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Nippon Carbon Co., Ltd. (NCRBF)

NEUTRAL
Basic MaterialsSpecialty ChemicalsJapan

Fundamental

66

Price

$4905.00

Market Cap

$51.81B

Part 1 · What the company is worth

Overview

Nippon Carbon is a small Japanese manufacturer of carbon and silicon carbide materials sold to other industrial companies rather than to consumers. Its main products are artificial graphite electrodes, high-purity graphite used in making crystalline silicon, carbon fibre for aerospace and industrial use, anode material for lithium-ion batteries, and impervious graphite equipment for the chemical industry. A smaller unit leases real estate and repairs industrial machinery.

How it makes money

Revenue comes from selling tonnes or units of specialty carbon material to manufacturers who use it as an input — semiconductor and solar companies needing high-purity graphite, aerospace and industrial customers needing carbon fibre, battery makers needing anode material. Because the company is small relative to global carbon and graphite producers, volume with a handful of large industrial customers, more than broad market share, drives results from year to year.

Revenue by segment

Carbon products85.86%

Graphite electrodes, high-purity graphite, carbon fibre and lithium-ion battery anode material — the large majority of revenue.

Silicon carbide products10.96%

Silicon carbide materials and continuous fibres, used mainly in aerospace applications.

Others4.43%

Real estate leasing and manufacture and repair of industrial machinery, unrelated to the carbon materials business.

What drives demand

Cyclical

Demand for high-purity graphite tracks semiconductor and solar wafer production, carbon fibre demand tracks aerospace and industrial capital spending, and both slow when those end industries cut output. As a small supplier serving a handful of large customers in cyclical industries, Nippon Carbon's own volumes can move more sharply than the broader materials market.

The case for

Buyers argue that Nippon Carbon's specialty materials sit inside growing end markets — semiconductors, batteries and aerospace — where technical qualification with a customer is not quickly replaced, giving a small supplier more staying power than its size would suggest.

The case against

Sellers fear that a company this small, selling into cyclical semiconductor and aerospace supply chains dominated by much larger global materials producers, has little pricing power of its own and can see results swing sharply if even one large customer shifts its orders elsewhere.

Written by the editors, published on August 18, 2026

Direct competitors

Who this company fights with for the same customers

No editorial profile for this company yet

No competitor list for this company yet.

Balance Sheet & Liquidity

Revenue

$37.31B

Trailing 12 months to the last reported quarter — estimated from per-share metrics

Net Income

$4.48B

Trailing 12 months to the last reported quarter — estimated from per-share metrics

Free Cash Flow

$2.30B

Total Equity

$53.79B

Total Liabilities

$10.37B

Current Ratio

2.80

Interest Coverage

-

Debt/EBITDA

1.25

Earnings Per Share

Revenue & Net Income

Free Cash Flow

Income Breakdown

Historical statement

Margins over time

Debt over time

How heavy the debt is

Growth grid

Growth — Revenue

Fair Value Estimation

Undervalued

Fair Value

$7624.69

Current Price

$4905.00

Margin of Safety

+35.7%

Fair Value Range

$4956.05 - $10293.33

Estimation Methods

Analyst Target:$5000.00
DCF:$9992.70
PE-based:$6015.25
Graham Growth:$16136.37
EPV:$3096.18
Analyst Consensus:Sell (0B / 3H / 4S)
Last Earnings Surprise:-39.33%

Valuation Metrics

P/E Ratio

11.57

ROE

7.0%

P/B Ratio

1.00

P/FCF

22.50

Gross Margin

26.0%

ROIC

6.6%

Profitability Radar

Value Creation (Economic Moat)

ROIC

6.6%

WACC

7.1%

ROIC − WACC

-0.4 pp

ROIC is roughly in line with the cost of capital — the company is barely covering its capital cost.

Fundamental Analysis Criteria

Passed (16)

  • Price CAGR 5.85%
  • ROIC 6.6%
  • P/FCF 22.50
  • P/B Ratio 1.00
  • Debt/Equity ratio
  • Operating Margin 9.4%
  • Positive Free Cash Flow
  • Current Ratio
  • Debt/EBITDA
  • Price below Graham Number
  • ROE 8.6%
  • Revenue Growth 5Y 7.1%
  • Earnings Surprise avg 68.8%
  • PEG Ratio 0.55
  • Earnings Quality (OCF/NI) 1.50
  • Net Margin Trend 12.8% vs 10.7%

Failed (5)

  • Gross Margin 26.0%
  • CapEx intensity
  • DCF valuation (Overvalued)
  • Analyst Consensus 0% Buy
  • Piotroski F-Score 2/9

Unavailable (6)

  • EPS data insufficient
  • Dividend Payout NaN%
  • Interest Coverage
  • Return on Tangible Assets
  • Low reliance on intangibles
  • Share Dilution (missing shares data)

Piotroski F-Score

2/9

Serious financial concerns

score
criteria

Earnings Quality

1.50

High quality: earnings backed by cash

Share Dilution

-

Buying back shares. Shareholder friendly

Governance

Executive Team

NameTitleAge
Mr. Takafumi MiyashitaCEO, President & Representative Director61
Hiroshi FujikawaExecutive Officer & Deputy GM of the Business Operations Division-
Takeshi KawazoeSenior Managing Executive Officer & GM of Sales Division-
Mr. Akira UranoSenior Managing Executive Officer & Full time Board Member60
Satoshi YamanoSenior Managing Executive Officer-

Part 2 · The price and when to enter

This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.

Latest News

Recent headlines for NCRBF, sourced from Markets Gazette.

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