Japan Steel Works (J9R) AI Stock Analysis

• Market Cap: €3.28B
• Dividend Yield: 1.2%
• Average Volume (3M): 17.00
• Price to Earnings (P/E): 29.6
• Beta (1Y): 0.77
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: DE
• Employees: 5,115
• Sector: Industrials
• Sector Strength: 92
• Industry: Industrial - Machinery
• EPS (TTM): 0.46
• Shares Outstanding: 74,408,980
• 10 Day Avg. Volume: 37
• 30 Day Avg. Volume: 17
• PEG Ratio: 1.82
• Price to Book (P/B): 2.41
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €43.57
• Price Target Upside: -2.31% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Japan Steel Works Business Overview & Revenue Model

Company Description

The Japan Steel Works, Ltd. produces and sells steel and machinery products in Japan, China, and internationally. The company operates through Industrial Machinery Products, Steel and Energy Products, and Other Businesses segments. It offers monobloks rotor shafts for power generators; shell flanges for nuclear reactor pressure vessels; turbine castings for thermal power plants; clad steel plates and pipes; high alloy and stainless steel, and Ni-based alloy products; forged steel rolls for steel mills; forged and cast steel products, steel plates, and pressure vessels for use in chemical and petrochemical industries, and other industrial machineries; and pressure vessels maintenance and inspection services for pressure vehicles. The company also provides plastic production machinery, such as polyolefin pelletizers, twin screw extruders, film and sheet manufacturing equipment, and spinning extruders; injection and blow molding machines; and excimer laser annealing and laser lift-off systems, rolling stock parts, and presses/laminators. In addition, it engages in the design, manufacture, and maintenance of defense equipment from firing systems to missile launchers, as well as R&D on new defense equipment and systems; and offers steel tanks for high-pressure hydrogen storage installed in hydrogen filling stations that are used by fuel cell vehicles. Further, the company is involved in the provision of maintenance concierge, retrofitting, and schooling training services; and provides deposition and crystal, as well as wind power generation equipment. The Japan Steel Works, Ltd. was founded in 1907 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Japan Steel Works Financial Statement Overview

Summary

Japan Steel Works demonstrates strong income statement performance with impressive profit margins and revenue growth. The balance sheet indicates financial stability with moderate leverage and effective equity utilization. However, the cash flow statement is concerning due to missing TTM data, limiting a full assessment of cash generation.

Income Statement

Japan Steel Works demonstrated strong performance in its income statement, with a notable gross profit margin of 24.81% and a net profit margin of 7.04% for TTM (Trailing-Twelve-Months). The company experienced a healthy revenue growth rate of 5.74% from 2023 to 2024. Additionally, the EBIT margin of 9.47% and EBITDA margin of 12.73% show solid operational efficiency and profitability. Overall, these metrics highlight a robust financial health and a consistent growth trajectory.

Balance Sheet

The balance sheet of Japan Steel Works reflects a stable financial position with a debt-to-equity ratio of 0.23, indicating moderate leverage. The return on equity is a strong 9.52%, showcasing effective utilization of equity to generate profits. Moreover, the equity ratio of 49.52% suggests a balanced capital structure. These metrics indicate financial stability and solid asset management, though there is a slight risk due to increasing liabilities.

Cash Flow

Japan Steel Works' cash flow statement shows some areas of concern, as the operating cash flow and free cash flow were not available for TTM (Trailing-Twelve-Months). In the prior annual report, the operating cash flow to net income ratio was 1.52, indicating efficient cash generation relative to net income. However, the absence of current free cash flow metrics limits a comprehensive evaluation of cash flow health.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
251.35B	252.50B	238.72B	213.79B	198.04B	217.53B
	Gross Profit
62.40B	57.83B	49.38B	47.82B	42.28B	50.28B
	EBIT
23.81B	18.01B	13.85B	15.46B	10.23B	18.71B
	EBITDA
32.01B	27.32B	25.47B	26.37B	19.48B	20.43B
	Net Income Common Stockholders
17.69B	14.28B	11.97B	13.95B	6.89B	9.31B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
72.59B	97.61B	87.29B	106.24B	89.44B	75.53B
	Total Assets
375.02B	366.77B	348.36B	339.73B	316.25B	297.17B
	Total Debt
42.06B	43.63B	43.42B	58.44B	58.04B	52.06B
	Net Debt
-30.53B	-53.98B	-43.87B	-47.80B	-31.40B	-23.46B
	Total Liabilities
187.50B	188.16B	187.72B	188.65B	174.26B	164.68B
	Stockholders Equity
185.72B	176.98B	159.10B	149.44B	140.40B	130.80B
Cash Flow		Free Cash Flow
0.00	11.46B	-7.09B	13.52B	6.44B	6.13B
	Operating Cash Flow
0.00	21.71B	-986.00M	22.32B	14.71B	18.96B
	Investing Cash Flow
0.00	-6.84B	947.00M	-2.98B	-3.24B	-13.17B
	Financing Cash Flow
0.00	-4.90B	-20.11B	-2.86B	2.77B	-6.16B

Japan Steel Works Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
J9R		€3.28B	29.64	9.67%	1.20%	―	―
Sector *	66 Neutral	$4.50B	12.28	5.32%	248.52%	4.13%	-12.36%
AMDWF		$3.21B	15.72	6.10%	4.04%	―	―
NGKIF		$3.46B	11.21	7.66%	2.91%	―	―
SOHVF		$2.54B	1,020.98	0.06%	3.88%	―	―
THKLF		$3.38B	59.27	2.48%	3.46%	―	―
6406	67 Neutral	¥425.12B	30.11		2.94%	5.17%	-18.62%