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NPC Incorporated (6255) AI Stock Analysis

JP:6255

NPC Incorporated

(TSE/TYO:6255)

Select Model
Rating:50.6Neutral
Price Target:JPY 758.00â–²(12.63% Upside)
Action:downgraded
Date:10/08/26

The overall score is constrained by a rapidly deteriorating financial performance, marked by severe revenue declines and negative cash flows, which is the most significant risk. A fortress balance sheet provides some defense, but this is a secondary factor. Positive technical momentum and an expensive valuation create a mixed picture, with the stock's recent price strength at odds with its fundamental earnings trajectory.

Positive Factors
Debt-free balance sheetZero debt across all reported periods and generally growing equity reduce financial risk and preserve funding flexibility. This gives NPC greater capacity to absorb operating weakness, maintain its asset base, and pursue investments without leverage-related constraints.
Negative Factors
Sharp revenue contractionThe sharp 2026 revenue decline, following another down year, signals weakened demand or business activity rather than a single isolated fluctuation. Two consecutive years of contraction reduce visibility on near-term growth and can limit the company’s ability to absorb fixed operating costs.

NPC Incorporated (6255) vs. iShares MSCI Japan ETF (EWJ)

-30%-20%-10%0%10%20%30%JP:6255-7.09%EWJ+15.87%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 14.45B
Dividend Yield
1.49%
Average Volume (3M)
252.42K
Price to Earnings (P/E)
29.4
Beta (1Y)
0.97
Revenue Growth
-37.33%
EPS Growth
-62.51%
Country
Japan
Employees
168
Sector
Industrials
Sector Strength
63
Industry
Industrial - Machinery

NPC Incorporated Business Overview & Revenue Model

Company Description

NPC Incorporated engages in the machinery and environmental businesses. The company researches and develops, and sells various equipment, including automated machines for automobile, electric, precision machine, film, medicine, electronic parts, and...

NPC Incorporated Financial Statement Overview

Summary

Financial performance is weak. The income statement shows severe revenue contraction (-20.1% YoY) and margin compression, while cash flow has turned deeply negative, indicating core operational cash burn. The pristine, debt-free balance sheet provides a buffer, but overall financial health is deteriorating rapidly.

Income Statement

35Negative

Balance Sheet

75Positive

Cash Flow

10Very Negative
Financial statement breakdown
BreakdownTTMAug 2026Aug 2025Aug 2024Aug 2023Aug 2022
Income Statement
Total Revenue7.27B5.81B9.27B10.80B9.32B4.38B
Gross Profit2.47B2.03B3.05B3.53B1.90B1.47B
EBITDA1.50B1.07B2.15B2.65B1.19B846.38M
Net Income796.34M481.48M1.33B1.68B993.18M379.26M
Balance Sheet
Total Assets12.72B13.88B12.93B15.45B13.63B12.31B
Cash, Cash Equivalents and Short-Term Investments5.29B3.60B6.42B5.24B4.88B3.08B
Total Debt000000
Total Liabilities2.62B3.22B2.09B5.77B5.55B5.20B
Stockholders Equity10.10B10.67B10.84B9.68B8.07B7.11B
Cash Flow
Free Cash Flow0-1.94B1.41B467.41M1.83B15.98M
Operating Cash Flow0-1.89B1.48B557.83M1.84B83.76M
Investing Cash Flow0-662.94M-64.63M-89.52M-14.26M-4.92M
Financing Cash Flow0-718.60M-218.54M-134.86M-48.47M-353.92M

NPC Incorporated Technical Analysis

Technical Analysis SentimentNegative
Last Price673.00

Price Trends

50DMA683.34Negative
100DMA683.74Negative
200DMA718.74Negative

Market Momentum

MACD-7.08Positive
RSI48.22Neutral
STOCH74.57Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6255, the sentiment is Negative. The current price of 673.00 is below the 20-day moving average (MA) of 693.75, below the 50-day MA of 683.34, and below the 200-day MA of 718.74, indicating a bearish trend. The MACD of -7.08 indicates Positive momentum. The RSI at 48.22 is Neutral, neither overbought nor oversold. The STOCH value of 74.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6255.

NPC Incorporated Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

JP:6255 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:6317JP:631777OutperformJPY 21.74B10.37―5.04%3.71%-28.36%
JP:6440JP:644069NeutralJPY 20.39B11.81―1.44%-5.81%―
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
JP:6258JP:625860NeutralJPY 108.27B13.7710.14%2.06%9.33%45.31%
JP:6104JP:610458NeutralJPY 105.08B44.222.15%2.93%-21.58%-98.64%
JP:6255JP:625551NeutralJPY 14.45B29.444.68%1.49%-37.33%-62.51%

* Industrials Sector Average

Performance Comparison

0%50%100%JP:6255JP:6258JP:6104JP:6317JP:6440Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:6255 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:6255NPC Incorporated673.00-35.58-5.02%
JP:6258Hirata Corporation3395.001405.5770.65%
JP:6104Shibaura Machine Co., Ltd.4775.00623.8615.03%
JP:6317Kitagawa Corporation2322.00802.2452.79%
JP:6440Juki Corporation696.00259.9559.61%

NPC Incorporated Corporate Events

NPC Incorporated Sets Five-Year Medium-Term Management Plan

Oct 7, 2026

NPC Incorporated has unveiled a new medium-term management plan covering fiscal years 2027 through 2031, following an improvement in its operating environment and greater visibility into its medium-term performance. The company aims to balance busine...

NPC Incorporated Suffers Profit Slump but Signals Strong Recovery in 2027

Oct 7, 2026

NPC Incorporated reported a sharp downturn in results for the year to August 31, 2026, as sales fell 37.3% to ¥5,811 million and operating profit dropped 55.9% to ¥846 million, pushing net profit attributable to shareholders down 63.7% to &...

NPC Cuts FY2026 Sales Outlook but Maintains Profitability and Dividend

Sep 30, 2026

NPC Incorporated has revised its full-year fiscal 2026 forecasts, projecting a sharp reduction in sales compared with previous guidance, while expecting operating and ordinary profit to rise modestly due to a richer mix of high-margin equipment reall...

NPC Incorporated Posts Steep Profit Drop but Maintains Full-Year Outlook and Dividend Plan

Jul 10, 2026

NPC Incorporated reported a sharp deterioration in performance for the nine months to May 31, 2026, with sales halving year on year to ¥1.86 billion and operating profit plunging more than 90%, resulting in a small net loss attributable to share...

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: Oct 08, 2026