Taihei Dengyo Kaisha, Ltd. (1968) AI Stock Analysis

• Market Cap: ¥127.84B
• Dividend Yield: 2.79%
• Average Volume (3M): 33.86K
• Price to Earnings (P/E): 4.9
• Beta (1Y): 0.77
• Revenue Growth: -5.57%
• EPS Growth: -13.85%
• Country: JP
• Employees: 1,878
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Infrastructure Operations
• EPS (TTM): 17.74
• Shares Outstanding: 21,731,980
• 10 Day Avg. Volume: 27,460
• 30 Day Avg. Volume: 33,856
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ¥7,022.00
• Price Target Upside: 11.99% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: ¥7,022.00 ▲(11.99% Upside)

The stock of Taihei Dengyo Kaisha, Ltd. is supported by strong technical indicators and a solid financial foundation. While the valuation is fair, the company needs to address cash flow management to enhance its financial health further. The absence of earnings call and corporate events data limits additional insights.

Taihei Dengyo Kaisha, Ltd. Business Overview & Revenue Model

Company Description

Taihei Dengyo Kaisha, Ltd. engages in the plant construction business in Japan and internationally. The company constructs and maintains thermal, nuclear, gas turbine, diesel engine, geothermal, combined cycle, and wind power plants; steel mill, petrochemical, sugar refining, cement, and other industrial plants; and refuse incineration, dioxin treatment, sludge treatment, and waste recycling plants, as well as dome stadiums and bridge construction projects. It is also involved in the design, manufacture, installation, and maintenance of various electrical systems, sub-stations, control systems, optical fiber communication systems, instrumentation, and building electrical facilities; and design and construction of various industrial plants comprising heat ventilation and air conditioning systems, utility sanitary systems, etc. In addition, the company designs, procures, and fabricates machined products, tanks, piping, pressure vessels, electrical and control panels, etc., as well as provides equipment installation services for building facilities, amusement facilities, etc. Further, it involved in steel and paper manufacturing; petrochemical plant; maintenance service; and education and training programs. Taihei Dengyo Kaisha, Ltd. was incorporated in 1947 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Taihei Dengyo Kaisha, Ltd. generates revenue primarily through contracts for the construction, maintenance, and repair of thermal and nuclear power plants. The company earns money by providing engineering and technical services to ensure the optimal operation and longevity of power generation facilities. Key revenue streams include long-term maintenance contracts, construction projects for new power plants, and retrofitting or upgrading existing facilities to improve efficiency and environmental compliance. Additionally, the company may engage in partnerships with other engineering firms or equipment manufacturers to enhance its service offerings and expand its market reach.

Taihei Dengyo Kaisha, Ltd. Financial Statement Overview

Summary

Taihei Dengyo Kaisha, Ltd. shows a strong financial position with healthy profitability and solid balance sheet metrics. However, cash flow management is an area requiring improvement to ensure sustainable growth and liquidity.

Income Statement

The company demonstrated consistent revenue generation with a slight decrease in the most recent year. Gross profit margin and net profit margin showed stable performance, reflecting effective cost management. However, there was a noticeable drop in revenue growth, which may indicate potential market challenges. EBIT and EBITDA margins remain strong, suggesting operational efficiency.

Balance Sheet

The balance sheet indicates a strong equity base with a favorable debt-to-equity ratio, suggesting prudent financial leverage. The return on equity is satisfactory, indicating efficient use of equity to generate profits. The equity ratio is robust, which underscores the company's solid financial foundation and stability.

Cash Flow

The company faced challenges in generating positive operating cash flow, impacting its free cash flow generation. However, the negative free cash flow growth rate highlights potential liquidity concerns. The operating cash flow to net income ratio is unfavorable, which may reflect cash management issues needing attention.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	125.67B	125.67B	129.36B	125.77B	126.91B	127.78B
Gross Profit	23.34B	23.34B	19.84B	24.48B	19.23B	15.91B
EBITDA	14.35B	16.34B	13.64B	17.34B	14.39B	10.52B
Net Income	9.75B	9.75B	8.39B	10.62B	8.41B	5.61B
Balance Sheet
Total Assets	154.93B	154.93B	153.02B	147.04B	131.74B	128.76B
Cash, Cash Equivalents and Short-Term Investments	42.61B	42.61B	42.17B	48.94B	19.65B	31.15B
Total Debt	14.11B	14.11B	14.99B	15.59B	15.04B	17.08B
Total Liabilities	39.97B	39.97B	52.43B	57.51B	51.31B	55.64B
Stockholders Equity	113.56B	113.56B	99.23B	88.22B	79.17B	71.94B
Cash Flow
Free Cash Flow	0.00	-3.31B	-5.49B	31.45B	-7.76B	17.93B
Operating Cash Flow	0.00	-2.54B	-4.64B	32.50B	613.00M	19.58B
Investing Cash Flow	0.00	51.00M	-895.00M	-1.45B	-8.68B	-2.01B
Financing Cash Flow	0.00	2.63B	-1.68B	-1.77B	-3.85B	-3.93B

Taihei Dengyo Kaisha, Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6270.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1968, the sentiment is Positive. The current price of 6270 is above the 20-day moving average (MA) of 2078.00, above the 50-day MA of 2109.40, and above the 200-day MA of 1746.88, indicating a neutral trend. The MACD of -6.49 indicates Negative momentum. The RSI at 49.84 is Neutral, neither overbought nor oversold. The STOCH value of 78.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1968.

Taihei Dengyo Kaisha, Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1884	79 Outperform	¥107.82B	14.93	6.05%	2.39%	4.84%	62.58%
1950	77 Outperform	¥179.62B	12.45	6.74%	3.08%	7.90%	35.67%
1952	77 Outperform	¥147.08B	13.34	13.93%	2.91%	9.14%	43.46%
1968	74 Outperform	¥127.84B	4.94	―	2.79%	-5.57%	-13.85%
1835	73 Outperform	¥151.82B	12.80	9.67%	3.51%	13.51%	28.97%
1946	71 Outperform	¥137.68B	12.21	7.88%	3.63%	6.80%	15.08%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Taihei Dengyo Kaisha, Ltd. Corporate Events

Taihei Dengyo Announces Stock Split and Dividend Revision

Taihei Dengyo Kaisha, Ltd. has announced a stock split to improve share liquidity and expand its investor base, effective October 1, 2025. This move includes a partial amendment to the Articles of Incorporation and a revision of the dividend forecast, reflecting an increase from the previous forecast, which may positively impact shareholder value.

Taihei Dengyo Reports Decline in Q1 2025 Financial Performance

Taihei Dengyo Kaisha, Ltd. reported a decline in its financial performance for the three months ended June 30, 2025, with net sales decreasing by 1.7% and significant drops in operating and ordinary profits compared to the previous year. The company announced a 3-for-1 share split effective October 1, 2025, which will impact the year-end dividend per share for the fiscal year ending March 31, 2026, reflecting strategic adjustments in its financial operations.

Taihei Dengyo Completes Large-Scale Stock Acquisition Rights Exercise

Taihei Dengyo Kaisha, Ltd. has completed a large-scale exercise of its second series stock acquisition rights, initially issued in March 2024. This exercise, which took place from May 1 to May 23, 2025, resulted in the delivery of 130,000 shares and the full exercise of 1,300 stock acquisition rights, representing 13% of the total issued rights. The completion of this exercise marks a significant financial maneuver for the company, potentially impacting its capital structure and market positioning.

Taihei Dengyo Kaisha Reports Profit Growth Despite Sales Decline

Taihei Dengyo Kaisha, Ltd. reported a decline in net sales by 2.9% for the fiscal year ending March 31, 2025, but saw significant improvements in operating and ordinary profits, which increased by 29.7% and 19.9% respectively. The company also announced an increase in dividends and a positive forecast for the next fiscal year, indicating a strong financial position and potential growth, benefiting stakeholders and enhancing its market position.

Taihei Dengyo Revises Dividend Payout Following Share Increase

Taihei Dengyo Kaisha, Ltd. announced a revision to its previously declared dividends of surplus due to an increase in the number of shares issued following the exercise of stock acquisition rights. The total dividend amount has been adjusted from 3,608 million yen to 3,663 million yen, reflecting the updated number of shares, with the dividend per share remaining at 175 yen. This revision underscores the company’s commitment to maintaining shareholder value amidst changes in its share structure.

Taihei Dengyo Reports Discrepancies in Financial Forecasts

Taihei Dengyo Kaisha, Ltd. announced discrepancies between its financial forecast and actual results for the fiscal year ending March 31, 2025. The company experienced lower net sales due to delays in construction work on nuclear power plants and deferrals of large-scale maintenance projects. However, improved profit margins and gains from asset sales led to an increase in profits, despite the sales shortfall.

Taihei Dengyo Kaisha Reports Increased Profits Despite Sales Decline

Taihei Dengyo Kaisha, Ltd. reported its consolidated financial results for the fiscal year ending March 31, 2025, showing a decrease in net sales by 2.9% but a notable increase in operating profit by 29.7%. The company also announced a significant rise in dividends per share, reflecting a strong return on equity and improved financial position, which may positively impact stakeholders and enhance its market positioning.