NGK SPARK PLUG CO (5334) AI Stock Analysis

• Market Cap: ¥1.16T
• Dividend Yield: 3.04%
• Average Volume (3M): 675.72K
• Price to Earnings (P/E): 13.0
• Beta (1Y): 1.27
• Revenue Growth: 4.03%
• EPS Growth: 3.94%
• Country: JP
• Employees: 15,980
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 121.09
• Shares Outstanding: 199,247,730
• 10 Day Avg. Volume: 617,410
• 30 Day Avg. Volume: 675,723
• PEG Ratio: 0.70
• Price to Book (P/B): 1.33
• Price to Sales (P/S): 1.38
• P/FCF Ratio: 8.73
• 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: ¥6,050.72
• Price Target Upside: 3.84% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 78 Outperform
• Price Target: ¥6,545.00 ▲(12.32% Upside)

NGK SPARK PLUG CO's strong financial performance and positive technical indicators are the primary drivers of its high score. The company's robust revenue growth and profitability, combined with bullish market momentum, position it well in the auto parts industry. The valuation is fair, with a reasonable P/E ratio and a moderate dividend yield.

NGK SPARK PLUG CO Business Overview & Revenue Model

Company Description

NGK Spark Plug Co., Ltd., together with its subsidiaries, manufactures and sells spark plugs and related products for internal-combustion engines; and technical ceramics and applicable products in Japan. The company offers spark plugs, including plugs for aftermarket and original equipment, igniter plugs, and resister cables and covers; glow plugs comprising ceramic and metal type glow plugs, and glow controllers; and oxygen, NOx, temperature, and knock sensors. It also provides semiconductor packages and substrates, such as IC packages for electronics and smart devices, as well as manufacturing parts for semiconductors; and medical products. In addition, the company offers fine ceramics, including wear-resistant parts, ultrasonic transducers and sensors, products for semiconductor manufacturing equipment, electric equipment products, and other ceramic products. Further, it provides cutting tools comprising ceramic, cermet, micro grain carbide, coated carbide, and cubic boron nitride grades, as well as SS and rotational tools. The company sells its spark and glow plugs under NGK brand; and sensors, semiconductor packages/substrates, cutting tools, and fine ceramics under NTK brand. NGK Spark Plug Co., Ltd. was founded in 1936 and is headquartered in Nagoya, Japan.

How the Company Makes Money

NGK SPARK PLUG CO. generates revenue through the manufacture and sale of automotive components and technical ceramics. The automotive components sector is the primary revenue stream, with products like spark plugs, glow plugs, and various automotive sensors, which are essential for vehicle operation and performance. These products are sold directly to automotive manufacturers and through aftermarket distributors. The technical ceramics sector contributes to the company's earnings by providing ceramic products used in medical devices, environmental solutions, and industrial applications. Key partnerships with automotive manufacturers and ongoing investments in research and development help the company maintain its competitive edge and drive sales growth. The company's global distribution network and strong brand reputation further bolster its revenue generation capabilities.

NGK SPARK PLUG CO Financial Statement Overview

Summary

NGK SPARK PLUG CO exhibits strong financial health with impressive revenue growth and profitability metrics. The balance sheet is robust, supported by a low debt-to-equity ratio and solid return on equity. However, the recent decline in free cash flow growth requires attention.

Income Statement

NGK SPARK PLUG CO has demonstrated strong revenue growth, particularly in the TTM period with a 68.6% increase. The company maintains solid profitability with a gross profit margin of 39.5% and a net profit margin of 14.2% in TTM. The EBIT and EBITDA margins are also robust, indicating efficient operations. However, the slight decline in gross profit from the previous annual report suggests potential cost pressures.

Balance Sheet

The company's balance sheet is stable with a low debt-to-equity ratio of 0.23 in TTM, reflecting prudent financial management. Return on equity is healthy at 13.3%, indicating effective use of equity capital. The equity ratio of 59% suggests a strong capital structure, though the increase in total debt over time warrants monitoring.

Cash Flow

NGK SPARK PLUG CO's cash flow performance is mixed. The operating cash flow to net income ratio of 0.87 in TTM indicates strong cash generation relative to earnings. However, the negative free cash flow growth rate of -11.4% in TTM highlights challenges in maintaining cash reserves. The free cash flow to net income ratio remains solid at 0.77, suggesting efficient cash utilization.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	657.47B	652.99B	614.49B	562.56B	491.73B	427.55B
Gross Profit	257.57B	258.10B	226.19B	197.82B	156.17B	130.22B
EBITDA	168.24B	179.08B	158.19B	134.39B	121.70B	86.68B
Net Income	88.81B	92.63B	82.65B	66.29B	60.20B	38.37B
Balance Sheet
Total Assets	1.15T	990.97B	975.72B	903.10B	823.18B	771.29B
Cash, Cash Equivalents and Short-Term Investments	219.44B	208.19B	180.68B	201.63B	172.59B	139.52B
Total Debt	308.80B	156.68B	178.11B	186.42B	154.74B	187.54B
Total Liabilities	472.62B	316.24B	337.42B	339.36B	305.19B	319.67B
Stockholders Equity	680.80B	674.57B	637.68B	563.67B	514.32B	448.83B
Cash Flow
Free Cash Flow	91.11B	102.83B	82.72B	44.98B	44.07B	33.82B
Operating Cash Flow	118.67B	132.92B	118.18B	69.31B	71.91B	63.40B
Investing Cash Flow	-167.28B	-34.25B	-92.16B	-37.38B	10.23B	-42.52B
Financing Cash Flow	108.37B	-71.00B	-57.45B	-1.77B	-53.83B	28.17B

NGK SPARK PLUG CO Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 5827.00
• 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:5334, the sentiment is Neutral. The current price of 5827 is below the 20-day moving average (MA) of 5838.52, above the 50-day MA of 5506.26, and above the 200-day MA of 4821.27, indicating a neutral trend. The MACD of 117.79 indicates Positive momentum. The RSI at 53.97 is Neutral, neither overbought nor oversold. The STOCH value of 31.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:5334.

NGK SPARK PLUG CO Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5105	80 Outperform	$605.90B	9.16	14.46%	3.30%	2.57%	-22.34%
5334	78 Outperform	¥1.16T	13.02	13.54%	3.04%	4.03%	3.94%
5161	78 Outperform	¥115.92B	31.61	―	6.19%	-1.11%	-33.77%
5191	74 Outperform	¥218.14B	8.00	―	3.43%	0.49%	27.98%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
5101	61 Neutral	$841.35B	13.28	7.41%	1.87%	7.61%	-25.17%
5110	51 Neutral	$463.12B	50.94	-2.19%	3.63%	-0.52%	-121.44%

NGK SPARK PLUG CO Corporate Events

Niterra Co., Ltd. Proposes Revised Stock Remuneration System

Niterra Co., Ltd. has announced a proposal for the continuation and partial revision of its performance-linked stock remuneration system for its directors and corporate officers. This system aims to align the interests of the directors with shareholders by linking remuneration to company performance and share value, thereby incentivizing improved medium- to long-term corporate performance. The revised system, subject to shareholder approval, includes changes to cash contribution limits and performance indicators to enhance the focus on achieving performance targets and sustainable growth.

The most recent analyst rating on (JP:5334) stock is a Hold with a Yen4800.00 price target. To see the full list of analyst forecasts on NGK SPARK PLUG CO stock, see the JP:5334 Stock Forecast page.