Harada Industry Co., Ltd. (6904) AI Stock Analysis

Harada Industry Co., Ltd.

(TSE/TYO:6904)

Select Model

Rating:65Neutral

Price Target:JPY 784.00▲(7.54% Upside)

Action:downgraded

Date:09/29/26

The score is primarily supported by solid financial turnaround in profitability and cash flows. Overbought technical signals pose short-term risks, while valuation remains reasonable.

Positive Factors

Profitability RecoveryThe shift from sustained losses to positive earnings and stronger operating profit indicates meaningful operational recovery. If maintained, improved profitability can support internal investment, strengthen resilience, and provide a more durable earnings base despite the company’s cyclical automotive exposure.

Negative Factors

Revenue DeclineThe reversal from strong revenue growth to declines in both 2025 and 2026 raises concern about demand and vehicle-platform volume support. Persistent top-line contraction could limit operating leverage, weaken profit recovery, and make the company more sensitive to changes in automotive production.

Harada Industry Co., Ltd. (6904) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 15.42B
Dividend Yield: 1.03%
Average Volume (3M): 269.96K
Price to Earnings (P/E): 15.2
Beta (1Y): 0.46
Revenue Growth: -0.70%
EPS Growth: 109.37%
Country: Japan
Employees: 4,000
Sector: General
Sector Strength: 55
Industry: Communication Equipment

Harada Industry Co., Ltd. Business Overview & Revenue Model

Company Description

Harada Industry Co., Ltd. operates globally, specializing in the complete lifecycle of automotive communication systems. Their expertise spans the planning, design, development, manufacturing, and distribution of a wide range of vehicle antennas, sup...

How the Company Makes Money

Harada Industry primarily makes money by designing, manufacturing, and selling automotive antennas and RF-related products to automotive OEMs and automotive parts suppliers for installation in new vehicles. Revenue is generated mainly through (1) sal...

Harada Industry Co., Ltd. Financial Statement Overview

Summary

Turnaround to net profits and robust free cash flow growth, alongside improved leverage and equity position despite recent revenue softness.

Income Statement

65Positive

Balance Sheet

75Positive

Cash Flow

80Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	43.46B	42.19B	44.82B	46.99B	42.11B	35.81B
Gross Profit	10.40B	9.54B	9.23B	8.66B	7.06B	5.81B
EBITDA	4.42B	3.28B	3.07B	4.41B	552.45M	224.09M
Net Income	1.01B	433.73M	166.22M	885.67M	-1.53B	-1.11B
Balance Sheet
Total Assets	36.24B	35.84B	39.14B	37.75B	40.30B	36.02B
Cash, Cash Equivalents and Short-Term Investments	7.75B	6.98B	6.45B	5.14B	5.97B	3.75B
Total Debt	13.95B	14.93B	17.79B	16.00B	20.70B	17.97B
Total Liabilities	21.06B	22.13B	25.76B	25.83B	29.13B	24.82B
Stockholders Equity	15.17B	13.71B	13.38B	11.91B	11.17B	11.21B
Cash Flow
Free Cash Flow	0	3.62B	105.48M	1.69B	-97.12M	-4.26B
Operating Cash Flow	0	4.17B	855.89M	2.42B	558.64M	-3.57B
Investing Cash Flow	0	-569.54M	-408.51M	2.57B	-569.39M	-131.19M
Financing Cash Flow	0	-3.12B	573.12M	-6.00B	2.00B	2.50B

Harada Industry Co., Ltd. Technical Analysis

Technical Analysis SentimentNeutral

Last Price729.00

Price Trends

50DMA732.54Negative

100DMA591.98Positive

200DMA530.82Positive

Market Momentum

MACD2.54Positive

RSI40.34Neutral

STOCH11.05Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6904, the sentiment is Neutral. The current price of 729.00 is below the 20-day moving average (MA) of 839.85, below the 50-day MA of 732.54, and above the 200-day MA of 530.82, indicating a neutral trend. The MACD of 2.54 indicates Positive momentum. The RSI at 40.34 is Neutral, neither overbought nor oversold. The STOCH value of 11.05 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6904.

Harada Industry Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:6904 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:6703	77Outperform	JPY 208.45B	8.15	15.75%	2.70%	-3.84%	183.41%
JP:6820	77Outperform	JPY 51.96B	16.76	―	2.07%	4.53%	36.26%
JP:6718	74Outperform	JPY 42.16B	13.42	―	4.86%	0.84%	22.33%
JP:6675	69Neutral	JPY 35.36B	2.09	―	4.42%	-2.98%	322.40%
JP:6771	68Neutral	JPY 4.25B	12.10	―	2.26%	8.65%	177.02%
JP:6904	65Neutral	JPY 15.86B	15.20	―	1.03%	-0.70%	109.37%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

JP:6904 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:6904	Harada Industry Co., Ltd.	729.00	269.30	58.58%
JP:6703	OKI Electric Industry Company	2407.00	604.81	33.56%
JP:6675	SAXA Holdings, Inc.	1929.00	231.59	13.64%
JP:6718	Aiphone Co., Ltd.	2675.00	-15.58	-0.58%
JP:6771	Ikegami Tsushinki Co., Ltd.	665.00	73.28	12.38%
JP:6820	Icom Incorporated	3620.00	554.45	18.09%

Harada Industry Co., Ltd. Corporate Events

Harada Industry Posts Strong Q1 but Maintains Cautious Full-Year Outlook

Aug 13, 2026

Harada Industry Co., Ltd. reported strong first-quarter results for the fiscal year ending March 31, 2027, with net sales rising 12.5% year-on-year to ¥11.39 billion and operating profit surging 79.7% to ¥1.63 billion. Profit attributable t...

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 29, 2026

Harada Industry Co., Ltd. AI Stock Analysis