Japan Power Fastening Co., Ltd. (5950) AI Stock Analysis

• Market Cap: ¥2.86B
• Dividend Yield: 12.63%
• Average Volume (3M): 45.12K
• Price to Earnings (P/E): 29.7
• Beta (1Y): 0.30
• Revenue Growth: 4.35%
• EPS Growth: -68.73%
• Country: JP
• Employees: 148
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Tools & Accessories
• EPS (TTM): -0.37
• Shares Outstanding: 18,688,540
• 10 Day Avg. Volume: 20,470
• 30 Day Avg. Volume: 45,116
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥211.00
• Price Target Upside: 5.50% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 61 Neutral
• Price Target: ¥211.00 ▲(5.50% Upside)

The overall stock score of 61 reflects the company's financial struggles and operational inefficiencies, which are partially offset by a strong dividend yield and some technical indicators suggesting potential stabilization. The lack of earnings call data and corporate events limits further insights.

Japan Power Fastening Co., Ltd. Business Overview & Revenue Model

Company Description

Japan Power Fastening Co.,Ltd. engages in the manufacture and sale of fasteners and related tools in Japan. It offers fasteners for metal, wooden, and cement-based building materials; and surface treatment for stainless steel. The company also manufactures and sells industrial riveting guns and rivets; and sells, rents, and manages real estate properties. Japan Power Fastening Co.,Ltd. was incorporated in 1951 and is headquartered in Minoh, Japan.

How the Company Makes Money

Japan Power Fastening Co., Ltd. generates revenue primarily through the sale of its fastening products and tools to a diverse range of industries including construction, manufacturing, and automotive sectors. The company capitalizes on a robust distribution network to reach its customers, leveraging partnerships with distributors and retailers. Additionally, its focus on innovation and quality enhances its competitive edge, allowing it to maintain a steady demand for its products. Key revenue streams include direct sales to industrial clients and bulk orders from construction companies and hardware stores.

Japan Power Fastening Co., Ltd. Financial Statement Overview

Summary

The company faces financial challenges with declining revenue and persistent net losses, despite a positive gross profit margin. Improvements in the balance sheet and cash flow are positive, but operational inefficiencies and cost management issues remain significant concerns.

Income Statement

The company experienced declining total revenue over recent years with a drop from 5,354M in 2022 to 5,040M in 2024. Despite a positive gross profit margin of 23.28% in 2024, the net and EBIT margins are negative due to the incurred net loss and negative EBIT, reflecting operational inefficiencies. While gross profit indicates some capacity for profitability, the consistent net losses and negative EBIT margin suggest struggles in cost management and operational execution.

Balance Sheet

The company has improved its equity position, with stockholders' equity increasing to 2,283M in 2024. The debt-to-equity ratio stands at 0.88, indicating a stable leverage position, though this shows a high reliance on debt. The equity ratio improved to 39.47%, suggesting a stronger financial footing. However, substantial liabilities and historical fluctuations in equity levels pose potential risks.

Cash Flow

The company has managed to generate positive free cash flow of 84M in 2024, reversing from negative cash flows in prior years. The operating cash flow to net income ratio is low at 0.46, indicating challenges in converting income to cash but a significant improvement from past performance. While free cash flow growth is a positive indicator, the consistency and sustainability of cash flows remain a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.09B	5.04B	5.11B	5.35B	5.33B	5.31B
Gross Profit	1.16B	1.17B	1.07B	1.37B	1.35B	1.20B
EBITDA	580.52M	675.61M	83.66M	175.47M	2.32B	-132.60M
Net Income	474.25M	509.35M	-108.45M	40.22M	2.14B	-322.02M
Balance Sheet
Total Assets	5.69B	5.79B	7.46B	8.00B	8.08B	6.86B
Cash, Cash Equivalents and Short-Term Investments	1.53B	1.62B	2.14B	2.04B	2.22B	452.87M
Total Debt	2.09B	2.02B	2.68B	2.73B	2.84B	3.80B
Total Liabilities	3.53B	3.48B	4.09B	4.54B	4.82B	5.56B
Stockholders Equity	2.15B	2.28B	3.37B	3.46B	3.26B	1.31B
Cash Flow
Free Cash Flow	0.00	68.60M	240.70M	-201.11M	269.50M	116.30M
Operating Cash Flow	0.00	233.44M	257.53M	-159.07M	368.78M	342.59M
Investing Cash Flow	0.00	956.36M	485.59M	-649.51M	2.25B	194.79M
Financing Cash Flow	0.00	-1.77B	-119.43M	-209.15M	-919.96M	-605.23M

Japan Power Fastening Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 200.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5950, the sentiment is Negative. The current price of 200 is below the 20-day moving average (MA) of 203.90, above the 50-day MA of 198.34, and below the 200-day MA of 263.19, indicating a neutral trend. The MACD of -0.29 indicates Positive momentum. The RSI at 48.12 is Neutral, neither overbought nor oversold. The STOCH value of 47.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5950.

Japan Power Fastening Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5952	77 Outperform	2.15B	14.03	9.56%	2.73%	1.63%	18.55%
5962	72 Outperform	1.66B	9.89	5.39%	2.90%	-6.30%	-56.54%
6380	64 Neutral	3.45B	55.21	5.41%	1.20%	3.83%	-60.31%
5950	61 Neutral	¥2.86B	29.73		12.63%	4.35%	-68.73%
5969	60 Neutral	2.29B	188.49	1.60%	2.53%	-5.24%	-96.07%
5990	54 Neutral	4.51B	-18.72	-2.32%	3.58%	-4.17%	-175.55%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%