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Japan Display (6740) AI Stock Analysis
Japan Display
(TSE/TYO:6740)
The overall score is extremely low, reflecting a company in severe financial distress. The most significant factor is the dire financial performance, characterized by a vicious cycle of declining revenues, persistent losses, and cash burn that has led to a dangerously leveraged balance sheet. This is compounded by a strongly bearish technical trend and a valuation that signals extreme risk with no income support.
Japan Display (6740) vs. iShares MSCI Japan ETF (EWJ)
- Market Cap
- JPY 1.13B
- Dividend Yield
- ―
- Average Volume (3M)
- 13.64M
- Price to Earnings (P/E)
- 337.5
- Beta (1Y)
- -0.37
- Revenue Growth
- -24.75%
- EPS Growth
- 98.06%
- Country
- Japan
- Employees
- 2,333
- Sector
- Technology
- Sector Strength
- 61
- Industry
- Hardware, Equipment & Parts
Japan Display Business Overview & Revenue Model
Company Description
Japan Display Inc. operates globally, specializing in the development, production, and sale of small to medium-sized display devices and related products. The company's diverse range of LCD modules serves numerous industries. For consumer electronics...
How the Company Makes Money
JDI makes money mainly by selling display panels and related products to device manufacturers (B2B). Its core revenue stream is the shipment of small-to-medium display modules—historically dominated by LCD panels used in smartphones and other consume...
Japan Display Financial Statement Overview
Summary
Financial health is critically weak. Persistent operating losses, a -6.4% TTM revenue decline, and massive cash burn are rapidly destroying equity, resulting in a precarious 14x debt-to-equity ratio. A slight gross margin improvement is negligible against this backdrop of severe distress.
Income Statement
8Very NegativeBalance Sheet
5Very NegativeCash Flow
6Very Negative| Breakdown | TTM | Mar 2026 | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 164.54B | 188.01B | 132.33B | 239.15B | 270.75B | 295.95B |
| Gross Profit | -13.46B | -2.62B | 2.57B | 612.00M | -10.00B | 24.81B |
| EBITDA | -81.28B | -68.58B | -5.88B | -36.38B | -12.44B | 4.26B |
| Net Income | -91.97B | -78.22B | -19.81B | -44.31B | -25.82B | -8.10B |
Balance Sheet | ||||||
| Total Assets | 141.39B | 148.03B | 124.25B | 223.99B | 222.70B | 258.27B |
| Cash, Cash Equivalents and Short-Term Investments | 28.17B | 21.07B | 27.75B | 29.34B | 26.22B | 52.25B |
| Total Debt | 65.00B | 59.50B | 65.00B | 33.50B | 0 | 73.68B |
| Total Liabilities | 154.35B | 141.14B | 131.66B | 138.33B | 98.26B | 185.50B |
| Stockholders Equity | -12.96B | 6.89B | -7.41B | 85.66B | 124.43B | 72.77B |
Cash Flow | ||||||
| Free Cash Flow | -44.07B | -35.96B | -24.39B | -29.67B | -74.30B | -28.84B |
| Operating Cash Flow | -35.32B | -25.45B | -23.20B | -17.58B | -65.67B | -21.67B |
| Investing Cash Flow | 235.00M | -8.16B | 22.76B | -13.43B | 9.78B | 95.00M |
| Financing Cash Flow | 31.29B | 25.69B | 5.05B | 32.90B | 27.68B | 14.77B |
Japan Display Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6740, the sentiment is Negative. The current price of 27.00 is below the 20-day moving average (MA) of 34.80, below the 50-day MA of 42.56, and below the 200-day MA of 52.38, indicating a bearish trend. The MACD of -4.62 indicates Positive momentum. The RSI at 23.66 is Positive, neither overbought nor oversold. The STOCH value of 0.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6740.
Japan Display Peers Comparison
Overall Rating
JP:498070Outperform
JP:418667Neutral
JP:521464Neutral
JP:791549Neutral
JP:774643Neutral- JP:674038Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| JP:4980 | 70Outperform | JPY 496.44B | 16.98 | ― | 2.11% | 5.05% | 9.22% |
| JP:4186 | 67Neutral | JPY 985.08B | 23.77 | 17.38% | 0.97% | 21.68% | 48.38% |
| JP:5214 | 64Neutral | JPY 401.88B | 14.59 | 4.61% | 3.21% | 2.62% | ― |
| Sector * | 61Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% |
| JP:7915 | 49Neutral | JPY 51.23B | -11.25 | -4.02% | 4.58% | 0.46% | -1145.82% |
| JP:7746 | 43Neutral | JPY 23.86B | -182.50 | ― | ― | 10.53% | -499.03% |
| JP:6740 | 38Underperform | JPY 126.61B | 337.50 | 86.70% | ― | -24.75% | 98.06% |
* Technology Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| JP:6740 | Japan Display | 27.00 | 7.00 | 35.00% | |
| JP:5214 | Nippon Electric Glass Co | 4979.00 | -89.79 | -1.77% | |
| JP:4186 | Tokyo Ohka Kogyo Co | 7959.00 | 2361.98 | 42.20% | |
| JP:7915 | Nissha Co.Ltd. | 1091.00 | -201.28 | -15.58% | |
| JP:4980 | Dexerials Corp. | 2895.50 | 455.51 | 18.67% | |
| JP:7746 | Okamoto Glass Co., Ltd. | 772.00 | 385.00 | 99.48% |
Japan Display Corporate Events
Japan Display Cuts Debt to Trim Interest Costs and Bolster Balance Sheet
Japan Display Inc. has repaid a total of JPY 10 billion in collateralized loans from Ichigo Trust, covering three borrowings executed between late 2024 and early 2025. The move is aimed at strengthening the company’s financial position and lowe...
Japan Display Acquires Mobara Logistics Site Ahead of Fab Sale
Japan Display Inc. has acquired a logistics facility adjacent to its Mobara manufacturing plant in Mobara City, Chiba Prefecture, for JPY 40 million from LOGISTEED, Ltd., a major logistics services provider. The asset purchase was approved, contracte...
Japan Display To Sell Mobara Plant, Books ¥51.4bn Gain
Japan Display Inc., a Japanese maker of display panels for consumer and automotive electronics, has been restructuring to improve asset efficiency and bolster its balance sheet. The company is executing its BEYOND DISPLAY strategy to build new earnin...
Ichigo Boosts Japan Display Stake with JPY 2.9 Billion Warrant Exercise
Japan Display Inc. said Ichigo Trust has partially exercised its 14th stock acquisition rights, injecting about JPY 2.9 billion and raising its stake to 73.40% of the company’s voting rights. The exercise resulted in the issuance of 115,573,332...
Japan Display Cuts Debt to Sharpen Financial Position and Profitability
Japan Display Inc. has repaid ¥2.5 billion of collateralized borrowings from Ichigo Trust as part of a broader effort to strengthen its financial position and lower funding costs. The loan, originally executed in August 2024, was partially settl...
Japan Display Books Gain on Tottori Fab Sale as It Refocuses AutoTech Operations
Japan Display Inc. has completed the sale of its idle Tottori Fab in Tottori Prefecture, where LCD production ended in March 2025, to local real estate firm Yahata Touei Estate. The company will relocate its AutoTech automotive display development an...
Japan Display Restores Positive Net Assets as Restructuring Bolsters Profitability
Japan Display has returned to a positive net asset position as of June 30, 2026, with net assets of JPY 3,631 million, after previously falling below the Tokyo Stock Exchange Prime Market net asset standard. The improvement was largely driven by a ca...
Japan Display Books Heavy Interest Costs, Gains from Restructuring Reversal and Asset Impairment
Japan Display Inc. reported several notable items in its first-quarter results for the fiscal year ending March 2027, including a non-operating interest expense of JPY 2,256 million on short-term borrowings and a JPY 333 million extraordinary gain fr...
Japan Display Narrows Losses but Withholds Full-Year Outlook
Japan Display Inc. reported a sharp year-on-year decline in first-quarter sales to ¥23.9 billion, down 26.3%, with EBITDA, operating profit and net income all remaining in negative territory, though losses narrowed compared with the previous yea...
Japan Display Bolsters Capital as Ichigo Partially Exercises Warrants
Japan Display Inc. has received a partial exercise of its 14th Stock Acquisition Rights by Ichigo Trust, resulting in the issuance of approximately 115.6 million new common shares and proceeds of about JPY 2.9 billion. This transaction increases JDI&...
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 20, 2026