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Daiken Co., Ltd. (5900) AI Stock Analysis

JP:5900

Daiken Co., Ltd.

(TSE/TYO:5900)

Select Model
Rating:66Neutral
Price Target:JPY 912.00â–²(5.80% Upside)
Action:reiterated
Date:08/07/26

Solid balance sheet with no debt provides stability, though limited profitability and negative free cash flow weigh on growth potential; fair valuation and mild technical uptrend support a neutral outlook.

Positive Factors
Debt‑free balance sheetHaving zero reported debt materially reduces financial risk and interest‑rate exposure. Over the next several months this provides durable flexibility to fund capex, withstand cyclical volatility in construction demand, and pursue opportunistic investments or dividends without refinancing pressure.
Negative Factors
Inconsistent cash generationVolatile operating cash flow and persistent negative free cash flow (noted in 2024–2026) constrain the company’s ability to self‑fund investments, pay larger dividends, or build cash cushions. Over months this limits strategic optionality and increases reliance on internal working capital management.

Daiken Co., Ltd. (5900) vs. iShares MSCI Japan ETF (EWJ)

-5%0%5%10%15%20%25%JP:5900+8.02%EWJ+15.87%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 4.63B
Dividend Yield
2.32%
Average Volume (3M)
1,578
Price to Earnings (P/E)
15.5
Beta (1Y)
0.29
Revenue Growth
11.32%
EPS Growth
83.46%
Country
Japan
Employees
329
Sector
General
Sector Strength
55
Industry
Construction Materials

Daiken Co., Ltd. Business Overview & Revenue Model

Company Description

Daiken Co.,Ltd., headquartered in Osaka, Japan, is a key manufacturer and supplier specializing in a broad array of metal products, primarily serving the domestic Japanese market. Their comprehensive catalog of building materials features various doo...

How the Company Makes Money

null

Daiken Co., Ltd. Financial Statement Overview

Summary

Moderate revenue growth and stable but unexceptional profitability margins, combined with a strong debt-free balance sheet and growing equity, but offset by fluctuating and often negative free cash flow, resulting in a balanced but not outstanding financial profile.

Income Statement

65Positive

Balance Sheet

85Very Positive

Cash Flow

45Neutral
Financial statement breakdown
BreakdownTTMFeb 2026Feb 2025Feb 2024Feb 2023Feb 2022
Income Statement
Total Revenue11.57B11.57B11.02B10.88B10.60B9.86B
Gross Profit3.62B3.62B3.25B3.24B3.25B3.17B
EBITDA654.90M643.94M712.24M816.14M771.46M698.59M
Net Income297.03M296.04M246.19M328.75M316.10M257.44M
Balance Sheet
Total Assets16.93B16.93B15.90B15.97B16.05B15.66B
Cash, Cash Equivalents and Short-Term Investments3.32B3.32B3.59B3.95B4.73B4.92B
Total Debt000000
Total Liabilities3.25B3.25B2.69B2.91B3.39B3.07B
Stockholders Equity13.69B13.69B13.21B13.05B12.66B12.59B
Cash Flow
Free Cash Flow0-61.77M-274.45M-692.31M98.63M367.38M
Operating Cash Flow0535.16M280.87M-165.93M355.74M655.37M
Investing Cash Flow0-819.02M-555.58M-530.44M-249.92M-294.86M
Financing Cash Flow0-109.43M-82.37M-82.14M-303.85M-87.35M

Daiken Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

JP:5900 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:5356JP:535682OutperformJPY 12.44B10.16―3.87%1.30%-3.99%
JP:1994JP:199472OutperformJPY 5.23B6.94―3.47%0.70%982.74%
JP:5268JP:526870OutperformJPY 10.43B16.64―1.77%7.46%72.19%
JP:3426JP:342668NeutralJPY 5.20B12.20―2.61%1.17%7.80%
JP:5900JP:590066NeutralJPY 5.00B15.53―2.32%11.32%83.46%
JP:5269JP:526959NeutralJPY 19.30B21.18―2.62%0.13%―
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%

* General Sector Average

Performance Comparison

0%20%40%JP:5900JP:1994JP:3426JP:5268JP:5269JP:5356Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:5900 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:5900Daiken Co., Ltd.862.0066.958.42%
JP:1994Takahashi Curtain Wall Corporation606.00126.2926.33%
JP:3426Atom Livin Tech Co., Ltd.1303.00-67.53-4.93%
JP:5268Asahi Concrete Works Co., Ltd.793.0019.562.53%
JP:5269Nippon Concrete Industries Co., Ltd.344.0029.379.33%
JP:5356Mino Ceramic Co., Ltd.1214.00-77.47-6.00%

Daiken Co., Ltd. Corporate Events

Daiken Co., Ltd. Swings to Quarterly Loss but Maintains Strong Capital Base

Jul 10, 2026

Daiken Co., Ltd., a general business company listed on the Tokyo Stock Exchange Standard market, reports consolidated financial results and maintains a strong equity base. While its specific product lines are not disclosed in this release, the firm&#...

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 04, 2026