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Union Tool Co. (JP:6278)
:6278
Japanese Market
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Union Tool Co. (6278) Price & Analysis

1 Followers

6278 Stock Chart & Stats

¥9030.00
¥85.00(1.74%)
At close: 4:00 PM EST
¥9030.00
¥85.00(1.74%)

Bulls Say, Bears Say

Bulls Say
Strong Operating ProfitabilityGross and EBIT margins around 40% and 21–22% in 2024–2025 indicate substantial operating profitability. Maintaining these levels gives the company earnings resilience and internal funding capacity, provided future growth does not materially worsen cost or product mix.
Conservative Balance SheetDebt fell to zero in 2025 while equity rose from roughly ¥54B in 2020 to about ¥80B in 2025. This conservative structure reduces financial strain and preserves flexibility to withstand cycles, invest through downturns, or fund operations without heavy leverage.
Accelerating Revenue GrowthRevenue growth accelerated meaningfully to 14.6% in 2025 after weaker performance in 2024, and earnings increased alongside sales. This combination indicates improving commercial momentum and provides a stronger base for sustaining operating scale over the coming quarters.
Bears Say
Weak Free-Cash-Flow ConversionFree cash flow collapsed to near breakeven in 2025 despite strong reported profits, with conversion at only about 1% of net income. Heavy reinvestment or working-capital drag can make cash available to shareholders volatile and reduce near-term financial flexibility.
Earnings CyclicalityThe 2023 revenue decline and margin compression versus 2022 show that reported growth and profitability can fluctuate materially across periods. This cyclicality makes forward earnings less predictable and may challenge the company’s ability to sustain recent operating performance through weaker demand.
Net Margin PressureNet margin declined in 2025 even as revenue increased, indicating that higher sales did not translate fully into bottom-line expansion. Persistent cost or product-mix pressure could limit earnings conversion and weaken the durability of overall profit growth.

Union Tool Co. News

6278 FAQ

What was Union Tool Co.’s price range in the past 12 months?
Union Tool Co. lowest stock price was ¥7170.00 and its highest was ¥27150.00 in the past 12 months.
    What is Union Tool Co.’s market cap?
    Union Tool Co.’s market cap is ¥262.63B.
      When is Union Tool Co.’s upcoming earnings report date?
      Union Tool Co.’s upcoming earnings report date is Nov 11, 2026 which is in 20 days.
        How were Union Tool Co.’s earnings last quarter?
        Union Tool Co. released its earnings results on Aug 06, 2026. The company reported ¥164.15 earnings per share for the quarter.
          Is Union Tool Co. overvalued?
          According to Wall Street analysts Union Tool Co.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium
            Does Union Tool Co. pay dividends?
            Union Tool Co. pays a Semiannually dividend of ¥75 which represents an annual dividend yield of 1.08%. See more information on Union Tool Co. dividends here
              What is Union Tool Co.’s EPS estimate?
              Union Tool Co.’s EPS estimate for its next earnings report is not yet available.
              How many shares outstanding does Union Tool Co. have?
              Union Tool Co. has 19,780,000 shares outstanding.
                What happened to Union Tool Co.’s price movement after its last earnings report?
                Union Tool Co. reported an EPS of ¥164.15 in its last earnings report. Following the earnings report the stock price went down -4.555%.
                  Which hedge fund is a major shareholder of Union Tool Co.?
                  Currently, no hedge funds are holding shares in JP:6278
                  What is the TipRanks Smart Score and how is it calculated?
                  Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                    Company Description

                    Union Tool Co.

                    Union Tool Co. manufactures and distributes a diverse range of cutting implements, linear motion systems, and machinery for metal processing, catering to both the Japanese domestic market and international clients. Their extensive product line features drills and routers specifically designed for printed circuit boards (PCBs), alongside specialized PCB tooling equipment such as MDP drill pointers, ring setting devices, non-contact drill diameter and measuring instruments, and spindle run-out measurement systems. The company also provides carbide end mills, precision measuring apparatus, rolling dies, forging implements, and coating rods. Additionally, Union Tool Co. develops sensor technologies, including portable medical electrocardiographs, wearable heart rate monitors, analytical software, and various monitoring devices. Originally founded in 1955 as Union Chemical Research Co., Ltd., the firm officially became Union Tool Co. in 1971, and its corporate headquarters are located in Tokyo, Japan.

                    Union Tool Co. (6278) Earnings & Revenues

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