Okaya Electric Industries Co., Ltd. (6926) AI Stock Analysis

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Okaya Electric Industries Co., Ltd.

(TSE/TYO:6926)

Select Model

Rating:46Neutral

Price Target:JPY 189.00▲(3.28% Upside)

Action:reiterated

Date:09/06/26

The overall score is heavily pressured by the company's dire financial state, marked by significant losses and negative cash flows, which poses a fundamental risk. While recent short-term technical momentum is positive, it does not offset the severe underlying business weaknesses. The negative P/E ratio further confirms the lack of earnings-based value.

Positive Factors

Revenue growthRevenue growth indicates that demand for the company’s electronic components remains intact despite recent profitability pressure. Continued shipments across noise suppression and protection applications can support recovery if the company converts stable or expanding sales into healthier margins.

Negative Factors

Deep losses and margin collapseThe sharp margin contraction and move into deep operating and net losses indicate that current revenue is not translating into economically sustainable earnings. Unless pricing, costs, or product mix improve, ongoing losses could weaken competitiveness and reduce resources available for investment.

Okaya Electric Industries Co., Ltd. (6926) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 4.16B
Dividend Yield: ―
Average Volume (3M): 15.26K
Price to Earnings (P/E): -2.6
Beta (1Y): 0.40
Revenue Growth: 11.87%
EPS Growth: 21.86%
Country: Japan
Employees: 1,101
Sector: General
Sector Strength: 55
Industry: Hardware, Equipment & Parts

Okaya Electric Industries Co., Ltd. Business Overview & Revenue Model

Company Description

Okaya Electric Industries Co., Ltd., established in 1939 and headquartered in Tokyo, Japan, functions as a global developer and provider of electrical components and equipment. Its extensive product range includes various noise suppression solutions,...

How the Company Makes Money

Okaya Electric Industries primarily makes money by selling electronic components and related products to business customers (B2B), generating revenue from shipments of parts that are designed into customers’ electronic devices and systems. Its key re...

Okaya Electric Industries Co., Ltd. Financial Statement Overview

Summary

Financial health is critically weak. The Income Statement (Score 18) shows deep operating and net losses with collapsed margins. The Cash Flow Statement (Score 14) indicates persistent cash burn. The Balance Sheet (Score 28) reflects eroding equity. Overall, the company faces severe profitability and liquidity challenges.

Income Statement

18Very Negative

Balance Sheet

28Negative

Cash Flow

14Very Negative

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	10.74B	10.23B	9.60B	14.32B	17.11B	13.37B
Gross Profit	1.05B	931.71M	906.95M	3.18B	3.58B	2.22B
EBITDA	-1.32B	-1.40B	-1.42B	682.69M	951.91M	-181.10M
Net Income	-1.58B	-1.64B	-1.71B	120.96M	613.18M	-436.27M
Balance Sheet
Total Assets	14.07B	13.40B	14.05B	17.06B	16.79B	16.00B
Cash, Cash Equivalents and Short-Term Investments	2.45B	2.59B	3.30B	4.89B	3.49B	4.33B
Total Debt	4.47B	4.46B	4.00B	4.76B	4.92B	5.42B
Total Liabilities	8.04B	7.50B	6.98B	8.02B	8.56B	8.74B
Stockholders Equity	6.02B	5.90B	7.07B	9.04B	8.23B	7.26B
Cash Flow
Free Cash Flow	0	-1.34B	-574.72M	1.71B	-295.38M	-1.74B
Operating Cash Flow	0	-1.13B	-400.16M	2.10B	-52.76M	-1.57B
Investing Cash Flow	0	34.08M	-178.31M	-398.07M	-245.93M	-177.11M
Financing Cash Flow	0	320.22M	-966.45M	-454.44M	-587.28M	1.23B

Okaya Electric Industries Co., Ltd. Technical Analysis

Technical Analysis SentimentNeutral

Last Price183.00

Price Trends

50DMA190.80Negative

100DMA188.31Negative

200DMA192.42Negative

Market Momentum

MACD-1.93Positive

RSI47.11Neutral

STOCH70.24Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6926, the sentiment is Neutral. The current price of 183.00 is below the 20-day moving average (MA) of 188.25, below the 50-day MA of 190.80, and below the 200-day MA of 192.42, indicating a bearish trend. The MACD of -1.93 indicates Positive momentum. The RSI at 47.11 is Neutral, neither overbought nor oversold. The STOCH value of 70.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6926.

Okaya Electric Industries Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:6926 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:6806	70Outperform	JPY 732.27B	20.95	9.35%	2.30%	20.52%	17.77%
JP:6908	66Neutral	JPY 60.14B	21.59	―	3.89%	9.70%	3.12%
JP:6981	64Neutral	JPY 10.06T	33.02	10.61%	1.34%	14.53%	24.27%
JP:6996	60Neutral	JPY 138.34B	13.44	―	1.96%	8.34%	187.11%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:6817	55Neutral	JPY 34.65B	15.80	―	4.99%	14.18%	9.84%
JP:6926	46Neutral	JPY 4.18B	-2.58	―	―	11.87%	21.86%

* General Sector Average

Performance Comparison

JP:6926 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:6926	Okaya Electric Industries Co., Ltd.	183.00	-17.00	-8.50%
JP:6806	HIROSE ELECTRIC CO	22650.00	4909.97	27.68%
JP:6981	Murata Manufacturing Co	5224.00	2157.52	70.36%
JP:6817	Sumida Corporation	1063.00	-65.01	-5.76%
JP:6908	IRISO Electronics Co., Ltd.	2611.00	-432.13	-14.20%
JP:6996	Nichicon Corporation	1941.00	666.70	52.32%

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 06, 2026

Okaya Electric Industries Co., Ltd. AI Stock Analysis