Fact based stock research
Nichias (TSE:5393)

JP3660400007

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For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

Nichias stock research in summary

nichias.co.jp

ANALYSIS: With an Obermatt Combined Rank of 69 (better than 69% compared with investment alternatives), Nichias (Building Products, Japan) shares have above-average financial characteristics compared with similar stocks. Shares of Nichias are low in value (priced high) with a consolidated Value Rank of 34 (worse than 66% of alternatives) and show below-average growth (Growth Rank of 37) but are safely financed (Safety Rank of 96), which means low debt burdens. ...read more

RECOMMENDATION: A Combined Rank of 69, is a buy recommendation based on Nichias's financial characteristics. As the company Nichias's critical financial metrics exhibit below-average performance, such as low value (Obermatt Value Rank of 34) and low growth (Obermatt Growth Rank of 37), it is a somewhat questionable stock investment, where the risk of paying too much for the shares is significant, unless the company has an exceptionally bright future. In this case, good financing practices (Obermatt Safety Rank of 96) are a positive sign, because it may allow the company to weather challenging times until the hoped-for cash flows materialize. This may be true for high-tech or biotechnology companies with enough cash to sustain prolonged business development. If they own properties that only provide cash flows in the future, the stock may look excessively expensive and unattractive today. In such cases, the Obermatt Method has limited value, as it is based on facts we can observe today. If the facts lie all in the future, stock investing becomes guesswork, and this should only be a driver in a limited number of investments that account for a small fraction of a safe portfolio. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	34
Growth Rank	37
Safety Rank	96
Combined Rank	69

Country	Japan
Industry	Building Products
Index
Size class	Medium

31-Jul-2025. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

Multiple opinions. One number.

Analysts rarely agree on a stock’s future. So, who do you believe? Obermatt translates those collective views into a single Sentiment Rank. That plus the financial ranks give you the ultimate 360° View. Sign up to access them.

Why popular stocks have low ratings

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Review the performance ranks of the individual metrics that form each investment strategy.

Research History: Nichias

RESEARCH HISTORY	2022	2023	2024	2025
VALUE
VALUE	94	83	67	34
GROWTH
GROWTH	57	29	43	37
SAFETY
SAFETY	88	92	92	96
SENTIMENT
SENTIMENT	94	54	74	^new
360° VIEW
360° VIEW	98	82	94	^new

Most recent update of the stock research: 31-Jul-2025. Financial reporting date used for calculating ranks: 31-Mar-2025. Stock research history is based on the Obermatt Method. The higher the rank, the better Nichias is in the corresponding investment strategy.
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Combined financial peformance in Detail

RESEARCH HISTORY	2022	2023	2024	2025
VALUE
VALUE	94	83	67	34
GROWTH
GROWTH	57	29	43	37
SAFETY
SAFETY	88	92	92	96
COMBINED
COMBINED	98	86	86	69

Last update of combined financial performance: 31-Jul-2025. Stock analysis on combined financial performance: The higher the rank of Nichias the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 34 (worse than 66% compared with alternatives), Nichias shares are more expensive than the average comparable stock. The Value Rank is based on consolidating four value indicators, with three out of four indicators below average for Nichias. Only Price-to-Profit (also referred to as price-earnings, P/E) indicates good stock value with a rank of 55, which means that the stock price compared with what market professionals expect for future profits is lower than for 55% of comparable companies, indicating a good value concerning Nichias's profit levels. But Price-to-Sales is 32 which means that the stock price compared with what market professionals expect for future profits is higher than for 68% of comparable companies, indicating a low value concerning Nichias's profit levels. The same is valid for Price-to-Book Capital (also referred to as market-to-book ratio) with a Price-to-Book Rank of 39 and for dividend yield, which is lower than for 54% of comparable companies, making the stock more expensive as regards to the company's expected dividend payouts. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 34, is a hold recommendation based on Nichias's stock price compared with the company's operational size and dividend yields. Can we rely on only one good value indicator? Only if we know the company well. In this case, a high Price-to-Profit Rank, while Price-to-Sales and Price-to-Book are both below the market typical levels, means that the company can charge higher prices for its products and needs less capital to produce them. If this is sustainable, then Nichias is a good investment because profits count most in enterprise valuations. The low dividend yield indicates that the company is confident it can do something with the generated cash that is more valuable than paying the profits out to the shareholders in the form of dividends. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision, which is essential in this case, as the financial indicators are inconclusive. ...read more

VALUE METRICS	2022	2023	2024	2025
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	74	69	61	32
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	90	86	80	55
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	74	67	61	39
DIVIDEND YIELD
DIVIDEND YIELD	72	68	52	46
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	94	83	67	34

Last update of Value Rank: 31-Jul-2025. Stock analysis on value ratios: The higher the rank, the lower the value ratio of Nichias; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 37 (better than 37% compared with alternatives), Nichias shows a below-average growth dynamic in its industry. There is limited momentum in this company. The Growth Rank is based on consolidating four value indicators, with three out of four indicators below average for Nichias. Sales Growth has a below market rank of 26, which means that, currently, professionals expect the company to grow less than 74% of its competitors. The same is valid for Capital Growth, with a rank of 34, and Profit Growth, with a rank of 23. Currently, professionals expect the company to grow its profits less than 77% of its competitors). Only shareholders are optimistic. Stock Returns are above average at a rank of 79, which means that the stock returns have recently been above 79% of alternative investments. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 37, is a hold recommendation for growth and momentum investors. That picture may be the result for a company that has reached the bottom. All went south for Nichias, and it still looks bad, but some investors already see light at the end of the tunnel, rewarding the stock with recent above-market stock returns. It could also mean that investors are correcting an overreaction to negative news. If that were the case, the positive stock returns are not yet a sign of recovery. Investors should look closely at the Value and Sentiment indicators before they make a stock purchasing decision, because growth is unlikely to be the driving argument behind this investment. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance is low here. ...read more

GROWTH METRICS	2022	2023	2024	2025
REVENUE GROWTH
REVENUE GROWTH	20	9	9	26
PROFIT GROWTH
PROFIT GROWTH	76	56	30	23
CAPITAL GROWTH
CAPITAL GROWTH	68	39	70	34
STOCK RETURNS
STOCK RETURNS	57	67	79	79
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	57	29	43	37

Last update of Growth Rank: 31-Jul-2025. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of Nichias.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 96 (better than 96% compared with alternatives) for 2025, the company Nichias has safe financing practices, which means that their overall debt burden is low. This doesn't mean that the business of Nichias is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, where all three are above average for Nichias. Leverage is at 90, meaning the company has a below-average debt-to-equity ratio. It has less debt than 90% of its competitors. Refinancing is at a rank of 57, meaning that the portion of the debt about to be refinanced is below average. It has less debt in the refinancing stage than 57% of its competitors. Finally, Liquidity is also good at a rank of 96, which means that the company generates more profit to service its debt than 96% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 96 (better than 96% compared with alternatives), Nichias has a financing structure that is significantly safer than that of its competitors. These three positive financing indicators signal that the company is less likely to default on its debt obligations. However, it also means that its shareholder returns will be more modest if things go well. A low safety means fewer troubles in downtimes and less upside in good times. Investors may not have a debt issue with Nichias but they should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more

SAFETY METRICS	2022	2023	2024	2025
LEVERAGE
LEVERAGE	73	80	80	90
REFINANCING
REFINANCING	73	75	73	57
LIQUIDITY
LIQUIDITY	88	92	92	96
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	88	92	92	96

Last update of Safety Rank: 31-Jul-2025. Stock analysis on safety metrics: The higher the rank, the lower the leverage of Nichias and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2022	2023	2024	2025
ANALYST OPINIONS
ANALYST OPINIONS	n/a	51	88	^new
OPINIONS CHANGE
OPINIONS CHANGE	92	100	92	^new
PRO HOLDINGS
PRO HOLDINGS	98	69	55	^new
MARKET PULSE
MARKET PULSE	21	23	27	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	94	54	74	^new

Last update of Sentiment Rank: 31-Jul-2025. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for Nichias.
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