Canon (CAJPY) AI Stock Analysis

• Market Cap: $25.48B
• Dividend Yield: 3.01%
• Average Volume (3M): 15.97K
• Price to Earnings (P/E): 12.3
• Beta (1Y): 0.37
• Revenue Growth: 2.97%
• EPS Growth: 96.77%
• Country: US
• Employees: 111,733
• Sector: Technology
• Sector Strength: 88
• Industry: Computer Hardware
• EPS (TTM): 363.94
• Shares Outstanding: 1,333,763,400
• 10 Day Avg. Volume: 22,502
• 30 Day Avg. Volume: 15,970
• PEG Ratio: 0.09
• Price to Book (P/B): 1.20
• Price to Sales (P/S): 0.86
• P/FCF Ratio: 18.69
• Enterprise Value/Market Cap: 172.73
• Enterprise Value/Revenue: 0.94
• Enterprise Value/Gross Profit: 2.01
• Enterprise Value/Ebitda: 6.31
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 2.29
• Revenue Forecast (FY): $29.82B

• Rating: 60 Neutral
• Price Target: $26.00 ▼(-11.02% Downside)
• Action: Downgraded
• Date: 04/25/26

Positive Factors

Stable profitability

Canon's sustained gross margins near 45–48% and mid-single-digit net margins indicate durable product-level economics across cycles. Persistent margin structure supports long-term earnings power, funds R&D and services, and underpins predictable operating profitability even as revenues move modestly.

Negative Factors

Weak free cash flow conversion

Despite positive operating cash, FCF has weakened meaningfully: conversion of reported earnings into free cash flow dropped sharply in 2025 and TTM. Poor cash conversion constrains reinvestment, limits flexibility for buybacks/dividends, and raises financing risk if the trend persists.

Canon Business Overview & Revenue Model

Company Description

Canon Inc. is a global technological leader, headquartered in Tokyo, Japan, which was established in 1933. The company specializes in the development, production, and worldwide distribution of a comprehensive array of advanced equipment. Its diver...

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Canon Inc. is a global technological leader, headquartered in Tokyo, Japan, which was established in 1933. The company specializes in the development, production, and worldwide distribution of a comprehensive array of advanced equipment. Its diver...

How the Company Makes Money

Canon primarily generates revenue through the sale of hardware, recurring consumables, and service/solution contracts across its major businesses. In its office business, Canon sells multifunction devices and printers through direct sales and chan...

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Canon primarily generates revenue through the sale of hardware, recurring consumables, and service/solution contracts across its major businesses. In its office business, Canon sells multifunction devices and printers through direct sales and chan...

Canon Financial Statement Overview

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.70T	4.85T	4.51T	4.18T	4.03T	3.51T
Gross Profit	2.19T	2.27T	2.14T	1.97T	1.83T	1.63T
EBITDA	697.75B	763.92B	540.37B	631.71B	579.98B	524.60B
Net Income	311.04B	348.15B	160.03B	264.51B	243.96B	214.72B
Balance Sheet
Total Assets	6.26T	6.14T	5.77T	5.42T	5.10T	4.75T
Cash, Cash Equivalents and Short-Term Investments	654.16B	618.85B	506.34B	405.14B	373.01B	404.77B
Total Debt	1.24T	946.16B	663.50B	517.32B	417.41B	320.97B
Total Liabilities	2.59T	2.36T	2.12T	1.81T	1.75T	1.65T
Stockholders Equity	3.45T	3.49T	3.38T	3.35T	3.11T	2.87T
Cash Flow
Free Cash Flow	160.59B	224.10B	369.83B	220.88B	74.08B	273.68B
Operating Cash Flow	437.33B	498.97B	606.83B	451.19B	262.60B	451.03B
Investing Cash Flow	-244.43B	-248.96B	-297.32B	-275.37B	-180.82B	-207.26B
Financing Cash Flow	-293.41B	-187.91B	-226.00B	-156.73B	-146.84B	-267.37B

Canon Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 29.22
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CAJPY, the sentiment is Neutral. The current price of 29.22 is above the 20-day moving average (MA) of 26.57, above the 50-day MA of 26.40, and above the 200-day MA of 28.58, indicating a bearish trend. The MACD of -0.27 indicates Positive momentum. The RSI at 45.92 is Neutral, neither overbought nor oversold. The STOCH value of 19.54 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CAJPY.

Canon Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WDC	78 Outperform	$185.78B	28.84	91.94%	0.18%	-18.43%	242.76%
NTAP	75 Outperform	$31.29B	24.66	114.18%	1.89%	5.29%	10.66%
STX	72 Outperform	$183.90B	74.49	916.38%	1.02%	28.92%	55.56%
HPQ	65 Neutral	$21.49B	8.49	-473.44%	5.09%	7.20%	4.12%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CAJPY	60 Neutral	$25.48B	12.27	9.27%	3.01%	2.97%	96.77%
SMCI	52 Neutral	$17.61B	13.02	18.21%	―	56.58%	1.94%