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Shofu Inc. (7979) AI Stock Analysis
Shofu Inc.
(TSE/TYO:7979)
Shofu Inc. achieves a strong overall score, primarily driven by its flawless, zero-leverage balance sheet, consistent net income expansion, and highly appealing valuation. While short-term technical indicators show recent downward pressure, the heavily oversold conditions and sustained long-term uptrend limit the risk. The primary fundamental headwind is a recent dip in free cash flow due to reinvestment, but the company's robust operating margins easily absorb these capital outlays.
Shofu Inc. (7979) vs. iShares MSCI Japan ETF (EWJ)
- Market Cap
- JPY 81.86B
- Dividend Yield
- 2.65%
- Average Volume (3M)
- 84.32K
- Price to Earnings (P/E)
- 13.2
- Beta (1Y)
- 0.48
- Revenue Growth
- 6.53%
- EPS Growth
- 52.32%
- Country
- Japan
- Employees
- 1,462
- Sector
- General
- Sector Strength
- 55
- Industry
- Medical - Instruments & Supplies
Shofu Inc. Business Overview & Revenue Model
Company Description
Headquartered in Kyoto, Japan, Shofu Inc. is a long-standing global supplier of diverse dental materials and specialized equipment, having been established in 1922. The company offers an extensive product range, encompassing everything from artificia...
How the Company Makes Money
Shofu primarily makes money by manufacturing and selling dental-related products to professional customers (dental clinics, dental laboratories, and dental distributors). Key revenue streams include: (1) Dental consumables and materials: recurring sa...
Shofu Inc. Financial Statement Overview
Summary
The company boasts a pristine, debt-free balance sheet and strong profitability with consistent revenue growth. While operating cash flow is stable, recent heavy capital expenditures have temporarily pushed free cash flow into negative territory, slightly tempering its otherwise phenomenal financial health.
Income Statement
88Very PositiveBalance Sheet
96Very PositiveCash Flow
68Positive| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 39.99B | 39.99B | 38.70B | 35.08B | 31.68B | 28.14B |
| Gross Profit | 23.74B | 23.74B | 22.99B | 21.00B | 18.70B | 16.17B |
| EBITDA | 7.58B | 6.44B | 7.23B | 6.47B | 5.40B | 4.52B |
| Net Income | 4.89B | 4.89B | 4.32B | 3.65B | 3.13B | 2.55B |
Balance Sheet | ||||||
| Total Assets | 57.71B | 57.71B | 49.99B | 50.09B | 43.73B | 40.71B |
| Cash, Cash Equivalents and Short-Term Investments | 10.26B | 10.26B | 10.89B | 9.72B | 9.58B | 9.06B |
| Total Debt | 257.00M | 257.00M | 213.00M | 457.00M | 1.34B | 1.60B |
| Total Liabilities | 9.01B | 9.01B | 7.26B | 8.48B | 8.21B | 7.77B |
| Stockholders Equity | 48.60B | 48.60B | 42.66B | 41.53B | 35.44B | 32.88B |
Cash Flow | ||||||
| Free Cash Flow | 0 | -62.00M | 2.22B | 1.38B | 1.54B | 2.67B |
| Operating Cash Flow | 0 | 3.37B | 3.45B | 3.09B | 3.17B | 3.74B |
| Investing Cash Flow | 0 | -2.07B | -914.00M | -1.29B | -1.29B | -1.29B |
| Financing Cash Flow | 0 | -1.97B | -1.78B | -2.10B | -1.46B | -1.07B |
Shofu Inc. Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7979, the sentiment is Positive. The current price of 2300.00 is above the 20-day moving average (MA) of 2245.60, above the 50-day MA of 2244.68, and above the 200-day MA of 1942.19, indicating a bullish trend. The MACD of 4.45 indicates Negative momentum. The RSI at 60.60 is Neutral, neither overbought nor oversold. The STOCH value of 58.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7979.
Shofu Inc. Peers Comparison
Overall Rating
JP:934083Outperform
JP:773079Outperform
JP:797978Outperform
JP:798076Outperform
JP:771660Neutral
JP:781344Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| 83Outperform | JPY 7.76B | 14.88 | ― | 3.30% | 9.74% | 17.84% | |
| 79Outperform | JPY 149.06B | 20.59 | ― | 2.71% | 10.18% | 55.86% | |
| 78Outperform | JPY 82.07B | 13.25 | ― | 2.65% | 6.53% | 52.32% | |
| 76Outperform | JPY 6.01B | 7.63 | ― | 1.78% | 13.27% | 18.32% | |
| 60Neutral | JPY 250.99B | 102.86 | 1.89% | 2.04% | 14.87% | -55.19% | |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| 44Neutral | JPY 2.92B | 11.89 | ― | 2.90% | -1.52% | 27.39% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| JP:7979 | Shofu Inc. | 2300.00 | 478.64 | 26.28% | |
| JP:7716 | Nakanishi | 1421.00 | 424.20 | 42.56% | |
| JP:7730 | Mani, Inc. | 1513.00 | 74.81 | 5.20% | |
| JP:7813 | PLATZ Co., Ltd. | 828.00 | -6.35 | -0.76% | |
| JP:7980 | Shigematsu Works Co., Ltd. | 845.00 | 57.40 | 7.29% | |
| JP:9340 | ASO INTERNATIONAL INC. | 787.00 | 140.79 | 21.79% |
Shofu Inc. Corporate Events
Shofu Tightens Shareholder Perks, Adds Rice Vouchers for Long-Term Holders
Shofu Inc. has moved to tighten eligibility for its shareholder benefits plan, limiting preferential product pricing to investors holding at least one trading unit, or 100 shares, as of March 31 each year while slightly raising the discounted price o...
Shofu Raises Dividend Forecast After Higher Investment Gains
Shofu has revised its dividend forecast for the fiscal year ending March 31, 2027, following a larger-than-expected gain on the sale of investment securities. The board approved an increase in the interim special dividend from ¥6 to ¥12 per...
Shofu Inc. Delivers Double-Digit Sales Growth on Strong Overseas Dental Demand
Shofu Inc. reported robust consolidated results for the three months ended June 30, 2026, with net sales rising to ¥10,788 million, up 13.5% year on year, driven mainly by double‑digit growth in overseas dental materials, including chemica...
Shofu’s Quarterly Profit Jumps as Dental Supplier Hikes Dividend Forecast
Shofu reported strong consolidated results for the three months ended June 30, 2026, with net sales rising 13.5% year on year to ¥10,788 million and profit attributable to owners of parent surging 151.3% to ¥2,146 million, driving basic ear...
Shofu Books ¥1.96 Billion Extraordinary Gain from Strategic Shareholding Sales
Shofu Inc. has completed the sale of a portion of its listed investment securities as part of a broader effort to reduce strategic shareholdings, strengthen its financial position, and improve asset efficiency in line with Japan’s Corporate Gov...
Shofu Completes Treasury Stock Disposal for Restricted Stock Compensation
Shofu Inc. has completed the disposal of 26,367 shares of its treasury stock as restricted stock compensation, following a June 24, 2026 board resolution. The shares, priced at ¥1,999 each for a total value of ¥52,707,633, were allotted on...
Shofu Inc. to Absorb Implant Subsidiary to Boost Digital Dentistry
Shofu Inc. will conduct an absorption-type merger of its wholly owned subsidiary Shofu Biofix Inc., consolidating its implant-related business into the parent company. The move aims to optimize management resources and strengthen the group’s ca...
Shofu to Book ¥1.9 Billion Extraordinary Gain From Sale of Strategic Shareholdings
Shofu Inc., a dental materials and equipment maker listed on the TSE Prime Market, is streamlining its balance sheet by reducing strategic shareholdings in line with Japan’s Corporate Governance Code. The move is aimed at strengthening its fina...
Shofu to Grant Treasury Shares as Long-Term Restricted Stock to Executives
Shofu Inc. has approved the disposal of 26,367 shares of its treasury stock to be granted as restricted stock compensation to five internal directors and nine executive officers, at a price of ¥1,999 per share for a total value of about ¥52...
Shofu Clarifies Ties With Major Shareholder Mitsui Chemicals and Affirms Governance Independence
Shofu Inc. disclosed its relationship with Mitsui Chemicals Inc., which holds 20.13% of its voting rights and is classified as its largest shareholder and an other associated company. The companies, together with SUN MEDICAL CO., LTD., maintain a cap...
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 11, 2026