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Yodogawa Steel Works (JP:5451)
:5451
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Yodogawa Steel Works (5451) AI Stock Analysis

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JP:5451

Yodogawa Steel Works

(5451)

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Outperform 78 (OpenAI - 5.2)
Rating:78Outperform
Price Target:
¥1,638.00
▲(17.76% Upside)
Action:Reiterated
Date:08/17/26
The score is driven primarily by strong financial stability (near-zero leverage) and improved profitability, with some offset from cyclical revenue decline and cash-flow volatility. Technicals add support with a clear uptrend and positive MACD, while valuation further strengthens the outlook via a moderate P/E and high dividend yield.
Positive Factors
Near-zero leverage
A nearly debt-free balance sheet limits interest and refinancing risk, preserving flexibility through steel cycles. Rising equity further strengthens resilience and allows the company to fund operations and investment without relying heavily on external capital.
Negative Factors
Revenue contraction
The decline shows that improved margins have not been matched by consistent top-line expansion. Continued weakness in shipments or customer demand could limit operating leverage and make future earnings more dependent on pricing and product mix.
Read all positive and negative factors
Positive Factors
Negative Factors
Near-zero leverage
A nearly debt-free balance sheet limits interest and refinancing risk, preserving flexibility through steel cycles. Rising equity further strengthens resilience and allows the company to fund operations and investment without relying heavily on external capital.
Read all positive factors

Yodogawa Steel Works (5451) vs. iShares MSCI Japan ETF (EWJ)

Yodogawa Steel Works Business Overview & Revenue Model

Company Description
Yodogawa Steel Works, Ltd., established in 1935 and based in Osaka, Japan, specializes in the production and distribution of steel products for industrial and consumer markets across Japan. Its comprehensive range of steel sheets encompasses pre-p...
How the Company Makes Money
The company primarily makes money by manufacturing and selling processed steel sheet products. Key revenue streams include (1) sales of coated and surface-treated steel sheets (e.g., galvanized and other plated steel sheets) and (2) sales of pre-p...

Yodogawa Steel Works Financial Statement Overview

Summary
Strong financial resilience from an extremely low-leverage balance sheet (debt-to-equity near zero) and improved profitability (net margin up to ~8.9% and gross margin ~17.7% in 2026). Offsetting factors are cyclical weakness in demand reflected in a ~6.4% revenue decline in 2026 and volatile cash-flow conversion across years, despite positive 2026 free cash flow (~14.4B).
Income Statement
72
Positive
Balance Sheet
90
Very Positive
Cash Flow
63
Positive
BreakdownTTMMar 2026Mar 2026Mar 2025Mar 2024Mar 2023
Income Statement
Total Revenue194.12B195.37B208.46B203.96B220.31B201.66B
Gross Profit34.49B34.53B34.15B31.77B32.66B33.18B
EBITDA22.81B24.05B25.43B12.99B22.03B21.31B
Net Income17.71B17.40B13.50B4.46B10.59B9.79B
Balance Sheet
Total Assets260.94B266.46B264.26B265.86B251.06B244.67B
Cash, Cash Equivalents and Short-Term Investments63.71B73.17B61.09B60.82B44.40B33.99B
Total Debt6.76B160.00M1.01B678.00M1.40B1.41B
Total Liabilities42.40B42.78B49.14B52.03B49.15B52.73B
Stockholders Equity197.27B202.65B194.82B189.71B179.81B170.48B
Cash Flow
Free Cash Flow0.0014.36B5.93B17.81B11.16B-18.58B
Operating Cash Flow0.0018.76B11.31B21.52B17.34B-10.64B
Investing Cash Flow0.00-4.00B-6.74B-809.00M-3.16B-1.99B
Financing Cash Flow0.00-16.41B-12.51B-5.36B-5.09B-1.23B

Yodogawa Steel Works Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1391.00
Price Trends
50DMA
1351.94
Positive
100DMA
1328.61
Positive
200DMA
1329.61
Positive
Market Momentum
MACD
18.82
Positive
RSI
58.14
Neutral
STOCH
46.48
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5451, the sentiment is Positive. The current price of 1391 is below the 20-day moving average (MA) of 1414.05, above the 50-day MA of 1351.94, and above the 200-day MA of 1329.61, indicating a bullish trend. The MACD of 18.82 indicates Positive momentum. The RSI at 58.14 is Neutral, neither overbought nor oversold. The STOCH value of 46.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5451.

Yodogawa Steel Works Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
¥217.57B11.588.84%6.54%-6.96%30.12%
74
Outperform
¥468.47B13.037.28%2.99%4.19%31.79%
69
Neutral
¥796.05B11.917.80%4.03%-3.45%-50.06%
63
Neutral
¥205.19B19.055.08%1.80%2.78%24.29%
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
60
Neutral
¥1.10T12.432.76%4.46%-3.75%31.87%
60
Neutral
¥3.59T12.270.33%11.30%27.76%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:5451
Yodogawa Steel Works
1,423.00
127.71
9.86%
JP:5471
Daido Steel Co
2,294.50
1,069.23
87.26%
JP:5411
JFE Holdings
1,842.50
86.28
4.91%
JP:5406
Kobe Steel
2,032.50
288.77
16.56%
JP:5401
NIPPON STEEL
677.00
77.17
12.86%
JP:5482
Aichi Steel Corporation
3,225.00
423.03
15.10%

Yodogawa Steel Works Corporate Events

YODOKO Takes 10.95% Stake in Nakayama Steel to Drive Low-CO2 EAF Expansion
Aug 7, 2026
YODOKO, Ltd. has approved a capital and business alliance with Nakayama Steel Works, a major Japanese producer of electric arc furnace (EAF) steel sheets, and will acquire 7,357,000 of Nakayama’s treasury shares via third-party allotment for...
YODOKO Lifts Earnings and Dividend Forecasts as Impact From Middle East Eases
Aug 6, 2026
YODOKO, Ltd. has revised upward its earnings forecasts for the fiscal year ending March 31, 2027, citing better-than-expected resilience to inflationary pressures and supply chain disruptions stemming from the situation in the Middle East. Both co...
YODOKO Q1 Profit Rises Despite Lower Sales as Steel Maker Cuts Full-Year Outlook
Aug 6, 2026
YODOKO reported first-quarter FY3/27 consolidated net sales of ¥51.5 billion, down 2.4% year on year, with operating profit falling 8.2% to ¥3.9 billion and ordinary profit down 2.4% to ¥5.0 billion, while profit attributable to own...
YODOKO Completes Treasury Share Sale for Restricted Stock Compensation
Jul 27, 2026
YODOKO, Ltd. has completed the payment procedures for the sale of 47,800 treasury shares under its restricted stock compensation plan, following a board resolution adopted on July 10, 2026. The shares, priced at 1,319 yen each for total proceeds o...
YODOKO to Sell Treasury Shares for Management Restricted Stock Plan
Jul 10, 2026
YODOKO, Ltd. has approved the sale of 47,800 treasury shares of common stock, valued at 1,319 yen per share for total proceeds of 63,048,200 yen, to four internal directors and 13 executive officers under its restricted stock compensation program....
Yodoko to Exit Chinese Steel Subsidiary as Part of Overseas Portfolio Streamlining
Jun 26, 2026
YODOKO, Ltd. has decided to sell part of its equity stake in Chinese subsidiary Yodogawa-Shengyu (Hefei) High-Tech Steel Co., Ltd., while its consolidated specified subsidiary Sheng Yu Steel Co., Ltd. will sell all of its holdings. The move follow...
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