Nihon Trim Co., Ltd. (6788) AI Stock Analysis

• Market Cap: €32.11B
• Dividend Yield: 3.22%
• Average Volume (3M): 20.42K
• Price to Earnings (P/E): 14.1
• Beta (1Y): 0.72
• Revenue Growth: 7.96%
• EPS Growth: 6.27%
• Country: JP
• Employees: 663
• Sector: Industrials
• Sector Strength: 91
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): 49.39
• Shares Outstanding: 8,656,780
• 10 Day Avg. Volume: 22,040
• 30 Day Avg. Volume: 20,416
• PEG Ratio: 7.91
• Price to Book (P/B): 1.38
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 32.26
• 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: N/A
• Number of Analyst Covering: 0

Nihon Trim Co., Ltd. demonstrates strong financial performance with robust profitability and a stable balance sheet, contributing significantly to the overall score. While technical analysis shows mixed signals, long-term trends are positive. The company's undervaluation and attractive dividend yield further enhance its investment appeal. Absence of recent earnings call data and corporate events limits additional analysis.

Nihon Trim Co., Ltd. Business Overview & Revenue Model

Company Description

Nihon Trim Co., Ltd. (6788) is a Japanese company primarily engaged in the development, manufacturing, and distribution of water-related products and services. The company specializes in producing electrolyzed water systems, medical devices, and agricultural solutions aimed at promoting health and wellness. Nihon Trim's core product offerings include water ionizers and systems for electrolyzed reduced water, which are designed to provide purified and mineral-rich water for domestic, medical, and agricultural use.

How the Company Makes Money

Nihon Trim Co., Ltd. generates revenue through the sale of its electrolyzed water systems and related products. The company's key revenue streams include direct sales to consumers, partnerships with medical institutions for the supply of medical-grade water ionizers, and collaborations with agricultural businesses to provide solutions for enhanced crop yield and quality. Additionally, Nihon Trim leverages its research and development capabilities to innovate and expand its product offerings, contributing to its revenue growth. Significant factors contributing to its earnings include the growing awareness of health and wellness benefits associated with electrolyzed water, as well as strategic partnerships that enhance the company's market reach and product distribution.

Nihon Trim Co., Ltd. Financial Statement Overview

Summary

Nihon Trim Co., Ltd. shows strong profitability with a gross profit margin of 69.06% and a net profit margin of 10.58%. Revenue growth is steady at 6.60%, and the company has a robust EBIT margin of 15.05%. The balance sheet is very stable with a low debt-to-equity ratio of 0.02 and a high equity ratio of 70.10%, indicating low financial risk. Cash flow management is solid, with effective conversion of profits into cash despite a contraction in free cash flow growth.

Income Statement

Nihon Trim Co., Ltd. shows a healthy financial performance in the TTM with a strong Gross Profit Margin of 69.06% and a Net Profit Margin of 10.58%. The company has maintained steady revenue growth, with a TTM revenue of ¥21.76 billion, up from the previous annual revenue of ¥20.41 billion, reflecting a growth rate of 6.60%. The EBIT margin is also robust at 15.05%, indicating efficient operational management. Overall, the income statement reflects strong profitability and growth potential.

Balance Sheet

The balance sheet of Nihon Trim Co., Ltd. is exceptionally strong, highlighted by a low Debt-to-Equity Ratio of 0.02, indicating minimal leverage and financial risk. The company boasts a high Equity Ratio of 70.10%, reflecting financial stability and a strong asset base. Additionally, the Return on Equity (ROE) stands at 9.83%, showcasing effective use of shareholder equity to generate profits. Overall, the balance sheet reflects a very stable financial position with low leverage risk.

Cash Flow

The cash flow statement indicates solid cash management with a Free Cash Flow of ¥1.00 billion in the TTM and a Free Cash Flow to Net Income Ratio of 0.44, demonstrating effective conversion of profits into cash. The Operating Cash Flow to Net Income Ratio of 0.51 also indicates healthy cash flow generation relative to net income. While the Free Cash Flow Growth Rate has contracted from previous levels, the company maintains positive cash flow, indicating effective financial management.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
21.76B	20.41B	17.95B	16.28B	14.92B	16.12B
	Gross Profit
15.03B	14.22B	12.43B	11.25B	10.50B	11.36B
	EBIT
3.27B	3.08B	2.38B	2.00B	2.19B	2.30B
	EBITDA
4.05B	3.73B	2.94B	2.55B	2.60B	1.26B
	Net Income Common Stockholders
2.30B	2.15B	1.65B	1.94B	1.52B	218.46M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
15.26B	15.26B	12.80B	12.38B	10.73B	8.54B
	Total Assets
31.54B	31.54B	29.05B	26.59B	24.93B	22.42B
	Total Debt
74.03M	74.03M	56.11M	7.35M	1.02B	22.94M
	Net Debt
-13.89B	-13.96B	-12.74B	-11.87B	-9.41B	-8.52B
	Total Liabilities
7.92B	7.92B	6.92B	5.79B	7.11B	5.29B
	Stockholders Equity
22.31B	22.31B	21.03B	19.85B	17.44B	16.81B
Cash Flow		Free Cash Flow
1.00B	2.54B	1.62B	608.25M	1.77B	1.52B
	Operating Cash Flow
1.18B	2.97B	1.94B	1.15B	2.68B	1.82B
	Investing Cash Flow
1.12B	-882.83M	-551.14M	432.24M	-887.11M	-2.64B
	Financing Cash Flow
-702.00M	-998.18M	-500.49M	568.37M	109.35M	-518.44M

Nihon Trim Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4130.00
• 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:6788, the sentiment is Positive. The current price of 4130 is above the 20-day moving average (MA) of 4112.75, above the 50-day MA of 3910.66, and above the 200-day MA of 3576.79, indicating a bullish trend. The MACD of 81.26 indicates Positive momentum. The RSI at 55.66 is Neutral, neither overbought nor oversold. The STOCH value of 28.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6788.

Nihon Trim Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
4516	80 Outperform	¥228.73B	7.03		3.65%	6.71%	25.91%
6788	79 Outperform	€32.11B	14.12	9.60%	3.22%	7.96%	6.27%
4543	78 Outperform	¥4.02T	34.41	8.56%	0.96%	14.23%	26.82%
6869	75 Outperform	$1.54T	28.63	11.84%	1.23%	14.50%	29.02%
7701	70 Outperform	$1.01T	18.76	10.72%	1.84%	4.36%	-1.76%
Sector *	64 Neutral	$4.43B	12.01	5.16%	249.23%	4.03%	-11.73%
7731	57 Neutral	$447.15B	80.09	0.91%	3.36%	0.01%	-54.41%

Nihon Trim Co., Ltd. Corporate Events

Nihon Trim Co. Increases Dividend Forecast Amidst Strong Performance

Nihon Trim Co., Ltd. has decided to raise its dividend forecast for the fiscal year ending March 2025, following a change in its baseline for shareholder returns from 3% to 4% DOE. With expectations of achieving a new record in revenue, the company plans to increase its dividends per share from 95 yen to 130 yen, reflecting its strong financial performance and commitment to expanding shareholder profit distribution.

Nihon Trim Reports Increased Sales and Profits in Q3 2024

Nihon Trim Co., Ltd. reported an 8.6% increase in net sales for the nine months ending December 31, 2024, reaching 16,967 million yen. The company’s operating profit also rose by 8.0% to 2,671 million yen, while ordinary profit saw a 10.9% increase. Despite a decrease in the growth rate compared to the previous year, the company revised its dividend forecast for the fiscal year ending March 31, 2025, to 130 yen per share, reflecting confidence in its financial stability and future prospects.