Want to see NDEKY full AI Analyst Report?
Top Page
Nitto Denko
(OTC:NDEKY)
Select Model
Select Model
Rating:75Outperform
Price Target:
$24.00
â–²(10.55% Upside)
Action:Reiterated
Date:10/29/26
The score is driven primarily by strong financial performance—robust margins, meaningful profit expansion versus FY2024, and an exceptionally conservative near-zero-debt balance sheet. Valuation is reasonable (P/E ~16.75) with a modest dividend yield (~1.82%). Offsetting these positives, technicals show near-term weakness (below 20/50DMA with low RSI/Stoch), and cash conversion is mixed versus reported earnings, which reduces confidence in near-term momentum.
Positive Factors
Strong Profitability
Healthy gross, operating, and net margins show that Nitto Denko converts its specialized materials portfolio into substantial earnings. This profitability provides a durable buffer against market fluctuations, supports internal investment, and gives management flexibility to protect competitiveness across multiple end markets.
Negative Factors
Cooling Revenue Growth
Recent revenue expansion has slowed materially from the stronger growth achieved earlier in the period. Near-flat sales growth can limit operating leverage, reduce the pace of earnings compounding, and place greater importance on productivity or mix improvements to sustain profitability over the next several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Profitability
Healthy gross, operating, and net margins show that Nitto Denko converts its specialized materials portfolio into substantial earnings. This profitability provides a durable buffer against market fluctuations, supports internal investment, and gives management flexibility to protect competitiveness across multiple end markets.
Read all positive factors
Nitto Denko (NDEKY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$13.56B
Dividend Yield1.81%
Average Volume (3M)58.99K
Price to Earnings (P/E)16.1
Beta (1Y)0.65
Revenue Growth1.05%
EPS Growth9.03%
CountryUS
Employees26,477
SectorBasic Materials
Sector Strength58
IndustryChemicals - Specialty
Share Statistics
EPS (TTM)213.04
Shares Outstanding663,187,600
10 Day Avg. Volume0
30 Day Avg. Volume58,993
Financial Highlights & Ratios
PEG Ratio2.17
Price to Book (P/B)1.85
Price to Sales (P/S)1.96
P/FCF Ratio21.05
Enterprise Value/Market Cap0.92
Enterprise Value/Revenue0.01
Enterprise Value/Gross Profit0.03
Enterprise Value/Ebitda0.05
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)1.37
Revenue Forecast (FY)$6.98B
Nitto Denko Business Overview & Revenue Model
Company Description
Headquartered in Osaka, Japan, and established in 1918, Nitto Denko Corporation operates globally with a primary focus on the manufacturing of adhesive tapes. The company boasts an extensive product lineup, which includes various tape types such a...
Nitto Denko Financial Statement Overview
Summary
Income Statement
86
Very Positive
Balance Sheet
92
Very Positive
Cash Flow
78
Positive
| Breakdown | TTM | Mar 2027 | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.08T | 1.09T | 1.01T | 915.14B | 929.04B | 853.45B |
| Gross Profit | 408.52B | 414.33B | 395.51B | 330.86B | 337.44B | 302.39B |
| EBITDA | 272.93B | 272.60B | 254.16B | 200.84B | 205.01B | 183.97B |
| Net Income | 142.00B | 141.55B | 137.24B | 102.68B | 109.17B | 97.13B |
Balance Sheet | ||||||
| Total Assets | 1.47T | 1.45T | 1.32T | 1.25T | 1.15T | 1.09T |
| Cash, Cash Equivalents and Short-Term Investments | 334.40B | 361.37B | 363.34B | 342.27B | 329.97B | 362.05B |
| Total Debt | 0.00 | 0.00 | 455.00M | 30.46B | 272.00M | 241.00M |
| Total Liabilities | 309.29B | 293.92B | 276.80B | 266.04B | 250.45B | 272.36B |
| Stockholders Equity | 1.16T | 1.15T | 1.04T | 984.02B | 902.21B | 821.19B |
Cash Flow | ||||||
| Free Cash Flow | 124.50B | 101.34B | 111.91B | 87.75B | 115.78B | 85.53B |
| Operating Cash Flow | 226.06B | 203.77B | 217.91B | 155.52B | 181.70B | 144.49B |
| Investing Cash Flow | -113.22B | -113.92B | -115.11B | -67.93B | -159.91B | -57.59B |
| Financing Cash Flow | -95.81B | -113.03B | -78.89B | -90.78B | -57.63B | -36.64B |
Nitto Denko Technical Analysis
Neutral
21.71
Price Trends
21.96
Negative
21.11
Positive
20.87
Positive
Market Momentum
0.09
Positive
41.60
Neutral
5.63
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NDEKY, the sentiment is Neutral. The current price of 21.71 is below the 20-day moving average (MA) of 22.70, below the 50-day MA of 21.96, and above the 200-day MA of 20.87, indicating a neutral trend. The MACD of 0.09 indicates Positive momentum. The RSI at 41.60 is Neutral, neither overbought nor oversold. The STOCH value of 5.63 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NDEKY.
Nitto Denko Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
75 Outperform | $13.56B | 16.06 | 12.40% | 1.81% | 1.05% | 9.03% | |
70 Outperform | $13.06B | 18.87 | 21.13% | 2.14% | 5.96% | 0.68% | |
69 Neutral | $7.61B | 11.73 | 7.42% | 5.05% | -4.30% | -46.24% | |
65 Neutral | $3.93B | 23.03 | 7.17% | 2.57% | 2.36% | 42.56% | |
63 Neutral | $8.31B | 40.55 | 7.39% | 0.93% | 39.62% | -14.83% | |
61 Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% | |
61 Neutral | $2.68B | 13.65 | 9.51% | 1.95% | 1.48% | 72.33% |
* Basic Materials Sector Average
NDEKY
Nitto Denko
21.54
-3.15
-12.75%
EMN
Eastman Chemical
66.53
9.84
17.37%
FUL
H.B. Fuller Company
49.70
-6.71
-11.89%
AVNT
Avient
42.84
11.75
37.78%
RPM
RPM International
102.44
-4.57
-4.27%
ESI
Element Solutions
34.27
7.80
29.49%
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.