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Obara Group Incorporated (JP:6877)
:6877
Japanese Market
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Obara Group Incorporated (6877) Price & Analysis

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6877 Stock Chart & Stats

¥3830.00
-¥10.00(-0.25%)
At close: 4:00 PM EST
¥3830.00
-¥10.00(-0.25%)

Bulls Say, Bears Say

Bulls Say
Conservative Capital StructureA very low debt-to-equity ratio (0.11) and healthy equity ratio provide durable financial flexibility. This conservative leverage reduces refinancing and bankruptcy risk, supports investment in automation lines or R&D, and helps the company withstand industry downturns without severe balance-sheet strain.
Healthy Margins With Revenue GrowthSustained gross margins near 33% alongside consistent revenue growth indicate operational efficiency and pricing power in welding equipment and systems. Strong core margins support reinvestment and cushion profitability against cost inflation, underpinning long-term earnings resilience.
Recurring After-sales And ConsumablesA business model that combines project-based equipment sales with engineering services and recurring parts/maintenance creates annuity-like revenue streams. Installed-base service and consumables improve revenue visibility, margin stability and customer stickiness beyond cyclical new-equipment orders.
Bears Say
Declining Free Cash Flow GrowthWeakening free cash flow growth and reduced FCF-to-net-income conversion are durable concerns because they limit internal funding for capex, upgrades and working capital. Over time, poorer cash conversion can constrain strategic investments, dividend sustainability, and balance-sheet flexibility.
Net Margin CompressionA decline in net margin to roughly 10.96% suggests rising cost pressure or lower operating leverage on projects. If persistent, margin compression erodes retained earnings and reduces the cushion for capital spending and service expansion, making long-term profitability more vulnerable.
Cyclicality From Automotive ExposureHigh exposure to automotive OEM capex cycles and model changeovers creates structural revenue volatility. Demand for welding systems is lumpy and tied to OEM production timing, which can produce multi-quarter swings in orders and strain capacity planning and margin consistency over a business cycle.

Obara Group Incorporated News

6877 FAQ

What was Obara Group Incorporated’s price range in the past 12 months?
Obara Group Incorporated lowest stock price was ¥3400.00 and its highest was ¥6870.00 in the past 12 months.
    What is Obara Group Incorporated’s market cap?
    Obara Group Incorporated’s market cap is ¥101.42B.
      When is Obara Group Incorporated’s upcoming earnings report date?
      Obara Group Incorporated’s upcoming earnings report date is Jul 31, 2026 which is in 72 days.
        How were Obara Group Incorporated’s earnings last quarter?
        Obara Group Incorporated released its earnings results on May 08, 2026. The company reported ¥129.84 earnings per share for the quarter, beating the consensus estimate of N/A by ¥129.84.
          Is Obara Group Incorporated overvalued?
          According to Wall Street analysts Obara Group Incorporated’s price is currently Overvalued. Get more investment ideas with TipRanks Premium
            Does Obara Group Incorporated pay dividends?
            Obara Group Incorporated pays a Semiannually dividend of ¥90 which represents an annual dividend yield of 3.85%. See more information on Obara Group Incorporated dividends here
              What is Obara Group Incorporated’s EPS estimate?
              Obara Group Incorporated’s EPS estimate for its next earnings report is not yet available.
              How many shares outstanding does Obara Group Incorporated have?
              Obara Group Incorporated has 20,869,380 shares outstanding.
                What happened to Obara Group Incorporated’s price movement after its last earnings report?
                Obara Group Incorporated reported an EPS of ¥129.84 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -2.703%.
                  Which hedge fund is a major shareholder of Obara Group Incorporated?
                  Currently, no hedge funds are holding shares in JP:6877
                  What is the TipRanks Smart Score and how is it calculated?
                  Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                    Company Description

                    Obara Group Incorporated

                    Obara Group Incorporated engages in the manufacture and sale of resistance welder, arc welder, laser equipment, polisher, cleaner/washer, and the consumables in Japan and internationally. The company offers resistance welding systems to weld metal sheets mainly of car bodies; arc welders to weld steel parts by melting welding wires. It also provides polishing equipment for electronic and precision industries, such as polishers for material substrates used for electronic components on PC, mobile phones, etc.; cleaners to clean minute particles off from parts, such as memory disks, flat panel displays, and other opto-electronic parts; laser equipment for the local welding of various metals; and consumable sets, including slurry, abrasives, carriers, pads, and plates for various applications. Obara Group Incorporated was founded in 1955 and is headquartered in Yamato, Japan.

                    Obara Group Incorporated (6877) Earnings & Revenues

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