NSK Ltd. (6471) AI Stock Analysis

3 Followers

NSK Ltd.

(TSE/TYO:6471)

Select Model

Rating:61Neutral

Price Target:JPY 1,058.00▲(14.39% Upside)

Action:reiterated

Date:10/31/26

Overall score reflects improving fundamentals led by a stronger balance sheet and better recent profitability, but constrained by weakening/limited cash-flow strength and clearly bearish technical momentum. Valuation is supportive with a moderate P/E and a solid dividend yield, but not enough to fully offset the technical downtrend.

Positive Factors

Improving revenue and profitabilityThe return to revenue growth alongside better net and operating margins indicates that NSK is recovering from its weaker FY2024 earnings period. Continued improvement would strengthen internal funding capacity, support investment in precision products, and improve resilience across the next several quarters.

Negative Factors

Thin and volatile marginsAlthough profitability has recovered, margins remain relatively thin and have varied materially across the cycle. Limited operating buffer leaves earnings sensitive to changes in production volumes, product mix, and cost conditions, making sustained profit improvement important for durable returns.

NSK Ltd. (6471) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 452.57B
Dividend Yield: 3.68%
Average Volume (3M): 2.27M
Price to Earnings (P/E): 14.0
Beta (1Y): 1.30
Revenue Growth: 25.70%
EPS Growth: 79.76%
Country: Japan
Employees: 26,214
Sector: Consumer Cyclical
Sector Strength: 61
Industry: Auto - Parts

NSK Ltd. Business Overview & Revenue Model

Company Description

NSK Ltd. is a global manufacturing and sales enterprise specializing in industrial machinery bearings, a wide variety of automotive products, and high-precision mechanical components. The company's comprehensive bearing portfolio includes standard ba...

How the Company Makes Money

NSK makes money primarily by manufacturing and selling mechanical components used to reduce friction and enable precise motion in customer equipment. Its core revenue stream is the sale of bearings (including rolling bearings and bearing-related prod...

NSK Ltd. Financial Statement Overview

Summary

Financials are improving but not best-in-class. Profitability has recovered versus FY2024 (TTM net margin ~3.2%, operating margin ~4.8%) with solid TTM revenue growth (~5.0%), while leverage is manageable and improving (TTM debt-to-equity ~0.29). The main constraint is cash-flow consistency: free cash flow is positive (~¥47.8B) but down ~19% in TTM, and operating cash flow coverage of debt (~0.27x) remains only moderate.

Income Statement

66Positive

Balance Sheet

74Positive

Cash Flow

57Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	858.21B	796.67B	788.87B	938.10B	865.17B	747.56B
Gross Profit	184.02B	172.78B	165.25B	191.06B	169.73B	126.24B
EBITDA	96.89B	84.11B	83.18B	93.68B	88.22B	63.03B
Net Income	20.26B	10.65B	8.50B	18.41B	16.59B	355.00M
Balance Sheet
Total Assets	1.30T	1.22T	1.30T	1.23T	1.23T	1.17T
Cash, Cash Equivalents and Short-Term Investments	154.36B	198.51B	191.99B	161.45B	139.01B	178.01B
Total Debt	226.56B	329.03B	342.61B	360.81B	327.21B	352.62B
Total Liabilities	603.61B	550.35B	620.12B	598.53B	597.09B	598.13B
Stockholders Equity	679.57B	651.46B	659.98B	616.21B	617.80B	554.52B
Cash Flow
Free Cash Flow	123.85B	44.05B	49.88B	19.87B	-13.33B	20.05B
Operating Cash Flow	158.83B	82.18B	99.82B	64.16B	22.73B	53.84B
Investing Cash Flow	-143.29B	-58.75B	-90.81B	-48.78B	-19.97B	-51.10B
Financing Cash Flow	-8.21B	-33.74B	-24.78B	4.42B	-48.22B	29.99B

NSK Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price924.90

Price Trends

50DMA1055.70Negative

100DMA1096.16Negative

200DMA1133.72Negative

Market Momentum

MACD-26.44Positive

RSI28.02Positive

STOCH27.42Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6471, the sentiment is Negative. The current price of 924.90 is below the 20-day moving average (MA) of 1018.46, below the 50-day MA of 1055.70, and below the 200-day MA of 1133.72, indicating a bearish trend. The MACD of -26.44 indicates Positive momentum. The RSI at 28.02 is Positive, neither overbought nor oversold. The STOCH value of 27.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6471.

NSK Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

JP:6471 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:6209	79Outperform	JPY 99.36B	7.17	―	6.50%	-3.13%	45.25%
JP:5991	73Outperform	JPY 501.07B	14.48	―	2.67%	3.12%	-15.85%
Sector *	61Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
JP:6471	61Neutral	JPY 452.12B	13.97	―	3.68%	25.70%	79.76%
JP:6473	54Neutral	JPY 602.45B	27.94	2.71%	3.43%	3.66%	12.13%
JP:7214	52Neutral	JPY 5.26B	-25.67	―	4.06%	4.47%	58.91%
JP:7220	47Neutral	JPY 135.80B	93.75	―	1.69%	3.50%	-77.77%

* Consumer Cyclical Sector Average

Performance Comparison

JP:6471 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:6471	NSK Ltd.	924.90	42.96	4.87%
JP:6473	JTEKT Corporation	1892.50	328.57	21.01%
JP:5991	NHK Spring Co., Ltd.	2473.50	-280.16	-10.17%
JP:6209	NPR-RIKEN CORPORATION	3695.00	722.34	24.30%
JP:7214	GMB Corporation	985.00	157.37	19.01%
JP:7220	Musashi Seimitsu Industry Co., Ltd.	2071.00	-1121.64	-35.13%

NSK Ltd. Corporate Events

NSK Raises Full-Year Earnings Forecast on Strong Industrial Machinery Demand and Weak Yen

Oct 29, 2026

NSK Ltd. has revised upward its consolidated business forecast for the fiscal year ending March 31, 2027, citing stronger-than-expected results in its Industrial Machinery Business and favorable foreign exchange movements. Sales are now projected at...

NSK Delivers Strong Half-Year Results and Raises Full-Year Outlook

Oct 29, 2026

NSK Ltd. reported a strong performance for the six months ended Sept. 30, 2026, with sales climbing 26.2% year on year to ¥520.4 billion and operating income surging 69.8% to ¥30.1 billion. Net income attributable to owners of the parent ju...

NSK Corrects Forecast Data in First-Quarter 2026 Results

Jul 31, 2026

NSK Ltd., a leading Japanese manufacturer of bearings and precision machinery for automotive and industrial applications, is listed on the Tokyo Prime Market and serves a broad global customer base. Its financial performance and guidance are closely...

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 31, 2026

NSK Ltd. AI Stock Analysis