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Chiyoda (6366) AI Stock Analysis

JP:6366

Chiyoda

(TSE/TYO:6366)

Select Model
Rating:68Neutral
Price Target:JPY 639.00▲(5.97% Upside)
Action:reiterated
Date:08/17/26

Driven by solid financial turnaround with strong projected profitability and cash flow stability, enhanced by attractive valuation; tempered by mixed technical indicators showing short-term strength but long-term caution.

Positive Factors
FY2026 Profit ReboundThe sharp FY2026 improvement shows Chiyoda can generate stronger earnings when project execution and mix are favorable. Higher margins provide more capacity to absorb cost pressures, fund operations, and rebuild resilience, although durability still depends on sustaining performance across future contracts.
Negative Factors
Project-Cycle Earnings VolatilityThe history of losses and sharply varying margins shows that earnings remain sensitive to project mix and execution outcomes. For an EPC contractor, this volatility can make the current profit rebound less dependable and complicate forecasting of sustainable earnings over the next several quarters.

Chiyoda (6366) vs. iShares MSCI Japan ETF (EWJ)

-50%0%50%100%150%200%250%JP:6366+19.88%EWJ+16.95%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 1.01B
Dividend Yield
―
Average Volume (3M)
2.25M
Price to Earnings (P/E)
1.9
Beta (1Y)
1.22
Revenue Growth
13.90%
EPS Growth
185.56%
Country
Japan
Employees
3,489
Sector
Industrials
Sector Strength
63
Industry
Engineering & Construction

Chiyoda Business Overview & Revenue Model

Company Description

Chiyoda Corporation functions as a comprehensive engineering enterprise, conducting business both within Japan and across international territories. The company provides an extensive range of services, encompassing everything from initial consulting...

How the Company Makes Money

Chiyoda primarily makes money by executing project-based contracts for industrial facilities, where it is paid for delivering engineering and construction services under agreed commercial terms. Key revenue streams and how they work: 1) EPC and relat...

Chiyoda Financial Statement Overview

Summary

Strong revenue growth and improving profitability with net profit margin at 17.1% in 2026, supported by robust cash flows and equity growth, though past volatility in earnings and leverage remains a risk.

Income Statement

75Positive

Balance Sheet

70Positive

Cash Flow

80Positive
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue490.21B493.90B456.97B505.98B430.16B311.12B
Gross Profit100.15B100.50B42.32B-157.00M32.71B22.79B
EBITDA94.10B96.62B36.88B-2.03B24.95B-5.29B
Net Income83.80B84.70B26.99B-15.83B15.19B-12.63B
Balance Sheet
Total Assets421.43B513.82B461.03B426.97B406.59B395.40B
Cash, Cash Equivalents and Short-Term Investments334.63B313.20B377.29B315.29B269.88B220.23B
Total Debt2.40B22.40B24.95B25.49B30.36B46.90B
Total Liabilities355.18B397.95B435.57B420.89B384.27B379.63B
Stockholders Equity64.06B113.86B23.71B4.86B22.18B15.65B
Cash Flow
Free Cash Flow039.13B55.97B45.68B59.85B56.57B
Operating Cash Flow039.87B57.66B47.43B60.80B57.09B
Investing Cash Flow0-3.28B-4.18B-1.57B7.89B-3.79B
Financing Cash Flow0-1.65B-298.00M-5.85B-17.06B-4.20B

Chiyoda Technical Analysis

Technical Analysis SentimentNegative
Last Price603.00

Price Trends

50DMA666.54Negative
100DMA682.67Negative
200DMA865.76Negative

Market Momentum

MACD-20.61Negative
RSI42.69Neutral
STOCH60.81Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6366, the sentiment is Negative. The current price of 603.00 is below the 20-day moving average (MA) of 617.15, below the 50-day MA of 666.54, and below the 200-day MA of 865.76, indicating a bearish trend. The MACD of -20.61 indicates Negative momentum. The RSI at 42.69 is Neutral, neither overbought nor oversold. The STOCH value of 60.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6366.

Chiyoda Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

JP:6366 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:1959JP:195977OutperformJPY 549.41B11.91―3.19%5.31%51.56%
JP:1963JP:196377OutperformJPY 502.17B10.7211.30%2.45%-15.29%―
JP:6366JP:636668NeutralJPY 151.75B1.89101.68%―13.90%185.56%
JP:1942JP:194265NeutralJPY 939.40B13.9716.79%3.13%3.74%30.42%
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
JP:6330JP:633047NeutralJPY 127.86B-10.67-27.55%1.12%-31.33%-795.62%

* Industrials Sector Average

Performance Comparison

0%100%200%JP:6366JP:1963JP:6330JP:1942JP:1959Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:6366 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:6366Chiyoda Corp603.00130.0027.48%
JP:1963JGC Corp2122.00545.2734.58%
JP:6330Toyo Engineering Corporation2229.00-119.00-5.07%
JP:1942Kandenko Co., Ltd.4594.00-113.02-2.40%
JP:1959Kraftia Corporation7825.00465.186.32%
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