Koike Sanso Kogyo Co., Ltd. (6137) AI Stock Analysis

• Market Cap: ¥30.71B
• Dividend Yield: 2.85%
• Average Volume (3M): 41.10K
• Price to Earnings (P/E): 8.8
• Beta (1Y): 0.73
• Revenue Growth: 5.98%
• EPS Growth: -0.49%
• Country: JP
• Employees: 1,034
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 17.19
• Shares Outstanding: 22,614,664
• 10 Day Avg. Volume: 16,980
• 30 Day Avg. Volume: 41,100
• PEG Ratio: 0.40
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.48
• P/FCF Ratio: 11.17
• 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: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 81 Outperform
• Price Target: ¥1,781.00 ▲(9.06% Upside)

Koike Sanso Kogyo Co., Ltd. receives a strong overall score of 81, driven primarily by its solid financial performance and attractive valuation. The technical analysis supports a positive outlook, though caution is advised due to potential overbought conditions. The absence of earnings call and corporate events data does not detract from the company's favorable position.

Koike Sanso Kogyo Co., Ltd. Business Overview & Revenue Model

Company Description

Koike Sanso Kogyo Co., Ltd. (6137) is a Japanese company specializing in the manufacture and supply of industrial gases and related equipment. Operating primarily in the sectors of welding, cutting, and gas supply, the company offers a range of products including acetylene, oxygen, and other specialty gases, as well as gas handling equipment and related services. With a focus on innovation and quality, Koike Sanso Kogyo serves various industries, including manufacturing, construction, and automotive, positioning itself as a key player in the gas industry.

How the Company Makes Money

Koike Sanso Kogyo generates revenue through the sale of industrial gases, which are utilized in welding and cutting applications, as well as through the provision of gas handling equipment and related services. The company's key revenue streams include direct sales to industrial clients, long-term contracts with manufacturers, and service agreements for equipment maintenance. Additionally, strategic partnerships with major industries enhance its market reach and contribute to its earnings. The company also benefits from economies of scale in production and distribution, allowing it to maintain competitive pricing and improve profit margins.

Koike Sanso Kogyo Co., Ltd. Financial Statement Overview

Summary

Koike Sanso Kogyo Co., Ltd. demonstrates strong financial performance with consistent revenue and profit growth, robust margins, low leverage, and adequate cash flow generation. However, the company faces challenges in maintaining margins amidst industry volatility and must manage external economic pressures.

Income Statement

Koike Sanso Kogyo Co., Ltd. has shown consistent revenue growth over the past few years, with a revenue growth rate of 7.43% from 2024 to 2025. The gross profit margin is robust at 31.49%, indicating effective cost management. The net profit margin has improved to 6.58%, reflecting solid profitability. EBIT and EBITDA margins are also strong at 9.87% and 13.92%, respectively, highlighting operational efficiency. However, maintaining these margins amidst industry volatility remains a challenge.

Balance Sheet

The company's balance sheet is stable, with a debt-to-equity ratio of 0.17, indicating low leverage and financial prudence. The return on equity stands at 8.54%, and the equity ratio is a healthy 56.94%, demonstrating strong shareholder equity. However, the company must be vigilant about potential external economic pressures that could affect asset and equity valuations.

Cash Flow

Koike Sanso Kogyo Co., Ltd. has shown a free cash flow growth rate of -22.83% from 2024 to 2025, indicating a temporary dip in cash generation. The operating cash flow to net income ratio is 1.01, suggesting adequate cash conversion from profits. The free cash flow to net income ratio of 0.65 points to a good balance between cash flow and profitability. Continued focus on cash management is crucial to sustain financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	55.00B	55.21B	51.39B	47.87B	41.83B	39.25B
Gross Profit	17.72B	17.39B	15.64B	14.02B	12.21B	11.48B
EBITDA	7.20B	7.69B	6.62B	5.31B	3.66B	2.29B
Net Income	3.23B	3.63B	3.06B	2.06B	995.00M	-61.00M
Balance Sheet
Total Assets	71.98B	74.73B	73.48B	64.93B	59.94B	56.22B
Cash, Cash Equivalents and Short-Term Investments	14.52B	16.98B	16.58B	14.99B	12.75B	11.54B
Total Debt	7.25B	7.23B	7.25B	7.55B	7.76B	8.61B
Total Liabilities	26.90B	29.16B	31.09B	28.86B	26.25B	24.31B
Stockholders Equity	42.15B	42.56B	39.34B	33.21B	30.78B	29.44B
Cash Flow
Free Cash Flow	0.00	2.38B	3.08B	4.50B	2.87B	1.56B
Operating Cash Flow	0.00	3.67B	4.46B	5.64B	3.78B	3.14B
Investing Cash Flow	0.00	-1.32B	-1.43B	-2.04B	-712.00M	-2.16B
Financing Cash Flow	0.00	-2.22B	-1.50B	-1.69B	-1.51B	318.00M

Koike Sanso Kogyo Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1633.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6137, the sentiment is Positive. The current price of 1633 is above the 20-day moving average (MA) of 1409.90, above the 50-day MA of 1365.28, and above the 200-day MA of 1256.48, indicating a bullish trend. The MACD of 35.15 indicates Negative momentum. The RSI at 74.02 is Negative, neither overbought nor oversold. The STOCH value of 98.61 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6137.

Koike Sanso Kogyo Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6137	―	¥30.71B	8.84	―	2.85%	5.98%	-0.49%
6144	―	¥32.76B	12.97	―	3.89%	4.62%	39.04%
6149	―	¥15.14B	7.72	―	1.89%	65.63%	103.99%
6125	―	¥32.75B	13.36	―	3.20%	-2.14%	-47.09%
6405	―	¥19.22B	16.87	―	2.19%	2.25%	-17.39%
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6151	―	¥32.19B	58.72	―	2.10%	1.69%	-67.19%