Okamoto Glass Co., Ltd. (7746) AI Stock Analysis

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Okamoto Glass Co., Ltd.

(TSE/TYO:7746)

Select Model

Rating:48Neutral

Price Target:JPY 740.00▼(-0.94% Downside)

Action:reiterated

Date:09/30/26

The score is held down primarily by inconsistent profitability and still-elevated leverage despite some balance-sheet repair, while improving operating/free cash flow provides partial support. Technicals are constructive with the stock above major moving averages and a positive MACD, but elevated RSI suggests momentum may be overextended. Valuation remains challenged because earnings are negative and there is no dividend yield data to provide additional support.

Positive Factors

Specialized industrial glass positioningA focus on specialized functional glass gives Okamoto Glass exposure to technical applications where optical and durability characteristics matter. This positioning can support customer relevance and product differentiation over the next several months, beyond commoditized glass demand.

Negative Factors

Inconsistent profitabilityThe return to operating and net losses after several profitable years demonstrates unstable earnings power. This volatility can limit internally funded investment, weaken returns to shareholders, and make it harder to establish a dependable profit base over the next several quarters.

Okamoto Glass Co., Ltd. (7746) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 22.86B
Dividend Yield: ―
Average Volume (3M): 783.59K
Price to Earnings (P/E): -174.7
Beta (1Y): 3.43
Revenue Growth: 10.53%
EPS Growth: -499.03%
Country: Japan
Employees: 232
Sector: Technology
Sector Strength: 61
Industry: Hardware, Equipment & Parts

Okamoto Glass Co., Ltd. Business Overview & Revenue Model

Company Description

Okamoto Glass Co., Ltd., established in 1928 and headquartered in Kashiwa, Japan, specializes in the development and sale of industrial-grade, custom glass solutions and multi-layer vapor-deposited film products. The company's operations are divided...

Okamoto Glass Co., Ltd. Financial Statement Overview

Summary

Financial quality is constrained by earnings volatility and leverage. Revenue is modestly higher in 2026 (~+3%), but the company returned to operating and net losses (net margin ~-3%) despite a solid gross margin (~29%). Leverage remains elevated (debt ~2.0x equity) and ROE turned negative (~-6%). A key offset is improving cash generation: operating cash flow stayed positive and rose to ~336M in 2026, with free cash flow turning positive (~123M), though OCF is still modest versus total debt (~6%).

Income Statement

46Neutral

Balance Sheet

34Negative

Cash Flow

55Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	5.06B	4.73B	4.69B	4.58B	4.89B	5.07B
Gross Profit	1.43B	1.38B	1.50B	1.38B	1.39B	1.47B
EBITDA	460.98M	523.24M	457.62M	434.88M	426.79M	540.49M
Net Income	-128.08M	-149.34M	89.01M	101.94M	214.98M	-87.77M
Balance Sheet
Total Assets	8.46B	8.75B	8.68B	7.99B	7.59B	7.67B
Cash, Cash Equivalents and Short-Term Investments	2.54B	2.22B	1.81B	1.68B	1.54B	1.66B
Total Debt	5.05B	5.29B	5.99B	5.27B	5.05B	5.34B
Total Liabilities	5.91B	6.11B	6.88B	6.29B	6.06B	6.38B
Stockholders Equity	2.55B	2.63B	1.80B	1.69B	1.53B	1.29B
Cash Flow
Free Cash Flow	0	122.54M	-380.09M	-228.35M	109.82M	281.31M
Operating Cash Flow	0	335.88M	370.12M	337.82M	423.63M	373.77M
Investing Cash Flow	0	-251.99M	-846.87M	-473.78M	-256.37M	-713.87M
Financing Cash Flow	0	241.50M	617.91M	220.89M	-288.50M	-339.46M

Okamoto Glass Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price747.00

Price Trends

50DMA818.38Negative

100DMA799.57Negative

200DMA899.50Negative

Market Momentum

MACD-32.71Positive

RSI43.58Neutral

STOCH47.51Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7746, the sentiment is Negative. The current price of 747.00 is below the 20-day moving average (MA) of 782.00, below the 50-day MA of 818.38, and below the 200-day MA of 899.50, indicating a bearish trend. The MACD of -32.71 indicates Positive momentum. The RSI at 43.58 is Neutral, neither overbought nor oversold. The STOCH value of 47.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7746.

Okamoto Glass Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

JP:7746 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:5214	71Outperform	JPY 385.58B	16.36	4.61%	3.29%	2.62%	―
JP:6951	70Outperform	JPY 337.12B	22.12	―	2.12%	-18.36%	-19.56%
JP:4186	68Neutral	JPY 909.70B	21.86	17.98%	0.98%	24.02%	49.31%
JP:5218	65Neutral	JPY 36.41B	21.08	3.34%	1.63%	13.93%	16.45%
Sector *	61Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
JP:6965	53Neutral	JPY 635.39B	33.62	6.20%	1.65%	14.76%	43.67%
JP:7746	48Neutral	JPY 22.75B	-174.70	―	―	10.53%	-499.03%

* Technology Sector Average

Performance Comparison

JP:7746 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:7746	Okamoto Glass Co., Ltd.	747.00	358.00	92.03%
JP:6965	Hamamatsu Photonics KK	2357.50	757.26	47.32%
JP:5214	Nippon Electric Glass Co	4869.00	-663.78	-12.00%
JP:4186	Tokyo Ohka Kogyo Co	7869.00	1581.88	25.16%
JP:5218	Ohara Inc.	1534.00	376.39	32.51%
JP:6951	JEOL Ltd.	6825.00	1742.78	34.29%

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 30, 2026

Okamoto Glass Co., Ltd. AI Stock Analysis