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Nippon Steel & Sumitomo Metal Corporation (NPSCY)
OTHER OTC:NPSCY
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Nippon Steel & Sumitomo Metal (NPSCY) AI Stock Analysis

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NPSCY

Nippon Steel & Sumitomo Metal

(OTC:NPSCY)

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Neutral 59 (OpenAI - 5.2)
Rating:59Neutral
Price Target:
$4.50
▲(6.64% Upside)
Action:Reiterated
Date:08/17/26
The score is held back primarily by weakened financial performance—near-breakeven profitability, higher leverage, and negative free cash flow in the latest year. Offsetting this, technicals are positive (price above key moving averages with supportive MACD) and valuation is reasonable with a solid dividend yield.
Positive Factors
Strong revenue growth
Strong multi-year revenue expansion indicates sustained demand and broad market reach. While steel is cyclical, a growing top line provides operating scale and supports recovery potential when industry profitability improves.
Negative Factors
Near-breakeven profitability
The collapse in net margin leaves little buffer against weaker steel pricing, higher costs, or operating disruptions. Persistently low profitability would constrain reinvestment, dividends, and the company’s ability to absorb cyclical downturns.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong revenue growth
Strong multi-year revenue expansion indicates sustained demand and broad market reach. While steel is cyclical, a growing top line provides operating scale and supports recovery potential when industry profitability improves.
Read all positive factors

Nippon Steel & Sumitomo Metal (NPSCY) vs. SPDR S&P 500 ETF (SPY)

Nippon Steel & Sumitomo Metal Business Overview & Revenue Model

Company Description
Nippon Steel Corporation, alongside its numerous subsidiaries, conducts a wide array of business operations globally and within Japan. Its core activities span four main divisions: steel manufacturing and fabrication, engineering and construction,...
How the Company Makes Money
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Nippon Steel & Sumitomo Metal Financial Statement Overview

Summary
Despite strong multi-year revenue growth, the latest annual report shows a sharp profitability reset (net margin near breakeven), higher leverage, and weaker cash generation. Free cash flow turned negative in 2026, reducing near-term financial flexibility for a cyclical steel business.
Income Statement
54
Neutral
Balance Sheet
50
Neutral
Cash Flow
42
Neutral
BreakdownTTMMar 2026Mar 2026Mar 2025Mar 2024Mar 2023
Income Statement
Total Revenue11.06T10.67T8.70T8.87T7.98T6.81T
Gross Profit1.56T1.53T1.37T1.39T1.28T1.21T
EBITDA1.14T1.09T954.04B1.16T1.23T1.03T
Net Income293.10B18.19B350.23B549.37B694.02B637.32B
Balance Sheet
Total Assets15.08T14.72T10.94T10.71T9.57T8.75T
Cash, Cash Equivalents and Short-Term Investments486.49B463.26B713.95B482.82B687.96B572.38B
Total Debt5.48T5.20T2.51T2.71T2.70T2.65T
Total Liabilities8.99T8.67T5.04T5.36T4.92T4.86T
Stockholders Equity5.60T5.55T5.38T4.78T4.18T3.47T
Cash Flow
Free Cash Flow0.00-183.13B360.40B543.81B191.26B148.73B
Operating Cash Flow0.00760.18B978.59B1.01T661.27B615.63B
Investing Cash Flow0.00-3.01T-462.43B-710.65B-366.58B-378.87B
Financing Cash Flow0.002.00T-313.33B-543.95B-197.66B-61.30B

Nippon Steel & Sumitomo Metal Technical Analysis

Technical Analysis Sentiment
Positive
Last Price4.22
Price Trends
50DMA
3.88
Positive
100DMA
3.74
Positive
200DMA
3.87
Positive
Market Momentum
MACD
0.10
Positive
RSI
57.25
Neutral
STOCH
47.22
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NPSCY, the sentiment is Positive. The current price of 4.22 is below the 20-day moving average (MA) of 4.28, above the 50-day MA of 3.88, and above the 200-day MA of 3.87, indicating a neutral trend. The MACD of 0.10 indicates Positive momentum. The RSI at 57.25 is Neutral, neither overbought nor oversold. The STOCH value of 47.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NPSCY.

Nippon Steel & Sumitomo Metal Risk Analysis

Nippon Steel & Sumitomo Metal disclosed 42 risk factors in its most recent earnings report. Nippon Steel & Sumitomo Metal reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Nippon Steel & Sumitomo Metal Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$20.00B22.4012.35%1.20%15.44%25.45%
73
Outperform
$57.26B19.9613.53%0.90%17.19%126.38%
66
Neutral
$33.80B21.2017.60%0.83%19.77%60.80%
64
Neutral
$55.07B31.323.31%0.86%3.25%-27.63%
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
59
Neutral
$22.40B12.275.33%4.66%23.81%
45
Neutral
$18.22B20.402.27%3.10%-3.30%164.60%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
NPSCY
Nippon Steel & Sumitomo Metal
4.24
0.09
2.15%
MT
ArcelorMittal
74.39
41.41
125.58%
NUE
Nucor
250.50
103.74
70.68%
PKX
POSCO
60.25
8.66
16.79%
RS
Reliance Steel
387.59
96.31
33.06%
STLD
Steel Dynamics
234.67
105.29
81.39%
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