Takigami Steel Construction Co., Ltd. (5918) AI Stock Analysis

• Market Cap: ¥14.65B
• Dividend Yield: 1.49%
• Average Volume (3M): 566.00
• Price to Earnings (P/E): 72.0
• Beta (1Y): 0.20
• Revenue Growth: 2.19%
• EPS Growth: -79.82%
• Country: JP
• Employees: 454
• Sector: Industrials
• Sector Strength: 89
• Industry: Engineering & Construction
• EPS (TTM): -4.71
• Shares Outstanding: 2,697,600
• 10 Day Avg. Volume: 630
• 30 Day Avg. Volume: 566
• PEG Ratio: 0.03
• Price to Book (P/B): 0.46
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -4.69
• 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: ¥7,298.00
• Price Target Upside: 8.12% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 60 Neutral
• Price Target: ¥7,298.00 ▲(8.12%Upside)

The overall stock score of 60 reflects strong revenue growth and a solid balance sheet but is notably impacted by declining profitability margins and inconsistent cash flows. Additionally, the stock's high P/E ratio indicates overvaluation risks, while mixed technical signals suggest potential short-term volatility.

Takigami Steel Construction Co., Ltd. Business Overview & Revenue Model

Company Description

Takigami Steel Construction Co., Ltd. (5918) is a Japanese company specializing in steel construction services. The company operates in various sectors, providing structural steel fabrication, engineering, and construction services. Its core products and services include the design, manufacturing, and installation of steel structures, which are utilized in a range of industries such as commercial, industrial, and infrastructure development projects.

How the Company Makes Money

Takigami Steel Construction Co., Ltd. generates revenue primarily through its steel construction services, which encompass the design, fabrication, and installation of steel structures. The company's key revenue streams include contracts for large-scale infrastructure projects, commercial and industrial building developments, and partnerships with construction firms and government entities. These projects often involve long-term contracts, providing a steady flow of income. Additionally, the company may engage in joint ventures or collaborations with other construction and engineering firms to expand its market reach and enhance its service offerings, contributing positively to its earnings.

Takigami Steel Construction Co., Ltd. Financial Statement Overview

Summary

Takigami Steel Construction Co., Ltd. exhibits strong revenue growth and a robust balance sheet with low debt-to-equity ratio and high equity ratio. However, declining profitability margins and inconsistent cash flow performance are significant concerns that could affect future financial health and growth.

Income Statement

The company has shown steady revenue growth from 2020 to 2025, with a notable increase in total revenue over the last few years. However, despite the revenue growth, there is a concerning trend of declining gross profit margins, particularly from 2024 to 2025. The net profit margin has also decreased significantly in 2025 compared to previous years, indicating challenges in cost management and profitability.

Balance Sheet

The balance sheet reflects a strong equity position with a high equity ratio, indicating financial stability. The debt-to-equity ratio remains low, suggesting prudent financial leverage. However, a decline in stockholders' equity from 2024 to 2025 may pose a concern if it continues, but overall, the company maintains a solid balance sheet.

Cash Flow

The company has experienced volatility in its free cash flow, with negative free cash flow in several years. Although there was a positive free cash flow in 2025, the overall cash flow from operations has been inconsistent, and the operating cash flow to net income ratio has shown significant fluctuations. This inconsistency may impact the company's ability to sustain operations without relying on external financing.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	24.12B	23.84B	23.33B	18.62B	14.68B	16.18B
Gross Profit	2.18B	1.74B	2.65B	2.24B	1.39B	2.54B
EBITDA	1.39B	1.16B	2.02B	977.00M	430.00M	1.46B
Net Income	527.00M	200.00M	986.00M	1.02B	138.00M	932.00M
Balance Sheet
Total Assets	61.51B	64.18B	58.52B	50.42B	48.81B	43.80B
Cash, Cash Equivalents and Short-Term Investments	5.42B	6.87B	3.20B	8.29B	11.72B	10.43B
Total Debt	3.82B	4.71B	718.00M	777.00M	730.00M	62.00M
Total Liabilities	17.28B	20.91B	13.94B	12.13B	11.71B	7.62B
Stockholders Equity	44.23B	43.27B	44.58B	38.29B	37.10B	36.18B
Cash Flow
Free Cash Flow	0.00	1.95B	-6.22B	-3.74B	497.00M	-1.79B
Operating Cash Flow	0.00	4.27B	-4.38B	-1.82B	1.75B	-1.00B
Investing Cash Flow	0.00	-3.14B	-388.00M	-292.00M	-1.44B	-638.00M
Financing Cash Flow	0.00	2.59B	-304.00M	-325.00M	442.00M	-234.00M

Takigami Steel Construction Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6750.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5918, the sentiment is Negative. The current price of 6750 is below the 20-day moving average (MA) of 6799.00, below the 50-day MA of 6880.80, and below the 200-day MA of 6993.23, indicating a bearish trend. The MACD of -60.72 indicates Positive momentum. The RSI at 38.04 is Neutral, neither overbought nor oversold. The STOCH value of 12.81 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:5918.

Takigami Steel Construction Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1860	75 Outperform	¥294.86B	11.45		3.02%	12.29%	59.92%
1890	74 Outperform	¥145.11B	17.56		7.51%	-7.59%	18.77%
1820	70 Outperform	¥191.63B	10.92		4.94%	-8.67%	40.83%
1720	69 Neutral	¥108.98B	16.66		3.65%	2.61%	-9.19%
1762	69 Neutral	¥94.12B	16.49		2.68%	10.88%	-29.60%
5918	60 Neutral	¥14.65B	71.97		1.49%	2.19%	-79.82%
Sector *	58 Neutral	HK$14.03B	4.45	-3.01%	7.32%	3.67%	-54.16%