Kobayashi Pharmaceutical Co., Ltd. — Cyborg Score 5/10

Mixed
OTC Pharmaceuticals & Consumer Health Products

Strategic Profile

The company's strategic focus is on expanding its global presence, leveraging its strong domestic reputation to build brand recognition in international markets. Kobayashi Pharmaceutical is recognized for its innovative approach to product development, regularly introducing new offerings that respond to changing consumer needs.

Cyborg Score Rationale

Dividend yield was 1.92% in 2025 with a notably high payout ratio of 211.46%, compared to 1.64% and 75.32% the prior year, suggesting profitability pressures. Recent financial results show mixed performance with negative net income in the last quarter. The company maintains stable operations but faces valuation headwinds.

Top Insights

  • Recent negative net income in latest quarter (-3.15B JPY) indicates operational challenges despite positive prior quarter performance
  • Extremely high dividend payout ratio of 211.46% in 2025 suggests unsustainable current dividend policy
  • Analyst price targets range from ¥5,858 to ¥10,290 per share, reflecting significant valuation uncertainty
  • Diversified product portfolio spanning OTC pharmaceuticals, household products, and beauty care reduces single-category dependency

Named Competitors

  • OTC Pharmaceuticals & Household Products — Competing OTC pain relief and wellness brands
  • Air Fresheners & Deodorizers — Household freshener and deodorant products
  • Sanitary & Daily Necessities — Personal care and sanitary product manufacturers

Recent Developments

  • (June 2024) Dropped from S&P Japan Mid Cap 100 index
  • (2025) Dividend yield increased to 1.92% with significantly elevated payout ratio of 211.46%
  • (March 2026) Current stock price at ¥5,830 with market cap of ~¥427.89-444.1B JPY

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