Shibaura Machine Co., Ltd. (6104) AI Stock Analysis

• Market Cap: ¥85.71B
• Dividend Yield: 3.23%
• Average Volume (3M): 79.74K
• Price to Earnings (P/E): 136.9
• Beta (1Y): 0.85
• Revenue Growth: -10.00%
• EPS Growth: -51.92%
• Country: JP
• Employees: 3,057
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 7.81
• Shares Outstanding: 24,820,406
• 10 Day Avg. Volume: 60,410
• 30 Day Avg. Volume: 79,736
• PEG Ratio: -0.24
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.51
• P/FCF Ratio: 15.18
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 131.1
• Revenue Forecast (FY): ¥127.50B

• Rating: 81 Outperform
• Price Target: ¥4,472.00 ▲(4.36% Upside)
• Action: Upgraded Date: 08/26/25
• Date: Action: Upgraded 08/26/25

Shibaura Machine Co., Ltd. scores well due to its strong financial performance and technical indicators. The stock shows bullish momentum and appears undervalued with a low P/E ratio and attractive dividend yield. The absence of recent earnings call data and corporate events does not detract from the overall positive outlook.

Positive Factors

Diverse product & solutions mix

A broad portfolio across injection molding, die-casting, extruders and factory automation creates multiple durable revenue channels. This diversification reduces reliance on any single end market, supports cross-selling of systems and services, and smooths cyclicality tied to one industry.

Robust balance sheet

A strong equity position and conservative leverage provide financial flexibility to fund R&D, capital expenditures, and service network expansion. Solid balance-sheet metrics make the company better able to withstand capital-spend downcycles and invest counter-cyclically in durable capabilities.

Consistent cash generation

Sustained operating cash flow and recurring free cash flow support reinvestment in aftermarket services, spare parts and integration capabilities that drive high-margin recurring revenue. Reliable cash generation underpins longer-term service expansion and capital allocation choices.

Negative Factors

Recent revenue decline

A sharp year-over-year revenue decline signals weaker demand in end markets or lost orders, which can erode fixed-cost absorption and slow investment in R&D or service infrastructure. If prolonged, it can degrade competitive position and limit ability to scale higher-value engineered systems.

Falling net income and margins

Declining net income and a reduced net margin indicate margin pressure despite healthy gross margins and EBIT/EBITDA. Persistent margin erosion constrains retained earnings, reduces funds for strategic initiatives, and may force cost cutting that harms long-term service or product development.

Decrease in total assets

A shrinking asset base can reflect lower production capacity, asset sales, or reduced working capital that may signal scaling back operations. Over time, reduced assets can limit ability to take large contracts, invest in automation capacity, or support an expanding installed base for recurring service revenue.

Shibaura Machine Co., Ltd. Business Overview & Revenue Model

Company Description

Shibaura Machine Co., Ltd. engages in the manufacture and sale of various machines in Japan and internationally. Its principal products include injection molding machines, die-casting machines, plastic extrusion machines, nano processing systems, machine tools, FA controllers, servo motors, industrial robots, IOT+m, and additive manufacturing systems. The company also provides machine tools that include double column type machining centers, bridge type machines, boring machines, horizontal machining centers, vertical boring and turning mills, and roll grinding machines. The company was formerly known as Toshiba Machine Co., Ltd. and changed its name to Shibaura Machine Co., Ltd. in April 2020. Shibaura Machine Co., Ltd. was founded in 1875 and is headquartered in Tokyo, Japan.

How the Company Makes Money

The company makes money primarily by selling industrial machinery and systems to manufacturers, with revenue recognized from (1) equipment sales and (2) aftermarket/services tied to the installed base. Key revenue streams include: (a) Injection molding machines and plastics-processing systems: income from the sale of injection molding machines and related plastics-processing equipment (e.g., extruders and peripheral/ancillary equipment) used by customers producing plastic parts and products. (b) Die-casting machines: revenue from machines used to produce metal components (commonly for automotive and industrial applications), including related equipment and delivery/installation work. (c) Automation/robots and integrated systems: revenue from industrial robots and factory-automation solutions, including system integration where the company supplies a combination of robots, controls, software, and production-cell engineering. (d) Machine tools/precision & industrial equipment: revenue from machine tools and other industrial/precision machinery supplied to manufacturing customers. In addition to initial equipment sales, the company generates recurring or repeat revenue from (e) spare parts, maintenance, repair, retrofits, inspections, and other customer support services, and (f) engineering services such as installation, commissioning, and process optimization for delivered equipment and production lines. Earnings are influenced by capital-expenditure cycles in end markets (e.g., automotive, electronics, packaging, general industrial), the mix of standard machines versus higher-value integrated/engineered systems, utilization of service capabilities across its installed base, and geographic sales through direct sales and service networks. Specific partnership arrangements: null.

Shibaura Machine Co., Ltd. Financial Statement Overview

Summary

Shibaura Machine Co., Ltd. demonstrates strong financial health with consistent revenue growth, solid profit margins, and a stable balance sheet. While there are some short-term declines in net income and cash flow, the company's overall financial position remains strong and well-managed.

Income Statement

The income statement shows strong revenue growth over the years. The gross profit margin is stable, indicating good cost management. However, there is a noticeable decline in net income from 2024 to 2025, leading to a lower net profit margin. EBIT and EBITDA margins remain healthy, suggesting operational efficiency.

Balance Sheet

The balance sheet is robust with a strong equity position and a favorable debt-to-equity ratio. The company has been successful in increasing its stockholders' equity over the years, and the equity ratio is solid, indicating financial stability. However, the total assets have decreased from 2024 to 2025.

Cash Flow

Cash flow analysis reveals a consistent generation of free cash flow with a slight decline in 2025. The operating cash flow is positive, although there is a decrease from 2024 to 2025. The free cash flow to net income ratio suggests efficient cash utilization relative to earnings.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	156.79B	168.19B	160.65B	123.20B	107.78B	92.64B
Gross Profit	49.03B	53.55B	50.63B	38.81B	32.52B	24.91B
EBITDA	16.70B	20.88B	27.96B	8.87B	6.15B	2.11B
Net Income	10.54B	12.60B	17.92B	6.44B	3.73B	-2.90B
Balance Sheet
Total Assets	190.41B	199.61B	253.17B	205.10B	166.99B	134.30B
Cash, Cash Equivalents and Short-Term Investments	57.79B	54.39B	51.67B	50.85B	51.71B	42.42B
Total Debt	10.58B	10.13B	11.03B	14.01B	14.22B	14.39B
Total Liabilities	74.58B	82.43B	141.47B	115.98B	83.47B	52.15B
Stockholders Equity	115.82B	117.17B	111.70B	89.12B	83.51B	82.15B
Cash Flow
Free Cash Flow	0.00	5.62B	6.09B	-1.72B	9.69B	-1.57B
Operating Cash Flow	0.00	8.33B	9.31B	934.00M	11.30B	192.00M
Investing Cash Flow	0.00	910.00M	-3.81B	-563.00M	-1.26B	-1.54B
Financing Cash Flow	0.00	-6.53B	-6.70B	-2.28B	-2.11B	-4.96B

Shibaura Machine Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4285.00
• 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:6104, the sentiment is Negative. The current price of 4285 is below the 20-day moving average (MA) of 4324.00, below the 50-day MA of 4309.40, and above the 200-day MA of 4008.60, indicating a bearish trend. The MACD of -98.79 indicates Positive momentum. The RSI at 35.86 is Neutral, neither overbought nor oversold. The STOCH value of 11.71 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6104.

Shibaura Machine Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6104	81 Outperform	¥85.71B	136.93	5.02%	3.23%	-10.00%	-51.92%
6284	78 Outperform	¥128.19B	12.40	―	3.24%	18.70%	33.93%
6258	74 Outperform	¥85.57B	14.21	9.39%	1.68%	9.27%	69.52%
6118	74 Outperform	¥61.74B	24.26	―	2.54%	2.00%	39.80%
6143	69 Neutral	¥71.52B	10.78	7.00%	3.02%	15.78%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6293	46 Neutral	¥16.93B	-8.05	―	4.21%	2.79%	-281.15%

Shibaura Machine Co., Ltd. Corporate Events

Shibaura Machine Posts Sharp Profit Decline but Maintains Dividend and Forecasts Recovery

Shibaura Machine reported a sharp downturn in performance for the nine months ended December 31, 2025, with net sales plunging 30.3% year-on-year to ¥92.7 billion and operating profit dropping 85.7% to ¥1.9 billion; profit attributable to owners of the parent fell 84.2% to ¥1.9 billion, reflecting a substantial deterioration from the previous year’s strong results. Despite weaker earnings, the company’s financial position remains relatively solid, with total assets of ¥183.7 billion and an equity-to-asset ratio improved to 65.4%, and it is maintaining a robust shareholder-return stance by keeping its annual dividend forecast unchanged at ¥140 per share for the fiscal year ending March 31, 2026, while also forecasting a recovery in profitability in the full year with net sales of ¥140 billion and profit attributable to owners of the parent of ¥3.3 billion.

The most recent analyst rating on (JP:6104) stock is a Buy with a Yen4884.00 price target. To see the full list of analyst forecasts on Shibaura Machine Co., Ltd. stock, see the JP:6104 Stock Forecast page.