Iwabuchi Corporation (5983) AI Stock Analysis

• Market Cap: ¥7.02B
• Dividend Yield: 3.36%
• Average Volume (3M): 2.10K
• Price to Earnings (P/E): 9.9
• Beta (1Y): 0.37
• Revenue Growth: 7.42%
• EPS Growth: 3.69%
• Country: JP
• Employees: 422
• Sector: Industrials
• Sector Strength: 89
• Industry: Electrical Equipment & Parts
• EPS (TTM): 635.94
• Shares Outstanding: 1,100,000
• 10 Day Avg. Volume: 5,240
• 30 Day Avg. Volume: 2,096
• PEG Ratio: 1.65
• Price to Book (P/B): 0.29
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -62.77
• 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: ¥7,234.00
• Price Target Upside: 10.61% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 80 Outperform
• Price Target: ¥7,234.00 ▲(10.61%Upside)

Iwabuchi Corporation's stock is rated highly due to its strong financial performance and attractive valuation metrics. The company shows robust revenue growth, profitability, and a solid balance sheet with minimal leverage. Technical analysis supports a positive outlook with upward momentum. While there is room for improvement in cash flow conversion, the overall financial health and attractive valuation make it a compelling investment opportunity.

Iwabuchi Corporation Business Overview & Revenue Model

Company Description

Iwabuchi Corporation (5983) is a Japanese company primarily engaged in the manufacturing and sale of various types of industrial machinery and equipment. The company specializes in providing high-quality distribution and transmission equipment, including electrical insulators, hardware for power lines, and related components. It serves a broad range of sectors such as energy, utilities, and infrastructure, contributing to the development of reliable and efficient power distribution networks.

How the Company Makes Money

Iwabuchi Corporation generates revenue through the design, manufacture, and sale of electrical insulators and power line hardware. The company's key revenue streams include the sale of these products to energy companies, utility providers, and infrastructure developers. By focusing on high-quality and durable products, Iwabuchi caters to the needs of industries that require reliable power transmission and distribution solutions. Significant partnerships with major utility companies and infrastructure projects contribute to its earnings, ensuring a steady demand for its products. The company's ability to innovate and adapt to market needs further supports its revenue growth.

Iwabuchi Corporation Financial Statement Overview

Summary

Iwabuchi Corporation demonstrates strong financial health characterized by steady revenue growth, solid profitability, and a conservative balance sheet with low leverage. While the cash flow metrics show positive trends, there is room for improvement in cash flow conversion efficiency. Overall, the company is well-positioned in the Electrical Equipment & Parts industry, with stable operations and a strong equity position.

Income Statement

Iwabuchi Corporation displays strong financial performance with consistent revenue growth, evidenced by a 7.4% increase in 2025 and a 6.2% increase in 2024. The company maintains healthy profit margins, with a gross profit margin of 29.3% and a net profit margin of 5.5% for the latest annual period. The EBIT margin is at 7.0%, indicating effective operational management. However, the slight decrease in net income from 2023 to 2024 raises a minor concern.

Balance Sheet

The balance sheet is robust, showcasing a strong equity position with an equity ratio of 75.5%. The company has minimal leverage, with a debt-to-equity ratio of 0.04, indicating low financial risk. The return on equity is 3.6%, which is moderate, suggesting room for improvement in generating returns for shareholders.

Cash Flow

Cash flow analysis reveals a solid operating cash flow to net income ratio of 1.2, reflecting efficient cash generation relative to net earnings. The free cash flow has grown by 34.9% from 2024 to 2025, indicating improved cash management. However, the free cash flow to net income ratio is relatively low at 0.3, suggesting potential areas for enhancing cash flow conversion.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	12.41B	12.64B	11.77B	11.08B	10.26B	9.89B
Gross Profit	3.69B	3.71B	3.54B	2.92B	2.79B	2.97B
EBITDA	1.28B	1.40B	1.23B	1.26B	1.24B	1.05B
Net Income	681.98M	699.17M	674.29M	785.50M	755.16M	511.62M
Balance Sheet
Total Assets	25.33B	25.46B	24.96B	23.82B	22.96B	19.99B
Cash, Cash Equivalents and Short-Term Investments	6.44B	6.11B	6.73B	6.84B	7.08B	7.28B
Total Debt	772.00M	710.83M	978.48M	1.06B	548.39M	398.87M
Total Liabilities	5.34B	5.21B	5.30B	5.11B	4.87B	3.56B
Stockholders Equity	18.98B	19.24B	18.67B	17.73B	17.10B	16.34B
Cash Flow
Free Cash Flow	0.00	185.74M	137.74M	-82.99M	375.93M	352.19M
Operating Cash Flow	0.00	809.19M	335.01M	249.45M	589.37M	543.03M
Investing Cash Flow	0.00	-858.10M	-161.34M	-614.99M	236.56M	-190.68M
Financing Cash Flow	0.00	-712.07M	-355.66M	62.90M	-302.66M	-339.83M

Iwabuchi Corporation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 6540.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5983, the sentiment is Neutral. The current price of 6540 is below the 20-day moving average (MA) of 6662.00, above the 50-day MA of 6449.40, and above the 200-day MA of 6297.01, indicating a neutral trend. The MACD of 60.33 indicates Positive momentum. The RSI at 41.81 is Neutral, neither overbought nor oversold. The STOCH value of 8.18 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:5983.

Iwabuchi Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5983	80 Outperform	¥7.02B	9.93		3.36%	7.42%	3.69%
6668	79 Outperform	¥11.89B	5.81		1.59%	12.17%	63.70%
6654	70 Neutral	¥6.07B	28.74		2.92%	2.75%	-22.26%
5939	68 Neutral	¥4.22B	11.44		0.55%	-0.15%	10.34%
Sector *	58 Neutral	HK$14.03B	4.45	-3.01%	7.32%	3.67%	-54.16%