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Nishimatsu Construction Co., Ltd. (JP:1820)
:1820
Japanese Market
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Nishimatsu Construction Co., Ltd. (1820) AI Stock Analysis

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JP:1820

Nishimatsu Construction Co., Ltd.

(1820)

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Neutral 65 (OpenAI - 5.2)
Rating:65Neutral
Price Target:
¥5,914.00
▲(3.46% Upside)
Action:Reiterated
Date:08/17/26
The score is supported primarily by attractive valuation (low P/E and strong dividend yield) and moderately positive technical momentum. Offsetting these positives, financial performance is constrained by a sharp deterioration in cash flow with deeply negative free cash flow and still-elevated leverage, which increases sensitivity if operating cash flow does not normalize.
Positive Factors
Improving revenue and margins
Recent revenue growth and margin expansion indicate stronger project economics and execution. If sustained, improved profitability can strengthen internal funding capacity and provide a more durable earnings base across the company’s civil engineering and building activities.
Negative Factors
Severely weak cash conversion
Deeply negative free cash flow despite positive earnings signals a material gap between accounting profits and cash generation. Persistent working-capital needs or investment outflows could increase funding dependence and limit flexibility if operating cash flow does not recover.
Read all positive and negative factors
Positive Factors
Negative Factors
Improving revenue and margins
Recent revenue growth and margin expansion indicate stronger project economics and execution. If sustained, improved profitability can strengthen internal funding capacity and provide a more durable earnings base across the company’s civil engineering and building activities.
Read all positive factors

Nishimatsu Construction Co., Ltd. (1820) vs. iShares MSCI Japan ETF (EWJ)

Nishimatsu Construction Co., Ltd. Business Overview & Revenue Model

Company Description
Nishimatsu Construction Co., Ltd., headquartered in Tokyo, Japan, is an established firm with operations extending both domestically and internationally. Founded in 1874 as Nishimatsu Gumi Co., Ltd. and adopting its current name in July 1948, the ...
How the Company Makes Money
Nishimatsu Construction primarily makes money through contract revenue earned from undertaking construction projects for public-sector and private-sector customers. Its core revenue model is project-based: it bids for or negotiates construction co...

Nishimatsu Construction Co., Ltd. Financial Statement Overview

Summary
Income statement strength (score 74) shows improving profitability and margin recovery, but this is outweighed by very weak cash conversion (cash flow score 34) with deeply negative free cash flow and low operating cash flow in the latest year. Balance sheet leverage remains elevated (score 61, ~1.0x+ debt-to-equity), reducing flexibility if cash generation doesn’t normalize.
Income Statement
74
Positive
Balance Sheet
61
Positive
Cash Flow
34
Negative
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue415.75B396.03B366.81B401.63B339.76B323.75B
Gross Profit59.03B54.28B44.11B40.79B33.72B43.77B
EBITDA45.45B41.52B30.69B23.94B18.39B27.80B
Net Income27.07B24.07B17.54B12.39B9.65B15.10B
Balance Sheet
Total Assets651.63B686.01B592.05B579.62B513.62B477.61B
Cash, Cash Equivalents and Short-Term Investments48.09B48.27B43.42B56.53B53.73B47.12B
Total Debt225.11B202.83B214.28B187.16B169.41B161.08B
Total Liabilities450.28B481.59B410.85B402.76B357.47B319.89B
Stockholders Equity192.25B194.90B172.14B168.82B148.84B151.33B
Cash Flow
Free Cash Flow0.00-20.30B-18.17B17.30B8.70B11.41B
Operating Cash Flow0.003.04B5.89B32.04B34.75B41.24B
Investing Cash Flow0.00-7.46B-36.21B-41.82B-27.40B-17.73B
Financing Cash Flow0.007.98B16.09B11.08B-2.42B-20.87B

Nishimatsu Construction Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price5716.00
Price Trends
50DMA
5374.12
Positive
100DMA
5476.54
Positive
200DMA
5633.24
Negative
Market Momentum
MACD
54.56
Negative
RSI
60.36
Neutral
STOCH
82.28
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1820, the sentiment is Positive. The current price of 5716 is above the 20-day moving average (MA) of 5434.40, above the 50-day MA of 5374.12, and above the 200-day MA of 5633.24, indicating a neutral trend. The MACD of 54.56 indicates Negative momentum. The RSI at 60.36 is Neutral, neither overbought nor oversold. The STOCH value of 82.28 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1820.

Nishimatsu Construction Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
¥348.28B9.7815.87%4.26%3.73%12.75%
71
Outperform
¥459.12B10.052.73%10.48%81.54%
67
Neutral
¥225.51B10.9910.92%3.44%-3.78%95.71%
65
Neutral
¥220.17B8.113.82%13.72%69.55%
64
Neutral
¥2.09T12.3619.37%2.27%1.52%43.29%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
57
Neutral
¥412.93B11.4418.79%3.03%7.37%152.37%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:1820
Nishimatsu Construction Co., Ltd.
5,561.00
640.16
13.01%
JP:1719
Hazama Ando
1,923.00
283.61
17.30%
JP:1861
Kumagai Gumi Co
1,303.00
152.70
13.27%
JP:1893
Penta-Ocean Construction Co
1,455.50
419.41
40.48%
JP:1801
TAISEI
12,880.00
3,100.43
31.70%
JP:1860
Toda Corporation
1,522.00
508.75
50.21%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 17, 2026