Tokyo Printing Ink Manufacturing Co., Ltd. (4635) AI Stock Analysis

• Market Cap: ¥18.33B
• Dividend Yield: 3.27%
• Average Volume (3M): 10.51K
• Price to Earnings (P/E): 12.5
• Beta (1Y): 0.76
• Revenue Growth: 8.19%
• EPS Growth: 97.44%
• Country: JP
• Employees: 684
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 175.57
• Shares Outstanding: 2,725,758
• 10 Day Avg. Volume: 8,100
• 30 Day Avg. Volume: 10,506
• PEG Ratio: 0.29
• Price to Book (P/B): 0.37
• Price to Sales (P/S): 0.23
• P/FCF Ratio: 32.47
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: ¥7,903.00 ▲(12.26% Upside)

The stock is supported by strong financial performance and technical indicators, with a reasonable valuation. The main strengths are the company's revenue growth, stable balance sheet, and positive market momentum. However, attention is needed on cash flow management to ensure long-term liquidity.

Tokyo Printing Ink Manufacturing Co., Ltd. Business Overview & Revenue Model

Company Description

Tokyo Printing Ink Manufacturing Co., Ltd. (4635) is a leading Japanese manufacturer specializing in the production of high-quality printing inks and related products. The company operates primarily in the printing industry, providing a diverse range of inks used in various applications, including packaging, commercial printing, and digital printing. With a strong focus on innovation and sustainability, Tokyo Printing Ink develops products that meet the evolving needs of its customers across multiple sectors.

How the Company Makes Money

Tokyo Printing Ink Manufacturing Co., Ltd. generates revenue through the sale of its printing inks and related products to printers and manufacturers in various industries. The company has established key revenue streams by offering a wide array of specialized inks tailored to different printing processes, such as offset, flexo, and gravure printing. Additionally, Tokyo Printing Ink capitalizes on partnerships with leading printing companies and distributors, which helps expand its market reach. The company's emphasis on research and development enables it to introduce new products and technologies that drive sales. Furthermore, Tokyo Printing Ink may also benefit from providing technical support and consulting services to customers, thereby creating additional income opportunities.

Tokyo Printing Ink Manufacturing Co., Ltd. Financial Statement Overview

Summary

Tokyo Printing Ink Manufacturing Co., Ltd. shows a positive financial trajectory with improving revenue and profitability margins. The balance sheet remains robust, supported by low leverage and solid equity. However, cash flow management needs attention due to negative free cash flow, indicating potential liquidity challenges.

Income Statement

The income statement indicates a strong recovery trajectory with a notable revenue growth rate of 6.57% from 2024 to 2025 and a net profit margin improving to 2.52% in 2025. Gross profit margin remains healthy at 14.63%, reflecting effective cost management. However, the EBIT margin is modest at 2.82%, suggesting room for operational efficiency improvements. Overall, profitability is improving with EBITDA margin at 6.63%.

Balance Sheet

The balance sheet is stable, with a low debt-to-equity ratio of 0.23, indicating conservative leverage. Return on equity rose to 3.98% in 2025, marking improved shareholder value creation. The equity ratio stands at 58.30%, reflecting a solid equity base. However, the modest ROE suggests potential to enhance profitability.

Cash Flow

The cash flow statement shows a positive operating cash flow to net income ratio of 1.93, indicating efficient cash generation. However, free cash flow has decreased significantly, with a negative free cash flow to net income ratio of 0.29, signaling potential liquidity challenges. Free cash flow growth rate remains volatile, warranting a focus on sustaining positive cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	47.84B	46.81B	43.92B	43.41B	41.40B	38.16B
Gross Profit	7.42B	6.85B	6.49B	5.86B	6.75B	6.20B
EBITDA	4.38B	3.10B	2.50B	4.28B	2.47B	2.27B
Net Income	1.46B	1.18B	881.00M	1.65B	725.00M	600.00M
Balance Sheet
Total Assets	51.17B	50.83B	52.47B	47.80B	47.31B	45.78B
Cash, Cash Equivalents and Short-Term Investments	3.42B	3.70B	3.74B	3.38B	3.62B	3.16B
Total Debt	7.28B	6.92B	7.53B	7.55B	9.19B	8.89B
Total Liabilities	21.26B	21.00B	23.07B	20.53B	21.62B	20.57B
Stockholders Equity	29.70B	29.63B	29.20B	27.09B	25.54B	25.06B
Cash Flow
Free Cash Flow	0.00	337.00M	408.00M	-2.16B	-190.00M	51.00M
Operating Cash Flow	0.00	2.28B	1.99B	-893.00M	1.43B	1.94B
Investing Cash Flow	0.00	-1.18B	-1.28B	2.46B	-1.04B	-1.67B
Financing Cash Flow	0.00	-1.25B	-398.00M	-2.01B	39.00M	1.32B

Tokyo Printing Ink Manufacturing Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 7040.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:4635, the sentiment is Neutral. The current price of 7040 is below the 20-day moving average (MA) of 7104.00, above the 50-day MA of 6882.66, and above the 200-day MA of 4709.69, indicating a neutral trend. The MACD of 117.79 indicates Positive momentum. The RSI at 50.95 is Neutral, neither overbought nor oversold. The STOCH value of 23.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:4635.

Tokyo Printing Ink Manufacturing Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4625	―	¥3.64B	13.01	―	2.51%	0.68%	5.33%
4635	―	¥18.33B	12.52	―	3.27%	8.19%	97.44%
4633	―	¥116.32B	11.61	―	3.95%	4.86%	11.72%
4628	―	¥138.19B	14.17	5.49%	1.32%	3.44%	-28.70%
4620	―	¥18.31B	29.77	―	2.92%	0.78%	-53.36%
Sector *	―	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
4615	―	¥4.32B	-16.66	―	―	8.91%	-42.21%

Tokyo Printing Ink Manufacturing Co., Ltd. Corporate Events

Tokyo Printing Ink Reports Strong Financial Growth and Positive Outlook

Tokyo Printing Ink Manufacturing Co., Ltd. reported a significant increase in its financial performance for the three months ended June 30, 2025, with net sales rising by 9.4% and operating profit surging by 273.1% compared to the previous year. The company has revised its earnings forecast for the fiscal year ending March 31, 2026, indicating strong expected growth in net sales and profits, which reflects positively on its market position and potential future performance.