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DaikyoNishikawa Corp. (4246) AI Stock Analysis

JP:4246

DaikyoNishikawa Corp.

(TSE/TYO:4246)

Select Model
Rating:81Outperform
Price Target:JPY 1,302.00â–²(27.90% Upside)
Action:reiterated
Date:08/17/26

The overall score of 81 reflects DaikyoNishikawa's strong financial performance, positive technical trend, and attractive valuation. The company's solid balance sheet and cash flows, combined with a low P/E and high dividend yield, are key strengths. While the stock is currently overbought, the underlying fundamentals support a favorable outlook.

Positive Factors
Profitability RecoveryThe shift from losses to sustained profitability strengthens internal funding capacity and demonstrates that operating improvements are translating into earnings. This provides a more resilient base for serving vehicle programs through normal automotive cycles.
Negative Factors
Revenue ContractionThe return to revenue decline signals softer demand, pricing pressure or weaker customer production volumes. For an automotive supplier dependent on vehicle programs and production schedules, sustained contraction could limit operating leverage and slow earnings growth.

DaikyoNishikawa Corp. (4246) vs. iShares MSCI Japan ETF (EWJ)

-10%0%10%20%30%40%50%60%70%JP:4246+48.73%EWJ+16.91%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 69.69B
Dividend Yield
6.09%
Average Volume (3M)
244.29K
Price to Earnings (P/E)
7.6
Beta (1Y)
0.78
Revenue Growth
-2.76%
EPS Growth
54.01%
Country
Japan
Employees
5,712
Sector
Consumer Cyclical
Sector Strength
61
Industry
Auto - Parts

DaikyoNishikawa Corp. Business Overview & Revenue Model

Company Description

DaikyoNishikawa Corporation is a Japanese enterprise focused on the innovation, manufacturing, and distribution of diverse automotive and plastic components. Its extensive range of vehicle parts includes external elements such as complete bumper syst...

How the Company Makes Money

DaikyoNishikawa makes money primarily by supplying automotive components to vehicle manufacturers and automotive parts customers under production supply contracts. Revenue is mainly generated from (1) sales of mass-produced resin molded parts (e.g.,...

DaikyoNishikawa Corp. Financial Statement Overview

Summary

DaikyoNishikawa has demonstrated a strong financial recovery, with improving margins, a solid balance sheet (debt-to-equity 0.38), and healthy cash flow generation. The slight revenue dip in the latest year is a headwind, but overall financials are robust.

Income Statement

78Positive

Balance Sheet

82Very Positive

Cash Flow

80Positive
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue165.38B165.71B168.56B159.02B145.74B116.67B
Gross Profit22.52B22.66B22.38B20.47B13.79B7.74B
EBITDA21.83B21.01B21.91B20.32B15.57B10.38B
Net Income8.98B8.66B6.50B5.78B518.00M-2.08B
Balance Sheet
Total Assets157.75B158.63B154.55B161.22B162.90B156.16B
Cash, Cash Equivalents and Short-Term Investments32.37B37.12B31.57B39.08B31.05B30.68B
Total Debt32.40B33.61B27.02B40.29B44.88B46.11B
Total Liabilities67.70B68.30B64.60B77.97B84.47B79.24B
Stockholders Equity88.33B88.68B87.34B80.71B75.60B74.23B
Cash Flow
Free Cash Flow010.00B9.41B14.98B6.39B-14.97B
Operating Cash Flow017.63B16.78B20.37B14.05B3.71B
Investing Cash Flow0-4.94B-7.58B1.59B-8.99B-20.11B
Financing Cash Flow0-2.73B-18.35B-8.80B-7.62B3.58B

DaikyoNishikawa Corp. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

JP:4246 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:4246JP:424681OutperformJPY 69.69B7.6210.31%6.09%-2.76%54.01%
JP:7282JP:728276OutperformJPY 576.56B9.8010.53%17.45%12.94%40.34%
JP:7988JP:798874OutperformJPY 424.75B13.82―5.14%4.44%-29.27%
JP:6995JP:699572OutperformJPY 244.56B11.67―4.19%5.48%-42.91%
JP:7313JP:731364NeutralJPY 205.03B24.46―5.43%0.39%24.56%
Sector *61Neutral$18.38B12.79-2.54%3.03%1.52%-15.83%
JP:3116JP:311660NeutralJPY 360.95B12.615.79%4.30%7.82%37.25%

* Consumer Cyclical Sector Average

Performance Comparison

0%20%40%60%JP:4246JP:3116JP:7282JP:6995JP:7313JP:7988Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:4246 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:4246DaikyoNishikawa Corp.1018.00326.9747.32%
JP:3116Toyota Boshoku Corp2000.00-190.50-8.70%
JP:7282Toyoda Gosei Co 991.60267.7136.98%
JP:6995TOKAI RIKA CO., LTD.2865.00125.364.58%
JP:7313TS Tech Co., Ltd.1695.00-77.03-4.35%
JP:7988Nifco Inc.2449.50244.9011.11%

DaikyoNishikawa Corp. Corporate Events

DaikyoNishikawa Corrects EPS Figure in Updated Earnings Forecast

Aug 7, 2026

DaikyoNishikawa Corporation has corrected an error in its recently revised financial forecast for the six months ending September 30, 2026, specifically adjusting the basic earnings per share figure. The revised EPS is now stated as ¥62.72 inste...

DaikyoNishikawa to Allocate Treasury Shares to Employee Stock Ownership Plan

Aug 6, 2026

DaikyoNishikawa Corporation has approved the disposal of up to 83,343 shares of its treasury stock as restricted shares to the DaikyoNishikawa Employee Stock Ownership Plan, with pricing tied to recent market levels and the final volume dependent on...

DaikyoNishikawa Raises FY2027 Earnings and Dividend Forecasts

Aug 6, 2026

DaikyoNishikawa has upgraded its earnings outlook for the six months to September 30, 2026 and for the full year to March 31, 2027, citing stronger-than-expected customer production volumes, higher tool sales and favorable currency effects. While hig...

DaikyoNishikawa Lifts Profit and Dividend Outlook Despite Flat Sales

Aug 6, 2026

DaikyoNishikawa reported first-quarter consolidated net sales of ¥41.8 billion, down slightly year on year, while operating profit edged lower but ordinary profit and profit attributable to owners of parent rose 5.2% and 16.2%, respectively, lif...

DaikyoNishikawa Reports Progress on Share Buyback Program

Aug 3, 2026

DaikyoNishikawa Corporation has disclosed progress on its ongoing share repurchase program authorized by its board in May 2026, conducted under the Companies Act of Japan. The company is buying back common shares via market purchases on the Tokyo Sto...

DaikyoNishikawa Completes Treasury Stock Disposition for Executive Restricted Shares

Jul 17, 2026

DaikyoNishikawa Corporation is a Japan-based manufacturer listed on the Prime Market of the Tokyo Stock Exchange under securities code 4246. The company uses equity-based compensation for its directors and executive officers to reinforce long-term va...

DaikyoNishikawa Advances Share Buyback Under ¥2 Billion Authorization

Jul 1, 2026

DaikyoNishikawa Corporation has reported progress on its ongoing share buyback program authorized by its board in May 2026, reflecting active use of capital market tools to manage its equity base. The initiative underscores the company’s engage...

DaikyoNishikawa Revamps Management Structure to Strengthen Governance and Operations

Jun 19, 2026

DaikyoNishikawa Corporation has overhauled its management structure following a June 19, 2026 board meeting, appointing Representative Director and President Ikuo Sugiyama to oversee overall management. Representative Director and Executive Vice Pres...

DaikyoNishikawa to Grant Restricted Treasury Shares to Executives Under Incentive Plan

Jun 19, 2026

DaikyoNishikawa Corporation has approved the disposal of 29,624 shares of its treasury stock on July 17, 2026, at ¥1,021 per share, with a total value of about ¥30.2 million, to directors and executive officers under its restricted stock co...

DaikyoNishikawa Reports Initial Progress on ¥2 Billion Share Buyback Program

Jun 1, 2026

DaikyoNishikawa Corporation has reported progress on its ongoing share buyback program, disclosing that it acquired 288,300 of its own common shares on the Tokyo Stock Exchange between May 14 and May 31, 2026, for a total consideration of ¥301.9...

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