Maruichi Steel Tube Ltd. (5463) AI Stock Analysis

• Market Cap: ¥241.66B
• Dividend Yield: 4.03%
• Average Volume (3M): 181.52K
• Price to Earnings (P/E): 15.9
• Beta (1Y): 0.62
• Revenue Growth: -0.93%
• EPS Growth: -33.07%
• Country: JP
• Employees: 2,519
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Steel
• EPS (TTM): 197.45
• Shares Outstanding: 84,000,000
• 10 Day Avg. Volume: 127,030
• 30 Day Avg. Volume: 181,520
• PEG Ratio: -1.21
• Price to Book (P/B): 0.76
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Maruichi Steel Tube Ltd. achieves a solid overall score driven by strong financial performance and reasonable valuation. While technical analysis suggests a cautious approach due to mixed signals, the company's robust financial health and attractive dividend yield support a positive outlook. The absence of recent earnings call data or impactful corporate events leaves the focus on financial fundamentals.

Maruichi Steel Tube Ltd. Business Overview & Revenue Model

Company Description

Maruichi Steel Tube Ltd. is a Japanese company engaged primarily in the manufacturing and sale of steel tubes and pipes. The company operates in sectors such as construction, automotive, and industrial equipment, providing high-quality steel tubing solutions tailored to various industry needs. Their core products include structural steel tubes, mechanical tubes, and line pipes, which are essential components in a wide range of applications, from building infrastructure to automotive manufacturing.

How the Company Makes Money

Maruichi Steel Tube Ltd. generates revenue through the production and sale of steel tubes and pipes. The company's key revenue streams include supplying structural steel tubes for construction projects, mechanical tubes for machinery and equipment manufacturing, and line pipes for the energy sector. Maruichi Steel Tube Ltd. benefits from strategic partnerships with major construction firms, automotive manufacturers, and industrial companies, which ensures a steady demand for their products. Additionally, the company leverages its advanced manufacturing technologies and R&D capabilities to produce high-quality, customized steel solutions, which enhances its competitive edge and supports its revenue growth.

Maruichi Steel Tube Ltd. Financial Statement Overview

Summary

Maruichi Steel Tube Ltd. exhibits commendable financial standing with strong profitability, prudent leverage, and effective equity utilization. The income statement and balance sheet scores are high due to strong net income growth and financial stability, while cash flow score is lower due to lack of TTM data.

Income Statement

Maruichi Steel Tube Ltd. shows a strong financial performance with a consistent increase in net income and stable gross profit margins over the years. The TTM figures demonstrate resilience with an EBIT margin of 9.32% and an EBITDA margin of 9.94%, indicating efficient operations despite a slight decline in total revenue. The revenue growth rate from 2020 to 2024 shows significant expansion, reflecting robust market demand.

Balance Sheet

The company's balance sheet is robust, highlighted by a high equity ratio of 79.99% in TTM, showcasing strong financial stability. With a low debt-to-equity ratio of 0.013, Maruichi Steel maintains conservative leverage, reducing financial risk. The return on equity (ROE) is solid, demonstrating effective utilization of shareholder funds.

Cash Flow

The cash flow statements show variability, with positive free cash flow in annual reports but lacking TTM data. Operating cash flow to net income and free cash flow to net income ratios are not assessable for TTM, yet past data indicate strong cash generation relative to net income, supporting operational activities.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
266.56B	271.31B	273.42B	224.22B	161.14B	154.93B
	Gross Profit
45.17B	53.50B	46.71B	51.73B	31.92B	28.36B
	EBIT
24.84B	34.81B	30.02B	36.28B	18.33B	14.71B
	EBITDA
26.49B	45.08B	36.38B	42.23B	24.25B	21.15B
	Net Income Common Stockholders
16.97B	26.11B	24.16B	27.76B	13.86B	6.35B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
95.00B	105.37B	100.16B	84.24B	97.42B	105.25B
	Total Assets
435.89B	429.53B	393.17B	370.08B	330.25B	310.12B
	Total Debt
4.53B	7.67B	9.20B	3.68B	8.44B	7.57B
	Net Debt
-72.63B	-84.19B	-79.35B	-67.37B	-73.44B	-76.26B
	Total Liabilities
73.13B	69.03B	68.95B	62.49B	53.28B	42.84B
	Stockholders Equity
348.63B	347.12B	313.63B	297.64B	269.40B	257.47B
Cash Flow		Free Cash Flow
0.00	19.95B	17.86B	8.26B	18.09B	24.04B
	Operating Cash Flow
0.00	35.69B	24.49B	15.10B	24.36B	29.74B
	Investing Cash Flow
0.00	-20.98B	4.30B	-10.01B	-16.84B	-2.69B
	Financing Cash Flow
0.00	-13.12B	-7.62B	-16.66B	-13.97B	-11.34B

Maruichi Steel Tube Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3253.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5463, the sentiment is Negative. The current price of 3253 is below the 20-day moving average (MA) of 3303.95, below the 50-day MA of 3364.62, and below the 200-day MA of 3321.56, indicating a bearish trend. The MACD of -10.93 indicates Positive momentum. The RSI at 40.23 is Neutral, neither overbought nor oversold. The STOCH value of 10.84 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5463.

Maruichi Steel Tube Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5401	76 Outperform	$3.13T	6.17	6.77%	5.02%	1.42%	-27.64%
5463	73 Outperform	¥241.66B	15.86		4.03%	-0.93%	-33.07%
5406	72 Outperform	$654.25B	6.38	9.34%	4.80%	-0.32%	-23.77%
5471	70 Outperform	€234.49B	4.41	6.56%	4.92%	-0.91%	80.48%
5411	66 Neutral	$987.71B	11.38	3.62%	5.08%	-4.62%	-30.09%
Sector *	49 Neutral	$1.96B	-1.15	-21.28%	3.71%	1.17%	-30.86%
5476	39 Underperform	¥5.73B	―		12.79%	-5.41%	-114.91%

Maruichi Steel Tube Ltd. Corporate Events

Maruichi Steel Tube Ltd. Reports Progress on Share Repurchase Program

Maruichi Steel Tube Ltd. has announced the progress of its treasury share repurchase program, acquiring 925,600 shares at a cost of approximately 3.04 billion yen between April 1 and April 30, 2025. This initiative is part of a broader plan approved by the Board of Directors to repurchase up to 5.5 million shares, aiming to enhance shareholder value and optimize capital structure.

Maruichi Steel Tube Ltd. Advances Share Repurchase Program

Maruichi Steel Tube Ltd. has announced the progress of its share repurchase program, acquiring 357,100 common shares at a cost of 1,256,411,400 yen between March 1 and March 31, 2025. This move is part of a larger initiative approved by the Board of Directors to repurchase up to 5,500,000 shares, reflecting 6.76% of the company’s total issued shares, with a maximum budget of 20 billion yen, aimed at optimizing capital structure and enhancing shareholder returns.

Maruichi Steel Tube Reports Financial Decline but Maintains Strong Position

Maruichi Steel Tube Ltd. reported a decline in net sales and profits for the nine months ending December 31, 2024, compared to the previous year, with significant drops in both operating and ordinary profits. Despite these challenges, the company maintains a strong capital adequacy ratio and has revised its financial forecast for the fiscal year ending March 31, 2025, indicating potential recovery and stability in its financial position.