Current Analysis: Kaken Pharmaceutical

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Kaken Pharmaceutical Co (KKPCF) is a specialty and generic drug manufacturing company. The company organizes its segments between pharmaceutical and real estate activities.

The pharmaceutical segment consists of pharmaceutical drugs, medical devices, and agrochemicals.

In the real estate segment, the majority of revenue is generated through commercial facility rental fees.

Sales in Japan constitute more than 90% of revenue. Kaken considers merger and acquisition investment to be a potential component of its operational growth strategy for expanding its research, development, manufacturing, and marketing capabilities.

Kaken Pharmaceutical Co., Ltd. was founded in 1917 and is headquartered in Tokyo, Japan.

Three key data points gauge Kaken or any dividend-paying firm.

The key three are:

(1) Price

(2) Dividends

(3) Returns

Those three keys also best tell whether any company has made, is making, and will make money.

KKPCF Price

Over the past year, Kaken share price fell just over 4.6% from $29.27 to $27.92 as of Tuesday’s market close.

If Kaken shares trade in the range of $22.00 to $30.00 this next year, their recent $27.92 share price might rise to $28.00 by next year. Of course, KKPCF price could also drop about the same $0.08 estimated amount or more.

My $0.08 upside is based on past price performance.

KKPCF Dividend

Kaken Pharmaceutical has paid semi-annual variable dividends since November 2014, except for 2016, 2019, and 2024. The most recent $0.52 semi-annual dividend was declared on May 14th for shareholders of record on March 28, 2025 however a payment date has not been set. A forward-looking $0.80 annual dividend yields 2.87% at Tuesday’s closing price.

KKPCF Returns

To put it all together, a $0.88 estimated one-year gross gain per share shows up when adding KKPCF’s  $0.80 estimated annual dividend to the estimated price upside of $0.08, equalling $0.88.

A little over $1000 buys us 36 shares at their $27.92 per share price.

A $10 broker fee (if charged), paid half at purchase and half at sale, might take about $0.28 per share out of the $0.88 annual, gross gain to reveal a net gain of $0.60 X 36 shares = $21.80 for about a 2% estimated net gain for the year.

Furthermore, the $28.70 annual dividend income from $1K invested is just  $0.78 more than Kaken’s $27.92 single share price. By these numbers, Kaken Pharmaceutical Co may be an ideal dividend dog to watch.   Will they pay the dividend, will the stock drop further in price?

You might choose to wait on KKPCF.  It is an 109 year-old semi-annual sometimes dividend-paying Japan-based pharmaceutical and real-estate firm with almost a 10-year record paying irregular semi-annual dividends.

The exact track of KKPCF's future price and dividend will entirely be determined by market action.

Remember the true value of any stock is best realized through personal ownership of shares.


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Disclaimer:  This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...

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