Low Leverage / Strong EquityA robust equity ratio and low leverage provide durable financial flexibility, lowering refinancing risk and enabling the company to fund capex or weather downturns without stressing interest coverage. This stability supports long-term investment and creditor confidence.

Stable Gross & Operating MarginsConsistently stable gross and operating margins point to effective cost control and operational efficiency in manufacturing. Sustained margin resilience supports cash generation potential and competitive pricing ability, helping preserve profitability over medium-term cycles.

Healthy Return On EquityA healthy ROE indicates the company converts equity into returns efficiently, supporting reinvestment capacity and potential shareholder distributions. Over months, this signals sound capital allocation and an ability to generate shareholder value from core operations.

Bears Say

Sharp Revenue DeclineA roughly 44% drop in revenue growth signals meaningful top-line contraction that can erode scale, reduce fixed-cost leverage, and limit reinvestment. If persistent, shrinking sales undermine margin sustainability and long-term capacity to fund growth initiatives or returns.

Volatile And Weakening Cash FlowMaterial volatility and recent declines in operating cash flow, plus negative free cash flow, raise structural liquidity concerns. This constrains funding for capex, debt servicing, or dividends, increasing reliance on external financing and reducing strategic flexibility over months.

Declining Net Profit MarginA falling net margin indicates rising costs or adverse mix that compresses the earnings retained from sales. Persisting margin deterioration will impair retained earnings growth, weaken ROE over time, and limit the company's ability to reinvest or cushion future shocks.

5962 FAQ

What was Asaka Industrial Co., Ltd.’s price range in the past 12 months?

Asaka Industrial Co., Ltd. lowest stock price was ¥1428.00 and its highest was ¥2120.00 in the past 12 months.

What is Asaka Industrial Co., Ltd.’s market cap?

Asaka Industrial Co., Ltd.’s market cap is ¥1.95B.

When is Asaka Industrial Co., Ltd.’s upcoming earnings report date?

Asaka Industrial Co., Ltd.’s upcoming earnings report date is May 18, 2026 which is in 85 days.

How were Asaka Industrial Co., Ltd.’s earnings last quarter?

Asaka Industrial Co., Ltd. released its earnings results on Feb 12, 2026. The company reported ¥117.85 earnings per share for the quarter, beating the consensus estimate of N/A by ¥117.85.

Is Asaka Industrial Co., Ltd. overvalued?

According to Wall Street analysts Asaka Industrial Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Asaka Industrial Co., Ltd. pay dividends?

Asaka Industrial Co., Ltd. pays a Annually dividend of ¥40 which represents an annual dividend yield of 2.78%. See more information on Asaka Industrial Co., Ltd. dividends here

What is Asaka Industrial Co., Ltd.’s EPS estimate?

Asaka Industrial Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Asaka Industrial Co., Ltd. have?

Asaka Industrial Co., Ltd. has 1,037,080 shares outstanding.

What happened to Asaka Industrial Co., Ltd.’s price movement after its last earnings report?

Asaka Industrial Co., Ltd. reported an EPS of ¥117.85 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -1.056%.

Which hedge fund is a major shareholder of Asaka Industrial Co., Ltd.?

Currently, no hedge funds are holding shares in JP:5962

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Asaka Industrial Co., Ltd.

Asaka Industrial Co., Ltd. produces and sells shovels, spades, and gardening tools in Japan. The company offers excavators, civil engineering and construction equipment, agricultural tools, wood products, electric mobile shelves, rotating racks, heavy/medium/lightweight racks, transportation tools, and stores furniture. Asaka Industrial Co., Ltd. was founded in 1661 and is headquartered in Sakai, Japan.