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Asahi Kogyosha Co., Ltd.
(1975)
Select Model
Select Model
Rating:70Outperform
Price Target:
¥4,219.00
▲(21.94% Upside)
Action:Reiterated
Date:08/17/26
The score is driven primarily by solid financial performance (strong earnings and revenue growth with generally conservative leverage) but held back by cash flow volatility and a 2026 debt increase. Valuation is a clear positive (low P/E and strong dividend yield), while technical signals are weaker with the price below key moving averages and a negative MACD.
Positive Factors
Strong revenue and earnings growth
The sustained expansion in revenue and net income indicates stronger project execution, customer demand and operating scale. Continued growth provides a durable foundation for earnings, although the latest-year margin profile still requires confirmation.
Negative Factors
Volatile cash conversion
Repeated swings in operating and free cash flow reduce confidence that accounting profits consistently become available cash. For a project-based contractor, this can constrain reinvestment and increase reliance on working-capital financing.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong revenue and earnings growth
The sustained expansion in revenue and net income indicates stronger project execution, customer demand and operating scale. Continued growth provides a durable foundation for earnings, although the latest-year margin profile still requires confirmation.
Read all positive factors
Asahi Kogyosha Co., Ltd. (1975) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥104.71B
Dividend Yield3.69%
Average Volume (3M)106.80K
Price to Earnings (P/E)10.7
Beta (1Y)1.10
Revenue Growth16.98%
EPS Growth35.48%
CountryJP
Employees1,148
SectorIndustrials
Sector Strength72
IndustryEngineering & Construction
Share Statistics
EPS (TTM)358.11
Shares Outstanding27,200,000
10 Day Avg. Volume157,130
30 Day Avg. Volume106,803
Financial Highlights & Ratios
PEG Ratio0.20
Price to Book (P/B)1.73
Price to Sales (P/S)0.84
P/FCF Ratio9.89
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Asahi Kogyosha Co., Ltd. Business Overview & Revenue Model
Company Description
Operating primarily within Japan, Asahi Kogyosha Co., Ltd. specializes in the installation of air conditioning and sanitation systems. Additionally, the company engineers and produces advanced environmental control apparatus, specifically tailored...
How the Company Makes Money
Asahi Kogyosha primarily makes money by earning contract revenue from engineering and construction projects and by charging recurring fees for ongoing maintenance and lifecycle services for installed facilities. Key revenue streams typically inclu...
Asahi Kogyosha Co., Ltd. Financial Statement Overview
Summary
Income Statement
82
Very Positive
Balance Sheet
74
Positive
Cash Flow
58
Neutral
| Breakdown | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 104.82B | 91.95B | 91.68B | 80.17B | 68.82B |
| Gross Profit | 21.45B | 15.36B | 11.65B | 9.05B | 8.46B |
| EBITDA | 12.39B | 9.29B | 5.77B | 4.37B | 3.52B |
| Net Income | 9.24B | 6.23B | 3.71B | 2.48B | 1.86B |
Balance Sheet | |||||
| Total Assets | 100.70B | 80.86B | 84.01B | 78.94B | 72.08B |
| Cash, Cash Equivalents and Short-Term Investments | 26.39B | 18.53B | 18.77B | 17.67B | 19.51B |
| Total Debt | 8.29B | 3.99B | 3.55B | 3.36B | 3.88B |
| Total Liabilities | 49.83B | 38.83B | 45.25B | 43.56B | 37.72B |
| Stockholders Equity | 50.86B | 42.03B | 38.76B | 35.38B | 34.36B |
Cash Flow | |||||
| Free Cash Flow | 8.89B | -97.00M | 1.72B | -1.38B | 4.45B |
| Operating Cash Flow | 12.73B | 1.28B | 2.01B | -34.00M | 4.65B |
| Investing Cash Flow | -5.47B | 612.00M | -304.00M | -481.00M | 89.00M |
| Financing Cash Flow | 498.00M | -1.53B | -1.29B | -1.35B | -1.30B |
Asahi Kogyosha Co., Ltd. Technical Analysis
Positive
3460.00
Price Trends
4081.90
Negative
3954.25
Negative
3777.02
Positive
Market Momentum
-26.90
Negative
51.05
Neutral
66.40
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1975, the sentiment is Positive. The current price of 3460 is below the 20-day moving average (MA) of 3851.50, below the 50-day MA of 4081.90, and below the 200-day MA of 3777.02, indicating a neutral trend. The MACD of -26.90 indicates Negative momentum. The RSI at 51.05 is Neutral, neither overbought nor oversold. The STOCH value of 66.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1975.
Asahi Kogyosha Co., Ltd. Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
81 Outperform | ¥104.84B | 9.57 | ― | 3.82% | 6.10% | 397.23% | |
74 Outperform | ¥284.21B | 9.21 | 11.15% | 3.85% | 13.51% | 48.95% | |
74 Outperform | ¥121.67B | 15.48 | ― | 4.64% | 5.29% | 20.13% | |
70 Outperform | ¥104.71B | 10.73 | ― | 4.20% | 16.98% | 35.48% | |
68 Neutral | ¥235.73B | 21.49 | ― | 2.50% | 10.09% | 30.15% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
62 Neutral | ¥117.95B | 16.44 | ― | 3.77% | 5.04% | 53.89% |
* Industrials Sector Average
JP:1975
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Asahi Kogyosha Co., Ltd. Corporate Events
Asahi Kogyosha Posts Strong Q1 Results and Confirms Full-Year Outlook
Aug 4, 2026
Asahi Kogyosha Co., Ltd. reported a strong start to the fiscal year ending March 2027, with first-quarter consolidated net sales rising 10.2% to ¥19.48 billion and operating profit up 16.8%. Profit attributable to owners of parent increased 1...
Asahi Kogyosha Completes Treasury Share Disposal for Executive Restricted Stock Plan
Jul 22, 2026
Asahi Kogyosha Co., Ltd., a TSE Prime-listed engineering and construction-related services firm, focuses on industrial and infrastructure projects in Japan. Its governance approach incorporates equity-based compensation to better align the interes...
Asahi Kogyosha to Grant Restricted Treasury Shares to Executives
Jun 26, 2026
Asahi Kogyosha will dispose of 10,700 treasury shares as restricted share compensation to six internal directors and 14 executive officers, valued at about ¥46.3 million. The shares, priced at ¥4,325 each, will be allotted on July 22, 20...
Asahi Kogyosha Corrects Description in Medium-Term Plan Disclosure
May 28, 2026
Asahi Kogyosha Co., Ltd. has announced that it is partially correcting a previously released notice on the formulation of its medium-term management plan, originally published on May 14, 2026. The company clarified that the corrections relate sole...
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.