Sumitomo Osaka Cement Co (5232) AI Stock Analysis

• Market Cap: $124.94B
• Dividend Yield: 3.13%
• Average Volume (3M): 148.77K
• Price to Earnings (P/E): 12.7
• Beta (1Y): 0.62
• Revenue Growth: -2.33%
• EPS Growth: -6.06%
• Country: JP
• Employees: 2,886
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction Materials
• EPS (TTM): 45.14
• Shares Outstanding: 33,237,020
• 10 Day Avg. Volume: 121,660
• 30 Day Avg. Volume: 148,773
• PEG Ratio: -0.34
• Price to Book (P/B): 0.63
• Price to Sales (P/S): 0.55
• P/FCF Ratio: -43.46
• Enterprise Value/Market Cap: 1.58
• Enterprise Value/Revenue: 0.91
• Enterprise Value/Gross Profit: 3.93
• Enterprise Value/Ebitda: 6.00
• 1Y Price Target: $4,830.09
• Price Target Upside: 25.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 60 Neutral
• Price Target: ¥4,008.00 ▲(4.43% Upside)

The overall stock score reflects moderate financial performance with areas needing improvement, particularly in cash flow management. Technical indicators suggest a bearish trend, which negatively impacts the score. However, the stock's valuation is attractive, with a reasonable P/E ratio and a solid dividend yield, providing some support to the overall score.

Sumitomo Osaka Cement Co Business Overview & Revenue Model

Company Description

Sumitomo Osaka Cement Co., Ltd. engages in the cement production business in Japan and internationally. The company's Cement segment offers assorted cement, ready-mix concrete, and cement-related solidification materials; supplies electrical power; and recycles raw materials and fuels. Its Mineral Resources segment supplies limestone and dolomite for cement, steelmaking, industrial raw materials, quicklimes, and fertilizers; aggregates for roads and various civil engineering works; calcium carbonate for power plant flue gas desulfurization, and high-fluidity concrete filling; and silica powder for various cement-related products materials, such as exterior wall materials and roof materials. This segment also exports its products in Asia. The company's Cement-Related Products segment manufactures and sells repairing and reinforcing materials for concrete structures. It is also involved in the development of materials for coping with heavy metal pollution; protection for concrete structures; and artificial marine reefs, as well as fish and seaweed beds, electrolytic protection methods, PC products and settings, and various hume concrete pipes. Its Optoelectronics segment manufactures and sells optical communications devices and components, optical measurement equipment, and optical transceivers. The company's Advanced Materials segment offers ceramic components for semiconductor manufacturing equipment; nanoparticle materials; antibacterial agents; cosmetics; and functional paints. Its Battery Materials segment provides rechargeable battery cathode materials. The company's Other segment leases real estate properties; provides engineering services; and develops software. Sumitomo Osaka Cement Co., Ltd. was incorporated in 1907 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Sumitomo Osaka Cement Co. generates revenue through several streams, with the primary one being the production and sale of cement, which is a fundamental material for construction and infrastructure development. The company also earns income from its mineral resources segment, which involves the extraction and sale of minerals used in various industrial applications. Additionally, the advanced materials segment contributes to revenue by providing specialized products such as electronic materials, ceramics, and other high-performance materials. Strategic partnerships and collaborations with construction firms and industrial companies further enhance its market reach and revenue potential. Key factors contributing to its earnings include its extensive distribution network, technological advancements, and a strong emphasis on research and development.

Sumitomo Osaka Cement Co Financial Statement Overview

Summary

The company demonstrates moderate profitability with some volatility in recent years. The balance sheet is relatively strong with manageable leverage levels, but cash flow management needs attention due to inconsistent free cash flow and concerns about cash generation sufficiency.

Income Statement

The company has shown a fluctuating revenue trend with a recent decline in revenue. Gross profit margin has decreased slightly over the years, indicating pressure on production costs. Net profit margin improved in 2025 due to a return to profitability, although it remains lower than in previous years. The EBIT margin indicates moderate operational efficiency, with room for improvement. Overall, the company demonstrates moderate profitability with some volatility in recent years.

Balance Sheet

The debt-to-equity ratio is moderate, suggesting a balanced use of debt and equity financing. The equity ratio indicates a stable financial structure, but a slight decline in equity over the years may pose future risks. Return on equity has been inconsistent, reflecting the volatility in net income. Overall, the balance sheet remains relatively strong, with manageable leverage levels.

Cash Flow

Cash flow from operations has been inconsistent, and the company has experienced fluctuations in free cash flow. The negative free cash flow in 2025 raises concerns about cash generation sufficiency. The operating cash flow to net income ratio indicates reasonable cash conversion, but the free cash flow to net income ratio has been negative, highlighting potential issues in cash management. Overall, cash flow management needs attention to ensure sustainable liquidity.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	217.78B	219.47B	222.50B	204.71B	184.21B	239.27B
Gross Profit	50.42B	50.08B	46.14B	28.86B	42.10B	51.05B
EBITDA	32.99B	36.41B	41.22B	17.92B	31.96B	36.40B
Net Income	9.80B	9.01B	15.34B	-5.72B	9.67B	11.72B
Balance Sheet
Total Assets	357.98B	353.03B	356.28B	356.56B	331.11B	329.65B
Cash, Cash Equivalents and Short-Term Investments	15.43B	16.55B	18.72B	14.54B	13.15B	18.66B
Total Debt	86.72B	83.33B	79.53B	99.72B	56.64B	51.41B
Total Liabilities	165.14B	159.36B	159.51B	171.97B	127.94B	123.82B
Stockholders Equity	190.27B	191.10B	194.34B	182.44B	200.96B	203.73B
Cash Flow
Free Cash Flow	0.00	-2.76B	14.85B	-44.06B	-2.67B	12.58B
Operating Cash Flow	0.00	24.89B	43.73B	-16.15B	18.25B	32.80B
Investing Cash Flow	0.00	-21.82B	-15.35B	-19.82B	-16.06B	-18.88B
Financing Cash Flow	0.00	-5.34B	-24.39B	37.29B	-8.00B	-10.87B

Sumitomo Osaka Cement Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3838.00
• 50DMA: Negative
• 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:5232, the sentiment is Positive. The current price of 3838 is below the 20-day moving average (MA) of 3840.98, below the 50-day MA of 3886.45, and above the 200-day MA of 3655.61, indicating a neutral trend. The MACD of -32.14 indicates Positive momentum. The RSI at 49.27 is Neutral, neither overbought nor oversold. The STOCH value of 61.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5232.

Sumitomo Osaka Cement Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5288	81 Outperform	¥45.71B	11.54	―	3.85%	7.10%	35.43%
5285	70 Outperform	¥21.00B	9.39	―	2.82%	15.39%	27.17%
5290	70 Outperform	¥80.35B	13.83	―	4.19%	5.12%	54.71%
5233	66 Neutral	$418.27B	8.34	8.42%	2.39%	-0.33%	-8.08%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
5232	60 Neutral	$124.94B	12.66	5.18%	3.13%	-2.33%	-6.06%
5269	48 Neutral	¥18.46B	98.19	―	3.13%	-6.24%	-146.29%

Sumitomo Osaka Cement Co Corporate Events

Sumitomo Osaka Cement Reports Q1 Financial Results with Improved Profitability

Sumitomo Osaka Cement Co., Ltd reported its consolidated financial results for the first quarter of the fiscal year ending March 31, 2026, showing a slight decline in net sales by 3.2% year-on-year. However, the company experienced a significant increase in profit attributable to owners of the parent by 115.8%, indicating improved profitability despite lower sales. The company’s financial forecast for the fiscal year anticipates growth in net sales and substantial increases in operating and ordinary profits, suggesting a positive outlook for stakeholders.

The most recent analyst rating on (JP:5232) stock is a Buy with a Yen4620.00 price target. To see the full list of analyst forecasts on Sumitomo Osaka Cement Co stock, see the JP:5232 Stock Forecast page.

Sumitomo Osaka Cement Co. Acquires Treasury Shares to Optimize Capital Structure

Sumitomo Osaka Cement Co., Ltd. announced the acquisition of 391,200 treasury shares between July 1 and July 31, 2025, at a total cost of ¥1,493,493,388, as part of a broader plan approved by the Board of Directors. This move is part of a strategic initiative to potentially cancel unused shares, aiming to optimize capital structure and enhance shareholder value.

The most recent analyst rating on (JP:5232) stock is a Buy with a Yen4620.00 price target. To see the full list of analyst forecasts on Sumitomo Osaka Cement Co stock, see the JP:5232 Stock Forecast page.

Sumitomo Osaka Cement Acquires Treasury Shares to Enhance Shareholder Value

Sumitomo Osaka Cement Co., Ltd. has announced the acquisition of 291,500 treasury shares between June 1 and June 30, 2025, at a total cost of ¥1,109,586,893. This move is part of a broader strategy approved by the Board of Directors to acquire up to 1,500,000 shares by September 30, 2025, with a budget of ¥5,000,000,000, aimed at optimizing capital structure and potentially canceling unused shares.

The most recent analyst rating on (JP:5232) stock is a Buy with a Yen4620.00 price target. To see the full list of analyst forecasts on Sumitomo Osaka Cement Co stock, see the JP:5232 Stock Forecast page.

Sumitomo Osaka Cement to Enhance Capital Efficiency Through Sale of Investment Securities

Sumitomo Osaka Cement Co., Ltd. announced its decision to sell a portion of its investment securities as part of a strategic move to improve capital efficiency and reduce cross-shareholdings. This initiative aligns with the company’s governance policy and targets reducing the ratio of cross-shareholdings to consolidated net assets below 10% by fiscal 2026. The sale, expected to generate an estimated gain of ¥3.7 billion, will occur between July 2025 and March 2026, with potential impacts on the company’s earnings forecast currently under review.

The most recent analyst rating on (JP:5232) stock is a Buy with a Yen4620.00 price target. To see the full list of analyst forecasts on Sumitomo Osaka Cement Co stock, see the JP:5232 Stock Forecast page.

Sumitomo Osaka Cement Acquires Treasury Shares

Sumitomo Osaka Cement Co., Ltd. has announced the acquisition of 245,800 treasury shares between May 14 and May 31, 2025, at a total cost of ¥927,331,295. This move is part of a broader plan approved by the Board of Directors to acquire up to 1,500,000 shares, with a total budget of ¥5,000,000,000, which aims to optimize capital structure and potentially enhance shareholder value.

The most recent analyst rating on (JP:5232) stock is a Buy with a Yen4620.00 price target. To see the full list of analyst forecasts on Sumitomo Osaka Cement Co stock, see the JP:5232 Stock Forecast page.

Sumitomo Osaka Cement Announces Treasury Share Acquisition

Sumitomo Osaka Cement Co., Ltd. announced its decision to acquire up to 1,500,000 of its own common shares, representing 4.54% of the total issued shares, with an acquisition cost limit of ¥5 billion. This move aims to enhance capital efficiency and return profits to shareholders, potentially impacting the company’s financial structure and shareholder value.

The most recent analyst rating on (JP:5232) stock is a Buy with a Yen4620.00 price target. To see the full list of analyst forecasts on Sumitomo Osaka Cement Co stock, see the JP:5232 Stock Forecast page.

Sumitomo Osaka Cement Reports Mixed Financial Results and Positive Outlook

Sumitomo Osaka Cement Co., Ltd. reported a decrease in net sales for the fiscal year ending March 31, 2025, with a notable decline in net income attributable to owners of the parent by 41.3%. Despite this, the company achieved a significant increase in operating income by 29.0%, indicating improved operational efficiency. The company maintained its dividend payout, reflecting a commitment to shareholder returns, and forecasts a positive outlook for the fiscal year ending March 2026, with expected growth in net sales and income.

The most recent analyst rating on (JP:5232) stock is a Buy with a Yen4620.00 price target. To see the full list of analyst forecasts on Sumitomo Osaka Cement Co stock, see the JP:5232 Stock Forecast page.