RaQualia Pharma Inc. (4579) AI Stock Analysis

RaQualia Pharma Inc.

(TSE/TYO:4579)

Select Model

Rating:65Neutral

Price Target:JPY 686.00▲(7.52% Upside)

Action:reiterated

Date:08/17/26

RaQualia Pharma's overall score is primarily supported by its solid financial foundation, highlighted by low leverage and a recent recovery in profitability and cash flow. While short-term technical indicators show bullish momentum, the stock faces long-term bearish trends and overbought signals. Furthermore, an elevated P/E ratio indicates significant valuation risk, capping the overall rating.

Positive Factors

Revenue GrowthRevenue growth above 20% indicates that RaQualia is expanding its commercial or partnered opportunity base. If sustained, this growth can improve operating leverage, support continued drug development investment, and strengthen the company’s position in gastrointestinal and pain-management markets.

Negative Factors

Volatile ProfitabilityProfitability has not yet demonstrated a stable, repeatable pattern. Losses in earlier years and softer TTM earnings versus 2025 make future earnings power less predictable, which could constrain reinvestment capacity and complicate planning for ongoing drug-development programs.

RaQualia Pharma Inc. (4579) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 16.61B
Dividend Yield: ―
Average Volume (3M): 141.19K
Price to Earnings (P/E): 71.3
Beta (1Y): 1.00
Revenue Growth: 20.64%
EPS Growth: ―
Country: Japan
Employees: 85
Sector: General
Sector Strength: 55
Industry: Biotechnology

RaQualia Pharma Inc. Business Overview & Revenue Model

Company Description

RaQualia Pharma Inc., established in 2008 and based in Nagoya, Japan, is a pharmaceutical company dedicated to the global research and development of innovative drug compounds. Its human therapeutic pipeline features several key candidates. Tegopraza...

RaQualia Pharma Inc. Financial Statement Overview

Summary

Financial health is stabilized by a strong balance sheet, featuring a low debt-to-equity ratio of 0.34 and high gross profit margins of 79.5%. Recent trailing-twelve-month data highlights a return to profitability and robust free cash flow generation. However, historical volatility in revenue and a low return on equity (2.2%) remain limiting factors.

Income Statement

72Positive

Balance Sheet

84Very Positive

Cash Flow

68Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.90B	3.98B	3.11B	1.90B	2.92B	2.78B
Gross Profit	3.10B	3.27B	2.48B	1.66B	2.69B	2.46B
EBITDA	846.90M	985.17M	188.27M	-111.80M	1.00B	1.02B
Net Income	161.22M	273.12M	-495.03M	-323.66M	723.39M	755.79M
Balance Sheet
Total Assets	11.01B	10.51B	9.66B	6.93B	6.26B	5.23B
Cash, Cash Equivalents and Short-Term Investments	4.70B	3.24B	3.34B	3.76B	3.93B	2.66B
Total Debt	2.69B	2.90B	3.45B	432.02M	222.34M	39.07M
Total Liabilities	3.18B	3.62B	4.08B	809.83M	760.67M	446.19M
Stockholders Equity	7.83B	6.90B	5.57B	6.12B	5.50B	4.79B
Cash Flow
Free Cash Flow	458.80M	-423.98M	84.24M	-940.80M	1.45B	260.61M
Operating Cash Flow	499.45M	-356.63M	180.94M	-718.60M	1.48B	366.03M
Investing Cash Flow	-115.43M	124.32M	-3.67B	-135.37M	-47.65M	-279.25M
Financing Cash Flow	807.34M	380.26M	2.98B	793.45M	-29.56M	-16.44M

RaQualia Pharma Inc. Technical Analysis

Technical Analysis SentimentPositive

Last Price638.00

Price Trends

50DMA590.92Positive

100DMA535.99Positive

200DMA699.50Negative

Market Momentum

MACD14.42Negative

RSI57.33Neutral

STOCH77.35Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4579, the sentiment is Positive. The current price of 638.00 is above the 20-day moving average (MA) of 621.55, above the 50-day MA of 590.92, and below the 200-day MA of 699.50, indicating a neutral trend. The MACD of 14.42 indicates Negative momentum. The RSI at 57.33 is Neutral, neither overbought nor oversold. The STOCH value of 77.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:4579.

RaQualia Pharma Inc. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:4579 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:4579	65Neutral	JPY 16.61B	71.28	―	―	20.64%	―
JP:4565	61Neutral	JPY 133.37B	-16.67	-8.51%	―	23.72%	12.48%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:4588	50Neutral	JPY 223.32B	-137.55	―	―	1662.38%	42.86%
JP:4571	42Neutral	JPY 7.18B	-5.87	-33.61%	―	74.24%	-7.78%
JP:4587	42Neutral	JPY 145.02B	-39.74	-7.17%	―	0.62%	27.66%
JP:4563	31Underperform	JPY 11.75B	-3.04	-163.39%	―	35.28%	90.12%

* General Sector Average

Performance Comparison

JP:4579 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:4579	RaQualia Pharma Inc.	638.00	110.00	20.83%
JP:4563	AnGes	29.00	-58.00	-66.67%
JP:4587	Peptidream	1117.00	-414.00	-27.04%
JP:4565	Sosei Group Corporation	1440.00	544.00	60.71%
JP:4571	NanoCarrier Co., Ltd.	79.00	-81.00	-50.63%
JP:4588	Oncolys BioPharma, Inc.	7560.00	6795.00	888.24%

RaQualia Pharma Inc. Corporate Events

RaQualia Pharma Narrows Sales, Widens Loss but Strengthens Equity in First-Half 2026

Aug 14, 2026

RaQualia Pharma reported net sales of ¥1.46 billion for the first half of 2026, down 5.2% year-on-year, and a deeper loss attributable to owners of the parent of ¥466 million, as operating profit remained negative. Despite the weaker earnin...

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 17, 2026

RaQualia Pharma Inc. AI Stock Analysis