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NIHON ISK Co., Ltd. (JP:7986)
:7986
Japanese Market
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NIHON ISK Co., Ltd. (7986) AI Stock Analysis

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JP:7986

NIHON ISK Co., Ltd.

(7986)

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Outperform 78 (OpenAI - 5.2)
Rating:78Outperform
Price Target:
¥2,144.00
▲(20.31% Upside)
Action:Reiterated
Date:08/07/26
The score is driven primarily by strong financial performance—especially a debt-free balance sheet and improved profitability—tempered by historically uneven cash-flow generation. Valuation is a clear positive due to the low P/E and supportive dividend yield, while technical signals are broadly neutral with only mild positive momentum.
Positive Factors
Conservative Balance Sheet
Zero reported debt and a steadily rising equity base materially reduce financial risk and enhance resilience. This conservatism supports funding for capex or strategic moves without refinancing pressure, preserves capital flexibility, and underpins long-term stability across cycles.
Negative Factors
Historic Cash-Flow Volatility
Prior operating and free cash flow weakness shows the company faces working-capital swings or lumpy investment timing. If such volatility recurs, it could constrain discretionary spending, delay investments, or force temporary financing even with a strong balance sheet.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative Balance Sheet
Zero reported debt and a steadily rising equity base materially reduce financial risk and enhance resilience. This conservatism supports funding for capex or strategic moves without refinancing pressure, preserves capital flexibility, and underpins long-term stability across cycles.
Read all positive factors

NIHON ISK Co., Ltd. (7986) vs. iShares MSCI Japan ETF (EWJ)

NIHON ISK Co., Ltd. Business Overview & Revenue Model

Company Description
Based in Tsukuba, Japan, Nihon Isk Co.,Ltd. is a long-standing manufacturer, having been established in 1919. The company primarily produces and distributes fire-resistant and anti-theft vaults for both commercial and household use across Japan. A...
How the Company Makes Money
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NIHON ISK Co., Ltd. Financial Statement Overview

Summary
Overall fundamentals are strong, led by an exceptionally conservative balance sheet (zero debt, rising equity) and solid profitability with a major revenue step-up in 2025. The main constraint is cash-flow consistency: operating cash flow and free cash flow were negative in 2022–2023 before improving materially in 2024–2025, indicating some cyclicality/working-capital or investment-driven volatility.
Income Statement
78
Positive
Balance Sheet
90
Very Positive
Cash Flow
63
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue6.06B6.06B5.90B5.71B5.25B5.52B
Gross Profit1.91B1.86B1.73B1.67B1.35B1.65B
EBITDA752.07M670.09M597.00M645.20M217.77M520.73M
Net Income487.73M418.69M433.58M375.18M181.37M332.47M
Balance Sheet
Total Assets6.60B6.57B6.21B5.88B5.44B5.52B
Cash, Cash Equivalents and Short-Term Investments1.59B1.41B1.17B979.75M1.22B1.49B
Total Debt0.000.000.000.000.000.00
Total Liabilities1.65B1.86B1.85B1.87B1.73B1.88B
Stockholders Equity4.87B4.63B4.28B3.94B3.66B3.58B
Cash Flow
Free Cash Flow0.00353.35M310.94M-186.97M-164.60M63.44M
Operating Cash Flow0.00400.65M329.33M378.64M-30.53M84.77M
Investing Cash Flow0.00-54.00M-22.67M-501.20M-138.88M-24.94M
Financing Cash Flow0.00-105.81M-116.18M-113.58M-108.67M-55.82M

NIHON ISK Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1782.00
Price Trends
50DMA
1870.16
Positive
100DMA
1886.41
Positive
200DMA
1852.57
Positive
Market Momentum
MACD
14.63
Negative
RSI
57.06
Neutral
STOCH
60.36
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7986, the sentiment is Positive. The current price of 1782 is below the 20-day moving average (MA) of 1904.25, below the 50-day MA of 1870.16, and below the 200-day MA of 1852.57, indicating a bullish trend. The MACD of 14.63 indicates Negative momentum. The RSI at 57.06 is Neutral, neither overbought nor oversold. The STOCH value of 60.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7986.

NIHON ISK Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
¥3.30B6.071.69%0.77%28.88%
75
Outperform
¥51.17B7.106.31%-8.43%-27.35%
70
Outperform
¥82.08B9.515.15%-6.53%-18.69%
58
Neutral
¥55.57B-31.631.97%3.23%-2.35%-162.14%
58
Neutral
¥6.25B13.09-2.07%-43.66%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
51
Neutral
¥4.15B-7.603.17%-14.77%-208.13%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:7986
NIHON ISK Co., Ltd.
1,931.00
296.00
18.10%
JP:5563
Nippon Denko Co., Ltd.
453.00
137.33
43.51%
JP:5445
Tokyo Tekko Co., Ltd.
2,036.00
133.00
6.99%
JP:5446
Hokuetsu Metal Co., Ltd.
1,082.00
-188.91
-14.86%
JP:5480
Nippon Yakin Kogyo Co., Ltd.
5,490.00
1,296.45
30.92%
JP:5491
Nippon Kinzoku Co., Ltd.
942.00
160.00
20.46%
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 07, 2026