JTEC Corp. (Osaka) (3446) AI Stock Analysis

• Market Cap: ¥7.51B
• Dividend Yield: N/A
• Average Volume (3M): 93.54K
• Price to Earnings (P/E): 165.2
• Beta (1Y): 1.27
• Revenue Growth: -1.01%
• EPS Growth: -73.21%
• Country: JP
• Employees: 45
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): -20.48
• Shares Outstanding: 5,905,500
• 10 Day Avg. Volume: 57,320
• 30 Day Avg. Volume: 93,543
• PEG Ratio: -1.75
• Price to Book (P/B): 2.65
• Price to Sales (P/S): 3.82
• P/FCF Ratio: 40.28
• 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): 3,680.6
• Revenue Forecast (FY): ¥375.86B

• Rating: 63 Neutral
• Price Target: ¥1,405.00 ▲(18.07% Upside)

The score is held up by strong cash flow performance and a low-leverage, equity-heavy balance sheet, but is capped by weakening revenue/profitability trends and a very high P/E valuation. Technical indicators are broadly neutral, providing limited incremental support.

Positive Factors

Strong free cash flow generation

Sustained, large free cash flow expansion and high operating cash conversion indicate durable internal funding capacity. This supports capex for device development, working capital needs, or opportunistic investments without needing material external financing over the next several quarters.

Low leverage and solid equity base

Very low debt and a high equity ratio provide financial flexibility and lower insolvency risk. That balance sheet strength allows the company to withstand cyclical softness in medical instrument demand and fund strategic initiatives or absorb shocks over a multi-month horizon.

High gross profit margins

A strong gross margin signals durable product-level economics and pricing power in its instrument and supplies business. High gross profitability gives room to invest in R&D or sales while cushioning operating margin volatility from temporary revenue dips.

Negative Factors

Declining revenue trend

Material top-line contraction suggests weakening demand or competitive pressure that can persist. Lower revenue hampers operating leverage, makes fixed cost absorption harder, and increases reliance on cash reserves or efficiency gains to sustain margins over coming quarters.

Compressed operating and net margins

Significant margin compression reduces profitability resilience and long-term reinvestment capacity. If cost or pricing pressures persist, lower operating margins will constrain free cash flow quality and limit the company’s ability to fund growth or restore ROE without strategic change.

Sharp decline in reported earnings

A steep EPS drop signals deteriorating bottom-line performance and undermines shareholder return prospects. Persistently weak earnings can impair access to capital, hurt management credibility on execution, and force tougher cost or strategy shifts over the medium term.

JTEC Corp. (Osaka) Business Overview & Revenue Model

Company Description

JTEC Corporation designs, manufactures, and sells X-ray mirrors for synchrotron facilities in Japan. Its X-ray mirrors are used for study in the pharmaceutical, electronic, material, food, beauty, and other fields. The company also designs, develops, manufactures, and sells automated cell culture systems, as well as automated systems in various fields. JTEC Corporation was founded in 1993 and is headquartered in Ibaraki, Japan.

How the Company Makes Money

JTEC Corp. generates revenue through the sale of its electronic components and systems to a diverse range of customers, including manufacturers in the automotive and telecommunications sectors. The company operates on a business-to-business (B2B) model, where it supplies both standard and customized solutions tailored to meet specific client needs. Key revenue streams include direct sales of products, long-term contracts with major clients, and partnerships with technology firms for collaborative development projects. Additionally, JTEC benefits from providing ongoing support and maintenance services, which further contribute to its earnings. The company also explores joint ventures and strategic alliances to expand its market reach and enhance its product offerings, thereby creating additional revenue opportunities.

JTEC Corp. (Osaka) Financial Statement Overview

Summary

Mixed fundamentals: revenue growth declined (-11.42%) and profitability weakened (net margin fell to 3.13% with contracted EBIT/EBITDA margins), but the balance sheet is solid with low leverage (debt-to-equity 0.18, equity ratio 75.3%) and cash generation is a clear strength (free cash flow growth +775.70%, strong cash conversion vs. net income).

Income Statement

JTEC Corp. has shown a mixed performance in its income statement. The company experienced a decline in revenue growth rate by 11.42% in the latest year, indicating a potential challenge in maintaining sales momentum. However, the gross profit margin remains strong at approximately 61.2%, suggesting efficient cost management. The net profit margin has decreased significantly from 9.93% to 3.13%, reflecting pressure on profitability. The EBIT and EBITDA margins have also contracted, indicating reduced operational efficiency.

Balance Sheet

The balance sheet of JTEC Corp. reflects a stable financial position with a debt-to-equity ratio of 0.18, indicating low leverage and financial risk. The equity ratio stands at 75.3%, showcasing a strong equity base relative to total assets. However, the return on equity has decreased to 2.17%, suggesting a decline in profitability for shareholders. Overall, the balance sheet remains robust with a solid equity foundation.

Cash Flow

JTEC Corp.'s cash flow statement highlights a significant improvement in free cash flow growth, which surged by 775.70%, indicating enhanced cash generation capabilities. The operating cash flow to net income ratio is favorable at 4.75, suggesting strong cash conversion from earnings. The free cash flow to net income ratio is 3.03, reflecting efficient cash management. Overall, the cash flow position is strong, with positive trends in cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.92B	1.93B	2.01B	1.91B	1.15B	820.35M
Gross Profit	1.17B	1.18B	1.25B	1.16B	699.91M	330.70M
EBITDA	246.91M	264.89M	437.18M	510.65M	107.47M	-146.19M
Net Income	45.80M	60.35M	199.59M	238.19M	-32.13M	-170.71M
Balance Sheet
Total Assets	3.53B	3.69B	3.57B	3.47B	3.23B	3.38B
Cash, Cash Equivalents and Short-Term Investments	933.54M	712.38M	610.23M	783.13M	732.32M	550.70M
Total Debt	483.63M	495.51M	521.96M	597.42M	672.88M	948.33M
Total Liabilities	879.47M	912.60M	870.75M	986.11M	999.32M	1.12B
Stockholders Equity	2.65B	2.78B	2.70B	2.48B	2.23B	2.26B
Cash Flow
Free Cash Flow	-420.00K	182.82M	-79.67M	127.95M	171.16M	-178.24M
Operating Cash Flow	117.91M	286.48M	62.65M	210.36M	284.19M	-144.49M
Investing Cash Flow	-119.13M	-104.29M	-160.71M	-84.74M	-132.59M	-831.52M
Financing Cash Flow	-81.86M	-79.91M	-75.53M	-75.50M	-273.58M	948.23M

JTEC Corp. (Osaka) Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1190.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3446, the sentiment is Negative. The current price of 1190 is below the 20-day moving average (MA) of 1318.85, below the 50-day MA of 1265.20, and below the 200-day MA of 1246.64, indicating a neutral trend. The MACD of 29.69 indicates Negative momentum. The RSI at 47.80 is Neutral, neither overbought nor oversold. The STOCH value of 42.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3446.

JTEC Corp. (Osaka) Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7980	75 Outperform	¥5.75B	10.10	―	1.93%	4.41%	-16.07%
7730	71 Outperform	¥149.95B	30.34	―	2.73%	5.10%	-26.13%
7979	69 Neutral	¥65.59B	14.36	―	2.83%	3.69%	1.86%
7743	67 Neutral	¥17.49B	12.72	―	2.65%	0.81%	-26.76%
3446	63 Neutral	¥7.51B	165.24	―	―	-1.01%	-73.21%
7702	54 Neutral	¥10.70B	68.49	―	3.85%	0.38%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

JTEC Corp. (Osaka) Corporate Events

JTEC Corporation Reports Q3 2025 Financial Results with Optimistic Future Outlook

JTEC Corporation reported its consolidated financial results for the three months ending September 30, 2025, showing stable net sales but a decline in profits compared to the previous year. Despite a challenging quarter, the company remains optimistic about future performance, forecasting significant growth in net sales and profits for the fiscal year ending June 30, 2026, indicating a positive outlook for stakeholders.

The most recent analyst rating on (JP:3446) stock is a Hold with a Yen1502.00 price target. To see the full list of analyst forecasts on JTEC Corp. (Osaka) stock, see the JP:3446 Stock Forecast page.