Kurimoto,Ltd. (5602) AI Stock Analysis

• Market Cap: ¥106.63B
• Dividend Yield: 3.85%
• Average Volume (3M): 1.16M
• Price to Earnings (P/E): 13.8
• Beta (1Y): 0.70
• Revenue Growth: 1.06%
• EPS Growth: 45.19%
• Country: JP
• Employees: 2,121
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): 24.00
• Shares Outstanding: 63,992,450
• 10 Day Avg. Volume: 758,840
• 30 Day Avg. Volume: 1,162,803
• PEG Ratio: 0.31
• Price to Book (P/B): 0.63
• Price to Sales (P/S): 0.44
• P/FCF Ratio: -9.72
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 78 Outperform
• Price Target: ¥2,055.00 ▲(21.60% Upside)

Kurimoto, Ltd. benefits from strong profitability and a solid balance sheet, which are slightly offset by cash flow volatility. The stock's reasonable valuation and high dividend yield are significant positives. Technical indicators suggest a positive trend, but caution is advised due to potential bearish momentum and overbought signals.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategy, supporting long-term financial stability.

Balance Sheet Strength

A strong equity base and low leverage enhance financial resilience, providing flexibility to invest in growth opportunities.

Profitability

Improved margins reflect efficient operations and pricing power, contributing to sustainable profitability and competitive advantage.

Negative Factors

Cash Flow Volatility

Volatile cash flow can hinder the company's ability to fund operations and growth, posing risks to financial stability.

Debt Increase

Rising debt levels may strain financial resources, affecting the company's ability to invest in strategic initiatives.

Cyclical Industry Risks

Exposure to cyclical industry dynamics can lead to revenue and margin fluctuations, impacting long-term financial performance.

Kurimoto,Ltd. Business Overview & Revenue Model

Company Description

Kurimoto, Ltd. (5602) is a Japanese company primarily engaged in the manufacturing and sale of industrial products, including steel castings, ceramics, and equipment for various industries such as construction, mining, and energy. The company operates through several business segments, focusing on providing high-quality components and solutions that enhance operational efficiency and sustainability in its targeted sectors. With a commitment to innovation and technology, Kurimoto aims to address the evolving needs of its customers globally.

How the Company Makes Money

Kurimoto, Ltd. generates revenue through multiple streams, primarily by selling its industrial products, including steel castings and ceramic materials, to various sectors such as construction, mining, and energy. The company’s revenue model is built on direct sales, long-term contracts, and partnerships with other manufacturers and suppliers that help expand its distribution channels. Additionally, Kurimoto may engage in providing maintenance and support services for its products, which further contributes to its earnings. Strategic partnerships and collaborations with other companies also play a significant role in enhancing its market presence and revenue potential.

Kurimoto,Ltd. Financial Statement Overview

Summary

Kurimoto, Ltd. shows strong profitability with improved margins and a solid equity base. However, cash flow volatility due to negative operating and free cash flows in 2025 weakens the overall financial health.

Income Statement

Kurimoto, Ltd. has demonstrated a robust performance with steady revenue growth over the past years, reaching JPY 126.67 billion in 2025. The gross profit margin improved to 26.3%, and the net profit margin increased to 5.5%, indicating strong profitability. The EBIT margin rose to 6.3%, and the EBITDA margin was 10.1%, reflecting efficient operational management. These factors contribute to a solid income statement score, although the steel industry’s cyclical nature poses potential risks.

Balance Sheet

The company's balance sheet reveals a strong equity base with JPY 87.69 billion, providing an equity ratio of 57.9%. The debt-to-equity ratio stands at 0.23, suggesting a conservative leverage approach. Return on equity is at 7.9%, indicating effective utilization of equity capital. However, the total debt increased in 2025, which may warrant monitoring in a volatile steel market.

Cash Flow

Cash flow performance shows volatility, with operating cash flow declining to JPY -2.34 billion in 2025. Despite a strong free cash flow of JPY 7.9 billion in 2024, the free cash flow in 2025 turned negative at JPY -5.69 billion. The operating cash flow to net income ratio indicates challenges in converting profits to cash. This cash flow instability slightly weakens the overall financial health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	126.37B	126.67B	125.92B	124.83B	105.95B	116.60B
Gross Profit	33.60B	33.28B	31.46B	29.35B	25.34B	26.01B
EBITDA	14.17B	12.79B	11.04B	9.96B	7.25B	7.19B
Net Income	7.50B	6.91B	5.47B	4.73B	2.92B	3.17B
Balance Sheet
Total Assets	149.26B	151.54B	151.18B	145.16B	139.72B	134.48B
Cash, Cash Equivalents and Short-Term Investments	21.89B	15.73B	19.37B	20.33B	21.36B	20.42B
Total Debt	20.12B	20.42B	15.04B	21.56B	24.29B	22.85B
Total Liabilities	61.65B	62.86B	68.45B	72.20B	72.11B	69.37B
Stockholders Equity	86.62B	87.69B	81.74B	71.61B	66.34B	63.97B
Cash Flow
Free Cash Flow	0.00	-5.69B	7.90B	2.69B	325.00M	1.64B
Operating Cash Flow	0.00	-2.34B	10.28B	5.06B	2.81B	5.91B
Investing Cash Flow	0.00	-3.57B	-2.69B	-1.74B	-2.46B	-4.03B
Financing Cash Flow	0.00	2.19B	-8.60B	-4.50B	482.00M	-1.81B

Kurimoto,Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1690.00
• 50DMA: Negative
• 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:5602, the sentiment is Neutral. The current price of 1690 is below the 20-day moving average (MA) of 1706.60, below the 50-day MA of 1743.54, and above the 200-day MA of 1327.17, indicating a neutral trend. The MACD of -2.83 indicates Positive momentum. The RSI at 47.15 is Neutral, neither overbought nor oversold. The STOCH value of 20.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:5602.

Kurimoto,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5602	78 Outperform	¥106.63B	13.82	―	3.85%	1.06%	45.19%
5445	72 Outperform	¥53.25B	4.95	―	6.36%	-8.44%	9.50%
5480	71 Outperform	¥66.76B	6.60	―	5.20%	-9.28%	-7.18%
5440	70 Outperform	¥106.17B	9.52	―	3.68%	-3.06%	1.15%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
5410	61 Neutral	¥55.51B	4.98	―	6.32%	-7.45%	-9.12%
5449	61 Neutral	¥82.25B	2,029.08	―	1.24%	-12.05%	-97.36%

Kurimoto,Ltd. Corporate Events

Kurimoto, Ltd. Reports Financial Results and Announces Stock Split

Kurimoto, Ltd. reported its consolidated financial results for the six months ended September 30, 2025, showing a slight decrease in net sales but an increase in operating and ordinary profits compared to the previous year. The company also conducted a 5-for-1 stock split effective October 1, 2025, and announced a forecast for the fiscal year ending March 31, 2026, with expectations of a slight decline in net sales and operating profit but a modest increase in profit attributable to owners of the parent.

The most recent analyst rating on (JP:5602) stock is a Buy with a Yen2020.00 price target. To see the full list of analyst forecasts on Kurimoto,Ltd. stock, see the JP:5602 Stock Forecast page.

Kurimoto, Ltd. Revises Financial Forecast with Increased Profit Expectations

Kurimoto, Ltd. has revised its financial forecast for the first half of the fiscal year ending September 30, 2025. While net sales are expected to slightly decline, the company anticipates higher profits due to improved business profitability, increased dividend income, and extraordinary income from accelerated securities sales. This adjustment highlights the company’s strategic financial management and its ability to enhance shareholder value despite a slight dip in sales.

The most recent analyst rating on (JP:5602) stock is a Buy with a Yen2020.00 price target. To see the full list of analyst forecasts on Kurimoto,Ltd. stock, see the JP:5602 Stock Forecast page.