Nicca Chemical Co., Ltd. (4463) AI Stock Analysis

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Nicca Chemical Co., Ltd.

(TSE/TYO:4463)

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Rating:60Neutral

Price Target:JPY 2,025.00▲(8.46% Upside)

Action:reiterated

Date:11/01/26

The score is driven primarily by mixed fundamentals: improving revenue/operating profit is offset by 2025’s sharp free-cash-flow deterioration and higher debt. Valuation is a clear positive (low P/E and healthy yield), but weak technical signals (negative MACD, RSI ~41, and price below short-term averages) weigh on the near-term outlook.

Positive Factors

Steady Revenue and EBIT GrowthConsistent revenue expansion alongside a substantial improvement in operating profit indicates strengthening commercial performance across the company’s industrial chemical activities. If maintained, this growth can support reinvestment, improve operating leverage, and reinforce customer relationships over the next several quarters.

Negative Factors

Sharp Increase in DebtThe near doubling of total debt materially increases financial risk compared with the prior year and reduces balance-sheet flexibility. Higher leverage can raise financing costs and leave fewer resources available for investment or resilience if earnings weaken or cash generation becomes less reliable.

Nicca Chemical Co., Ltd. (4463) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 29.71B
Dividend Yield: 3.48%
Average Volume (3M): 17.41K
Price to Earnings (P/E): 7.7
Beta (1Y): 0.47
Revenue Growth: 10.62%
EPS Growth: 52.17%
Country: Japan
Employees: 1,576
Sector: General
Sector Strength: 55
Industry: Chemicals

Nicca Chemical Co., Ltd. Business Overview & Revenue Model

Company Description

Nicca Chemical Co.,Ltd. operates globally as a manufacturer and distributor of surfactants and a diverse range of chemical products. Its extensive offerings cater to various industries, including textiles, metallurgy, pulp and paper manufacturing, pa...

How the Company Makes Money

Nicca Chemical makes money by manufacturing and selling industrial chemical products to corporate customers, with revenue primarily generated from (1) sales of textile-processing chemicals (e.g., dyeing and finishing auxiliaries and functional treatm...

Nicca Chemical Co., Ltd. Financial Statement Overview

Summary

Income statement trends are constructive with steady revenue growth (2023–2025) and higher EBIT versus 2023, but overall financial quality is held back by a weak cash-flow profile (2025 free cash flow turned sharply negative) and a notable 2025 debt increase, which raises funding and balance-sheet risk.

Income Statement

70Positive

Balance Sheet

62Positive

Cash Flow

45Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	59.53B	55.70B	54.10B	50.17B	50.63B	48.47B
Gross Profit	21.83B	20.20B	19.44B	16.65B	16.36B	16.22B
EBITDA	6.68B	5.98B	5.74B	4.31B	5.04B	4.95B
Net Income	3.33B	2.38B	2.75B	1.69B	2.12B	2.60B
Balance Sheet
Total Assets	78.92B	74.05B	62.37B	58.23B	57.31B	55.71B
Cash, Cash Equivalents and Short-Term Investments	11.25B	11.85B	10.73B	8.34B	7.05B	7.66B
Total Debt	17.34B	18.54B	10.00B	9.37B	10.43B	11.84B
Total Liabilities	38.35B	35.70B	25.81B	25.40B	26.92B	28.39B
Stockholders Equity	37.26B	35.20B	33.65B	30.13B	27.96B	25.05B
Cash Flow
Free Cash Flow	0	-6.37B	2.41B	2.94B	970.00M	3.28B
Operating Cash Flow	0	5.54B	6.03B	4.09B	2.32B	4.72B
Investing Cash Flow	0	-11.54B	-5.14B	-876.00M	-885.00M	-994.00M
Financing Cash Flow	0	7.38B	-328.00M	-1.74B	-1.96B	-5.02B

Nicca Chemical Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price1867.00

Price Trends

50DMA1967.50Negative

100DMA1898.73Negative

200DMA1784.78Positive

Market Momentum

MACD-41.19Positive

RSI43.19Neutral

STOCH43.85Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4463, the sentiment is Negative. The current price of 1867.00 is below the 20-day moving average (MA) of 1926.55, below the 50-day MA of 1967.50, and above the 200-day MA of 1784.78, indicating a neutral trend. The MACD of -41.19 indicates Positive momentum. The RSI at 43.19 is Neutral, neither overbought nor oversold. The STOCH value of 43.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:4463.

Nicca Chemical Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:4463 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:4041	84Outperform	JPY 191.84B	10.41	―	4.82%	-1.25%	34.70%
JP:5013	84Outperform	JPY 41.58B	9.66	―	3.92%	-0.92%	0.66%
JP:4189	76Outperform	JPY 125.40B	12.40	―	3.27%	-6.23%	8.54%
JP:4045	69Neutral	JPY 189.19B	14.03	6.32%	3.83%	2.33%	50.31%
JP:4463	60Neutral	JPY 29.16B	7.74	―	3.48%	10.62%	52.17%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:4061	54Neutral	JPY 254.48B	13.93	6.08%	3.36%	-0.41%	―

* General Sector Average

Performance Comparison

JP:4463 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:4463	Nicca Chemical Co., Ltd.	1867.00	437.88	30.64%
JP:4061	Denka Co	2974.50	628.67	26.80%
JP:4045	Toagosei Co	1789.00	275.22	18.18%
JP:4041	Nippon Soda Co., Ltd.	3530.00	87.38	2.54%
JP:4189	KH Neochem Co.,Ltd.	3290.00	983.14	42.62%
JP:5013	Yushiro Chemical Industry Co., Ltd.	3110.00	928.43	42.56%

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: Nov 01, 2026

Nicca Chemical Co., Ltd. AI Stock Analysis