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Furukawa Electric Co Ltd (JP:5801)
:5801

Furukawa Electric Co (5801) AI Stock Analysis

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JP:5801

Furukawa Electric Co

(5801)

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Outperform 75 (OpenAI - 5.2)
Rating:75Outperform
Price Target:
¥48,308.00
▲(5.48% Upside)
Action:ReiteratedDate:04/09/26
The score is driven primarily by improving financial performance (better margins, positive free cash flow, and higher ROE) supported by strong bullish technical momentum. Valuation is favorable due to the low P/E, while the very high stochastic and elevated RSI slightly temper the rating due to increased pullback risk.
Positive Factors
Improving margins
Gross and net margin improvements reflect durable operational fixes: better mix, pricing power or cost control. Sustained margin recovery increases cash generation potential and resilience to cyclical revenue swings, supporting reinvestment and debt reduction over months.
Negative Factors
Moderate leverage / capitalization
A near-1.0 debt-to-equity and a mid-30s equity ratio leave limited capital buffers versus large project overruns or unexpected demand shocks. While manageable, this structure reduces financial flexibility and may constrain strategic investments without further equity strengthening.
Read all positive and negative factors
Positive Factors
Negative Factors
Improving margins
Gross and net margin improvements reflect durable operational fixes: better mix, pricing power or cost control. Sustained margin recovery increases cash generation potential and resilience to cyclical revenue swings, supporting reinvestment and debt reduction over months.
Read all positive factors

Furukawa Electric Co (5801) vs. iShares MSCI Japan ETF (EWJ)

Furukawa Electric Co Business Overview & Revenue Model

Company Description
Furukawa Electric Co., Ltd. manufactures and sells telecommunications, energy, automobile, electronic, and construction products worldwide. It operates through Infrastructure, Electronics & Automotive Systems, Functional Products, and Service and ...
How the Company Makes Money
Furukawa Electric makes money primarily by manufacturing and selling infrastructure and industrial products to utilities, telecom/network operators, and equipment manufacturers. Key revenue streams include: (1) Energy infrastructure: sales of elec...

Furukawa Electric Co Financial Statement Overview

Summary
Overall fundamentals are improving: revenue and profitability strengthened with higher gross margin (14.88% to 16.78%) and net margin (0.62% to 2.78%). Cash flow also improved as free cash flow turned positive and operating cash flow exceeded net income (OCF/NI 1.79). Balance sheet leverage is moderate (debt-to-equity 0.93) with improved ROE (to 9.77%), though equity ratio (34.59%) suggests some reliance on liabilities remains.
Income Statement
72
Positive
Balance Sheet
68
Positive
Cash Flow
75
Positive
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue1.27T1.20T1.06T1.07T930.50B811.60B
Gross Profit217.41B199.84B157.16B155.55B138.47B128.89B
EBITDA94.13B88.42B50.28B54.90B45.66B41.21B
Net Income52.51B33.37B6.51B15.89B10.09B10.00B
Balance Sheet
Total Assets1.03T987.02B985.01B933.47B935.88B832.04B
Cash, Cash Equivalents and Short-Term Investments73.87B66.78B53.64B52.56B68.41B87.28B
Total Debt317.46B321.64B348.93B339.01B351.26B298.22B
Total Liabilities633.84B613.68B626.97B604.37B621.81B540.42B
Stockholders Equity377.70B341.44B328.12B301.65B279.22B259.87B
Cash Flow
Free Cash Flow0.0023.08B-4.52B638.00M-49.76B-33.87B
Operating Cash Flow0.0059.83B31.90B36.52B-13.27B-479.00M
Investing Cash Flow0.00-7.24B-24.79B-21.68B-40.07B-1.46B
Financing Cash Flow0.00-44.15B-9.32B-34.48B35.02B34.69B

Furukawa Electric Co Technical Analysis

Technical Analysis Sentiment
Positive
Last Price45800.00
Price Trends
50DMA
26612.12
Positive
100DMA
18332.16
Positive
200DMA
13461.89
Positive
Market Momentum
MACD
4564.80
Negative
RSI
78.78
Negative
STOCH
97.88
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5801, the sentiment is Positive. The current price of 45800 is above the 20-day moving average (MA) of 33093.15, above the 50-day MA of 26612.12, and above the 200-day MA of 13461.89, indicating a bullish trend. The MACD of 4564.80 indicates Negative momentum. The RSI at 78.78 is Negative, neither overbought nor oversold. The STOCH value of 97.88 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5801.

Furukawa Electric Co Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
¥3.22T7.8010.06%1.21%10.52%60.75%
73
Outperform
¥635.02B8.109.63%2.12%3.05%-16.11%
72
Outperform
¥9.88T26.8632.32%0.91%27.53%137.34%
71
Outperform
¥12.21T21.589.29%1.19%4.62%40.65%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
63
Neutral
¥1.63T19.9512.05%1.50%5.44%-5.19%
55
Neutral
¥1.28T40.598.39%1.49%-2.18%30.16%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:5801
Furukawa Electric Co
45,800.00
41,499.39
964.97%
JP:6503
Mitsubishi Electric
5,813.00
3,272.72
128.83%
JP:6504
Fuji Electric Co
11,395.00
5,424.89
90.87%
JP:6674
GS Yuasa
6,331.00
4,154.31
190.85%
JP:6506
Yaskawa Electric
4,894.00
2,153.33
78.57%
JP:5803
Fujikura Ltd
5,630.00
4,863.07
634.09%

Furukawa Electric Co Corporate Events

Furukawa Electric to Invest JPY 55 Billion in Data Center Cooling Capacity Expansion
Mar 30, 2026
Furukawa Electric will invest about JPY 55 billion to expand global production of water-cooling modules and air-cooling heat sinks for data centers, responding to rising heat-density challenges and surging demand driven by generative AI. The compa...
Furukawa Electric Writes Off ¥8.3 Billion in Loans as VISCAS Affiliate Set for Dissolution
Mar 27, 2026
Furukawa Electric will waive claims totaling 8,266 million yen against its equity-method affiliate VISCAS Corporation, a power transmission line and cable manufacturer jointly owned with Fujikura, ahead of VISCAS’s planned dissolution on Mar...
Furukawa Electric to Consolidate CATV Operations Under Renamed Subsidiary
Mar 19, 2026
Furukawa Electric will consolidate its cable TV-related operations by transferring the CATV business of its Broadband Solutions division to wholly owned subsidiary Miharu Communications Inc., effective October 1, 2026. Following the absorption-typ...
Furukawa Electric Overhauls Leadership in Governance and Strategy Realignment
Mar 5, 2026
Furukawa Electric announced a broad reshuffle of its leadership, including the planned retirement of Chairman and Director Keiichi Kobayashi in June 2026, with an outside director to become chair, while reappointing President and CEO Hideya Morida...
Furukawa Electric Books ¥13 Billion Gain from Retirement Plan Overhaul
Feb 9, 2026
Furukawa Electric will revise its retirement benefit plan effective March 1, 2026, consolidating its existing lump-sum retirement allowance and defined benefit pension schemes into a corporate-type defined contribution pension plan. The move is ex...
Furukawa Electric Lifts FY2026 Earnings Outlook and Hikes Dividend Forecast
Feb 9, 2026
Furukawa Electric has raised its full-year forecast for the fiscal year ending March 31, 2026, citing a weaker yen, solid demand for automotive wire harnesses, stronger data center-related sales and firm power and industrial cable demand. Despite ...
Furukawa Electric Lifts Earnings Outlook and Dividend as Profit Surges
Feb 9, 2026
Furukawa Electric reported consolidated net sales of ¥948.9 billion for the first nine months of the fiscal year ending March 31, 2026, up 7.6% year on year, with operating profit rising 11.9% to ¥35.1 billion and profit attributable to ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Apr 09, 2026