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Japan Resistor Mfg.Co. (6977) AI Stock Analysis

JP:6977

Japan Resistor Mfg.Co.

(TSE/TYO:6977)

Select Model
Rating:53Neutral
Price Target:JPY 1,923.00â–²(1.32% Upside)
Action:reiterated
Date:10/02/26

The overall stock score of 53 is heavily weighed down by severe financial deterioration, including widening losses, high leverage, and a negative P/E ratio. While exceptionally strong technical momentum provides a significant uplift to the score, the fundamental business trajectory remains highly risky.

Positive Factors
Cash-flow reboundThe return to positive operating and free cash flow in 2025 is an important improvement in internal funding capacity. If sustained, it could help support operations and investment without relying as heavily on external financing, although consistency remains to be demonstrated.
Negative Factors
Persistent and worsening lossesThe shift from positive earnings in 2022–2023 to larger net losses in 2024–2025 shows that the current business model is not converting revenue into sustainable bottom-line profits. Continued losses can weaken equity, restrict reinvestment, and reduce financial resilience.

Japan Resistor Mfg.Co. (6977) vs. iShares MSCI Japan ETF (EWJ)

-25%0%25%50%75%100%125%JP:6977+103.47%EWJ+17.00%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 2.35B
Dividend Yield
1.32%
Average Volume (3M)
24.40K
Price to Earnings (P/E)
-10.0
Beta (1Y)
0.57
Revenue Growth
2.86%
EPS Growth
37.26%
Country
Japan
Employees
302
Sector
General
Sector Strength
55
Industry
Hardware, Equipment & Parts

Japan Resistor Mfg.Co. Business Overview & Revenue Model

Company Description

Established in Nanto, Japan, in 1943, Japan Resistor Mfg. Co., Ltd. is a global enterprise dedicated to the research, production, and distribution of an extensive range of electronic components and integrated systems. Their product portfolio features...

Japan Resistor Mfg.Co. Financial Statement Overview

Summary

Financial performance is severely impacted by shrinking revenues and widening net losses, which have eroded the equity base and driven leverage to a highly concerning 3.51x debt-to-equity ratio. While operating and free cash flow recently turned positive, the underlying business trajectory remains deeply negative and limits sustainable growth.

Income Statement

15Very Negative

Balance Sheet

25Negative

Cash Flow

48Neutral
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue6.20B5.91B6.45B7.18B7.20B6.19B
Gross Profit1.43B1.25B1.31B1.54B1.68B1.40B
EBITDA189.78M52.87M33.79M307.69M385.79M273.01M
Net Income-235.73M-376.51M-181.41M51.34M133.21M49.87M
Balance Sheet
Total Assets7.37B7.21B7.73B7.67B7.62B6.84B
Cash, Cash Equivalents and Short-Term Investments2.01B1.66B1.67B1.50B1.37B1.42B
Total Debt4.13B4.11B4.22B3.79B3.24B2.96B
Total Liabilities5.64B5.55B5.83B5.64B5.59B4.97B
Stockholders Equity1.18B1.17B1.51B1.63B1.65B1.52B
Cash Flow
Free Cash Flow0105.73M-251.87M-415.00M-260.16M-377.54M
Operating Cash Flow0230.62M76.04M-186.00M-144.18M-275.77M
Investing Cash Flow0-75.58M-199.80M-204.34M-103.87M-88.50M
Financing Cash Flow0-168.67M240.83M494.00M221.27M9.95M

Japan Resistor Mfg.Co. Technical Analysis

Technical Analysis SentimentPositive
Last Price1898.00

Price Trends

50DMA1674.98Positive
100DMA1567.62Positive
200DMA1283.61Positive

Market Momentum

MACD56.99Positive
RSI74.88Negative
STOCH61.11Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6977, the sentiment is Positive. The current price of 1898.00 is above the 20-day moving average (MA) of 1896.50, above the 50-day MA of 1674.98, and above the 200-day MA of 1283.61, indicating a bullish trend. The MACD of 56.99 indicates Positive momentum. The RSI at 74.88 is Negative, neither overbought nor oversold. The STOCH value of 61.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6977.

Japan Resistor Mfg.Co. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

JP:6977 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:6762JP:676262NeutralJPY 4.88T20.79―1.56%25.38%50.76%
JP:6981JP:698162NeutralJPY 11.73T40.1910.61%1.10%14.53%24.27%
JP:6999JP:699960NeutralJPY 68.88B8.749.60%2.39%21.57%333.66%
JP:6817JP:681757NeutralJPY 36.49B16.73―4.78%9.71%23.67%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
JP:6977JP:697753NeutralJPY 2.35B-9.96―1.32%2.86%37.26%
JP:6976JP:697644NeutralJPY 1.14T58.89―1.05%5.60%―

* General Sector Average

Performance Comparison

0%100%200%300%400%JP:6977JP:6999JP:6981JP:6762JP:6817JP:6976Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:6977 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:6977Japan Resistor Mfg.Co.1898.00954.39101.14%
JP:6999Koa Corporation2028.00731.8656.46%
JP:6981Murata Manufacturing Co 6358.002947.3086.41%
JP:6762TDK Corporation2572.0018.990.74%
JP:6817Sumida Corporation1109.0023.202.14%
JP:6976Taiyo Yuden Co., Ltd.8553.004141.8393.89%
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: Oct 01, 2026