Kimoto Co., Ltd. (7908) AI Stock Analysis

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Kimoto Co., Ltd.

(TSE/TYO:7908)

Select Model

Rating:64Neutral

Price Target:JPY 240.00▲(8.11% Upside)

Action:reiterated

Date:11/05/26

The score is driven primarily by solid financial resilience and improved profitability, anchored by an essentially debt-free balance sheet. This is tempered by weaker earnings stability signals (revenue decline, margin compression, and volatile cash conversion) and bearish near-term technical momentum, while valuation is reasonable but not clearly discounted given the ~19.9 P/E despite a ~3.1% dividend yield.

Positive Factors

Debt-free balance sheetAn essentially debt-free balance sheet materially reduces financial risk and interest burden. It preserves flexibility to withstand weaker demand, maintain operations, invest in product development, or return capital without relying heavily on refinancing.

Negative Factors

Revenue declineThe reversal from strong 2025 growth to a material 2026 revenue decline indicates that demand, shipment volume, or product mix may not be consistently supporting expansion. Sustained weaker sales would limit operating leverage and make future profit recovery more difficult.

Kimoto Co., Ltd. (7908) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 9.74B
Dividend Yield: 3.15%
Average Volume (3M): 93.39K
Price to Earnings (P/E): 19.3
Beta (1Y): 1.17
Revenue Growth: -2.46%
EPS Growth: -48.50%
Country: Japan
Employees: 417
Sector: General
Sector Strength: 55
Industry: Hardware, Equipment & Parts

Kimoto Co., Ltd. Business Overview & Revenue Model

Company Description

Kimoto Co., Ltd. operates internationally as a manufacturer and supplier of a diverse array of film and paper products. Its product line features hard coat films serving as surface materials for membrane switches, as well as a variety of hard coat, o...

How the Company Makes Money

Kimoto generates revenue primarily through the sale of its manufactured and processed materials (e.g., functional films/sheets and other industrial/electronics-related materials) to corporate customers. Its revenue model is mainly B2B product sales,...

Kimoto Co., Ltd. Financial Statement Overview

Summary

Financials are supported by an exceptionally strong balance sheet (near-zero debt) and a clear rebound in profitability versus 2023. Offsetting this, revenue declined in 2026, net margin compressed versus 2025, and cash conversion was inconsistent (operating cash flow notably low relative to net income), which reduces earnings-quality confidence.

Income Statement

62Positive

Balance Sheet

91Very Positive

Cash Flow

55Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	10.66B	10.55B	11.29B	9.91B	9.62B	12.23B
Gross Profit	4.15B	4.04B	4.33B	3.17B	2.29B	3.56B
EBITDA	1.63B	1.60B	1.95B	714.00M	-115.00M	1.30B
Net Income	573.00M	565.00M	989.00M	335.00M	-567.00M	684.00M
Balance Sheet
Total Assets	23.45B	23.25B	23.16B	22.73B	21.64B	23.89B
Cash, Cash Equivalents and Short-Term Investments	10.51B	11.14B	12.88B	13.17B	13.11B	14.15B
Total Debt	24.00M	7.00M	7.00M	7.00M	3.00M	4.00M
Total Liabilities	4.29B	4.26B	4.33B	4.58B	3.95B	5.23B
Stockholders Equity	19.15B	18.98B	18.84B	18.16B	17.69B	18.66B
Cash Flow
Free Cash Flow	0	314.00M	1.44B	134.00M	-555.00M	1.45B
Operating Cash Flow	0	579.00M	1.84B	514.00M	-190.00M	1.57B
Investing Cash Flow	0	-1.57B	-1.38B	-642.00M	-528.00M	-28.00M
Financing Cash Flow	0	-747.00M	-573.00M	-278.00M	-576.00M	-235.00M

Kimoto Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price222.00

Price Trends

50DMA234.96Negative

100DMA233.85Negative

200DMA244.07Negative

Market Momentum

MACD-4.23Positive

RSI37.82Neutral

STOCH37.03Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7908, the sentiment is Negative. The current price of 222.00 is below the 20-day moving average (MA) of 228.75, below the 50-day MA of 234.96, and below the 200-day MA of 244.07, indicating a bearish trend. The MACD of -4.23 indicates Positive momentum. The RSI at 37.82 is Neutral, neither overbought nor oversold. The STOCH value of 37.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7908.

Kimoto Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:7908 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:6850	72Outperform	JPY 30.53B	15.09	―	2.72%	6.98%	38.45%
JP:6858	65Neutral	JPY 8.12B	9.57	―	3.72%	15.62%	50.30%
JP:7908	64Neutral	JPY 10.47B	19.30	―	3.15%	-2.46%	-48.50%
JP:6848	63Neutral	JPY 15.63B	17.33	―	2.76%	-1.44%	-5.71%
JP:6866	63Neutral	JPY 120.23B	15.11	―	2.54%	16.76%	35.84%
JP:6853	60Neutral	JPY 18.25B	18.46	―	3.02%	2.51%	0.17%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

JP:7908 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:7908	Kimoto Co., Ltd.	222.00	-28.09	-11.23%
JP:6848	Dkk-Toa Corporation	796.00	-5.13	-0.64%
JP:6850	Chino Corporation	1839.00	499.08	37.25%
JP:6853	Kyowa Electronic Instruments Co., Ltd.	713.00	68.26	10.59%
JP:6858	Ono Sokki Co., Ltd.	726.00	146.96	25.38%
JP:6866	Hioki E.E.Corporation	8670.00	3056.39	54.45%

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: Nov 05, 2026

Kimoto Co., Ltd. AI Stock Analysis