Nippon Carbide Industries Company,Incorporated (4064) AI Stock Analysis

Nippon Carbide Industries Company,Incorporated

(TSE/TYO:4064)

Select Model

Rating:79.8Outperform

Price Target:JPY 4,004.00▲(19.70% Upside)

Action:reiterated

Date:08/11/26

The stock scores 79.8, reflecting strong financials and attractive valuation, partially offset by mixed technical signals. The company's low debt, robust cash flow, and improving profitability provide a solid foundation, while the moderate P/E and healthy dividend yield suggest upside potential. Short-term technical weakness tempers near-term enthusiasm.

Positive Factors

DeleveragingSubstantial debt reduction alongside a larger equity base strengthens financial resilience and improves funding flexibility. Lower leverage should reduce balance-sheet risk, support continued investment, and give management more capacity to withstand cyclical weakness or allocate cash toward growth.

Negative Factors

Earnings CyclicalityLarge swings in profitability show that earnings remain sensitive to the business cycle and operating conditions. Even after the recent recovery, variable margins can make future profits less predictable and complicate planning for investment, distributions, and long-term capacity decisions.

Nippon Carbide Industries Company,Incorporated (4064) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 31.43B
Dividend Yield: 3.50%
Average Volume (3M): 80.43K
Price to Earnings (P/E): 12.1
Beta (1Y): 1.03
Revenue Growth: 2.72%
EPS Growth: 24.14%
Country: Japan
Employees: 3,400
Sector: General
Sector Strength: 55
Industry: Chemicals - Specialty

Nippon Carbide Industries Company,Incorporated Business Overview & Revenue Model

Company Description

Nippon Carbide Industries Co., Inc. is a Japanese company primarily involved in the production of electronic and functional materials, alongside various film and sheeting products. Its extensive product portfolio features a variety of functional chem...

How the Company Makes Money

Nippon Carbide Industries generates revenue primarily through the manufacture and sale of chemical and materials products to business customers (B2B). Its core earnings are driven by (1) product sales of functional chemicals such as resins and adhesi...

Nippon Carbide Industries Company,Incorporated Financial Statement Overview

Summary

Strong financial health: improving profitability (net margin 5.2%), exceptionally strong balance sheet (debt/equity 0.18), and robust cash flow generation (FCF ¥4.61B). Revenue growth modest but margins expanded. Overall very solid.

Income Statement

80Positive

Balance Sheet

95Very Positive

Cash Flow

90Very Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	50.60B	49.91B	48.73B	43.23B	44.01B	47.00B
Gross Profit	16.75B	16.53B	15.60B	12.20B	12.61B	14.14B
EBITDA	6.43B	5.96B	5.47B	3.88B	3.29B	4.81B
Net Income	2.59B	2.61B	2.21B	999.00M	332.00M	1.93B
Balance Sheet
Total Assets	63.38B	62.77B	63.36B	61.02B	61.84B	65.04B
Cash, Cash Equivalents and Short-Term Investments	14.64B	15.55B	14.54B	13.44B	10.91B	11.38B
Total Debt	5.95B	6.85B	9.90B	11.49B	11.86B	14.44B
Total Liabilities	22.00B	21.82B	25.45B	26.39B	28.75B	32.99B
Stockholders Equity	38.75B	38.46B	35.72B	32.63B	31.23B	30.32B
Cash Flow
Free Cash Flow	0	4.61B	3.11B	2.43B	1.46B	1.76B
Operating Cash Flow	0	5.57B	4.11B	5.37B	3.61B	4.30B
Investing Cash Flow	0	-1.31B	-1.21B	-2.44B	-2.15B	-2.36B
Financing Cash Flow	0	-3.70B	-2.54B	-1.26B	-3.21B	-4.21B

Nippon Carbide Industries Company,Incorporated Technical Analysis

Technical Analysis SentimentNegative

Last Price3345.00

Price Trends

50DMA3483.05Negative

100DMA3434.98Negative

200DMA3094.50Positive

Market Momentum

MACD-45.86Positive

RSI41.43Neutral

STOCH47.65Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4064, the sentiment is Negative. The current price of 3345.00 is below the 20-day moving average (MA) of 3573.25, below the 50-day MA of 3483.05, and above the 200-day MA of 3094.50, indicating a neutral trend. The MACD of -45.86 indicates Positive momentum. The RSI at 41.43 is Neutral, neither overbought nor oversold. The STOCH value of 47.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4064.

Nippon Carbide Industries Company,Incorporated Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:4064 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:4064	80Outperform	JPY 31.72B	12.13	―	3.50%	2.72%	24.14%
JP:5301	72Outperform	JPY 393.58B	21.77	6.03%	1.82%	0.40%	―
JP:5304	68Neutral	JPY 45.28B	91.23	―	4.55%	-3.28%	-88.36%
JP:5302	64Neutral	JPY 53.95B	13.82	7.21%	4.09%	2.65%	-4.30%
JP:4043	62Neutral	JPY 282.92B	14.09	7.06%	3.05%	6.77%	-15.96%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:4182	50Neutral	JPY 690.98B	-22.68	-4.71%	2.96%	2.69%	-173.16%

* General Sector Average

Performance Comparison

JP:4064 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:4064	Nippon Carbide Industries Company,Incorporated	3370.00	1323.62	64.68%
JP:4182	Mitsubishi Gas Chemical Company	3543.00	763.38	27.46%
JP:5302	Nippon Carbon Co	4885.00	730.29	17.58%
JP:5301	Tokai Carbon Co	1926.00	919.97	91.44%
JP:4043	Tokuyama Corporation	3932.00	212.31	5.71%
JP:5304	SEC Carbon Ltd.	2196.00	142.43	6.94%

Nippon Carbide Industries Company,Incorporated Corporate Events

Nippon Carbide Industries Lifts Dividend Forecast Amid Modest Profit Growth

Aug 7, 2026

Nippon Carbide Industries reported consolidated net sales of ¥12.46 billion for the quarter ended June 30, 2026, up 5.8% year on year, with operating profit rising 7.7% and ordinary profit up 1.6%, while profit attributable to owners of the pare...

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 11, 2026

Nippon Carbide Industries Company,Incorporated AI Stock Analysis