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Tsubakimoto Chain Co. (6371) AI Stock Analysis

JP:6371

Tsubakimoto Chain Co.

(TSE/TYO:6371)

Select Model
Rating:78Outperform
Price Target:JPY 3,038.00â–²(14.00% Upside)
Action:reiterated
Date:11/01/26

The score is supported primarily by a very strong balance sheet, solid profitability, low valuation, and positive price positioning. Weaker free-cash-flow generation and reduced cash conversion limit the score, while momentum remains constructive but not strong.

Positive Factors
Broad industrial platformExposure across power transmission, motion control, and conveyance gives the company multiple industrial applications and customer use cases. This breadth can support resilient demand over the medium term by reducing reliance on one product category or end market.
Negative Factors
Inconsistent free cash flowCash generation is positive but has not consistently matched reported earnings, with lower recent conversion and substantial annual variation. If working-capital movements or investment requirements persist, this could constrain internally funded growth, dividends, or other capital allocation.

Tsubakimoto Chain Co. (6371) vs. iShares MSCI Japan ETF (EWJ)

-10%0%10%20%30%40%JP:6371+32.45%EWJ+15.87%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 279.69B
Dividend Yield
3.00%
Average Volume (3M)
198.62K
Price to Earnings (P/E)
9.1
Beta (1Y)
1.01
Revenue Growth
20.08%
EPS Growth
36.75%
Country
Japan
Employees
12,228
Sector
Industrials
Sector Strength
63
Industry
Industrial - Machinery

Tsubakimoto Chain Co. Business Overview & Revenue Model

Company Description

Tsubakimoto Chain Co. operates as a diversified manufacturer, specializing in power transmission components, a range of chains, automotive parts, and sophisticated materials handling systems. The company organizes its business into four primary divis...

How the Company Makes Money

Tsubakimoto Chain makes money primarily by designing, manufacturing, and selling mechanical components and industrial systems used to transmit power, control motion, and move materials within customer operations. Key revenue streams include: (1) Indu...

Tsubakimoto Chain Co. Financial Statement Overview

Summary

Strong balance sheet and solid profitability are offset by weaker cash-flow quality. The balance sheet score is 91, income statement score is 82, and cash-flow score is 58 due to declining free cash flow and weaker cash conversion.

Income Statement

82Very Positive

Balance Sheet

91Very Positive

Cash Flow

58Neutral
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue334.38B295.88B279.19B266.81B251.57B215.88B
Gross Profit97.78B87.28B82.18B77.77B71.25B62.74B
EBITDA51.12B52.08B44.89B40.28B32.33B33.35B
Net Income30.00B29.71B22.12B18.55B13.74B14.54B
Balance Sheet
Total Assets465.68B459.78B371.51B391.30B345.88B332.62B
Cash, Cash Equivalents and Short-Term Investments75.77B82.92B68.72B77.92B59.58B55.44B
Total Debt48.64B52.59B27.24B30.86B35.62B39.23B
Total Liabilities156.95B155.97B109.35B130.74B119.29B122.86B
Stockholders Equity300.57B296.36B259.81B258.40B224.40B207.76B
Cash Flow
Free Cash Flow10.16B16.13B8.14B27.74B12.43B13.00B
Operating Cash Flow30.80B31.89B21.30B38.58B21.35B21.00B
Investing Cash Flow-14.60B-8.98B-11.83B-9.16B-9.28B-9.07B
Financing Cash Flow-19.20B-20.24B-21.66B-15.70B-9.96B-7.78B

Tsubakimoto Chain Co. Technical Analysis

Technical Analysis SentimentPositive
Last Price2665.00

Price Trends

50DMA2652.38Positive
100DMA2618.27Positive
200DMA2512.63Positive

Market Momentum

MACD10.00Negative
RSI50.95Neutral
STOCH67.64Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6371, the sentiment is Positive. The current price of 2665.00 is above the 20-day moving average (MA) of 2653.10, above the 50-day MA of 2652.38, and above the 200-day MA of 2512.63, indicating a bullish trend. The MACD of 10.00 indicates Negative momentum. The RSI at 50.95 is Neutral, neither overbought nor oversold. The STOCH value of 67.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6371.

Tsubakimoto Chain Co. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

JP:6371 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:6371JP:637178OutperformJPY 279.69B9.0610.37%3.00%20.08%36.75%
JP:5192JP:519274OutperformJPY 115.73B14.73―4.61%5.29%20.13%
JP:6408JP:640866NeutralJPY 6.60B3.63―2.27%-2.81%186.98%
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
JP:6268JP:626860NeutralJPY 505.22B25.747.86%1.88%-7.97%65.72%
JP:6481JP:648158NeutralJPY 641.54B16.00-14.41%3.82%――
JP:6324JP:632441NeutralJPY 497.01B167.363.70%0.39%11.76%-21.18%

* Industrials Sector Average

Performance Comparison

0%50%100%150%200%JP:6371JP:6324JP:6268JP:6481JP:5192JP:6408Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:6371 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:6371Tsubakimoto Chain Co.2665.00570.6327.25%
JP:6324Harmonic Drive Systems 5163.002322.4681.76%
JP:6268Nabtesco Corporation4311.00511.3213.46%
JP:6481THK Co 5727.001780.6345.12%
JP:5192Mitsuboshi Belting Ltd.4190.00644.2018.17%
JP:6408Ogura Clutch Co., Ltd.4410.00884.5325.09%

Tsubakimoto Chain Co. Corporate Events

Tsubakimoto Chain Posts Strong First-Half Gains, Lifts Sales Outlook but Flags Profit Decline

Oct 30, 2026

Tsubakimoto Chain Co. reported strong consolidated results for the six months ended September 30, 2026, with net sales rising 28.4% year-on-year to ¥174.1 billion and operating profit jumping 46.3% to ¥12.1 billion. Ordinary profit climbed...

Tsubakimoto Chain Lifts Full-Year Forecast on Weak Yen and Strong Motorcycle Demand

Oct 30, 2026

Tsubakimoto Chain Co. has revised upward its full-year consolidated forecast for the fiscal year ending March 31, 2027, citing stronger-than-expected business conditions. The company now expects net sales of ¥355 billion, operating income of &#1...

Tsubakimoto Chain Nears Completion of ¥10 Billion Share Buyback Program

Oct 1, 2026

Tsubakimoto Chain Co. has reported progress on its ongoing share buyback program authorized by its board in May 2026, under which it is permitted to repurchase up to 5 million shares or ¥10 billion worth of stock through March 2027. As part of t...

Tsubakimoto Chain Expands Share Buyback Under Ongoing Treasury Stock Program

Sep 1, 2026

Tsubakimoto Chain Co. has disclosed the latest status of its share buyback program, reporting the acquisition of 322,600 shares of its common stock for a total of 861,878,494 yen via market purchases on the Tokyo Stock Exchange. This activity is part...

Tsubakimoto Chain advances share buyback under board-approved program

Aug 3, 2026

Tsubakimoto Chain Co., a Japanese industrial chain and power transmission manufacturer listed on the Prime Market of the Tokyo Stock Exchange, continues to leverage its strong market position in automotive and industrial applications. The company emp...

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: Nov 01, 2026