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Asahi Kasei Corporation

AHKSY
56
Chemicals - Specialty · Basic Materials
Price
$21.51
+0.61 (+2.92%)
Market Cap
$14.48B
Exchange
Other OTC
Winston Score
56
Winston is curious
A decent business — some strong pillars, some weaker.
Data as of Aug 9, 2026 · filings through Jun 30, 2026

Share count falling — buybacks

2.2% over 4y

The company has reduced its share count over this period, returning value to shareholders through buybacks.

Diluted shares outstanding: 693.7M (2022) → 678.8M (2026)

Asahi Kasei is a large Japanese company that makes a wide range of products across three main areas: chemicals and materials, homes, and healthcare. On the materials side, it produces specialty chemicals, fibers, and electronic components used by manufacturers in industries like automotive, electronics, and construction. On the healthcare side, it makes medical devices, pharmaceuticals, and dialysis equipment sold to hospitals and clinics around the world.

The company earns revenue by selling physical products across all three segments, with no single business dominating the whole. Asahi Kasei operates primarily in Japan but has a meaningful international presence, particularly in North America and Asia, and generates roughly $20 billion in annual sales. Its diversified structure provides some stability, but the chemicals and materials segment is exposed to raw material cost swings and competition from lower-cost Asian producers. A key growth driver is demand for lithium-ion battery separator films, where Asahi Kasei holds a strong global position through its Hipore brand.

Winston Score History

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+6.4% YoY

YoY Growth Rate

Slow revenue growth

EPS Growth

+7.0% YoY

YoY Growth Rate

Slow EPS growth

R&D Spend

$0/ year

Declining (-100% vs prior year)

0.0% of revenue

Below sector average (3%)

R&D spend declining — could signal cost-cutting or efficiency

Insider Activity

2.8%ownership

Relatively low insider ownership

Cash Position

Cash flow positive

$529.2B cash & investments

Quarterly Free Cash Flow

↓ Burn rate worsening

Company generates more cash than it spends — no dilution risk from fundraising

Growth context

Asahi Kasei Corporation is growing revenue at 6% year-over-year. The Winston Score measures business quality today — these growth metrics show what could matter tomorrow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Gross Margin
35.1%
Modest — 35.1% gross margin
Operating Margin
9.8%
Modest — 9.8% operating margin
ROCE
2.6%
Weak — 2.6% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales YoY
+5.8%
Slow sales growth (+5.8% YoY)
EPS YoY
+64.8%
Earnings growing fast (+64.8% YoY)

Earnings growing 25%+ a year. The compounder zone.

EPS Consistency
7/8 quarters
Every recent quarter grew earnings vs last year

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Cash Flow

Cash Conversion
157%
Turns 157% of profit into real cash
FCF Margin
2.8%
Thin free cash flow (2.8%)

FCF margin between 0% and 10%. Some cash from sales, but not a lot.

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Stability

Debt / Equity
0.53
Conservative — low debt load (0.53)
Interest Cover
19.20x
Comfortably covers interest (19.2x)

Interest coverage above 8. Profits cover interest many times over.

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Valuation

P/E Ratio (TTM)
0.1x
Attractive valuation — P/E 0.1

P/E under 10. The price tag is small relative to last year's profit.

P/E vs Forward
+0.0
GROWING
Earnings roughly flat

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Dividends

Dividend Yield
2.48%
Moderate income — 2.48% yield

Standard yield zone for stable dividend payers. A meaningful piece of total return.

Dividend Growth
-16.3%
Dividend cut (-16.3% YoY) — warning sign

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