Ryobi Limited (JP:5851)
:5851
Want to see JP:5851 full AI Analyst Report?
Top Page
Ryobi
(5851)
Select Model
Select Model
Rating:72Outperform
Price Target:
¥2,889.00
▲(6.33% Upside)
Action:ReiteratedDate:02/18/26
The score is driven primarily by improving fundamentals but materially constrained by weak and volatile 2025 cash generation (negative free cash flow). Technicals are supportive with a strong uptrend, and valuation is favorable due to the low P/E and solid dividend yield.
Positive Factors
Revenue Growth / Demand Recovery
Consistent top-line growth through 2022–2025, including ~5.5% YoY in 2025, signals durable demand recovery across die-cast components and power tools. Sustained revenue growth supports better factory utilization, strengthens OEM supply relationships, and improves medium-term revenue visibility.
Negative Factors
Weak Cash Generation / Negative FCF
Free cash flow turned negative in 2025 despite positive net income, and operating cash flow declined materially year-over-year. Persistent FCF volatility and recent negative FCF weaken the company's ability to self-fund capex, pay dividends, or rebuild liquidity, raising medium-term funding risk.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Growth / Demand Recovery
Consistent top-line growth through 2022–2025, including ~5.5% YoY in 2025, signals durable demand recovery across die-cast components and power tools. Sustained revenue growth supports better factory utilization, strengthens OEM supply relationships, and improves medium-term revenue visibility.
Read all positive factors
Ryobi (5851) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥81.95B
Dividend Yield3.36%
Average Volume (3M)325.32K
Price to Earnings (P/E)4.1
Beta (1Y)1.06
Revenue Growth5.39%
EPS Growth61.68%
CountryJP
Employees7,939
SectorIndustrials
Sector Strength72
IndustryManufacturing - Tools & Accessories
Share Statistics
EPS (TTM)346.38
Shares Outstanding31,809,471
10 Day Avg. Volume121,360
30 Day Avg. Volume325,316
Financial Highlights & Ratios
PEG Ratio0.13
Price to Book (P/B)0.49
Price to Sales (P/S)0.29
P/FCF Ratio-13.25
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)333.71
Revenue Forecast (FY)¥323.79B
Ryobi Business Overview & Revenue Model
Company Description
Ryobi (5851) is a prominent manufacturer of power tools, outdoor products, and accessories, primarily catering to both professional contractors and DIY enthusiasts. The company operates in the consumer goods sector, focusing on the development and...
How the Company Makes Money
Ryobi makes money primarily by manufacturing and selling (1) die-cast products and precision components and (2) power tools and building/architectural hardware. In its die-casting and precision components business, revenue is generated from supply...
Ryobi Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
74
Positive
Cash Flow
46
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 309.11B | 293.31B | 282.69B | 249.52B | 198.07B |
| Gross Profit | 38.85B | 34.23B | 34.48B | 28.23B | 18.46B |
| EBITDA | 32.33B | 28.91B | 30.69B | 25.28B | 15.70B |
| Net Income | 11.18B | 6.93B | 10.12B | 4.79B | -4.40B |
Balance Sheet | |||||
| Total Assets | 343.73B | 333.19B | 318.84B | 300.29B | 279.42B |
| Cash, Cash Equivalents and Short-Term Investments | 31.80B | 29.92B | 28.29B | 27.99B | 29.28B |
| Total Debt | 74.74B | 62.73B | 70.91B | 74.82B | 74.23B |
| Total Liabilities | 154.18B | 156.21B | 158.12B | 156.56B | 147.70B |
| Stockholders Equity | 179.47B | 167.35B | 151.30B | 134.46B | 122.93B |
Cash Flow | |||||
| Free Cash Flow | -6.68B | 15.09B | 9.68B | -92.00M | 3.05B |
| Operating Cash Flow | 13.89B | 29.16B | 26.00B | 16.79B | 14.90B |
| Investing Cash Flow | -22.53B | -13.72B | -17.43B | -15.86B | -12.16B |
| Financing Cash Flow | 7.65B | -14.90B | -8.59B | -2.86B | -1.94B |
Ryobi Technical Analysis
Neutral
2717.00
Price Trends
2683.28
Negative
2699.02
Negative
2600.00
Negative
Market Momentum
-18.73
Negative
51.42
Neutral
76.92
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5851, the sentiment is Neutral. The current price of 2717 is above the 20-day moving average (MA) of 2496.35, above the 50-day MA of 2683.28, and above the 200-day MA of 2600.00, indicating a neutral trend. The MACD of -18.73 indicates Negative momentum. The RSI at 51.42 is Neutral, neither overbought nor oversold. The STOCH value of 76.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:5851.
Ryobi Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
81 Outperform | ¥933.95B | 10.13 | 9.10% | 1.63% | 9.80% | 13.15% | |
79 Outperform | ¥1.59T | 15.22 | ― | 2.18% | 3.25% | 1.71% | |
74 Outperform | ¥317.42B | 11.92 | 7.86% | 2.55% | 5.68% | 41.20% | |
72 Outperform | ¥81.95B | 4.08 | 6.66% | 3.36% | 5.39% | 61.68% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
62 Neutral | ¥126.29B | 26.06 | 2.64% | 2.30% | 0.90% | 15.74% | |
58 Neutral | ¥529.59B | 55.37 | 11.46% | 3.77% | 2.76% | 56.11% |
* Industrials Sector Average
JP:5851
Ryobi
2,599.00
599.10
29.96%
JP:6141
DMG MORI CO
3,735.00
944.63
33.85%
JP:9962
Misumi Group
3,490.00
1,506.28
75.93%
JP:6136
OSG
3,428.00
1,807.32
111.52%
JP:6474
Nachi-Fujikoshi Corp.
5,310.00
2,296.49
76.21%
JP:6586
Makita Corporation
5,855.00
1,418.30
31.97%
Ryobi Corporate Events
Ryobi Posts Strong Profit Rebound, Lifts Dividend Despite Muted 2026 Outlook
Feb 12, 2026
Ryobi Limited reported a solid recovery in earnings for the fiscal year ended December 31, 2025, with net sales rising 5.4% year on year to ¥309.1 billion and operating income jumping 33.4%, while net income attributable to owners of the pare...
Ryobi Moves to Broaden Corporate Purpose With Articles of Incorporation Amendments
Feb 12, 2026
Ryobi Limited’s board has approved a proposal to partially amend its Articles of Incorporation, adding new business purposes related to outsourced administrative processing and the production, processing and sale of food products. The move, ...
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.