Daicel (4202) AI Stock Analysis

• Market Cap: $324.56B
• Dividend Yield: 4.76%
• Average Volume (3M): 620.51K
• Price to Earnings (P/E): 6.7
• Beta (1Y): 1.11
• Revenue Growth: 5.10%
• EPS Growth: -8.07%
• Country: JP
• Employees: 11,134
• Sector: Basic Materials
• Sector Strength: 68
• Industry: Chemicals - Specialty
• EPS (TTM): 21.14
• Shares Outstanding: 266,942,700
• 10 Day Avg. Volume: 489,670
• 30 Day Avg. Volume: 620,506
• PEG Ratio: 0.22
• Price to Book (P/B): 0.99
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -11.68
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $1,520.18
• Price Target Upside: 27.96% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 80 Outperform
• Price Target: ¥1,389.00 ▲(16.92%Upside)

Daicel's strong financial performance and attractive valuation are the primary strengths contributing to a high overall score. While technical indicators are neutral, the compelling valuation with a low P/E ratio and high dividend yield enhances the stock's attractiveness. The absence of earnings call and corporate event data did not impact this assessment.

Daicel Business Overview & Revenue Model

Company Description

Daicel Corporation, listed under the ticker 4202, is a Japanese chemical company that specializes in the manufacture and sale of a wide range of chemical products. The company's operations span several sectors, including cellulosic derivatives, organic chemicals, plastics, pyrotechnic devices, and other chemical products. Daicel is also known for its innovation in automotive airbag inflators and other safety systems, which are key components in its product offerings.

How the Company Makes Money

Daicel Corporation generates revenue through the production and sale of its diverse range of chemical products. The company's key revenue streams include cellulosic derivatives, which are used in various industrial applications, and organic chemicals that serve as essential components in manufacturing processes. Additionally, Daicel's plastics division contributes significantly to its earnings, with products used in consumer goods, automotive parts, and electronics. The company's pyrotechnic devices, particularly automotive airbag inflators, are another major source of income, benefiting from partnerships with automotive manufacturers worldwide. Daicel's revenue model is bolstered by its commitment to research and development, allowing it to innovate and maintain a competitive edge in the global chemical industry.

Daicel Financial Statement Overview

Summary

Daicel demonstrates strong financial performance with consistent revenue growth, healthy profit margins, and improved cash flow generation. The balance sheet is stable with moderate leverage, but the high level of total debt poses some risk.

Income Statement

Daicel shows strong financial performance with a consistent increase in total revenue over the years, reaching 586.5 billion JPY in 2025. The gross profit margin has remained robust, consistently above 27%. The net profit margin, while slightly fluctuating, is solid at 8.4% for 2025. Revenue growth rate from 2024 to 2025 is 5.1%, indicating steady growth. EBIT and EBITDA margins are healthy, suggesting efficient operating performance.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio at approximately 0.78, indicating moderate leverage. The equity ratio is 44.2%, reflecting a strong equity base. Return on equity (ROE) stands at 13.7% for 2025, showing efficient utilization of equity to generate profits. However, the high level of total debt at 280.9 billion JPY poses some risk if not managed properly.

Cash Flow

Daicel demonstrates positive cash flow trends, with free cash flow growing significantly from 2024 to 2025, marking a 211.7% increase. The operating cash flow to net income ratio is 1.89, indicating strong cash conversion efficiency. The free cash flow to net income ratio at 0.47 suggests adequate cash generation relative to earnings, although there is room for improvement.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
576.33B	586.53B	558.06B	538.03B	467.94B	393.57B
	Gross Profit
164.16B	164.75B	159.28B	145.81B	138.61B	111.43B
	EBIT
61.15B	61.01B	62.39B	47.51B	50.70B	31.72B
	EBITDA
78.79B	108.86B	111.40B	79.08B	78.89B	61.01B
	Net Income Common Stockholders
55.67B	49.48B	55.83B	40.68B	31.25B	19.71B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
78.86B	65.14B	73.18B	93.84B	90.53B	91.54B
	Total Assets
861.56B	813.83B	839.17B	765.61B	698.84B	640.38B
	Total Debt
309.90B	280.92B	299.79B	317.83B	280.50B	267.60B
	Net Debt
231.03B	215.78B	226.61B	223.99B	192.37B	176.77B
	Total Liabilities
466.04B	438.79B	464.31B	455.17B	419.29B	395.38B
	Stockholders Equity
379.17B	359.99B	358.90B	295.21B	272.02B	237.85B
Cash Flow		Free Cash Flow
0.00	23.44B	7.52B	-25.08B	-4.48B	21.08B
	Operating Cash Flow
0.00	93.41B	76.73B	26.85B	42.99B	57.87B
	Investing Cash Flow
0.00	-47.87B	-55.37B	-44.09B	-46.53B	-34.22B
	Financing Cash Flow
0.00	-48.85B	-52.37B	19.96B	-5.45B	-17.05B

Daicel Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1188.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4202, the sentiment is Negative. The current price of 1188 is below the 20-day moving average (MA) of 1207.45, below the 50-day MA of 1198.49, and below the 200-day MA of 1280.64, indicating a neutral trend. The MACD of -0.06 indicates Negative momentum. The RSI at 48.81 is Neutral, neither overbought nor oversold. The STOCH value of 44.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4202.

Daicel Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4202	80 Outperform	$324.56B	6.73	13.58%	4.76%	5.10%	-8.07%
4088	79 Outperform	$479.58B	9.88	9.64%	3.02%	5.02%	10.24%
4203	76 Outperform	€365.90B	19.20	6.45%	2.51%	6.09%	-10.60%
4182	75 Outperform	¥428.34B	9.64	6.78%	0.03%	-4.90%	20.59%
4183	74 Outperform	$618.70B	19.08	3.69%	4.61%	3.40%	-35.14%
4205	72 Outperform	$284.89B	11.11	7.16%	4.70%	10.04%	-13.43%
Sector *	51 Neutral	$2.04B	-1.23	-21.09%	3.96%	2.90%	-30.45%

Daicel Corporate Events

Daicel Corporation Proposes Amendments to Enhance Business Alignment and Management Flexibility

Daicel Corporation announced proposed amendments to its Articles of Incorporation to better align with its current business operations and enhance flexibility in management. These changes aim to allow more directors, including outside directors, to chair meetings, reflecting a strategic shift to adapt to a dynamic business environment.

The most recent analyst rating on (JP:4202) stock is a Buy with a Yen2040.00 price target. To see the full list of analyst forecasts on Daicel stock, see the JP:4202 Stock Forecast page.

Daicel Corporation Announces Cancellation of 10 Million Treasury Shares

Daicel Corporation has announced its decision to cancel 10 million treasury shares, which constitutes 3.61% of its total shares before cancellation. This move, resolved at a Board of Directors meeting, is expected to impact the company’s share structure by reducing the total number of shares issued to 266,942,682, potentially affecting shareholder value and market perception.

The most recent analyst rating on (JP:4202) stock is a Buy with a Yen2040.00 price target. To see the full list of analyst forecasts on Daicel stock, see the JP:4202 Stock Forecast page.

Daicel Corporation Reports Increased Sales but Declining Profits for FY2025

Daicel Corporation reported its consolidated financial results for the year ending March 31, 2025, showing a 5.1% increase in net sales to 586,531 million yen. However, the company experienced declines in operating profit, ordinary profit, and profit attributable to owners of the parent, with decreases of 2.2%, 8.9%, and 11.4% respectively. The company also announced an increase in annual cash dividends per share from 50 yen to 60 yen, reflecting a higher dividend payout ratio. Despite the challenges in profits, Daicel’s financial position remains stable with a slight improvement in capital adequacy ratio, indicating resilience in its operations.

The most recent analyst rating on (JP:4202) stock is a Buy with a Yen2040.00 price target. To see the full list of analyst forecasts on Daicel stock, see the JP:4202 Stock Forecast page.