Atom Livin Tech Co., Ltd. (3426) AI Stock Analysis

• Market Cap: ¥5.28B
• Dividend Yield: 2.59%
• Average Volume (3M): 2.16K
• Price to Earnings (P/E): 14.0
• Beta (1Y): 0.14
• Revenue Growth: 2.31%
• EPS Growth: 44.49%
• Country: JP
• Employees: 124
• Sector: Industrials
• Sector Strength: 72
• Industry: Construction Materials
• EPS (TTM): N/A
• Shares Outstanding: 4,105,000
• 10 Day Avg. Volume: 2,290
• 30 Day Avg. Volume: 2,163
• PEG Ratio: 0.28
• Price to Book (P/B): 0.56
• Price to Sales (P/S): 0.57
• P/FCF Ratio: -4.21
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: ¥1,428.00 ▲(7.94% Upside)
• Action: Downgraded Date: 12/30/25
• Date: Action: Downgraded 12/30/25

The score is driven primarily by solid fundamentals (notably a debt-free balance sheet and a strong FY2025 revenue/profit rebound), tempered by a significant deterioration in FY2025 cash flow. Technicals are mixed to slightly weak versus longer-term moving averages, while valuation (P/E and dividend yield) is supportive.

Positive Factors

Debt-Free Balance Sheet

A debt-free balance sheet reduces financial risk and enhances flexibility, allowing the company to navigate economic cycles more effectively.

Revenue Rebound

Strong revenue rebound and improved profitability indicate robust market demand and effective cost management, supporting long-term growth.

Stable Equity Growth

Stable equity growth reflects a solid capital base, enhancing the company's ability to invest in future opportunities and withstand market fluctuations.

Negative Factors

Negative Cash Flow

Negative cash flow despite positive earnings suggests issues in cash conversion, posing risks to liquidity and operational flexibility.

Margin Pressure

Sustained margin pressure indicates challenges in cost control or pricing power, potentially impacting profitability and competitiveness.

Cash Conversion Risk

Weak cash conversion highlights potential inefficiencies in working capital management, affecting the company's ability to fund operations and growth.

Atom Livin Tech Co., Ltd. Business Overview & Revenue Model

Company Description

Atom Livin Tech Co., Ltd. plans, develops, and sells general interior hardware for housing under the ATOM brand name in Japan. It offers door locks, hinges, slide hinges, hinged door fittings, sliding door locks and hardware, hanging sliding door fittings, moving partition and folding door fittings, indoor aluminum fittings, handles, slide rails and wire baskets, storage and hanging and other furniture hardware, and clothesline and various metal fittings, as well as brass/antiques. It sells its products to furniture manufacturers, architectural hardware stores, house builders, and housing equipment application. Atom Livin Tech Co., Ltd. was founded in 1903 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Atom Livin Tech Co., Ltd. generates revenue through the production and sale of its building hardware products. The company’s primary revenue streams include direct sales to construction companies, hardware retailers, and distributors. Additionally, the company may engage in partnerships or collaborations with construction firms and real estate developers to supply hardware solutions for large-scale projects. Atom Livin Tech may also benefit from maintaining a strong brand reputation and investing in research and development to innovate and expand its product offerings, thereby enhancing its market position and driving sales growth.

Atom Livin Tech Co., Ltd. Financial Statement Overview

Summary

FY2025 revenue rebounded sharply and profitability improved year over year, supported by a very conservative balance sheet with zero debt and stable equity. The major offset is cash generation: operating cash flow and free cash flow turned sharply negative in FY2025 despite positive earnings, raising near-term cash-conversion/working-capital risk.

Income Statement

Revenue rebounded strongly in FY2025 (up ~88% YoY) after a soft FY2024, and profitability improved versus last year (net margin ~3.8% vs ~2.5%). However, margins remain below earlier years (FY2020–FY2022 net margin ~4.1%–4.6%), and gross/EBITDA margins show a longer-term downshift versus the 2020–2022 period, suggesting some pressure from costs, pricing, or mix.

Balance Sheet

The balance sheet is conservatively positioned with zero debt across all reported years, which materially lowers financial risk and provides flexibility through cycles. Equity is stable-to-growing (about ¥9.2B in FY2020 to ¥10.4B in FY2025), and returns on equity are positive though modest (roughly ~2.5%–5.2% over the period), indicating solid stability but only moderate profitability on the capital base.

Cash Flow

Cash generation is the key weak spot: FY2025 operating cash flow and free cash flow turned sharply negative (about -¥1.15B and -¥1.39B, respectively) despite positive earnings, indicating profits did not translate into cash in the latest year. Prior years were generally positive (FY2020–FY2024), but cash flow coverage of earnings was relatively light even then, making the FY2025 reversal a notable execution/working-capital risk to monitor.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	10.30B	10.16B	10.42B	9.99B	9.63B
Gross Profit	2.56B	2.53B	2.63B	2.76B	2.74B
EBITDA	738.16M	516.00M	563.91M	802.91M	829.53M
Net Income	390.86M	254.70M	346.86M	412.13M	441.17M
Balance Sheet
Total Assets	11.61B	13.19B	12.88B	12.89B	12.41B
Cash, Cash Equivalents and Short-Term Investments	3.42B	5.11B	5.00B	5.09B	4.83B
Total Debt	0.00	0.00	0.00	0.00	0.00
Total Liabilities	1.18B	3.04B	2.83B	3.08B	2.86B
Stockholders Equity	10.43B	10.15B	10.05B	9.81B	9.56B
Cash Flow
Free Cash Flow	-1.39B	356.38M	140.16M	399.95M	663.37M
Operating Cash Flow	-1.15B	540.47M	260.23M	545.58M	812.46M
Investing Cash Flow	-1.89B	-289.78M	-215.05M	-151.47M	-306.00M
Financing Cash Flow	-139.69M	-139.75M	-131.57M	-131.77M	-135.65M

Atom Livin Tech Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1323.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3426, the sentiment is Positive. The current price of 1323 is above the 20-day moving average (MA) of 1322.05, above the 50-day MA of 1318.95, and below the 200-day MA of 1381.27, indicating a neutral trend. The MACD of 0.90 indicates Negative momentum. The RSI at 55.85 is Neutral, neither overbought nor oversold. The STOCH value of 84.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3426.

Atom Livin Tech Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5268	69 Neutral	¥12.95B	55.69	―	1.24%	-2.82%	-44.93%
3426	66 Neutral	¥5.28B	14.01	―	2.59%	2.31%	44.49%
5900	64 Neutral	¥4.88B	26.01	―	2.05%	―	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
1994	63 Neutral	¥5.20B	25.20	―	3.79%	-14.22%	-92.98%
5269	49 Neutral	¥20.09B	-133.31	―	3.24%	-3.73%	-143.19%
6173	41 Neutral	¥1.33B	-1.32	―	―	-41.75%	-116.16%