Kandenko Co., Ltd. (JP:1942)
:1942
Want to see JP:1942 full AI Analyst Report?
Top Page
Kandenko Co., Ltd.
(1942)
Select Model
Select Model
Rating:78Outperform
Price Target:
¥6,581.00
▲(30.89% Upside)
Action:Upgraded
Date:04/30/26
The score is driven primarily by solid financial strength (improving earnings and a low-leverage balance sheet), tempered by multi-year cash flow volatility despite a 2026 rebound. Technicals add support with a strong uptrend and positive momentum, while valuation is reasonable with a mid-teens P/E and a modest dividend yield.
Positive Factors
Conservative Balance Sheet
Low leverage and growing equity give Kandenko durable financial flexibility. A conservatively financed balance sheet reduces refinancing risk, supports bidding on larger EPC projects, and allows counter-cyclical investment or dividend support across the next several quarters.
Negative Factors
Volatile Cash Generation
Historic swings in operating and free cash flow reflect working-capital and project-timing volatility. That reduces resilience to project delays, constrains discretionary spending, and can force short-term financing or compress margins during weaker quarters despite accounting profits.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative Balance Sheet
Low leverage and growing equity give Kandenko durable financial flexibility. A conservatively financed balance sheet reduces refinancing risk, supports bidding on larger EPC projects, and allows counter-cyclical investment or dividend support across the next several quarters.
Read all positive factors
Kandenko Co., Ltd. (1942) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥1.35T
Dividend Yield2%
Average Volume (3M)856.03K
Price to Earnings (P/E)21.0
Beta (1Y)0.75
Revenue Growth10.44%
EPS Growth50.36%
CountryJP
Employees10,442
SectorIndustrials
Sector Strength72
IndustryEngineering & Construction
Share Statistics
EPS (TTM)311.77
Shares Outstanding205,288,330
10 Day Avg. Volume1,145,720
30 Day Avg. Volume856,033
Financial Highlights & Ratios
PEG Ratio0.37
Price to Book (P/B)3.06
Price to Sales (P/S)1.61
P/FCF Ratio16.21
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
¥8,200.00Price Target Upside63.09% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)337.53
Revenue Forecast (FY)¥779.23B
Kandenko Co., Ltd. Business Overview & Revenue Model
Company Description
Kandenko Co., Ltd., founded in 1944 and based in Tokyo, Japan, functions as a versatile infrastructure conglomerate. Its operations encompass a broad spectrum, including the sale of electrical equipment, real estate leasing, and electricity provis...
How the Company Makes Money
Kandenko primarily makes money by executing contracted construction/engineering projects and recognizing revenue based on delivering those projects. Key revenue streams include: (1) EPC/installation contracting for electrical and building-services...
Kandenko Co., Ltd. Financial Statement Overview
Summary
Income Statement
82
Very Positive
Balance Sheet
88
Very Positive
Cash Flow
56
Neutral
| Breakdown | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 742.02B | 671.89B | 598.43B | 541.58B | 495.57B |
| Gross Profit | 120.71B | 92.92B | 71.19B | 60.14B | 56.72B |
| EBITDA | 102.94B | 71.61B | 54.09B | 40.72B | 38.60B |
| Net Income | 63.52B | 42.38B | 27.34B | 21.17B | 20.32B |
Balance Sheet | |||||
| Total Assets | 635.62B | 603.22B | 567.27B | 495.87B | 478.57B |
| Cash, Cash Equivalents and Short-Term Investments | 79.94B | 60.99B | 66.65B | 65.23B | 72.61B |
| Total Debt | 14.06B | 27.11B | 27.27B | 15.78B | 15.80B |
| Total Liabilities | 229.93B | 222.27B | 221.47B | 187.41B | 185.05B |
| Stockholders Equity | 390.27B | 367.86B | 333.94B | 298.40B | 283.98B |
Cash Flow | |||||
| Free Cash Flow | 73.67B | 3.38B | 1.57B | 2.00B | 19.91B |
| Operating Cash Flow | 89.45B | 18.26B | 19.84B | 7.46B | 27.15B |
| Investing Cash Flow | -4.83B | -10.17B | -19.08B | -6.63B | -9.22B |
| Financing Cash Flow | -65.64B | -12.63B | 567.00M | -7.32B | -7.79B |
Kandenko Co., Ltd. Technical Analysis
Positive
5028.00
Price Trends
6351.10
Positive
6220.31
Positive
5392.91
Positive
Market Momentum
25.84
Negative
62.31
Neutral
96.63
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1942, the sentiment is Positive. The current price of 5028 is below the 20-day moving average (MA) of 6197.95, below the 50-day MA of 6351.10, and below the 200-day MA of 5392.91, indicating a bullish trend. The MACD of 25.84 indicates Negative momentum. The RSI at 62.31 is Neutral, neither overbought nor oversold. The STOCH value of 96.63 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1942.
Kandenko Co., Ltd. Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | ¥631.54B | 17.41 | 8.34% | 2.66% | 2.61% | 22.78% | |
78 Outperform | ¥295.89B | 15.67 | 7.43% | 2.78% | 2.69% | -6.90% | |
78 Outperform | ¥1.35T | 21.02 | 14.94% | 2.00% | 10.44% | 50.36% | |
78 Outperform | ¥682.95B | 17.02 | ― | 2.15% | 0.46% | 38.67% | |
72 Outperform | ¥562.37B | 18.71 | ― | 2.51% | 17.43% | 16.94% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% |
* Industrials Sector Average
JP:1942
Kandenko Co., Ltd.
6,829.00
3,627.44
113.30%
JP:1941
CHUDENKO
5,400.00
2,090.98
63.19%
JP:1721
COMSYS Holdings
5,421.00
2,200.68
68.34%
JP:1951
Kyowa Exeo
2,816.00
1,039.80
58.54%
JP:1959
Kraftia Corporation
9,463.00
3,789.94
66.81%
Kandenko Co., Ltd. Corporate Events
Kandenko Corrects Comprehensive Income Figures in FY2026 Results, Core Profits Unchanged
Jun 1, 2026
Kandenko Co., Ltd. has announced a partial correction to its consolidated financial results for the fiscal year ended March 31, 2026, after discovering an error in the tabulation of the revaluation reserve for land within comprehensive income. The...
Kandenko Revamps Board With New Independent Outside Director
Apr 28, 2026
Kandenko Co., Ltd. has announced changes to its board, proposing the appointment of Takayuki Konno as a new outside director, effective following shareholder approval at the annual general meeting on June 26, 2026. Konno, currently a senior adviso...
Kandenko Details TEPCO Ties, Governance Safeguards and Major Share Buyback
Apr 28, 2026
Kandenko disclosed details of its relationships with controlling shareholders, notably Tokyo Electric Power Company Holdings (TEPCO) and TEPCO Power Grid, which together hold over a third of its voting rights and accounted for about 24% of its net...
Kandenko Lifts Medium-Term Targets After Record Profit, Tightens Focus on Capital Efficiency
Apr 28, 2026
Kandenko has revised its FY2024–FY2026 medium-term management plan after fiscal 2025 results exceeded the original final-year targets, driven by productivity gains, optimized construction systems, and a stronger profit structure amid robust ...
Kandenko Lifts Year-End Dividend, Boosting Annual Shareholder Payout
Apr 28, 2026
Kandenko Co., Ltd. has approved a higher year-end dividend from surplus for the fiscal year ended March 31, 2026, raising the planned payout to ¥79 per share from the previously forecast ¥75. The move, subject to shareholder approval in ...
Kandenko Posts Surging Profits and Hikes Dividends on Solid FY2026 Results
Apr 28, 2026
Kandenko Co., Ltd. reported strong consolidated results for the fiscal year ended March 31, 2026, with net sales up 10.4% to ¥742.0 billion and profit attributable to owners of parent surging 49.9% to ¥63.5 billion. Profitability indicat...
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.