Komatsu Wall Industry Co., Ltd. (7949) AI Stock Analysis

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Komatsu Wall Industry Co., Ltd.

(TSE/TYO:7949)

Select Model

Rating:67Neutral

Price Target:JPY 2,796.00▲(5.63% Upside)

Action:downgraded

Date:11/07/26

The company's exceptional financial strength, marked by a debt-free balance sheet and improving margins, is the primary support for the score. This is significantly offset by weak technicals, as the stock is in a bearish trend with declining momentum. A reasonable valuation and high dividend yield provide a moderate buffer.

Positive Factors

Conservative Balance SheetThe exceptionally low debt burden gives Komatsu Wall Industry substantial financial flexibility and limited solvency risk. A strong equity base can help the company withstand construction-cycle volatility, fund operations, and pursue investment without relying heavily on external financing.

Negative Factors

Volatile Free Cash FlowNegative free cash flow despite higher profits indicates that earnings are not consistently converting into discretionary cash. Heavier investment or working-capital needs can reduce near-term funding flexibility and create variability in the company’s ability to support dividends or other capital uses.

Komatsu Wall Industry Co., Ltd. (7949) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 46.59B
Dividend Yield: 4.91%
Average Volume (3M): 54.85K
Price to Earnings (P/E): 15.3
Beta (1Y): 0.85
Revenue Growth: 4.47%
EPS Growth: 12.02%
Country: Japan
Employees: 978
Sector: General
Sector Strength: 55
Industry: Construction Materials

Komatsu Wall Industry Co., Ltd. Business Overview & Revenue Model

Company Description

Established in Komatsu, Japan, in 1968, Komatsu Wall Industry Co., Ltd. specializes in the full lifecycle of wall systems and flexible room dividers for the Japanese market. Their operations cover the design, manufacturing, installation, sales, and s...

How the Company Makes Money

Komatsu Wall Industry makes money primarily by selling and installing interior partition systems and related interior building components for non-residential construction and renovation projects. Key revenue streams typically include: (1) Product sal...

Komatsu Wall Industry Co., Ltd. Financial Statement Overview

Summary

The company shows solid financial health with improving profitability and a pristine, nearly debt-free balance sheet. However, a temporary negative free cash flow due to high capex tempers the overall score.

Income Statement

82Very Positive

Balance Sheet

92Very Positive

Cash Flow

68Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	47.64B	46.73B	44.62B	43.55B	37.77B	34.54B
Gross Profit	17.16B	16.87B	15.23B	14.28B	11.98B	10.88B
EBITDA	5.30B	5.33B	4.96B	4.87B	3.49B	2.91B
Net Income	3.04B	3.05B	2.65B	2.77B	1.63B	1.24B
Balance Sheet
Total Assets	47.98B	48.60B	46.91B	47.61B	44.89B	42.28B
Cash, Cash Equivalents and Short-Term Investments	10.75B	12.24B	16.71B	17.64B	15.58B	15.34B
Total Debt	385.00M	174.00M	189.00M	204.00M	195.00M	0
Total Liabilities	8.68B	9.37B	9.11B	9.54B	8.66B	6.88B
Stockholders Equity	39.30B	39.24B	37.79B	38.07B	36.23B	35.40B
Cash Flow
Free Cash Flow	0	-2.55B	2.00B	3.36B	1.09B	2.02B
Operating Cash Flow	0	4.38B	3.33B	4.27B	1.68B	2.87B
Investing Cash Flow	0	-6.09B	-469.00M	-1.17B	-636.00M	-1.53B
Financing Cash Flow	0	-1.80B	-2.73B	-1.06B	-810.00M	-805.00M

Komatsu Wall Industry Co., Ltd. Technical Analysis

Technical Analysis SentimentNeutral

Last Price2647.00

Price Trends

50DMA2713.45Negative

100DMA2661.43Negative

200DMA2619.36Positive

Market Momentum

MACD-25.52Negative

RSI47.23Neutral

STOCH81.38Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7949, the sentiment is Neutral. The current price of 2647.00 is below the 20-day moving average (MA) of 2662.35, below the 50-day MA of 2713.45, and above the 200-day MA of 2619.36, indicating a neutral trend. The MACD of -25.52 indicates Negative momentum. The RSI at 47.23 is Neutral, neither overbought nor oversold. The STOCH value of 81.38 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7949.

Komatsu Wall Industry Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:7949 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:5930	80Outperform	JPY 126.69B	10.95	10.36%	3.92%	4.35%	-10.47%
JP:7949	67Neutral	JPY 46.85B	15.31	―	4.91%	4.47%	12.02%
JP:7943	66Neutral	JPY 92.61B	24.16	―	4.41%	-3.82%	13.79%
JP:5936	64Neutral	JPY 5.37B	7.50	―	4.95%	-3.27%	-4.23%
JP:5262	62Neutral	JPY 51.07B	12.24	―	2.73%	32.97%	28.14%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:5938	46Neutral	JPY 489.09B	2464.49	0.03%	5.29%	2.42%	-97.84%

* General Sector Average

Performance Comparison

JP:7949 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:7949	Komatsu Wall Industry Co., Ltd.	2647.00	153.90	6.17%
JP:5938	LIXIL Group Corp	1700.50	29.00	1.73%
JP:5930	Bunka Shutter Co., Ltd.	1886.00	-109.62	-5.49%
JP:5262	Nippon Hume Corp.	952.00	-555.89	-36.87%
JP:5936	Toyo Shutter Co., Ltd.	848.00	-1.92	-0.23%
JP:7943	Nichiha Corporation	2742.00	-78.05	-2.77%

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 07, 2026

Komatsu Wall Industry Co., Ltd. AI Stock Analysis