Hokushin Co., Ltd. AI Stock Analysis
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Hokushin Co., Ltd. (7897) AI Stock Analysis
Hokushin Co., Ltd.
(TSE/TYO:7897)
The score is held back primarily by deteriorating profitability (loss/near-breakeven results in 2025–2026) and a demanding valuation (high P/E). These negatives are partially offset by improving leverage, a sharp rebound to positive free cash flow in 2026, and supportive technical momentum with the price trading above key moving averages.
Hokushin Co., Ltd. (7897) vs. iShares MSCI Japan ETF (EWJ)
- Market Cap
- JPY 3.18B
- Dividend Yield
- 1.79%
- Average Volume (3M)
- 412.82K
- Price to Earnings (P/E)
- 17.3
- Beta (1Y)
- 0.47
- Revenue Growth
- 1.75%
- EPS Growth
- ―
- Country
- Japan
- Employees
- 167
- Sector
- General
- Sector Strength
- 55
- Industry
- Paper, Lumber & Forest Products
Hokushin Co., Ltd. Business Overview & Revenue Model
Company Description
Founded in 1950, Hokushin Co., Ltd. specializes in the manufacturing and marketing of medium density fiberboards (MDF). The firm's base of operations is located in Kishiwada, Japan.
How the Company Makes Money
Hokushin generates revenue primarily through (1) selling its manufactured building and interior materials (notably decorative/laminated panels and related interior finishing components) to customers involved in new construction and renovation, and (2...
Hokushin Co., Ltd. Financial Statement Overview
Summary
Overall financials are mixed. The income statement is weak (profits fell from 2022–2024 to near-breakeven/losses in 2025–2026), while the balance sheet shows moderate and improving leverage. Cash flow improved materially in 2026 with strong positive free cash flow, but the multi-year cash flow track record is inconsistent.
Income Statement
38NegativeBalance Sheet
54NeutralCash Flow
61Positive| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 11.24B | 10.27B | 10.22B | 10.98B | 12.89B | 10.78B |
| Gross Profit | 1.38B | 1.39B | 1.34B | 1.54B | 1.98B | 1.74B |
| EBITDA | 321.12M | 334.18M | 378.17M | 548.34M | 767.65M | 850.02M |
| Net Income | 17.64M | -27.58M | 20.34M | 158.74M | 332.41M | 377.34M |
Balance Sheet | ||||||
| Total Assets | 14.51B | 13.07B | 13.73B | 14.34B | 14.38B | 13.60B |
| Cash, Cash Equivalents and Short-Term Investments | 1.67B | 1.67B | 1.68B | 1.71B | 1.67B | 1.67B |
| Total Debt | 5.47B | 4.57B | 5.02B | 5.05B | 5.08B | 5.10B |
| Total Liabilities | 8.71B | 7.18B | 7.91B | 8.40B | 8.59B | 8.07B |
| Stockholders Equity | 5.80B | 5.89B | 5.82B | 5.94B | 5.79B | 5.54B |
Cash Flow | ||||||
| Free Cash Flow | 0 | 506.00M | -60.37M | 127.14M | 143.36M | -59.58M |
| Operating Cash Flow | 0 | 923.46M | 268.67M | 259.55M | 463.70M | 176.16M |
| Investing Cash Flow | 0 | -436.11M | -199.89M | -80.74M | -329.76M | -243.59M |
| Financing Cash Flow | 0 | -499.91M | -93.31M | -144.74M | -134.40M | -71.94M |
Hokushin Co., Ltd. Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7897, the sentiment is Positive. The current price of 113.00 is above the 20-day moving average (MA) of 111.70, above the 50-day MA of 110.84, and above the 200-day MA of 106.11, indicating a bullish trend. The MACD of -0.20 indicates Positive momentum. The RSI at 51.03 is Neutral, neither overbought nor oversold. The STOCH value of 48.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7897.
Hokushin Co., Ltd. Peers Comparison
Overall Rating
JP:387873Outperform
JP:389665.9Neutral
JP:387765Neutral
JP:780855Neutral- JP:789753Neutral
JP:781541Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| JP:3878 | 73Outperform | JPY 8.45B | 6.00 | ― | 1.79% | 9.53% | 148.98% |
| JP:3896 | 66Neutral | JPY 3.88B | 3.61 | ― | 0.49% | 13.26% | ― |
| JP:3877 | 65Neutral | JPY 27.01B | 8.56 | ― | 5.38% | 0.40% | 167.42% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| JP:7808 | 55Neutral | JPY 4.58B | 6.72 | ― | 3.22% | -1.19% | -40.06% |
| JP:7897 | 53Neutral | JPY 3.18B | 17.30 | ― | 1.79% | 1.75% | ― |
| JP:7815 | 41Neutral | JPY 710.18M | 0.23 | ― | ― | ― | ― |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| JP:7897 | Hokushin Co., Ltd. | 113.00 | 3.09 | 2.82% | |
| JP:3877 | Chuetsu Pulp & Paper Co., Ltd. | 2057.00 | 416.46 | 25.39% | |
| JP:3878 | Tomoegawa Corporation | 841.00 | 101.83 | 13.78% | |
| JP:3896 | AWA PAPER & TECHNOLOGICAL COMPANY, Inc. | 400.00 | 55.62 | 16.15% | |
| JP:7808 | C.S. LUMBER CO.,INC | 2492.00 | -561.94 | -18.40% | |
| JP:7815 | Tokyo Board Industries Co., Ltd. | 284.00 | -264.00 | -48.18% |
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: Sep 30, 2026