance Comparison

-20%0%20%JP:2929JP:4540JP:4512JP:4524JP:4539Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:2929 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:2929Pharma Foods International Co., Ltd.618.00-164.04-20.98%
JP:4540Tsumura & Co3826.00391.8111.41%
JP:4512Wakamoto Pharmaceutical Co., Ltd.300.0012.424.32%
JP:4524Morishita Jintan Co., Ltd.2190.00133.016.47%
JP:4539Nippon Chemiphar Co., Ltd.1494.009.290.63%

Pharma Foods International Co., Ltd. Corporate Events

Pharma Foods International Completes Acquisition of Medical Food Firm Marine Pro Foods

Oct 30, 2026

Pharma Foods International has completed its acquisition of all shares in Marine Pro Foods, turning the Tokyo-based medical food developer into a wholly owned subsidiary. The deal brings Marine Pro Foods’ portfolio of agricultural, livestock, m...

Pharma Foods Secures Overdraft Facility to Fund Marine Pro Foods Acquisition

Oct 26, 2026

Pharma Foods International Co., Ltd., a player in the functional foods and nutraceuticals market, develops and sells health-oriented food products aimed at consumers seeking added nutritional and wellness benefits. The company is listed on the Tokyo...

Pharma Foods Launches 1K Project Plan to Drive Profit Growth and Medical Food Expansion

Oct 16, 2026

Pharma Foods International has approved a new medium-term management plan, the 1K Project – SPRING Strategy, covering fiscal years 2027 to 2029 and centered on strengthening profitability and enhancing corporate value. The plan shifts emphasis...

Pharma Foods to Acquire Marine Pro Foods in ¥5.03 Billion Medical Foods Push

Oct 6, 2026

Pharma Foods International has approved the acquisition of all shares of Marine Pro Foods, a medical foods specialist, making it a wholly owned subsidiary under its M&A-focused “New Value Creation 1K Project” growth strategy. Marine P...

Pharma Foods International Releases FY2026 Consolidated Results

Sep 28, 2026

Pharma Foods International Co., Ltd. has released its consolidated financial results for the fiscal year ended July 31, 2026, along with supplementary materials summarizing full-year performance. While specific figures are not disclosed in the releas...

Pharma Foods International Corrects Net Asset Data in FY2026 Results

Sep 17, 2026

Pharma Foods International has announced corrections to numerical data in its consolidated financial results for the fiscal year ended July 31, 2026, prepared under Japanese GAAP. The revisions relate to items in the consolidated balance sheet, speci...

Pharma Foods Profit Soars Despite Lower Sales, Eyes Further Gains in 2027

Sep 11, 2026

Pharma Foods International reported a 3.1% decline in net sales to ¥63.2 billion for the year ended July 31, 2026, but operating profit rose 11.2% to ¥2.6 billion and profit attributable to owners of parent surged to ¥2.0 billion, lift...

Pharma Foods Books Impairment Loss on Onkyo Investment with Limited Consolidated Impact

Sep 9, 2026

Pharma Foods International Co., Ltd. has booked a special loss in its non-consolidated results for the fiscal year ended July 2026, after recognizing an impairment on its equity-method investment in Onkyo Corporation. The company concluded that recov...

Pharma Foods Raises Profit Outlook Despite Lower Sales in FY2026

Sep 9, 2026

Pharma Foods International has revised its full-year forecasts for the fiscal year ended July 2026, projecting lower net sales but higher profits than previously expected. Net sales are now seen at JPY 63.2 billion versus a prior JPY 67 billion, whil...

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: Sep 12, 2026