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Mitsubishi Electric (JP:6503)
:6503
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Mitsubishi Electric (6503) AI Stock Analysis

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JP:6503

Mitsubishi Electric

(6503)

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Outperform 72 (OpenAI - 4o)
Rating:72Outperform
Price Target:
¥4,855.00
▲(12.99% Upside)
Mitsubishi Electric's strong financial performance and positive technical indicators are the primary drivers of its stock score. However, the high P/E ratio and overbought technical signals suggest caution. The absence of earnings call data and corporate events does not impact the score.

Mitsubishi Electric (6503) vs. iShares MSCI Japan ETF (EWJ)

Mitsubishi Electric Business Overview & Revenue Model

Company DescriptionMitsubishi Electric Corporation (TSE: 6503) is a leading global manufacturer of electrical and electronic equipment, headquartered in Tokyo, Japan. The company operates across several sectors including industrial automation, energy systems, building systems, and communication systems. Mitsubishi Electric's core products and services encompass a wide range of technologies such as air conditioning systems, elevators and escalators, factory automation equipment, semiconductors, and automotive equipment, catering to both commercial and residential markets.
How the Company Makes MoneyMitsubishi Electric generates revenue through a diversified model that includes the sale of its core products, systems integration services, and maintenance contracts. Key revenue streams include industrial automation solutions, which cater to manufacturers seeking to enhance productivity and efficiency, and building systems, which cover HVAC systems, elevators, and other infrastructure-related technologies. Additionally, the company earns revenue from its semiconductor and display systems divisions, which supply essential components for various electronic devices. Significant partnerships with other technology firms and collaborations in smart city initiatives also bolster revenue generation, while ongoing investments in R&D enable Mitsubishi Electric to innovate and maintain a competitive edge in the market.

Mitsubishi Electric Financial Statement Overview

Summary
Mitsubishi Electric exhibits strong financial performance with robust revenue growth, healthy profit margins, and efficient cash flow generation. The balance sheet is stable with low leverage, supporting continued growth and financial health.
Income Statement
85
Very Positive
Mitsubishi Electric shows strong revenue growth with a TTM (Trailing-Twelve-Months) increase of 1.13%. The company maintains healthy margins with a gross profit margin of 34.33% and a net profit margin of 6.59%. EBIT and EBITDA margins are also solid at 8.19% and 12.12%, respectively, indicating efficient operations and profitability. The consistent improvement in these metrics over the years highlights a positive growth trajectory.
Balance Sheet
78
Positive
The balance sheet is robust with a low debt-to-equity ratio of 0.09, suggesting conservative leverage and financial stability. The return on equity (ROE) is 9.42%, reflecting effective use of equity to generate profits. The equity ratio stands at 62.81%, indicating a strong equity base relative to total assets. Overall, the company maintains a stable financial position with manageable debt levels.
Cash Flow
80
Positive
Mitsubishi Electric demonstrates strong cash flow performance with a free cash flow growth rate of 25.92% in the TTM period. The operating cash flow to net income ratio is 1.34, and the free cash flow to net income ratio is 0.59, indicating efficient cash generation relative to net income. The positive cash flow trends support the company's ability to fund operations and investments.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue5.61T5.52T5.26T5.00T4.48T4.19T
Gross Profit1.86T1.69T1.55T1.41T1.26T1.17T
EBITDA680.69B634.11B546.56B488.12B470.74B455.65B
Net Income394.79B324.08B284.95B213.91B203.48B193.13B
Balance Sheet
Total Assets6.44T6.38T6.17T5.58T5.11T4.80T
Cash, Cash Equivalents and Short-Term Investments862.84B757.33B765.38B645.87B727.18B767.41B
Total Debt338.89B360.66B394.64B400.76B329.46B365.43B
Total Liabilities2.26T2.30T2.30T2.22T2.01T1.93T
Stockholders Equity4.05T3.95T3.74T3.24T2.98T2.75T
Cash Flow
Free Cash Flow345.96B261.92B239.72B-8.85B126.31B353.76B
Operating Cash Flow529.20B455.90B415.48B166.71B282.37B542.12B
Investing Cash Flow-122.43B-206.16B-94.12B-148.53B-114.87B-176.55B
Financing Cash Flow-317.49B-250.92B-240.12B-119.57B-241.32B-157.35B

Mitsubishi Electric Technical Analysis

Technical Analysis Sentiment
Positive
Last Price4297.00
Price Trends
50DMA
3855.12
Positive
100DMA
3556.28
Positive
200DMA
3102.73
Positive
Market Momentum
MACD
135.83
Negative
RSI
64.35
Neutral
STOCH
75.13
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6503, the sentiment is Positive. The current price of 4297 is above the 20-day moving average (MA) of 4067.80, above the 50-day MA of 3855.12, and above the 200-day MA of 3102.73, indicating a bullish trend. The MACD of 135.83 indicates Negative momentum. The RSI at 64.35 is Neutral, neither overbought nor oversold. The STOCH value of 75.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6503.

Mitsubishi Electric Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
$1.55T18.8912.05%1.68%5.44%-5.19%
72
Outperform
€9.10T22.7110.23%1.27%4.62%40.65%
72
Outperform
¥148.45B25.711.04%3.37%-12.55%
72
Outperform
$774.93B22.9210.54%1.17%12.76%162.49%
71
Outperform
$1.14T19.8213.26%1.67%-2.18%30.16%
67
Neutral
€5.71T55.3032.32%0.69%27.53%137.34%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6503
Mitsubishi Electric
4,297.00
1,620.95
60.57%
JP:6504
Fuji Electric Co
10,495.00
1,904.88
22.18%
JP:5801
Furukawa Electric Co
10,300.00
4,990.25
93.98%
JP:6506
Yaskawa Electric
4,061.00
-222.39
-5.19%
JP:5803
Fujikura Ltd
20,415.00
14,605.45
251.40%
JP:6516
Sanyo Denki Co., Ltd.
3,710.00
881.32
31.16%

Mitsubishi Electric Corporate Events

Mitsubishi Electric Announces Treasury Stock Disposal for Executive Incentives
Nov 4, 2025

Mitsubishi Electric Corporation announced the disposal of 329,400 shares of treasury stock as part of its stock compensation plan to enhance the motivation of its executive officers. The disposal is expected to have minimal impact on the stock market due to the small dilution scale, and it aims to align executive interests with long-term corporate value improvement.

The most recent analyst rating on (JP:6503) stock is a Buy with a Yen4599.00 price target. To see the full list of analyst forecasts on Mitsubishi Electric stock, see the JP:6503 Stock Forecast page.

Mitsubishi Electric Enhances Executive Stock Compensation Plan
Nov 4, 2025

Mitsubishi Electric Corporation has announced additional contributions to its performance-based stock compensation plan for executive officers, aligning the plan for associate executive officers with that of executive officers starting fiscal 2026. This move aims to enhance corporate value and shareholder engagement by motivating executives to focus on long-term growth, with implications for improved transparency and alignment of executive incentives with company performance.

The most recent analyst rating on (JP:6503) stock is a Buy with a Yen4599.00 price target. To see the full list of analyst forecasts on Mitsubishi Electric stock, see the JP:6503 Stock Forecast page.

Mitsubishi Electric Concludes Stock Repurchase Program
Oct 31, 2025

Mitsubishi Electric Corporation announced the conclusion of its stock repurchase program, initially approved in April 2025. The company successfully repurchased 29,893,600 shares, with an aggregate value of approximately JPY 99.99 billion, through market trades on the Tokyo Stock Exchange. This strategic move is likely to impact the company’s market positioning and shareholder value positively.

The most recent analyst rating on (JP:6503) stock is a Buy with a Yen4599.00 price target. To see the full list of analyst forecasts on Mitsubishi Electric stock, see the JP:6503 Stock Forecast page.

Mitsubishi Electric Reports Record Revenue and Profit for H1 Fiscal 2026
Oct 31, 2025

Mitsubishi Electric reported record-high revenue and operating profit for the first half of fiscal 2026, driven by increased sales in the Infrastructure segment and strategic profitability improvements. Despite the stronger yen, the company forecasts higher revenue for the fiscal year, attributing growth to favorable foreign exchange rates and sales expansion, while maintaining its operating profit forecast unchanged. The company declared an interim dividend of 25 yen per share, reflecting a commitment to shareholder returns.

The most recent analyst rating on (JP:6503) stock is a Buy with a Yen4599.00 price target. To see the full list of analyst forecasts on Mitsubishi Electric stock, see the JP:6503 Stock Forecast page.

Mitsubishi Electric Reports Progress on Stock Repurchase Program
Oct 3, 2025

Mitsubishi Electric Corporation announced the status of its stock repurchase program, which was approved by the Board of Directors in April 2025. The company repurchased 3,733,400 shares valued at approximately JPY 13.75 billion from September 1 to 30, 2025, as part of a larger plan to buy back up to 60 million shares. This move is part of Mitsubishi Electric’s strategy to optimize capital structure and enhance shareholder value, reflecting its commitment to strategic financial management.

The most recent analyst rating on (JP:6503) stock is a Buy with a Yen4500.00 price target. To see the full list of analyst forecasts on Mitsubishi Electric stock, see the JP:6503 Stock Forecast page.

Mitsubishi Electric to Acquire Nozomi Networks, Boosting OT Security Capabilities
Sep 9, 2025

Mitsubishi Electric has announced its agreement to acquire all shares of Nozomi Networks, a U.S.-based leader in operational technology security solutions, to strengthen its OT security business. This acquisition is expected to enhance Mitsubishi Electric’s capabilities in providing comprehensive security solutions, leveraging Nozomi’s advanced technology and customer base to accelerate the growth of its digital platform and related businesses.

The most recent analyst rating on (JP:6503) stock is a Hold with a Yen3300.00 price target. To see the full list of analyst forecasts on Mitsubishi Electric stock, see the JP:6503 Stock Forecast page.

Mitsubishi Electric Launches Career Support Program for Senior Employees
Sep 8, 2025

Mitsubishi Electric has announced a new support program for employees aged 53 and older in Japan, aimed at facilitating career progression and corporate transformation. This initiative is part of the company’s strategy to balance its human resource structure, offering increased retirement settlements and re-employment support to eligible employees, while also encouraging younger staff to advance within the organization. The program reflects Mitsubishi Electric’s broader efforts to innovate and enhance corporate value, although its financial impact remains undetermined at this time.

The most recent analyst rating on (JP:6503) stock is a Hold with a Yen3300.00 price target. To see the full list of analyst forecasts on Mitsubishi Electric stock, see the JP:6503 Stock Forecast page.

Mitsubishi Electric Reports Progress on Stock Repurchase Program
Sep 3, 2025

Mitsubishi Electric Corporation announced the status of its stock repurchase program, which was approved by the Board of Directors in April 2025. As of August 31, 2025, the company repurchased 21,449,600 shares at an aggregate value of JPY 67,627,362,300, as part of its plan to buy back up to 60 million shares by October 31, 2025. This move is expected to impact the company’s market positioning and shareholder value positively.

The most recent analyst rating on (JP:6503) stock is a Hold with a Yen3300.00 price target. To see the full list of analyst forecasts on Mitsubishi Electric stock, see the JP:6503 Stock Forecast page.

Mitsubishi Electric Confirms Financial Stability with Interim Review Completion
Aug 7, 2025

Mitsubishi Electric Corporation announced the completion of an optional interim review of its consolidated financial results for the first quarter of fiscal 2026, confirming no changes to the previously disclosed statements. This announcement underscores the company’s transparency and commitment to maintaining accurate financial reporting, which is crucial for stakeholders and investors.

The most recent analyst rating on (JP:6503) stock is a Buy with a Yen3800.00 price target. To see the full list of analyst forecasts on Mitsubishi Electric stock, see the JP:6503 Stock Forecast page.

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 07, 2025