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Tomita Electric Co., Ltd. (JP:6898)
:6898
Japanese Market
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Tomita Electric Co., Ltd. (6898) AI Stock Analysis

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JP:6898

Tomita Electric Co., Ltd.

(6898)

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Neutral 59 (OpenAI - Gpt-5.6Sol)
Rating:59Neutral
Price Target:
¥5,121.00
▲(49.74% Upside)
Action:Reiterated
Date:09/09/26
The score is held back primarily by weak cash generation and still-negative operating profitability despite the FY2026 net-income recovery. Strong technical momentum and a clear uptrend support the score, but an overbought setup and a very high P/E reduce the overall attractiveness at current levels.
Positive Factors
Debt-Free Balance Sheet
The absence of reported debt and the substantial equity base reduce financial risk and interest burdens across business cycles. This gives Tomita Electric greater flexibility to absorb weaker periods, support operations internally, and pursue product or capacity priorities without immediate leverage pressure.
Negative Factors
Negative Operating Profitability
Despite the return to positive net income, the core business still loses money at the operating level. Persistent operating losses suggest that revenue recovery and gross-margin gains have not yet covered the company’s cost base, leaving earnings quality and sustainable profitability uncertain.
Read all positive and negative factors
Positive Factors
Negative Factors
Debt-Free Balance Sheet
The absence of reported debt and the substantial equity base reduce financial risk and interest burdens across business cycles. This gives Tomita Electric greater flexibility to absorb weaker periods, support operations internally, and pursue product or capacity priorities without immediate leverage pressure.
Read all positive factors

Tomita Electric Co., Ltd. (6898) vs. iShares MSCI Japan ETF (EWJ)

Tomita Electric Co., Ltd. Business Overview & Revenue Model

Company Description
Tomita Electric Co.,Ltd. manufactures and sells ferrite cores and electronic components in Japan, Asia, and internationally. The company offers soft ferrite cores; and coils and transformers. Its products are used in switching power supply transfo...
How the Company Makes Money
Tomita Electric generates revenue primarily through the manufacture and sale of magnetic materials and related components. Its main cash inflows come from (1) product sales of ferrite and other magnetic materials (including processed/formed parts)...

Tomita Electric Co., Ltd. Financial Statement Overview

Summary
Results improved in FY2026 with revenue rebounding (+12.0% YoY) and a return to positive net income (7.7% net margin), but core profitability and cash quality remain weak. Operating income is still negative (EBIT margin -3.8%) and cash generation is poor with negative operating cash flow (~-¥117M) and negative free cash flow (~-¥137M) in FY2026.
Income Statement
58
Neutral
Balance Sheet
82
Very Positive
Cash Flow
38
Negative
BreakdownTTMJan 2026Jan 2025Jan 2024Jan 2023Jan 2022
Income Statement
Total Revenue1.84B1.60B1.42B1.49B2.00B1.83B
Gross Profit545.48M414.74M276.35M403.76M635.46M567.89M
EBITDA87.13M-12.06M-122.13M21.10M191.79M174.75M
Net Income53.30M123.76M-171.15M-33.59M95.44M106.72M
Balance Sheet
Total Assets4.74B4.66B4.79B4.70B4.56B4.26B
Cash, Cash Equivalents and Short-Term Investments1.15B1.11B1.25B1.32B1.06B1.04B
Total Debt0.000.000.000.000.000.00
Total Liabilities650.48M678.39M938.63M917.13M1.02B970.07M
Stockholders Equity4.09B3.98B3.85B3.78B3.54B3.29B
Cash Flow
Free Cash Flow0.00-137.50M-221.67M43.68M-34.10M28.61M
Operating Cash Flow0.00-117.13M-109.14M77.92M40.02M59.36M
Investing Cash Flow0.00-26.84M-118.20M-40.38M-82.26M-35.08M
Financing Cash Flow0.0015.07M78.47M177.29M-5.59M-11.96M

Tomita Electric Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3420.00
Price Trends
50DMA
4029.80
Positive
100DMA
3896.90
Positive
200DMA
3788.63
Positive
Market Momentum
MACD
380.59
Negative
RSI
58.04
Neutral
STOCH
23.41
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6898, the sentiment is Positive. The current price of 3420 is below the 20-day moving average (MA) of 4601.00, below the 50-day MA of 4029.80, and below the 200-day MA of 3788.63, indicating a bullish trend. The MACD of 380.59 indicates Negative momentum. The RSI at 58.04 is Neutral, neither overbought nor oversold. The STOCH value of 23.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6898.

Tomita Electric Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
¥17.59B9.729.38%85.99%704.70%
74
Outperform
¥11.26B4.701.94%7.60%127.07%
71
Outperform
¥94.14B11.101.96%6.32%186.26%
70
Outperform
¥139.95B10.1110.21%1.80%0.75%-19.03%
69
Neutral
¥72.10B20.222.47%-0.13%-16.53%
59
Neutral
¥3.23B75.3328.89%106.89%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6898
Tomita Electric Co., Ltd.
4,900.00
1,895.00
63.06%
JP:6632
JVCKENWOOD Corporation
998.90
-174.34
-14.86%
JP:5906
MK Seiko Co., Ltd.
772.00
229.07
42.19%
JP:6794
Foster Electric Company, Limited
3,240.00
987.31
43.83%
JP:6810
Maxell, Ltd.
2,554.00
456.93
21.79%
JP:6927
Helios Techno Holding Co., Ltd.
970.00
109.90
12.78%

Tomita Electric Co., Ltd. Corporate Events

Tomita Electric Delivers Higher Sales and Returns to Operating Profit in Q2 2026
Sep 11, 2026
Tomita Electric Co., Ltd. reported consolidated net sales of ¥972 million for the second quarter ended July 2026, up 33.1% year on year, reflecting solid top-line growth. Operating profit swung to ¥48 million from a loss in the prior-yea...
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: Sep 09, 2026