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DMW Corporation (6365) AI Stock Analysis

JP:6365

DMW Corporation

(TSE/TYO:6365)

Select Model
Rating:78Outperform
Price Target:JPY 6,281.00â–²(15.89% Upside)
Action:upgraded
Date:08/17/26

The stock scores 78, reflecting a strong financial foundation with a robust balance sheet and improving profitability, though cash flow volatility is a concern. Technical indicators are moderately positive, and valuation appears attractive with a low P/E and high dividend yield.

Positive Factors
Conservative balance sheetExtremely low leverage (debt-to-equity ~0.003) gives DMW durable financial flexibility. Low refinancing risk and ample equity capacity support sustained investment, dividend coverage and shock absorption across industrial cycles, strengthening long-term resilience.
Negative Factors
Volatile cash generationInconsistent operating cash flow and intermittent negative free cash flow indicate weak cash conversion and working-capital swings. This undermines the firm’s ability to self-fund capex, sustain dividends or pursue opportunities without drawing on reserves, a multi-quarter risk.

DMW Corporation (6365) vs. iShares MSCI Japan ETF (EWJ)

-5%0%5%10%15%20%25%30%JP:6365+10.83%EWJ+16.91%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 22.49B
Dividend Yield
3.87%
Average Volume (3M)
954
Price to Earnings (P/E)
7.5
Beta (1Y)
0.44
Revenue Growth
-0.59%
EPS Growth
7.41%
Country
Japan
Employees
556
Sector
Industrials
Sector Strength
63
Industry
Industrial - Machinery

DMW Corporation Business Overview & Revenue Model

Company Description

DMW Corporation, a Tokyo, Japan-based company founded in 1910, operates internationally, specializing in the production and distribution of various fluid machinery. Its comprehensive offerings include pumps, fans, seawater desalination equipment, val...

How the Company Makes Money

null

DMW Corporation Financial Statement Overview

Summary

Strong balance sheet with negligible debt and growing equity, improving profitability, but cash flow volatility tempers the outlook.

Income Statement

80Positive

Balance Sheet

90Very Positive

Cash Flow

60Neutral
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue28.67B28.19B28.08B24.10B23.87B22.82B
Gross Profit8.21B7.62B7.27B5.94B5.88B5.69B
EBITDA4.88B4.14B3.93B2.91B3.10B2.96B
Net Income2.99B2.62B2.43B1.75B1.87B1.88B
Balance Sheet
Total Assets38.49B41.72B40.47B36.98B34.33B32.35B
Cash, Cash Equivalents and Short-Term Investments11.63B6.04B6.71B6.20B6.48B5.91B
Total Debt133.00M88.00M67.00M59.00M54.00M27.00M
Total Liabilities7.39B11.06B12.64B10.83B10.40B9.70B
Stockholders Equity31.09B30.66B27.83B26.15B23.92B22.65B
Cash Flow
Free Cash Flow0-46.00M1.55B48.00M725.00M-394.00M
Operating Cash Flow0527.00M2.11B730.00M1.57B162.00M
Investing Cash Flow0-114.00M-834.00M-148.00M-886.00M-788.00M
Financing Cash Flow0-839.00M-961.00M-545.00M-523.00M-490.00M

DMW Corporation Technical Analysis

Technical Analysis SentimentNegative
Last Price5420.00

Price Trends

50DMA5547.38Negative
100DMA5450.39Negative
200DMA5521.57Negative

Market Momentum

MACD-27.42Positive
RSI40.90Neutral
STOCH30.30Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6365, the sentiment is Negative. The current price of 5420.00 is below the 20-day moving average (MA) of 5542.00, below the 50-day MA of 5547.38, and below the 200-day MA of 5521.57, indicating a bearish trend. The MACD of -27.42 indicates Positive momentum. The RSI at 40.90 is Neutral, neither overbought nor oversold. The STOCH value of 30.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6365.

DMW Corporation Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

JP:6365 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:6258JP:625882OutperformJPY 108.27B13.7910.14%2.06%9.33%45.31%
JP:6365JP:636578OutperformJPY 22.94B7.52―3.87%-0.59%7.41%
JP:6118JP:611868NeutralJPY 55.05B15.50―3.59%-1.63%-23.69%
JP:6482JP:648267NeutralJPY 21.95B34.70―3.14%-8.01%-62.48%
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
JP:6203JP:620358NeutralJPY 24.82B31.64―0.98%-7.53%-13.28%
JP:6125JP:612553NeutralJPY 29.37B31.28―3.63%-6.36%-61.60%

* Industrials Sector Average

Performance Comparison

0%50%100%JP:6365JP:6258JP:6118JP:6125JP:6203JP:6482Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:6365 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:6365DMW Corporation5420.00461.949.32%
JP:6258Hirata Corporation3400.001380.3768.35%
JP:6118Aida Engineering,Ltd.1087.00193.8021.70%
JP:6125Okamoto Machine Tool Works,Ltd.4405.00-281.37-6.00%
JP:6203Howa Machinery, Ltd.2034.00645.3346.47%
JP:6482Yushin Precision Equipment Co., Ltd.636.000.350.05%
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 17, 2026