Kyudenko Corporation (1959) AI Stock Analysis

• Market Cap: ¥436.20B
• Dividend Yield: 2.44%
• Average Volume (3M): 231.13K
• Price to Earnings (P/E): 15.1
• Beta (1Y): 0.19
• Revenue Growth: 1.04%
• EPS Growth: 3.13%
• Country: JP
• Employees: 10,572
• Sector: Industrials
• Sector Strength: 89
• Industry: Engineering & Construction
• EPS (TTM): 113.93
• Shares Outstanding: 70,864,960
• 10 Day Avg. Volume: 244,940
• 30 Day Avg. Volume: 231,126
• PEG Ratio: 17.90
• Price to Book (P/B): 0.91
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.65
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 71 Outperform
• Price Target: ¥6,248.00 ▲(1.30%Upside)

Kyudenko Corporation's strong financial performance and upward technical trend are the primary drivers of its stock score. The company is fundamentally solid with consistent revenue growth and low leverage. However, technical indicators suggest the stock might be overbought in the short term, and cash flow management remains an area for improvement.

Kyudenko Corporation Business Overview & Revenue Model

Company Description

Kyudenko Corporation, established in 1959, is a prominent Japanese company operating mainly in the construction and engineering sectors. The company specializes in electrical, air conditioning, and plumbing installations, alongside offering comprehensive engineering services. With a strong focus on infrastructure development, Kyudenko Corporation provides innovative solutions for both public and private sector projects, contributing to the modernization and efficiency of urban environments.

How the Company Makes Money

Kyudenko Corporation generates revenue primarily through its construction and engineering services. The company undertakes various infrastructure projects, including electrical installations, air conditioning systems, plumbing, and other essential building services. Revenue streams include contracts from both government entities and private companies seeking specialized engineering solutions. Significant partnerships with construction firms and utility providers further bolster its earnings by expanding its project portfolio and enhancing its service offerings in large-scale developments.

Kyudenko Corporation Financial Statement Overview

Summary

Kyudenko Corporation demonstrates strong financial health with consistent revenue growth and profitability. The balance sheet is robust with low leverage, providing a secure financial structure. However, the recent dip in cash flow generation suggests the need for better cash management strategies to enhance financial flexibility. Overall, the company's financial performance reflects resilience in the engineering and construction industry.

Income Statement

Kyudenko Corporation has shown consistent revenue growth with a steady increase in total revenue from 2024 to 2025. The gross profit margin stands at 14.9%, indicating efficient management of production costs. The net profit margin is strong at 6.1%, reflecting profitability. The EBIT margin is at 8.6% and the EBITDA margin at 10.9%, both showcasing good operational efficiency.

Balance Sheet

The balance sheet reveals a solid equity position with an equity ratio of 63.5%, indicating a strong financial foundation. The debt-to-equity ratio of 0.07 demonstrates low leverage, reducing financial risk. Return on Equity (ROE) is at 9.3%, which is reasonable, though there is room for improvement in generating higher returns on equity.

Cash Flow

Kyudenko's cash flow statement shows a significant decline in operating cash flow compared to the previous year, impacting free cash flow. The free cash flow to net income ratio is 0.15, which is lower than desired, indicating less cash is retained from earnings. However, the company remains cash flow positive, maintaining financial stability.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	483.06B	473.95B	469.06B	395.78B	376.56B	391.90B
Gross Profit	72.79B	70.70B	64.63B	57.89B	57.36B	56.63B
EBITDA	49.01B	51.53B	47.91B	45.57B	43.12B	43.04B
Net Income	31.79B	28.88B	28.02B	26.35B	26.22B	25.04B
Balance Sheet
Total Assets	461.60B	488.47B	503.28B	446.41B	378.40B	366.53B
Cash, Cash Equivalents and Short-Term Investments	56.13B	71.70B	98.55B	67.53B	40.01B	50.91B
Total Debt	22.13B	22.47B	35.34B	36.41B	13.14B	14.63B
Total Liabilities	158.87B	176.31B	212.16B	183.40B	137.20B	144.79B
Stockholders Equity	300.77B	310.10B	288.78B	260.84B	239.13B	219.81B
Cash Flow
Free Cash Flow	0.00	4.18B	41.95B	14.32B	1.11B	6.24B
Operating Cash Flow	0.00	8.04B	43.97B	17.39B	5.25B	9.18B
Investing Cash Flow	0.00	-8.93B	-2.31B	-3.11B	-7.54B	-4.23B
Financing Cash Flow	0.00	-23.91B	-11.03B	11.62B	-10.19B	-10.06B

Kyudenko Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6168.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1959, the sentiment is Positive. The current price of 6168 is above the 20-day moving average (MA) of 5884.20, above the 50-day MA of 5426.22, and above the 200-day MA of 5277.35, indicating a bullish trend. The MACD of 216.16 indicates Negative momentum. The RSI at 76.08 is Negative, neither overbought nor oversold. The STOCH value of 89.16 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1959.

Kyudenko Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1949	78 Outperform	¥230.18B	17.80	11.54%	2.66%	9.76%	28.06%
1721	78 Outperform	$384.47B	13.06	8.05%	3.62%	7.61%	10.95%
1951	75 Outperform	¥372.82B	14.35		3.46%	9.24%	36.14%
1942	75 Outperform	€698.32B	16.48	12.02%	3.32%	12.28%	54.97%
1417	72 Outperform	€207.03B	13.17	6.74%	3.21%	11.62%	41.11%
1959	71 Outperform	¥436.20B	15.08		2.44%	1.04%	3.13%
Sector *	71 Outperform	¥252.71B	13.12	8.49%	3.08%	6.31%	13.02%

Kyudenko Corporation Corporate Events

Kyudenko Corporation Corrects Financial Report for FY 2025

Kyudenko Corporation announced corrections to its consolidated financial report for the fiscal year ended March 31, 2025, due to errors in the aggregation method for cash flows from operating and financing activities. The corrections led to a slight increase in cash flows from operating activities and a higher increase in cash outflows from financing activities, reflecting adjustments in accounts payable, income taxes, and long-term borrowings. These corrections are crucial for stakeholders as they provide a more accurate financial position of the company, potentially impacting investor confidence and financial planning.

The most recent analyst rating on (JP:1959) stock is a Buy with a Yen6400.00 price target. To see the full list of analyst forecasts on Kyudenko Corporation stock, see the JP:1959 Stock Forecast page.

Kyudenko Corporation to Rebrand as KRAFTIA CORPORATION

Kyudenko Corporation has announced a proposal to amend its Articles of Incorporation to change its business name to KRAFTIA CORPORATION, reflecting its ongoing business growth and diversification. This change, effective October 1, 2025, signifies the company’s strategic evolution and potential for future development, impacting its brand identity and market presence.

The most recent analyst rating on (JP:1959) stock is a Buy with a Yen6400.00 price target. To see the full list of analyst forecasts on Kyudenko Corporation stock, see the JP:1959 Stock Forecast page.

Kyudenko Corporation to Rebrand as KRAFTIA CORPORATION

Kyudenko Corporation has announced its decision to change its name to KRAFTIA CORPORATION, pending shareholder approval in June 2025. This change reflects the company’s growth and diversification into various fields beyond its original electrical work, marking its commitment to innovation and global expansion.

Kyudenko Corporation Unveils Vision 2029 Mid-term Management Plan

Kyudenko Corporation has announced its new Mid-term Management Plan, Vision 2029, which outlines strategic directions for the fiscal years 2025 to 2029. The plan aims to address challenges faced during the previous plan period, such as the COVID-19 pandemic and geopolitical risks, by enhancing technological capabilities and human capital management. The company sets ambitious financial and non-financial targets, including a ¥60 billion ordinary profit and a 10% ROIC by 2029, alongside a commitment to sustainability and shareholder returns. This plan positions Kyudenko to advance to a new stage of growth, focusing on investment strategies and stakeholder engagement to enhance corporate value.

Kyudenko Corporation Revises Dividend Policy to Enhance Shareholder Returns

Kyudenko Corporation has announced a change in its dividend policy, effective from the fiscal year ending March 2026. The company aims to implement a progressive dividend policy with a target consolidated payout ratio of 40%, up from the previous 25%, to ensure stable shareholder returns and enhance profit distribution.

Kyudenko Corporation Affirms Independence Amidst Shareholder Ties

Kyudenko Corporation has announced its relationship with its controlling shareholder, Kyushu Electric Power Co., Inc., which holds a 22.75% voting rights stake. Despite this significant shareholding, Kyudenko maintains operational independence due to its distinct business focus on facilities construction. The company is involved in construction work for the Kyushu Electric Power Group, accounting for 12.5% of its annual projects, and has personnel exchanges with the group. These relationships are structured to ensure market-based pricing and operational autonomy, which supports Kyudenko’s strategic positioning in the market.

Kyudenko Corporation Reports Steady Growth and Increased Dividends for FY 2025

Kyudenko Corporation reported a slight increase in net sales and operating income for the fiscal year ended March 31, 2025, with a notable rise in dividends per share. Despite a decrease in comprehensive income, the company maintained a strong equity ratio, indicating robust financial health and a positive outlook for the upcoming fiscal year.