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

• Market Cap: ¥11.80B
• Dividend Yield: N/A
• Average Volume (3M): 93.54K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.24
• Revenue Growth: -1.01%
• EPS Growth: -73.21%
• Country: JP
• Employees: 45
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): N/A
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: ¥2,448.00 ▲(105.71% Upside)
• Action: Downgraded Date: 02/18/26
• Date: Action: Downgraded 02/18/26

The score is driven by solid financial stability and notably improving cash generation, partially offset by weakening profitability and negative revenue growth. Technicals are strong but appear overbought, and the very high P/E meaningfully weighs on the overall rating.

Positive Factors

Balance sheet strength

Very low leverage and a high equity ratio give JTEC durable financial flexibility. This reduces refinancing risk, supports capital allocation for product development or M&A, and cushions the firm through sector cyclicality, preserving long-term solvency and optionality.

Improved cash generation

A massive improvement in free cash flow and strong operating cash conversion indicate higher cash quality and better funding capacity from operations. Durable cash generation supports reinvestment in R&D, working capital, and reduces reliance on external finance over multiple quarters.

High gross margin

Sustained ~61% gross margin suggests structural pricing power or efficient manufacturing in medical instruments. That margin buffer helps absorb SG&A or input cost shocks, enabling long-term investment in product development while preserving gross profitability.

Negative Factors

Revenue decline

Material year-over-year revenue contraction erodes scale benefits and may indicate waning demand, lost customers, or competitive pressure. If sustained, lower top-line reduces ability to fund fixed costs and strategic initiatives, stressing long-term growth prospects.

Net margin compression

A severe drop in net margin points to rising operating costs, pricing pressure, or mix shifts that cut into bottom-line returns. Even with strong gross margin, declining net margins reduce retained earnings and ROE, impairing long-term profitability and capital reinvestment.

Earnings volatility

A large negative EPS growth rate signals volatile or deteriorating earnings power. Persistent earnings weakness undermines internal funding for R&D and expansion, increases sensitivity to shocks, and indicates profitability risks that could persist across multiple quarters.

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

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JTEC Corp. (Osaka) Financial Statement Overview

Summary

Mixed fundamentals: revenue growth declined (-11.42%) and net margin fell sharply (9.93% to 3.13%), but the balance sheet is strong with low leverage (debt-to-equity 0.18, equity ratio 75.3%) and cash flow improved materially (free cash flow growth +775.70% with strong cash conversion).

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	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	2.01B	1.93B	2.01B	1.91B	1.15B	820.35M
Gross Profit	1.25B	1.18B	1.25B	1.16B	699.91M	330.70M
EBITDA	296.84M	272.57M	434.99M	451.82M	60.37M	-179.11M
Net Income	90.61M	60.35M	199.59M	238.19M	-32.13M	-170.71M
Balance Sheet
Total Assets	3.48B	3.69B	3.57B	3.47B	3.23B	3.37B
Cash, Cash Equivalents and Short-Term Investments	793.30M	712.38M	610.23M	783.13M	732.32M	550.70M
Total Debt	461.45M	495.51M	521.96M	597.89M	674.06M	950.23M
Total Liabilities	825.65M	912.60M	870.74M	986.11M	999.46M	1.07B
Stockholders Equity	2.66B	2.78B	2.70B	2.48B	2.23B	2.30B
Cash Flow
Free Cash Flow	-5.44M	182.82M	-78.75M	132.40M	171.31M	-170.82M
Operating Cash Flow	127.57M	286.48M	62.65M	210.36M	284.19M	-144.49M
Investing Cash Flow	-133.16M	-104.29M	-160.71M	-84.74M	-132.59M	-831.52M
Financing Cash Flow	-85.90M	-79.91M	-75.53M	-75.50M	-273.58M	948.23M

JTEC Corp. (Osaka) Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3446, the sentiment is Positive. The current price of 1190 is below the 20-day moving average (MA) of 2153.55, below the 50-day MA of 1771.74, and below the 200-day MA of 1395.28, indicating a neutral trend. The MACD of 79.80 indicates Positive momentum. The RSI at 49.00 is Neutral, neither overbought nor oversold. The STOCH value of 16.30 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:3446.

JTEC Corp. (Osaka) Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6869	71 Outperform	¥863.70B	16.38	9.38%	1.88%	1.51%	-12.59%
4543	67 Neutral	¥3.01T	25.64	8.98%	1.22%	7.68%	10.08%
3446	66 Neutral	¥11.80B	-99.86	―	―	-1.01%	-73.21%
8086	62 Neutral	¥242.36B	5.59	4.38%	2.03%	6.04%	733.13%
7733	60 Neutral	¥1.51T	38.56	11.34%	1.01%	0.42%	34.76%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

JTEC Corp. (Osaka) Corporate Events

JTEC Narrows Interim Loss and Affirms Forecast of Strong Profit Rebound for FY2026

JTEC Corp. reported consolidated net sales of ¥646 million for the six months ended December 31, 2025, a 14.5% year-on-year increase, while narrowing its loss attributable to owners of parent to ¥138 million. Despite continued operating and ordinary losses, the company maintained a high equity ratio of 76.3% and slightly reduced total assets and net assets compared with June 30, 2025.

The company kept its interim dividend at zero and reiterated its full-year forecast for the fiscal year ending June 30, 2026, targeting ¥2,655 million in net sales and ¥172 million in profit attributable to owners of parent. If achieved, these projections would mark a strong turnaround to profitability and significant growth in sales and earnings, signaling a potential improvement in financial performance for shareholders and other stakeholders.

The most recent analyst rating on (JP:3446) stock is a Hold with a Yen1630.00 price target. To see the full list of analyst forecasts on JTEC Corp. (Osaka) stock, see the JP:3446 Stock Forecast page.