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

1 Followers

Okaya Electric Industries Co., Ltd.

(TSE/TYO:6926)

Select Model

Rating:51Neutral

Price Target:JPY 194.00▲(8.99% Upside)

Action:reiterated

Date:09/06/26

The overall stock score of 51 is heavily dragged down by severe fundamental distress, including massive operational losses, significant cash burn, and a deeply negative valuation. Despite these critical structural risks, the stock maintains solid short-to-medium-term technical momentum, trading above key moving averages with supportive indicators, providing some buoyancy to the final score.

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 3.98B
Dividend Yield: ―
Average Volume (3M): 15.57K
Price to Earnings (P/E): -2.7
Beta (1Y): 0.35
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

Reflects severe financial distress with collapsing gross margins, substantial net losses, and aggressive cash burn. While current debt levels remain moderately manageable, a negative return on equity and rapidly eroding shareholder equity present significant long-term stability risks.

Income Statement

20Very Negative

Balance Sheet

45Neutral

Cash Flow

15Very 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 SentimentNegative

Last Price178.00

Price Trends

50DMA190.48Negative

100DMA188.25Negative

200DMA192.24Negative

Market Momentum

MACD-2.52Positive

RSI33.26Neutral

STOCH54.76Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6926, the sentiment is Negative. The current price of 178.00 is below the 20-day moving average (MA) of 187.10, below the 50-day MA of 190.48, and below the 200-day MA of 192.24, indicating a bearish trend. The MACD of -2.52 indicates Positive momentum. The RSI at 33.26 is Neutral, neither overbought nor oversold. The STOCH value of 54.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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 718.01B	20.75	9.35%	2.32%	20.52%	17.77%
JP:6908	66Neutral	JPY 61.10B	22.18	―	3.83%	9.70%	3.12%
JP:6981	64Neutral	JPY 9.63T	32.72	10.61%	1.35%	14.53%	24.27%
JP:6996	62Neutral	JPY 131.56B	13.22	―	1.99%	8.34%	187.11%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:6817	55Neutral	JPY 34.97B	16.00	―	4.92%	14.18%	9.84%
JP:6926	51Neutral	JPY 4.09B	-2.67	―	―	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.	178.00	-22.00	-11.00%
JP:6806	HIROSE ELECTRIC CO	22440.00	5115.37	29.53%
JP:6981	Murata Manufacturing Co	5177.00	2105.59	68.55%
JP:6817	Sumida Corporation	1077.00	-39.50	-3.54%
JP:6908	IRISO Electronics Co., Ltd.	2682.00	-418.55	-13.50%
JP:6996	Nichicon Corporation	1910.00	623.91	48.51%

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