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Tokyo Electron (TELWY)
OTHER OTC:TELWY
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Tokyo Electron (TELWY) AI Stock Analysis

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TELWY

Tokyo Electron

(OTC:TELWY)

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Outperform 71 (OpenAI - Gpt-5.6Sol)
Rating:71Outperform
Price Target:
$194.00
â–²(11.44% Upside)
Action:Reiterated
Date:08/30/26
The score is driven primarily by strong financial performance (high margins, strong returns, and very low leverage). Offsetting this, technical indicators show weak near-term momentum (below the 50-day average and negative MACD) and valuation is expensive (high P/E with a low dividend yield).
Positive Factors
High and resilient profitability
Strong margins indicate differentiated process technology, pricing power, and efficient execution. Combined with renewed revenue growth, this provides a durable earnings base, although results remain exposed to semiconductor investment cycles.
Negative Factors
Semiconductor capex cyclicality
Dependence on fab construction, capacity additions, and technology upgrades makes revenue and margins sensitive to customer spending cycles. Past declines show that strong structural demand does not eliminate periodic earnings volatility.
Read all positive and negative factors
Positive Factors
Negative Factors
High and resilient profitability
Strong margins indicate differentiated process technology, pricing power, and efficient execution. Combined with renewed revenue growth, this provides a durable earnings base, although results remain exposed to semiconductor investment cycles.
Read all positive factors

Tokyo Electron (TELWY) vs. SPDR S&P 500 ETF (SPY)

Tokyo Electron Business Overview & Revenue Model

Company Description
Tokyo Electron Limited, together with its global subsidiaries, is a leading provider specializing in the development, manufacturing, and sale of advanced equipment for semiconductor fabrication and flat panel display (FPD) production. Its extensiv...
How the Company Makes Money
Tokyo Electron primarily makes money by selling high-value capital equipment to semiconductor manufacturers and, to a smaller extent, to flat panel display manufacturers. Its core revenue stream is tool sales (new equipment) across major wafer-fab...

Tokyo Electron Financial Statement Overview

Summary
Strong overall fundamentals supported by high profitability (TTM gross margin ~45.6%, EBIT margin ~30.8%, net margin ~23.6%) and a very conservative balance sheet (minimal leverage; debt-to-equity ~3.2% TTM). Key offsets are cyclical variability (notable revenue decline in 2024 and margin softness in 2024) and somewhat mixed cash conversion/volatile annual free-cash-flow growth.
Income Statement
88
Very Positive
Balance Sheet
92
Very Positive
Cash Flow
80
Positive
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue2.65T2.59T2.43T1.83T2.21T2.00T
Gross Profit1.21T1.17T1.15T830.27B984.41B911.82B
EBITDA823.18B748.88B759.59B508.68B660.82B636.20B
Net Income627.07B609.10B544.13B363.96B471.58B437.08B
Balance Sheet
Total Assets2.96T2.87T2.63T2.46T2.31T1.89T
Cash, Cash Equivalents and Short-Term Investments409.61B508.45B496.24B472.55B473.10B371.27B
Total Debt0.0038.51B0.0013.32B13.22B4.36B
Total Liabilities812.50B794.43B770.77B696.28B712.07B547.41B
Stockholders Equity2.14T2.08T1.86T1.76T1.60T1.35T
Cash Flow
Free Cash Flow398.42B350.69B414.13B309.74B349.96B218.28B
Operating Cash Flow588.63B572.28B582.17B434.72B426.27B283.39B
Investing Cash Flow-72.77B-102.31B-169.61B-125.15B-41.76B-55.63B
Financing Cash Flow-461.32B-451.01B-388.84B-325.01B-256.53B-167.26B

Tokyo Electron Technical Analysis

Technical Analysis Sentiment
Negative
Last Price174.09
Price Trends
50DMA
183.70
Negative
100DMA
183.63
Negative
200DMA
154.26
Positive
Market Momentum
MACD
-4.42
Positive
RSI
41.25
Neutral
STOCH
9.20
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TELWY, the sentiment is Negative. The current price of 174.09 is above the 20-day moving average (MA) of 171.43, below the 50-day MA of 183.70, and above the 200-day MA of 154.26, indicating a neutral trend. The MACD of -4.42 indicates Positive momentum. The RSI at 41.25 is Neutral, neither overbought nor oversold. The STOCH value of 9.20 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TELWY.

Tokyo Electron Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
83
Outperform
$612.35B51.4552.37%0.56%17.87%23.14%
72
Outperform
$53.34B48.1838.04%0.14%57.91%153.54%
71
Outperform
$150.35B38.5430.21%0.98%4.92%12.67%
71
Outperform
$329.64B35.7740.44%0.47%7.77%38.45%
69
Neutral
$218.66B45.8785.38%0.50%11.72%20.58%
66
Neutral
$336.89B46.5166.97%0.39%26.02%38.85%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TELWY
Tokyo Electron
168.68
82.10
94.81%
AMAT
Applied Materials
444.57
255.52
135.16%
ASML
ASML Holding
1,679.92
752.97
81.23%
KLAC
KLA
176.99
73.07
70.31%
LRCX
Lam Research
288.11
161.89
128.26%
TER
Teradyne
371.47
251.85
210.55%
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 30, 2026