Fukuvi Chemical Industry Co., Ltd. (7871) AI Stock Analysis

0 Followers

Fukuvi Chemical Industry Co., Ltd.

(TSE/TYO:7871)

Select Model

Rating:73Outperform

Price Target:JPY 1,136.00▲(18.09% Upside)

Action:reiterated

Date:08/17/26

The score is driven primarily by strong financial positioning (very low leverage) and improving operating results, offset by inconsistent cash-flow conversion. Technicals are supportive with a clear uptrend and positive momentum, while valuation is favorable with a low P/E and a moderate dividend yield.

Positive Factors

Very Low LeverageDebt-to-equity of roughly 2–4% across the period limits solvency risk and preserves capacity to fund operations or pursue investment. Equity growth further strengthens the capital base, improving resilience through construction-cycle volatility.

Negative Factors

Uneven Cash ConversionVolatile operating and free cash flow, including weak conversion in 2024 and 2026, suggests working-capital swings or periodic cash needs. This can constrain internally funded investment and reduce the reliability of reported earnings.

Fukuvi Chemical Industry Co., Ltd. (7871) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 19.14B
Dividend Yield: 3.22%
Average Volume (3M): 4,500
Price to Earnings (P/E): 10.4
Beta (1Y): 0.56
Revenue Growth: 4.25%
EPS Growth: 27.60%
Country: Japan
Employees: 998
Sector: General
Sector Strength: 55
Industry: Construction Materials

Fukuvi Chemical Industry Co., Ltd. Business Overview & Revenue Model

Company Description

Fukuvi Chemical Industry Co.,Ltd., founded in 1947 and based in Fukui, Japan, specializes in the global manufacturing and distribution of plastic extrusion products for both construction and industrial sectors. Operating under the Fukuvi brands, the...

How the Company Makes Money

null

Fukuvi Chemical Industry Co., Ltd. Financial Statement Overview

Summary

Improving earnings momentum with a sharp revenue acceleration in 2026 and modestly rising net margin, supported by a very strong, low-leverage balance sheet. The main drag is uneven cash-flow conversion, with weak free cash flow relative to net income in multiple years, which reduces earnings quality despite solid profitability trends.

Income Statement

71Positive

Balance Sheet

86Very Positive

Cash Flow

56Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	41.74B	40.59B	39.97B	39.73B	39.57B	36.74B
Gross Profit	12.67B	12.37B	11.99B	12.07B	11.61B	10.73B
EBITDA	3.41B	3.14B	3.36B	3.66B	3.40B	2.56B
Net Income	1.85B	1.68B	1.47B	1.70B	1.48B	1.14B
Balance Sheet
Total Assets	55.36B	54.95B	53.24B	54.08B	50.76B	49.38B
Cash, Cash Equivalents and Short-Term Investments	11.19B	13.50B	14.18B	11.20B	12.12B	12.34B
Total Debt	962.00M	1.50B	1.08B	1.19B	926.00M	691.00M
Total Liabilities	14.54B	14.36B	15.72B	16.91B	16.50B	16.12B
Stockholders Equity	40.13B	39.91B	36.60B	36.33B	33.52B	32.60B
Cash Flow
Free Cash Flow	-538.00M	247.00M	3.64B	24.00M	891.00M	1.30B
Operating Cash Flow	24.80B	1.35B	4.43B	795.00M	1.78B	2.06B
Investing Cash Flow	-21.16B	-822.00M	-381.00M	-817.00M	-908.00M	-753.00M
Financing Cash Flow	0	-1.25B	-1.15B	-978.00M	-1.19B	-631.00M

Fukuvi Chemical Industry Co., Ltd. Technical Analysis

Technical Analysis SentimentNeutral

Last Price962.00

Price Trends

50DMA991.64Negative

100DMA962.84Negative

200DMA931.48Positive

Market Momentum

MACD-9.60Positive

RSI44.46Neutral

STOCH43.65Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7871, the sentiment is Neutral. The current price of 962.00 is below the 20-day moving average (MA) of 979.25, below the 50-day MA of 991.64, and above the 200-day MA of 931.48, indicating a neutral trend. The MACD of -9.60 indicates Positive momentum. The RSI at 44.46 is Neutral, neither overbought nor oversold. The STOCH value of 43.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7871.

Fukuvi Chemical Industry Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:7871 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:5273	91Outperform	JPY 189.06B	11.17	―	2.22%	8.83%	35.52%
JP:5351	77Outperform	JPY 89.10B	3.04	―	4.93%	20.53%	203.93%
JP:7871	73Outperform	JPY 19.80B	10.36	―	3.22%	4.25%	27.60%
JP:4216	68Neutral	JPY 104.57B	25.78	―	2.62%	0.86%	-37.32%
JP:4026	65Neutral	JPY 13.32B	6.88	―	3.50%	3.43%	47.27%
JP:4212	62Neutral	JPY 85.05B	14.59	―	3.24%	4.65%	63.01%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

JP:7871 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:7871	Fukuvi Chemical Industry Co., Ltd.	962.00	51.04	5.60%
JP:4026	Konoshima Chemical Co., Ltd.	1485.00	69.06	4.88%
JP:4212	Sekisui Jushi Corporation	2841.00	786.75	38.30%
JP:4216	ASAHI YUKIZAI CORPORATION	5720.00	1322.67	30.08%
JP:5273	Mitani Sekisan Co., Ltd.	2333.00	568.75	32.24%
JP:5351	Shinagawa Refractories Co., Ltd.	1865.00	56.35	3.12%

Fukuvi Chemical Industry Co., Ltd. Corporate Events

Fukuvi Chemical Industry Lifts Profit and Dividend as Balance Sheet Strengthens

May 27, 2026

Fukuvi Chemical Industry reported modest top-line growth for the fiscal year ended March 31, 2026, with net sales rising 1.6% to ¥40.6 billion and operating profit up 11.8% to ¥1.73 billion, lifting profit attributable to owners of parent by 14.6% to...

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

Fukuvi Chemical Industry Co., Ltd. AI Stock Analysis