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P.S. Mitsubishi Construction Co., Ltd.
(1871)
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Rating:59Neutral
Price Target:
¥2,345.00
▼(-18.09% Downside)
Action:Reiterated
Date:05/19/26
The score is primarily held back by weak and highly volatile cash generation (including a large FY2026 cash outflow) despite improving earnings and a generally reasonable balance sheet. Technicals also weigh on the score due to a clear downtrend and negative momentum, while valuation is supportive with a moderate P/E and a high dividend yield.
Positive Factors
Revenue & earnings improvement
Sustained revenue growth and a material rise in net income into FY2026 indicate improving contract wins, pricing and execution. Durable earnings expansion enhances reinvestment capacity for equipment and crews, supports project bidding and reduces vulnerability to single-cycle downturns.
Negative Factors
Large cash-flow volatility
Sharp year-to-year swings in operating and free cash flow signal working-capital and project timing risk typical in construction. Persistent large outflows can strain liquidity, force additional financing, and limit ability to fund capex or absorb delayed payments from clients over several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue & earnings improvement
Sustained revenue growth and a material rise in net income into FY2026 indicate improving contract wins, pricing and execution. Durable earnings expansion enhances reinvestment capacity for equipment and crews, supports project bidding and reduces vulnerability to single-cycle downturns.
Read all positive factors
P.S. Mitsubishi Construction Co., Ltd. (1871) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥100.70B
Dividend Yield5.57%
Average Volume (3M)80.54K
Price to Earnings (P/E)10.8
Beta (1Y)0.61
Revenue Growth10.13%
EPS Growth13.32%
CountryJP
Employees1,624
SectorIndustrials
Sector Strength72
IndustryEngineering & Construction
Share Statistics
EPS (TTM)199.30
Shares Outstanding47,486,027
10 Day Avg. Volume86,440
30 Day Avg. Volume80,536
Financial Highlights & Ratios
PEG Ratio1.02
Price to Book (P/B)1.93
Price to Sales (P/S)0.84
P/FCF Ratio-6.75
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
P.S. Mitsubishi Construction Co., Ltd. Business Overview & Revenue Model
Company Description
PS Construction Co., Ltd., a subsidiary of Taisei Corporation based in Minato, Japan, engages in extensive civil engineering and architectural projects both domestically and internationally. Founded in 1952 as P.S. Mitsubishi Construction Co., Ltd...
How the Company Makes Money
The company primarily makes money by acting as a contractor/subcontractor on construction projects and recognizing revenue from construction contracts. Key revenue streams include (1) civil engineering-related contracting, especially foundation an...
P.S. Mitsubishi Construction Co., Ltd. Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
71
Positive
Cash Flow
42
Neutral
| Breakdown | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 149.37B | 135.63B | 129.29B | 109.33B | 109.64B |
| Gross Profit | 24.73B | 23.01B | 18.77B | 15.51B | 15.75B |
| EBITDA | 14.31B | 13.59B | 8.93B | 6.82B | 7.56B |
| Net Income | 9.33B | 8.22B | 5.05B | 3.79B | 4.54B |
Balance Sheet | |||||
| Total Assets | 142.46B | 132.57B | 123.98B | 116.08B | 93.10B |
| Cash, Cash Equivalents and Short-Term Investments | 9.34B | 22.10B | 11.16B | 9.35B | 9.95B |
| Total Debt | 28.30B | 19.57B | 21.09B | 30.86B | 10.62B |
| Total Liabilities | 76.97B | 74.68B | 71.81B | 68.21B | 47.56B |
| Stockholders Equity | 65.49B | 57.88B | 52.17B | 47.87B | 45.53B |
Cash Flow | |||||
| Free Cash Flow | -18.68B | 14.95B | 13.94B | -18.31B | 1.31B |
| Operating Cash Flow | -17.47B | 15.95B | 15.94B | -16.71B | 2.60B |
| Investing Cash Flow | -506.00M | -807.00M | -1.92B | -1.96B | -1.15B |
| Financing Cash Flow | 5.24B | -4.21B | -12.22B | 18.06B | -1.97B |
P.S. Mitsubishi Construction Co., Ltd. Technical Analysis
Negative
2863.00
Price Trends
2220.18
Negative
2538.82
Negative
2485.84
Negative
Market Momentum
-18.63
Negative
44.28
Neutral
53.74
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1871, the sentiment is Negative. The current price of 2863 is above the 20-day moving average (MA) of 2207.10, above the 50-day MA of 2220.18, and above the 200-day MA of 2485.84, indicating a bearish trend. The MACD of -18.63 indicates Negative momentum. The RSI at 44.28 is Neutral, neither overbought nor oversold. The STOCH value of 53.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:1871.
P.S. Mitsubishi Construction Co., Ltd. Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
87 Outperform | ¥118.91B | 7.81 | ― | 2.81% | 5.14% | 18.79% | |
65 Neutral | ¥205.25B | 8.53 | ― | 3.82% | 7.97% | 37.14% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
63 Neutral | ¥120.91B | 9.16 | ― | 2.89% | 16.39% | 101.43% | |
63 Neutral | ¥80.73B | 9.53 | ― | 3.63% | 20.40% | 50.02% | |
62 Neutral | ¥139.60B | 10.87 | ― | 3.44% | 1.86% | 11.05% | |
59 Neutral | ¥100.70B | 10.81 | ― | 3.13% | 10.13% | 13.32% |
* Industrials Sector Average
JP:1871
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P.S. Mitsubishi Construction Co., Ltd. Corporate Events
PS Construction Lifts Dividend as Profit Rises but Forecasts Lower Earnings
May 14, 2026
PS Construction Co., Ltd. reported a 10.1% rise in net sales to ¥149.4 billion and a 13.5% increase in profit attributable to owners of parent to ¥9.3 billion for the year ended March 31, 2026, although operating margin softened slightly...
PS Construction Hikes Year-End Dividend, Targets 60% Payout Ratio
May 14, 2026
PS Construction Co., Ltd. has proposed a year-end dividend of 80 yen per share for the fiscal year ended March 31, 2026, up from both its earlier forecast of 69 yen and the prior-year level of 50 yen, bringing total annual dividends to 120 yen per...
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.