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Cosel Co., Ltd. (6905) AI Stock Analysis

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JP:6905

Cosel Co., Ltd.

(TSE/TYO:6905)

Select Model
Rating:59.5Neutral
Price Target:JPY 1,281.00â–²(4.74% Upside)
Action:reiterated
Date:09/20/26

The overall score of 59.5 reflects a company with a fortress-like balance sheet that provides significant downside protection, which is the most significant positive factor. This is offset by severe income statement weakness, characterized by declining revenues and net losses, which is the primary risk. Technicals are neutral, and the valuation is unattractive due to negative earnings, though the high dividend yield is a minor positive. The company's financial strength allows it to weather the current storm, but a fundamental turnaround in operations is critical for a higher rating.

Positive Factors
Very low leverageExtremely low leverage gives Cosel substantial financial resilience while earnings are under pressure. Limited debt obligations reduce solvency and refinancing risk, preserve cash for product development or operations, and provide flexibility to withstand an industrial demand downturn.
Negative Factors
Sharp revenue contractionA steep revenue decline signals materially weaker demand, customer production, or market conditions across the company’s served applications. Sustained top-line pressure can reduce operating leverage, weaken investment capacity, and make recovery dependent on a broad improvement in end-market activity.

Cosel Co., Ltd. (6905) vs. iShares MSCI Japan ETF (EWJ)

-10%0%10%20%30%40%JP:6905+7.92%EWJ+13.61%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 50.88B
Dividend Yield
4.43%
Average Volume (3M)
248.84K
Price to Earnings (P/E)
-19.1
Beta (1Y)
1.04
Revenue Growth
17.15%
EPS Growth
-463.16%
Country
Japan
Employees
717
Sector
Industrials
Sector Strength
63
Industry
Hardware, Equipment & Parts

Cosel Co., Ltd. Business Overview & Revenue Model

Company Description

Cosel Co., Ltd. operates as a global producer and supplier of electrical components and electromagnetic interference (EMI) filters, catering to both Japanese domestic and international markets. The firm's comprehensive product range encompasses AC-DC...

How the Company Makes Money

Cosel primarily makes money by selling power-conversion products—most notably AC-DC switching power supplies and DC-DC converters—to business customers (OEMs and equipment manufacturers) that integrate these components into their own end products. Re...

Cosel Co., Ltd. Financial Statement Overview

Summary

Financial performance is mixed. The balance sheet is exceptionally strong (Score 90) with negligible debt and high equity, providing a solid foundation. Cash flow remains positive and covers obligations (Score 65). However, the income statement is weak (Score 30) due to a sharp revenue decline and net losses in recent periods. The overall financial health is supported by the robust balance sheet, but profitability concerns weigh heavily.

Income Statement

30Negative

Balance Sheet

90Very Positive

Cash Flow

65Positive
Financial statement breakdown
BreakdownTTMMay 2026May 2026May 2025May 2024May 2023
Income Statement
Total Revenue23.33B27.05B25.05B41.44B35.27B28.08B
Gross Profit5.76B7.21B6.04B13.74B10.62B7.96B
EBITDA1.38B1.85B-1.94B8.95B6.50B4.21B
Net Income-398.37M-113.66M-3.41B5.17B3.16B1.90B
Balance Sheet
Total Assets59.99B60.33B60.58B54.40B49.17B46.04B
Cash, Cash Equivalents and Short-Term Investments30.00B28.09B30.27B16.91B13.38B15.38B
Total Debt248.00M281.75M226.00M325.08M323.90M432.77M
Total Liabilities4.44B4.50B8.41B7.14B6.85B5.10B
Stockholders Equity55.55B55.84B52.16B47.09B42.21B40.87B
Cash Flow
Free Cash Flow1.25B2.09B1.30B4.32B169.00M-1.90B
Operating Cash Flow1.81B3.86B3.04B5.53B1.03B-1.02B
Investing Cash Flow-628.17M-1.62B-1.41B-1.83B676.50M1.93B
Financing Cash Flow-1.17B9.23B-2.40B-1.60B-2.12B-1.35B

Cosel Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price1223.00

Price Trends

50DMA1344.00Negative
100DMA1356.14Negative
200DMA1305.82Negative

Market Momentum

MACD-49.73Positive
RSI43.17Neutral
STOCH45.12Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6905, the sentiment is Negative. The current price of 1223.00 is below the 20-day moving average (MA) of 1285.75, below the 50-day MA of 1344.00, and below the 200-day MA of 1305.82, indicating a bearish trend. The MACD of -49.73 indicates Positive momentum. The RSI at 43.17 is Neutral, neither overbought nor oversold. The STOCH value of 45.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6905.

Cosel Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

JP:6905 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:6504JP:650476OutperformJPY 1.63T15.3314.39%1.85%9.29%34.41%
JP:6946JP:694667NeutralJPY 92.01B16.4330.85%0.18%45.20%107.87%
JP:6804JP:680465NeutralJPY 110.65B5.9212.49%5.10%40.52%147.61%
JP:6516JP:651664NeutralJPY 170.04B14.20―3.47%20.05%53.26%
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
JP:6905JP:690560NeutralJPY 49.85B-19.08―4.43%17.15%-463.16%
JP:6506JP:650657NeutralJPY 986.31B28.157.43%1.80%5.82%-37.13%

* Industrials Sector Average

Performance Comparison

0%25%50%75%100%JP:6905JP:6504JP:6804JP:6506JP:6946JP:6516Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:6905 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:6905Cosel Co., Ltd.1223.0081.177.11%
JP:6504Fuji Electric Co 11620.001262.1012.18%
JP:6804Hosiden Corp2206.00-206.24-8.55%
JP:6506Yaskawa Electric Corporation3824.00-158.02-3.97%
JP:6946Nippon Avionics Co., Ltd.5560.00577.6411.59%
JP:6516Sanyo Denki Co., Ltd.4580.00859.6723.11%

Cosel Co., Ltd. Corporate Events

COSEL Announces Acquisition of 1.4 Million Treasury Shares

Nov 13, 2026

COSEL Co., Ltd. announced that it acquired 1,400,000 common shares on November 13, 2026, for ¥1,712,200,000, or ¥1,223 per share, through the Tokyo Stock Exchange’s ToSTNeT-3 off-auction repurchase system. The stated reasons were to enhance sharehold...

COSEL Announces Treasury Share Acquisition Plan Via ToSTNeT-3

Nov 12, 2026

COSEL Co., Ltd. announced a board resolution to acquire treasury shares to improve capital efficiency and enable flexible capital policies as business conditions change. It plans to buy up to 1.6 million common shares, or 3.89% of issued shares exclu...

COSEL Revises Second-Quarter Forecasts

Nov 12, 2026

COSEL Co., Ltd. is listed on the Tokyo Stock Exchange Prime Market under securities code 6905. It revised its consolidated financial forecasts for the second quarter of the fiscal year ending May 20, 2027, covering May 21 to November 20, 2026.Compare...

Cosel Lifts Earnings Outlook on AI-Driven Semiconductor Demand

Sep 18, 2026

Cosel has raised its consolidated and non-consolidated forecasts for the second quarter ending November 2026 and the full year to May 2027, projecting higher net sales, operating profit and earnings per share. The company now expects consolidated ful...

Cosel Returns to Profit and Raises Outlook as Sales Surge 54%

Sep 18, 2026

Cosel reported a sharp rebound in performance for the three months ended August 20, 2026, with net sales rising 54.0% year-on-year to ¥7.8 billion and a return to profitability after losses in the prior-year period. Profit attributable to owners of t...

Cosel Completes Treasury Share Disposal for Performance-Linked Executive Stock Compensation

Sep 8, 2026

Cosel Co., Ltd. has completed payment procedures for the disposal of its treasury shares used as performance-linked restricted stock compensation for executives. The move aligns equity incentives with company performance and reflects ongoing efforts...

Cosel Completes Sale of Powerbox Unit, Books ¥3.6 Billion Loss

Sep 2, 2026

Cosel Co., Ltd. has completed the transfer of all shares in its former consolidated subsidiary Powerbox International AB to Voltaris GmbH, a special purpose vehicle indirectly backed by HYPAX GmbH. With the September 1, 2026 closing of the transactio...

Cosel Reaffirms Lite-On Alliance While Emphasizing Governance Independence

Aug 18, 2026

Cosel has clarified its relationship with Lite-On Technology, confirming Lite-On as its largest shareholder and an affiliated company under a capital and business alliance agreement aimed at integrating technological strengths and building a global f...

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 20, 2026