Want to see JP:6742 full AI Analyst Report?
Top Page
Kyosan Electric Manufacturing Co., Ltd.
(6742)
Select Model
Select Model
Rating:78Outperform
Price Target:
¥1,261.00
▲(106.72% Upside)
Action:Reiterated
Date:08/19/26
The score is driven by attractive valuation (low P/E with a solid dividend) and strong technical uptrend (price above key moving averages with positive MACD). Financial performance is improving in TTM across margins, leverage, and cash flow, but the overall score is capped by historical volatility in cash flows and profitability.
Positive Factors
Improving revenue and profitability
The combination of higher TTM revenue and stronger net and operating margins indicates improving execution and earnings power. If retained, this progress can support reinvestment, strengthen the company’s position in safety-critical infrastructure projects, and provide a firmer base for earnings over the next several quarters.
Negative Factors
Historically volatile cash flow
Although cash generation has recovered in the TTM period, prior negative operating and free cash flow shows that earnings conversion can vary materially across the project cycle. Recurring volatility may complicate internal funding, budgeting, and the timing of investment in long-lived railway systems.
Read all positive and negative factors
Positive Factors
Negative Factors
Improving revenue and profitability
The combination of higher TTM revenue and stronger net and operating margins indicates improving execution and earnings power. If retained, this progress can support reinvestment, strengthen the company’s position in safety-critical infrastructure projects, and provide a firmer base for earnings over the next several quarters.
Read all positive factors
Kyosan Electric Manufacturing Co., Ltd. (6742) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥67.36B
Dividend Yield2.26%
Average Volume (3M)240.90K
Price to Earnings (P/E)8.6
Beta (1Y)1.02
Revenue Growth8.95%
EPS Growth25.08%
CountryJP
Employees2,073
SectorTechnology
Sector Strength88
IndustryHardware, Equipment & Parts
Share Statistics
EPS (TTM)128.17
Shares Outstanding62,844,254
10 Day Avg. Volume217,850
30 Day Avg. Volume240,900
Financial Highlights & Ratios
PEG Ratio1.12
Price to Book (P/B)0.68
Price to Sales (P/S)0.41
P/FCF Ratio14.84
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)102.1
Revenue Forecast (FY)¥97.00B
Kyosan Electric Manufacturing Co., Ltd. Business Overview & Revenue Model
Company Description
Kyosan Electric Manufacturing Co., Ltd., operating both domestically in Japan and across international markets, is a prominent developer, manufacturer, and distributor of electromechanical interlocking systems, road traffic signal equipment, and c...
How the Company Makes Money
Kyosan Electric Manufacturing generates revenue primarily by designing, manufacturing, delivering, and maintaining mission-critical systems used by railway operators and infrastructure owners. A major revenue stream comes from railway signaling an...
Kyosan Electric Manufacturing Co., Ltd. Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
68
Positive
Cash Flow
70
Positive
| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 95.67B | 93.12B | 85.37B | 70.53B | 72.33B | 72.92B |
| Gross Profit | 19.20B | 17.46B | 18.38B | 13.90B | 14.29B | 14.21B |
| EBITDA | 8.08B | 6.38B | 8.04B | 4.36B | 4.13B | 4.90B |
| Net Income | 6.25B | 5.04B | 4.78B | 3.43B | 2.07B | 11.86B |
Balance Sheet | ||||||
| Total Assets | 107.71B | 119.21B | 126.00B | 129.56B | 114.36B | 112.88B |
| Cash, Cash Equivalents and Short-Term Investments | 6.94B | 6.94B | 8.17B | 9.49B | 5.69B | 9.18B |
| Total Debt | 25.05B | 31.00B | 33.75B | 36.00B | 28.16B | 25.90B |
| Total Liabilities | 53.46B | 63.54B | 74.29B | 79.91B | 68.11B | 67.92B |
| Stockholders Equity | 54.25B | 55.67B | 51.71B | 49.65B | 46.24B | 44.96B |
Cash Flow | ||||||
| Free Cash Flow | 7.71B | 2.55B | 2.79B | -6.73B | -4.53B | 13.01B |
| Operating Cash Flow | 8.49B | 3.39B | 3.74B | -5.91B | -2.91B | 14.96B |
| Investing Cash Flow | -162.00M | -471.00M | -317.00M | 1.72B | -1.45B | -15.00M |
| Financing Cash Flow | -8.78B | -4.17B | -4.45B | 7.41B | 800.00M | -13.49B |
Kyosan Electric Manufacturing Co., Ltd. Technical Analysis
Positive
610.00
Price Trends
989.53
Positive
925.04
Positive
786.02
Positive
Market Momentum
30.05
Negative
61.95
Neutral
72.02
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6742, the sentiment is Positive. The current price of 610 is below the 20-day moving average (MA) of 1033.70, below the 50-day MA of 989.53, and below the 200-day MA of 786.02, indicating a bullish trend. The MACD of 30.05 indicates Negative momentum. The RSI at 61.95 is Neutral, neither overbought nor oversold. The STOCH value of 72.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6742.
Kyosan Electric Manufacturing Co., Ltd. Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | ¥67.36B | 8.64 | 11.85% | 2.26% | 8.95% | 25.08% | |
64 Neutral | ¥40.30B | 19.16 | ― | 4.23% | 9.71% | 23.67% | |
63 Neutral | ¥31.39B | 6.24 | ― | 3.29% | 7.29% | ― | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
59 Neutral | ¥175.56B | 22.98 | ― | 1.48% | 0.36% | 45.02% | |
51 Neutral | ¥73.43B | 50.72 | 2.26% | 1.75% | 7.59% | -34.90% | |
45 Neutral | ¥70.20B | 17.05 | 5.80% | 0.82% | 15.81% | ― |
* Technology Sector Average
JP:6742
Kyosan Electric Manufacturing Co., Ltd.
1,106.00
616.45
125.92%
JP:6768
Tamura Corporation
915.00
444.12
94.32%
JP:6997
Nippon Chemi-Con Corporation
2,433.00
904.32
59.16%
JP:6817
Sumida Corporation
1,252.00
254.44
25.51%
JP:6844
Shindengen Electric Mfg Co Ltd
3,040.00
90.16
3.06%
JP:6996
Nichicon Corporation
2,563.00
1,170.80
84.10%
Kyosan Electric Manufacturing Co., Ltd. Corporate Events
Kyosan Electric Secures ¥25 Billion Syndicated Commitment Line with Financial Covenants
Sep 25, 2026
Kyosan Electric Manufacturing Co., Ltd. has entered into a syndicated commitment line agreement to secure business capital, reflecting a move to bolster liquidity and financial flexibility ahead of the next fiscal year. The agreement is structured...
Kyosan Electric Swings Back to Profit and Lifts Dividend Outlook
Aug 7, 2026
Kyosan Electric reported consolidated net sales of ¥14.8 billion for the three months ended June 30, 2026, up 20.8% year on year, marking a recovery from the prior-year period’s losses. Operating profit swung to ¥97 million from a ...
Kyosan Electric Lifts Interim Earnings Forecast on Strong Signalling and Power Electronics Demand
Aug 7, 2026
Kyosan Electric Manufacturing revised upward its consolidated earnings forecast for the interim period ending September 30, 2026, citing stronger-than-expected performance. The company now expects net sales of ¥34 billion, a swing to operatin...
Kyosan Electric Returns to Profit and Raises Dividend Outlook
Aug 7, 2026
Kyosan Electric reported consolidated net sales of ¥14.8 billion for the three months ended June 30, 2026, up 20.8% year on year, with a return to profitability as operating profit reached ¥97 million and profit attributable to owners ca...
Kyosan Electric Raises Interim Earnings Forecast on Strong Demand and Efficiency Gains
Aug 7, 2026
Kyosan Electric Manufacturing has sharply upgraded its earnings forecast for the six months to September 30, 2026, now expecting net sales of ¥34.0 billion and a return to a small operating profit, compared with its earlier projection of lowe...
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.