Takada Corporation (1966) AI Stock Analysis

• Market Cap: ¥11.71B
• Dividend Yield: 4.38%
• Average Volume (3M): 7.44K
• Price to Earnings (P/E): 5.8
• Beta (1Y): 1.03
• Revenue Growth: 7.07%
• EPS Growth: -0.67%
• Country: JP
• Employees: 1,718
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): -6.59
• Shares Outstanding: 7,334,350
• 10 Day Avg. Volume: 8,800
• 30 Day Avg. Volume: 7,440
• PEG Ratio: 0.11
• Price to Book (P/B): 0.47
• Price to Sales (P/S): 0.16
• P/FCF Ratio: -2.54
• 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: ¥1,712.00
• Price Target Upside: 7.20% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 70 Outperform
• Price Target: ¥1,712.00 ▲(7.20% Upside)

Takada Corporation's stock score is driven by its strong valuation metrics, indicating potential undervaluation and attractive dividend yield. Financial performance shows resilience in core operations, but liquidity issues need addressing. Technical indicators suggest mild bullish momentum without strong directional signals.

Takada Corporation Business Overview & Revenue Model

Company Description

Takada Corporation, established in 1966, is a diversified enterprise operating primarily in the manufacturing and distribution sectors. The company specializes in producing high-quality industrial equipment and components, including precision machinery, automotive parts, and electronic devices. With a commitment to innovation and sustainability, Takada Corporation caters to a global client base, serving industries such as automotive, aerospace, and electronics. The company's focus on technological advancement and customer-centric solutions has positioned it as a key player in various markets.

How the Company Makes Money

Takada Corporation generates revenue through several key streams, primarily from the sale of its industrial equipment and components. The company manufactures and sells precision machinery and automotive parts, which are in high demand across various sectors. Additionally, Takada engages in long-term contracts with major clients, ensuring a steady stream of income. The company also invests in research and development to create innovative products that meet evolving market needs, thereby enhancing its competitive edge. Strategic partnerships with other manufacturers and suppliers further bolster its revenue through collaborative projects and shared resources. Furthermore, Takada’s commitment to sustainability often attracts environmentally conscious clients, contributing to increased sales in eco-friendly product lines.

Takada Corporation Financial Statement Overview

Summary

Takada Corporation shows strong revenue growth and stable operational performance with a balanced leverage position. However, declining cash flow metrics indicate potential liquidity issues that need to be addressed.

Income Statement

Takada Corporation's income statement shows a strong revenue growth of 11.1% from 2024 to 2025, indicating a positive trajectory. The gross profit margin improved to 12.3% in 2025, reflecting efficient cost management. However, the net profit margin is relatively modest at 4.0%, suggesting room for improvement in profitability. The EBIT and EBITDA margins are stable at 5.1% and 6.2%, respectively, indicating consistent operational performance.

Balance Sheet

The balance sheet reveals a moderate debt-to-equity ratio of 0.46, indicating a balanced leverage position. Return on equity improved to 11.4% in 2025, showing effective use of shareholder funds. The equity ratio stands at 44.9%, suggesting a solid equity base. However, the increase in total debt over the years could pose a potential risk if not managed carefully.

Cash Flow

Cash flow analysis highlights a concerning decline in operating cash flow, turning negative in 2025. Free cash flow also decreased significantly, indicating potential liquidity challenges. The operating cash flow to net income ratio is negative, suggesting inefficiencies in converting income into cash. Despite these challenges, the company has managed to maintain positive financing cash flow, which could support future investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	56.12B	58.07B	52.26B	57.88B	47.24B	47.79B
Gross Profit	6.66B	7.14B	6.39B	6.20B	4.36B	5.07B
EBITDA	2.75B	3.61B	3.21B	3.14B	1.81B	2.18B
Net Income	1.87B	2.31B	1.67B	1.65B	788.13M	1.05B
Balance Sheet
Total Assets	44.80B	45.16B	37.63B	39.70B	32.63B	30.98B
Cash, Cash Equivalents and Short-Term Investments	4.12B	5.19B	4.22B	4.49B	3.37B	2.72B
Total Debt	11.85B	9.37B	6.14B	4.99B	2.80B	2.90B
Total Liabilities	24.83B	24.59B	20.74B	23.62B	18.90B	18.60B
Stockholders Equity	19.69B	20.28B	16.57B	15.78B	13.48B	12.13B
Cash Flow
Free Cash Flow	0.00	-3.72B	25.07M	-1.12B	688.88M	1.36B
Operating Cash Flow	0.00	-687.33M	1.74B	-506.50M	1.67B	2.07B
Investing Cash Flow	0.00	-2.46B	-1.65B	-576.64M	-1.01B	-1.08B
Financing Cash Flow	0.00	4.02B	-562.00M	1.89B	-253.68M	-1.00B

Takada Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1597.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1966, the sentiment is Positive. The current price of 1597 is above the 20-day moving average (MA) of 1589.65, above the 50-day MA of 1583.32, and above the 200-day MA of 1500.90, indicating a bullish trend. The MACD of 0.72 indicates Positive momentum. The RSI at 52.54 is Neutral, neither overbought nor oversold. The STOCH value of 55.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1966.

Takada Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1867	75 Outperform	¥15.78B	7.44	―	3.30%	-5.06%	2.78%
1960	74 Outperform	¥15.45B	9.46	―	3.97%	28.15%	895.81%
1807	73 Outperform	¥10.26B	9.97	―	4.63%	3.49%	9.50%
1966	70 Outperform	¥11.71B	5.82	―	4.38%	7.07%	-0.67%
1853	68 Neutral	¥10.81B	10.22	―	4.24%	-4.01%	42.07%
1914	65 Neutral	¥13.45B	12.80	―	3.74%	17.93%	-31.47%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%