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Kimura Co., Ltd. (7461) AI Stock Analysis

JP:7461

Kimura Co., Ltd.

(TSE/TYO:7461)

Select Model
Rating:55Neutral
Price Target:JPY 487.00â–²(3.62% Upside)
Action:reiterated
Date:08/17/26

The overall score of 55 reflects a neutral stance. Weak financial performance, characterized by declining profitability and negative free cash flow, is the primary drag. This is partially offset by an attractive valuation with low P/E and solid dividend yield. Technical indicators are neutral, offering no strong directional signal. Investors should monitor the company's ability to improve margins and cash flow.

Positive Factors
Improving Revenue GrowthAccelerating sales indicate improving demand or market reach in the construction materials business. Sustained top-line expansion can support operating scale and help absorb fixed costs, although profitability must recover for growth to translate into stronger returns.
Negative Factors
Material Margin CompressionBroad-based margin deterioration suggests pricing pressure, cost inflation, or weaker operating efficiency rather than a temporary earnings fluctuation. If persistent, lower margins will constrain profit growth, reduce returns, and weaken the benefit of expanding revenue.

Kimura Co., Ltd. (7461) vs. iShares MSCI Japan ETF (EWJ)

-15%-10%-5%0%5%10%15%20%25%JP:7461-4.70%EWJ+15.87%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 6.97B
Dividend Yield
2.98%
Average Volume (3M)
2,462
Price to Earnings (P/E)
9.5
Beta (1Y)
0.33
Revenue Growth
4.95%
EPS Growth
-37.95%
Country
Japan
Employees
791
Sector
Basic Materials
Sector Strength
61
Industry
Construction Materials

Kimura Co., Ltd. Business Overview & Revenue Model

Company Description

Kimura Co.,Ltd. specializes in the wholesale distribution of a wide array of housing and construction materials. The company's product offerings include sophisticated systems such as heat exchanger ventilation, underfloor heating and cooling, infrare...

How the Company Makes Money

null

Kimura Co., Ltd. Financial Statement Overview

Summary

Revenue growth is positive but profitability has declined sharply, with net margin at a five-year low of 1.9% and net income down 40% YoY. Leverage has increased (debt/equity 0.71) and free cash flow is deeply negative, indicating financial strain. Overall financial health is weak.

Income Statement

35Negative

Balance Sheet

40Negative

Cash Flow

25Negative
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue38.26B37.17B36.25B33.99B35.14B34.34B
Gross Profit11.64B10.08B10.07B9.34B9.58B9.17B
EBITDA2.73B2.54B3.16B2.81B3.37B3.11B
Net Income735.00M707.33M1.18B1.03B1.30B1.19B
Balance Sheet
Total Assets38.58B36.83B31.39B26.91B26.16B25.34B
Cash, Cash Equivalents and Short-Term Investments4.67B4.77B3.76B3.88B3.38B3.35B
Total Debt11.50B11.93B6.61B3.91B4.04B5.03B
Total Liabilities18.70B17.14B12.29B8.92B9.36B9.97B
Stockholders Equity16.97B16.85B16.26B15.33B14.34B13.18B
Cash Flow
Free Cash Flow0-3.78B-2.46B1.18B1.28B122.76M
Operating Cash Flow01.37B1.41B2.01B1.90B1.17B
Investing Cash Flow0-5.32B-3.93B-1.11B-641.81M-1.01B
Financing Cash Flow04.96B2.40B-401.21M-1.23B49.79M

Kimura Co., Ltd. Technical Analysis

Technical Analysis SentimentNeutral
Last Price470.00

Price Trends

50DMA473.38Negative
100DMA470.68Negative
200DMA473.22Negative

Market Momentum

MACD-1.01Negative
RSI49.42Neutral
STOCH57.33Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7461, the sentiment is Neutral. The current price of 470.00 is above the 20-day moving average (MA) of 469.90, below the 50-day MA of 473.38, and below the 200-day MA of 473.22, indicating a neutral trend. The MACD of -1.01 indicates Negative momentum. The RSI at 49.42 is Neutral, neither overbought nor oversold. The STOCH value of 57.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7461.

Kimura Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

JP:7461 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:5288JP:528875OutperformJPY 54.96B6.74―4.57%11.13%105.93%
JP:1994JP:199472OutperformJPY 5.23B6.94―3.47%0.70%982.74%
JP:5268JP:526870OutperformJPY 10.43B16.64―1.77%7.46%72.19%
Sector *61Neutral$10.43B7.12-0.05%2.87%2.86%-36.73%
JP:5269JP:526959NeutralJPY 19.30B21.18―2.62%0.13%―
JP:7461JP:746155NeutralJPY 6.97B9.48―2.98%4.95%-37.95%
JP:5900JP:590051NeutralJPY 5.00B15.53―2.32%11.32%83.46%

* Basic Materials Sector Average

Performance Comparison

0%20%40%JP:7461JP:1994JP:5268JP:5269JP:5288JP:5900Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:7461 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:7461Kimura Co., Ltd.470.00-17.36-3.56%
JP:1994Takahashi Curtain Wall Corporation606.00126.2926.33%
JP:5268Asahi Concrete Works Co., Ltd.793.0019.562.53%
JP:5269Nippon Concrete Industries Co., Ltd.344.0029.379.33%
JP:5288ASIA PILE HOLDINGS Corporation1443.00281.2524.21%
JP:5900Daiken Co., Ltd.862.0066.958.42%
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: Aug 17, 2026