Aida Engineering,Ltd. (6118) AI Stock Analysis

• Market Cap: ¥63.37B
• Dividend Yield: 2.57%
• Average Volume (3M): 233.49K
• Price to Earnings (P/E): 12.2
• Beta (1Y): 0.56
• Revenue Growth: 2.00%
• EPS Growth: 39.80%
• Country: JP
• Employees: 2,020
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 30.89
• Shares Outstanding: 63,962,020
• 10 Day Avg. Volume: 420,270
• 30 Day Avg. Volume: 233,486
• PEG Ratio: 0.11
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.68
• P/FCF Ratio: 9.12
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: ¥1,295.00 ▲(10.78% Upside)

Aida Engineering's strong financial performance is the primary driver of its overall stock score, supported by robust revenue and profit growth, efficient cash management, and a solid balance sheet. The technical analysis indicates strong momentum, though caution is advised due to overbought signals. The valuation is attractive, with a reasonable P/E ratio and a decent dividend yield.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for Aida's products and services, enhancing its market position and supporting long-term expansion.

Cash Generation Ability

Strong cash generation supports financial flexibility and growth initiatives, enabling Aida to invest in innovation and expansion without relying heavily on debt.

Margin Sustainability

Improving margins reflect enhanced operational efficiency and cost management, contributing to sustained profitability and competitive advantage.

Negative Factors

Return on Equity

While ROE has improved, it remains relatively low, suggesting potential inefficiencies in capital utilization that could limit shareholder value creation.

Employee Base

A relatively small employee base may limit the company's capacity to scale operations quickly in response to increasing demand, potentially impacting growth.

Limited Earnings Call Data

The absence of earnings call data limits transparency and investor insight into management's strategic priorities and operational challenges.

Aida Engineering,Ltd. Business Overview & Revenue Model

Company Description

Aida Engineering, Ltd. manufactures and sells press machines, auto-processing lines, industrial robots, auto-conveyers, and dies in Japan, China, rest of Asia, the Americas, and Europe. It offers general-purpose servo, mid-size and large servo, general-purpose, mid-size and large, precision forming, high speed automatic, and cold forging presses, as well as transfer equipment, coil feeders, and tooling dies. The company also provides factory automation equipment, such as piling systems; material feeders comprising coil feeders, destack feeders, etc.; and transfer equipment, which include transfer robots, intermediate transfer feeders, die changers, etc.; and electrical control equipment. In addition, it offers troubleshooting/spare parts, retrofit/modernization, routine inspection, and overhaul/machine relocation services. The company was formerly known as AIDA Ironworks and changed its name to Aida Engineering, Ltd. in 1970. Aida Engineering, Ltd. was founded in 1917 and is headquartered in Sagamihara, Japan.

How the Company Makes Money

Aida Engineering generates revenue primarily through the sale of its machinery and equipment, which includes metal stamping presses and automation systems. The company also earns income from providing maintenance services, spare parts, and technical support to its customers. Key revenue streams include direct sales to manufacturers in various industries, as well as long-term contracts and partnerships with automotive and electronics companies that require specialized machinery for mass production. Additionally, Aida Engineering may benefit from strategic collaborations with other technology companies to integrate advanced features into its products, further enhancing its market position and revenue potential.

Aida Engineering,Ltd. Financial Statement Overview

Summary

Aida Engineering demonstrates strong financial health with consistent revenue and profit growth, robust margins, and efficient cash conversion. The balance sheet reflects low leverage and substantial equity, ensuring stability and minimizing risk. The company is well-positioned for sustained growth, backed by strong cash flows and effective capital management.

Income Statement

Aida Engineering has shown consistent revenue growth with an increase from ¥58,099 million in 2021 to ¥76,006 million in 2025. The gross profit margin has improved, reaching approximately 21.1% in 2025. Net profit margin also saw a significant rise to 6.7% in 2025 from 2.3% in 2022. EBIT and EBITDA margins have strengthened over the years, indicating enhanced operational efficiency. Overall, the income statement reflects robust growth and improving profitability.

Balance Sheet

The company maintains a healthy balance sheet with a strong equity base, as evidenced by a high equity ratio of 68.0% in 2025. The debt-to-equity ratio remains low at 0.04, indicating minimal leverage risk. Return on equity has improved significantly to 6.1% in 2025, reflecting better utilization of shareholder funds. Stability is achieved through consistent asset growth and effective debt management, though there's room for further ROE enhancement.

Cash Flow

Aida Engineering reported strong free cash flow growth, driven by increasing operating cash flows, reaching ¥6,512 million in 2025. The free cash flow to net income ratio indicates a strong cash generation ability. The operating cash flow to net income ratio has improved, showing better cash conversion efficiency. The cash flow statement highlights a solid cash position, supporting future growth and financial flexibility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	76.70B	76.01B	72.74B	68.80B	62.47B	58.10B
Gross Profit	16.60B	16.04B	14.04B	11.63B	10.89B	12.35B
EBITDA	8.13B	8.34B	6.30B	3.82B	3.60B	4.93B
Net Income	5.27B	5.10B	2.81B	1.29B	896.00M	1.32B
Balance Sheet
Total Assets	118.34B	122.86B	126.19B	116.29B	113.93B	107.79B
Cash, Cash Equivalents and Short-Term Investments	32.24B	35.86B	33.32B	30.51B	35.03B	31.70B
Total Debt	4.04B	3.12B	2.97B	2.08B	2.59B	2.80B
Total Liabilities	38.53B	39.22B	43.88B	38.25B	35.27B	30.28B
Stockholders Equity	79.81B	83.55B	82.32B	78.04B	77.99B	76.82B
Cash Flow
Free Cash Flow	0.00	5.66B	1.51B	-3.50B	3.71B	6.01B
Operating Cash Flow	0.00	6.51B	3.17B	-1.13B	5.91B	7.26B
Investing Cash Flow	0.00	-1.83B	-1.99B	-1.88B	-2.83B	-1.92B
Financing Cash Flow	0.00	-3.76B	-1.13B	-2.17B	-1.53B	-3.77B

Aida Engineering,Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1169.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6118, the sentiment is Positive. The current price of 1169 is above the 20-day moving average (MA) of 1155.90, above the 50-day MA of 1028.42, and above the 200-day MA of 930.16, indicating a bullish trend. The MACD of 42.17 indicates Positive momentum. The RSI at 67.07 is Neutral, neither overbought nor oversold. The STOCH value of 65.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6118.

Aida Engineering,Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6104	81 Outperform	€94.96B	17.71	5.02%	3.24%	-10.00%	-51.92%
6137	81 Outperform	¥34.21B	12.21	―	2.86%	0.25%	-18.79%
6118	74 Outperform	¥63.37B	12.22	―	2.57%	2.00%	39.80%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6125	62 Neutral	¥28.90B	13.18	―	3.70%	-3.85%	-45.64%
6151	59 Neutral	¥31.96B	62.28	―	2.22%	1.13%	-66.14%
6279	51 Neutral	¥25.97B	111.75	―	1.11%	9.21%	-46.66%

Aida Engineering,Ltd. Corporate Events

Aida Engineering Reports Positive Q2 Financial Results Amid Strategic Expansion

Aida Engineering, Ltd. reported a 3.2% increase in net sales for the second quarter of the fiscal year ending March 31, 2026, with significant improvements in operating and ordinary income. The inclusion of HMS Products Co. in its consolidation scope and the application of special accounting treatments have contributed to these positive financial results, indicating a strategic expansion and adaptation in its operations.