TOYO ELECTRIC MFG CO LTD AI Stock Analysis
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TOYO ELECTRIC MFG CO LTD (6505) AI Stock Analysis
TOYO ELECTRIC MFG CO LTD
(TSE/TYO:6505)
The overall score is driven by a very attractive valuation and strong technical momentum. The low P/E and high dividend yield are significant positives. Financial performance is mixed; robust profitability and a healthy balance sheet are offset by a concerning shift to negative cash flow, which is the primary risk factor.
TOYO ELECTRIC MFG CO LTD (6505) vs. iShares MSCI Japan ETF (EWJ)
- Market Cap
- JPY 28.65B
- Dividend Yield
- 3.33%
- Average Volume (3M)
- 68.75K
- Price to Earnings (P/E)
- 8.1
- Beta (1Y)
- 0.46
- Revenue Growth
- 4.21%
- EPS Growth
- 36.74%
- Country
- Japan
- Employees
- 1,195
- Sector
- General
- Sector Strength
- 55
- Industry
- Industrial - Machinery
TOYO ELECTRIC MFG CO LTD Business Overview & Revenue Model
Company Description
Toyo Denki Seizo K.K., along with its group of subsidiaries, operates as a global manufacturer and vendor of diverse equipment systems across transportation, industrial, and information sectors. Its operations span both domestic Japanese and internat...
How the Company Makes Money
The company makes money primarily by selling manufactured electrical equipment and systems to corporate and public-sector customers, with revenue typically recognized when products are delivered and accepted under contract. Key revenue streams genera...
TOYO ELECTRIC MFG CO LTD Financial Statement Overview
Summary
Profitability is strong with net income up 40% and margins at multi-year highs, supported by a solid balance sheet with low leverage. However, negative operating and free cash flow is a significant concern, dragging the overall financial health score down.
Income Statement
70PositiveBalance Sheet
85Very PositiveCash Flow
30Negative| Breakdown | TTM | May 2026 | May 2025 | May 2024 | May 2023 | May 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 42.50B | 40.48B | 40.54B | 32.14B | 31.02B | 30.16B |
| Gross Profit | 12.67B | 11.77B | 10.60B | 8.17B | 7.20B | 6.82B |
| EBITDA | 4.86B | 3.82B | 3.49B | 2.20B | 2.05B | 85.00M |
| Net Income | 3.39B | 2.98B | 2.13B | 935.00M | 824.00M | -930.00M |
Balance Sheet | ||||||
| Total Assets | 56.51B | 53.81B | 55.85B | 51.65B | 52.18B | 48.72B |
| Cash, Cash Equivalents and Short-Term Investments | 4.31B | 4.53B | 5.01B | 6.42B | 5.52B | 4.45B |
| Total Debt | 10.64B | 10.12B | 9.22B | 10.59B | 11.18B | 11.77B |
| Total Liabilities | 23.35B | 23.20B | 28.46B | 25.58B | 27.60B | 26.70B |
| Stockholders Equity | 33.16B | 30.61B | 27.39B | 26.07B | 24.58B | 22.01B |
Cash Flow | ||||||
| Free Cash Flow | -1.61B | -1.61B | 96.00M | 1.53B | 491.00M | 2.15B |
| Operating Cash Flow | -826.00M | -826.00M | 601.00M | 1.85B | 815.00M | 2.50B |
| Investing Cash Flow | -126.00M | -126.00M | -290.00M | -413.00M | 635.00M | 289.00M |
| Financing Cash Flow | 226.00M | 226.00M | -2.00B | -979.00M | -390.00M | -2.36B |
TOYO ELECTRIC MFG CO LTD Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6505, the sentiment is Positive. The current price of 2979.00 is above the 20-day moving average (MA) of 2977.85, above the 50-day MA of 2637.18, and above the 200-day MA of 2314.26, indicating a bullish trend. The MACD of 102.42 indicates Positive momentum. The RSI at 62.27 is Neutral, neither overbought nor oversold. The STOCH value of 80.09 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6505.
TOYO ELECTRIC MFG CO LTD Peers Comparison
Overall Rating
JP:628476Outperform- JP:650571Outperform
JP:648267Neutral
JP:625862Neutral
JP:610458Neutral
JP:644058Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| JP:6284 | 76Outperform | JPY 114.88B | 14.48 | ― | 3.01% | 14.83% | 29.57% |
| JP:6505 | 71Outperform | JPY 26.80B | 8.07 | ― | 3.33% | 4.21% | 36.74% |
| JP:6482 | 67Neutral | JPY 21.27B | 34.91 | ― | 3.15% | -8.01% | -62.48% |
| JP:6258 | 62Neutral | JPY 99.66B | 13.37 | 10.14% | 2.12% | 9.33% | 45.31% |
| JP:6104 | 58Neutral | JPY 99.47B | 42.65 | 2.15% | 3.07% | -21.68% | -103.56% |
| JP:6440 | 58Neutral | JPY 19.98B | 11.88 | ― | 1.42% | -5.81% | ― |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| JP:6505 | TOYO ELECTRIC MFG CO LTD | 2979.00 | 1065.74 | 55.70% | |
| JP:6258 | Hirata Corporation | 3235.00 | 1170.55 | 56.70% | |
| JP:6104 | Shibaura Machine Co., Ltd. | 4485.00 | 464.49 | 11.55% | |
| JP:6284 | Nissei ASB Machine Co,. Ltd. | 8700.00 | 2362.80 | 37.28% | |
| JP:6440 | Juki Corporation | 694.00 | 209.94 | 43.37% | |
| JP:6482 | Yushin Precision Equipment Co., Ltd. | 636.00 | -20.07 | -3.06% |
TOYO ELECTRIC MFG CO LTD Corporate Events
Toyo Denki Boosts Earnings Outlook and Dividend After Strong First Quarter
In the three months ended August 31, 2026, Toyo Denki Seizo K.K. delivered robust results, lifting net sales 24% to ¥10.4 billion and nearly doubling profit attributable to owners of the parent to ¥875 million, while earnings per share rose to ¥95.51...
Toyo Denki Names New Director Candidates Ahead of August Shareholders’ Meeting
Toyo Denki Seizo K.K. has announced a slate of director, audit and supervisory board, and substitute audit and supervisory board candidates to be voted on at its 165th Annual General Meeting of Shareholders scheduled for August 27, 2026. The proposed...
Toyo Denki Seizo Raises Dividend Targets and Introduces Interim Payouts
Toyo Denki Seizo has revised its shareholder return policy, elevating its focus on profit distribution as a key management priority. The company aims to enhance shareholder returns while maintaining financial stability and alignment with long-term gr...
Toyo Denki Unveils “Sustainable 2030” Plan to Drive Profitable Growth and Restructuring
Toyo Denki Seizo K.K. has unveiled a new four-year medium-term management plan, “Sustainable 2030 – Driving Transformation and Accelerating Growth,” covering fiscal years ending May 2027 to May 2030. The plan aims to deliver sustainable growth throug...
Toyo Denki Beats Profit Forecasts and Lifts Year-End Dividend
Toyo Denki Seizo K.K. reported consolidated results for the fiscal year ended May 31, 2026 that modestly exceeded its net sales forecast and significantly outperformed profit projections. Strong sales of products for new rolling stock to domestic pri...
Toyo Denki Boosts Profit and Dividends Despite Flat Sales, Signals Margin Pressure Ahead
Toyo Denki Seizo reported virtually flat net sales of ¥40.48 billion for the fiscal year ended May 31, 2026, but significantly improved profitability, with operating profit up 30.5% and profit attributable to owners of parent up 39.8%. The company st...
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 16, 2026