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Makino Milling Machine Co Ltd (JP:6135)
:6135

Makino Milling Machine Co (6135) AI Stock Analysis

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Makino Milling Machine Co

(OTC:6135)

Rating:68Neutral
Price Target:
¥12,426.00
▲(6.75%Upside)
Makino Milling Machine Co's strong revenue growth and solid balance sheet are moderated by concerns over declining profit margins and negative cash flow. The technical indicators show some positive momentum, but potential overbought conditions are a risk. The valuation is fair but not particularly compelling.

Makino Milling Machine Co (6135) vs. iShares MSCI Japan ETF (EWJ)

Makino Milling Machine Co Business Overview & Revenue Model

Company DescriptionMakino Milling Machine Co., Ltd. engages in the manufacture and sale of machine tools in Japan, China, rest of Asia, the United States, rest of Americas, Europe, and internationally. The company offers machining centers, numerical control electrical discharge machines, and milling machines; CAD/CAM systems, FMS, and other products; and engineering services. It serves electronic devices, automotive, and the aerospace industries. The company was formerly known as Makino Vertical Milling Machine Works and changed its name to Makino Milling Machine Co., Ltd. in April 1961. Makino Milling Machine Co., Ltd. was founded in 1937 and is headquartered in Tokyo, Japan.
How the Company Makes MoneyMakino Milling Machine Co. generates revenue through the sale of its advanced machine tools, including horizontal and vertical machining centers, electrical discharge machines (EDMs), and other specialized equipment. The company also offers after-sales services, maintenance, and technical support, which contribute to its revenue streams. Additionally, Makino invests in research and development to innovate and enhance its product offerings, ensuring competitiveness in the high-precision machining market. Strategic partnerships and collaborations with industry leaders further bolster its market presence and revenue potential.

Makino Milling Machine Co Financial Statement Overview

Summary
Makino Milling Machine Co has shown strong revenue growth and improved gross profit margins. However, the decline in net profit margins and negative free cash flow in 2025 pose concerns for future profitability and liquidity. The balance sheet remains stable with low leverage, but careful cost management is needed.
Income Statement
75
Positive
Makino Milling Machine Co has demonstrated strong revenue growth with a consistent increase over the past years, from 116.7 billion in 2021 to 234.2 billion in 2025. The gross profit margin has improved significantly to 30.9% in 2025. However, net profit margin decreased from 7.1% in 2024 to 6.2% in 2025, which could indicate rising costs or other expenses impacting profitability. The EBIT margin is steady at 7.9% in 2025, reflecting operational efficiency, but the declining net income calls for careful cost management.
Balance Sheet
80
Positive
The company's balance sheet shows a healthy debt-to-equity ratio of 0.25 in 2025, indicating manageable leverage levels. Return on Equity (ROE) has decreased from 7.2% in 2024 to 6.4% in 2025, suggesting a slight decline in profitability. The equity ratio is robust at 61.6%, reflecting strong financial stability with ample equity backing the company's assets. Overall, the balance sheet presents a stable financial position, though monitoring of ROE is advised.
Cash Flow
60
Neutral
Cash flow analysis reveals a concerning trend, with free cash flow turning negative in 2025 at -1.37 billion, compared to a positive 3.33 billion in 2024. This indicates potential liquidity issues or increased capital expenditures. Operating cash flow to net income ratio has improved, showing better cash generation from operations relative to net income. However, the negative free cash flow warrants attention to ensure sufficient liquidity for ongoing operations.
Breakdown
TTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income StatementTotal Revenue
231.16B234.22B225.36B227.99B186.59B116.74B
Gross Profit
71.36B72.44B64.81B66.39B50.62B26.93B
EBIT
17.45B18.52B16.37B17.49B11.30B-3.61B
EBITDA
26.76B28.88B28.20B25.40B18.46B4.77B
Net Income Common Stockholders
15.24B14.42B15.98B16.07B12.04B-2.70B
Balance SheetCash, Cash Equivalents and Short-Term Investments
73.74B64.19B72.80B72.55B76.64B75.38B
Total Assets
370.85B367.04B362.33B348.46B325.58B280.01B
Total Debt
58.27B57.20B57.34B57.08B51.55B57.03B
Net Debt
-10.34B-6.86B-12.22B-11.23B-21.55B-15.00B
Total Liabilities
141.71B140.38B140.78B150.68B146.80B118.03B
Stockholders Equity
228.78B226.29B221.17B197.28B177.89B161.18B
Cash FlowFree Cash Flow
0.00-1.37B3.33B-3.48B6.48B12.64B
Operating Cash Flow
0.0013.57B12.91B2.95B14.94B18.04B
Investing Cash Flow
0.00-13.88B-6.41B-8.79B-9.52B-6.57B
Financing Cash Flow
0.00-6.73B-6.39B-340.00M-8.17B6.02B

Makino Milling Machine Co Technical Analysis

Technical Analysis Sentiment
Positive
Last Price11640.00
Price Trends
50DMA
10930.20
Positive
100DMA
11259.96
Positive
200DMA
8856.66
Positive
Market Momentum
MACD
265.03
Negative
RSI
65.36
Neutral
STOCH
88.26
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6135, the sentiment is Positive. The current price of 11640 is above the 20-day moving average (MA) of 10525.50, above the 50-day MA of 10930.20, and above the 200-day MA of 8856.66, indicating a bullish trend. The MACD of 265.03 indicates Negative momentum. The RSI at 65.36 is Neutral, neither overbought nor oversold. The STOCH value of 88.26 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6135.

Makino Milling Machine Co Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
$282.54B19.056.35%1.98%3.93%-8.48%
66
Neutral
$4.51B12.295.40%248.53%4.14%-12.41%
$1.50B19.884.82%3.40%
DETOA
€422.81M5.9010.88%4.52%
79
Outperform
¥53.72B10.57
3.96%4.49%88.28%
77
Outperform
¥27.15B7.07
4.26%7.43%18.47%
72
Outperform
¥26.20B12.00
4.08%-12.88%-69.11%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6135
Makino Milling Machine Co
11,640.00
5,183.13
80.27%
FMMFF
Fuji
15.60
0.34
2.23%
DE:TOA
Shibaura Machine Co., Ltd.
19.10
-1.16
-5.73%
JP:6118
Aida Engineering,Ltd.
928.00
87.35
10.39%
JP:6125
Okamoto Machine Tool Works,Ltd.
3,920.00
-658.86
-14.39%
JP:6137
Koike Sanso Kogyo Co., Ltd.
1,220.00
148.17
13.82%

Makino Milling Machine Co Corporate Events

Makino Milling Endorses Tender Offer by MM Holdings
Jun 4, 2025

Makino Milling Machine Co., Ltd. has announced its board’s endorsement of a tender offer by MM Holdings LLC for its common shares. The board recommends shareholders to tender their shares, pending necessary regulatory clearances in multiple countries, including Japan, the United States, and China. The tender offer is expected to commence by early December 2025, subject to the completion of regulatory procedures.

The most recent analyst rating on (JP:6135) stock is a Buy with a Yen7700.00 price target. To see the full list of analyst forecasts on Makino Milling Machine Co stock, see the JP:6135 Stock Forecast page.

Makino Milling Machine Co. Announces No Dividends Amid Tender Offer Plans
Jun 3, 2025

Makino Milling Machine Co., Ltd. announced that it will not distribute dividends for the fiscal year ending March 31, 2026, due to a planned tender offer by MM Holdings LLC. The board supports the tender offer, which aims to make Makino a wholly-owned subsidiary and delist it from the stock exchange, impacting shareholders and the company’s market presence.

The most recent analyst rating on (JP:6135) stock is a Buy with a Yen7700.00 price target. To see the full list of analyst forecasts on Makino Milling Machine Co stock, see the JP:6135 Stock Forecast page.

MM Holdings LLC to Initiate Tender Offer for Makino Milling Machine Shares
Jun 3, 2025

MM Holdings LLC has announced its plan to commence a tender offer to acquire all common shares of Makino Milling Machine Co., Ltd., excluding treasury shares. This move aims to take Makino private, allowing MBK Partners, a private equity firm with a strong presence in East Asia, to manage and control the company’s business operations, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (JP:6135) stock is a Buy with a Yen7700.00 price target. To see the full list of analyst forecasts on Makino Milling Machine Co stock, see the JP:6135 Stock Forecast page.

Makino Milling Machine Co. Receives Acquisition Proposal from MBK Partners Amidst Uncertainty
May 27, 2025

Makino Milling Machine Co., Ltd. has been navigating a period of uncertainty following a tender offer from Nidec Corporation, which has led to instability among stakeholders. In response, the company has been working on finalizing proposals from white knight candidates to stabilize its operations. Recently, MBK Partners submitted the only legally binding acquisition proposal by the deadline set by Makino, and the company is now in negotiations to reach a final agreement to secure its corporate value and stakeholder interests.

The most recent analyst rating on (JP:6135) stock is a Buy with a Yen7700.00 price target. To see the full list of analyst forecasts on Makino Milling Machine Co stock, see the JP:6135 Stock Forecast page.

Makino Milling Machine Co. Announces Change in Leadership
May 13, 2025

Makino Milling Machine Co., Ltd. announced a change in its Representative Director due to the expiration of the current term. Tatsuaki Aiba will assume the role of Executive Vice President and Representative Director, effective June 19, 2025, which may influence the company’s strategic direction and operational management.

The most recent analyst rating on (JP:6135) stock is a Buy with a Yen7700.00 price target. To see the full list of analyst forecasts on Makino Milling Machine Co stock, see the JP:6135 Stock Forecast page.

Makino Milling Announces Increased Year-End Dividend
May 13, 2025

Makino Milling Machine Co., Ltd. announced a resolution by its Board of Directors to distribute a surplus dividend with a record date of March 31, 2025. The proposed dividend is set at 100.00 yen per share, reflecting an increase from the previous fiscal year’s dividend and aligning with the company’s policy of stable profit distribution to shareholders. This decision indicates a strong financial performance and commitment to shareholder returns, with the annual dividend reaching 180.00 yen per share.

The most recent analyst rating on (JP:6135) stock is a Buy with a Yen7700.00 price target. To see the full list of analyst forecasts on Makino Milling Machine Co stock, see the JP:6135 Stock Forecast page.

Makino Milling Announces Withdrawal of Nidec’s Tender Offer and Strategic Adjustments
May 9, 2025

Makino Milling Machine Co., Ltd. announced the withdrawal of a tender offer by Nidec Corporation, which had initially aimed to acquire shares of Makino. In response to this withdrawal, Makino has decided to discontinue its previously planned countermeasures, including the allotment of share options without contribution. This decision reflects a strategic shift following Nidec’s withdrawal, impacting Makino’s immediate operational strategies and potentially affecting its market positioning.

Makino Milling Triumphs in Legal Dispute Over Share Options
May 8, 2025

Makino Milling Machine Co., Ltd. announced a legal victory as the Tokyo District Court dismissed Nidec Corporation’s petition for a provisional injunction against Makino’s allotment of share options without contribution. This decision supports Makino’s strategic financial maneuvers and reinforces its position in the market, potentially impacting shareholder confidence positively.

Makino Milling Reports Mixed Financial Results for FY 2025
Apr 30, 2025

Makino Milling Machine Co., Ltd. reported its consolidated financial results for the fiscal year ending March 31, 2025, showing a 3.9% increase in net sales to ¥234,216 million and a 13.1% rise in operating profit to ¥18,516 million. Despite these gains, the profit attributable to owners of the parent decreased by 9.8% to ¥14,415 million. The company also announced an increase in annual dividends, reflecting a positive outlook for the upcoming fiscal year. These results indicate a solid performance in sales and operating profit, but a decline in net profit, which could impact shareholder returns and market perception.

Makino Faces Legal Challenge Over Share Options Allotment
Apr 17, 2025

Makino Milling Machine Co., Ltd. announced that it received a petition for a provisional injunction filed by Nidec Corporation against its recent decision to allot share options without contribution. This legal action by Nidec, which holds a negligible ownership stake in Makino, challenges the company’s strategic move to issue share options as part of its takeover response policies, potentially impacting its shareholder relations and strategic planning.

Makino Faces Legal Challenge from Nidec Over Share Options
Apr 16, 2025

Makino Milling Machine Co., Ltd. announced that Nidec Corporation has filed a petition for a provisional injunction against Makino’s recent resolution to allot First Class A Share Options without contribution. This legal action by Nidec, which holds a negligible ownership in Makino, could potentially impact the company’s strategic decisions and shareholder relations, as it challenges the board’s recent resolution aimed at securing time for takeover responses.

Makino Milling Announces Correction to Tender Offer Response
Apr 15, 2025

Makino Milling Machine Co., Ltd. announced a correction to its previous statement regarding its opposition to a tender offer by Nidec Corporation. The correction involves an extension of the response deadline for inquiries to the tender offeror from April 17 to April 22, 2025. This adjustment is part of Makino’s strategy to ensure adequate time for considering third-party proposals, which could impact the company’s strategic decisions and stakeholder interests.

Makino Milling Machine Implements Strategic Share Options Allotment
Apr 10, 2025

Makino Milling Machine Co., Ltd. has announced a strategic move to allot First Class A Share Options to its shareholders without contribution as a countermeasure against a tender offer initiated by Nidec Corporation. This decision, made unanimously by the board of directors, aims to secure time for considering third-party proposals and will be subject to shareholder approval at the upcoming general meeting in June 2025. The move reflects Makino’s commitment to safeguarding its interests and ensuring that any large-scale purchase actions align with the company’s long-term strategic goals.

Makino Milling Opposes Nidec’s Tender Offer, Seeks Alternatives
Apr 10, 2025

Makino Milling Machine Co., Ltd. has announced its opposition to a tender offer from Nidec Corporation, aimed at taking the company private and delisting its shares. The decision is based on the need to consider third-party acquisition proposals, which could offer more favorable terms. Makino is actively engaging with independent third parties and plans to implement countermeasures against the tender offer, while also seeking shareholder input at its upcoming general meeting.

Nidec Corporation Announces Tender Offer for Makino Milling Machine
Apr 3, 2025

Nidec Corporation has announced a tender offer to acquire Makino Milling Machine Co., Ltd., aiming to make it a wholly-owned subsidiary. Despite receiving competing acquisition proposals from third parties, Makino’s board has requested a delay in the tender offer to allow for a thorough evaluation of all proposals. The company has introduced response policies to ensure shareholders have the final say in the takeover decision, with the tender offer set to commence on or after May 9, 2025, contingent on the termination of these policies.

Makino Milling Machine Evaluates Acquisition Proposal Amidst Expired Information Period
Apr 3, 2025

Makino Milling Machine Co., Ltd. has announced the expiration of the period for providing necessary information regarding Nidec Corporation’s proposal to acquire the company. The board of directors has begun evaluating the proposal and is considering alternative offers from third parties to ensure the best outcome for shareholders. The company will continue to gather information and engage with Nidec as needed, while also pursuing final letters of intent from other interested parties.

Makino Receives Opposition to Nidec’s Tender Offer
Mar 28, 2025

Makino Milling Machine Co., Ltd. has received a statement from the Japanese Association of Metal, Machinery, and Manufacturing Workers (JAM) opposing a tender offer by Nidec Corporation to acquire Makino as a wholly-owned subsidiary. JAM and the Makino Labor Union express concerns over the lack of clear vision in Nidec’s acquisition strategy and potential negative impacts on labor relations and industry stability. Makino’s board is evaluating the proposal alongside other third-party offers, aiming to protect shareholder interests and maintain communication with employees.

Makino Milling Introduces Policies for Nidec’s Tender Offer
Mar 24, 2025

Makino Milling Machine Co., Ltd. has announced the implementation of basic policies and response strategies concerning a tender offer proposal from Nidec Corporation, which aims to make Makino a wholly-owned subsidiary. The company’s board has introduced these policies to ensure shareholders have adequate time to consider third-party proposals, potentially more favorable than Nidec’s offer, before making a decision. The response policies will be terminated if Nidec commences the tender offer or if a superior third-party proposal is received. Additionally, a Shareholders’ Intent Confirmation Meeting will be held if Nidec does not adhere to the established procedures, allowing shareholders to express their stance on the tender offer.

Makino Milling Machine Co. Engages in Acquisition Talks with Nidec Corporation
Mar 21, 2025

Makino Milling Machine Co., Ltd. has received a proposal from Nidec Corporation to become a wholly-owned subsidiary through a tender offer. The company has been in ongoing discussions with Nidec, sending multiple letters of inquiry to assess the proposal’s impact on corporate value and shareholder interests. Makino has requested Nidec to delay the tender offer commencement and increase the share purchase threshold, but Nidec has yet to provide a definitive response. The outcome of these negotiations could significantly affect Makino’s operational control and market positioning.

Makino Evaluates Nidec’s Acquisition Proposal Amid Strategic Considerations
Mar 21, 2025

Makino Milling Machine Co., Ltd. has received a proposal from Nidec Corporation to become a wholly-owned subsidiary. In response, Makino has engaged in several rounds of inquiries and meetings to assess the proposal’s impact on its corporate value and shareholder interests. The company remains open to exploring strategic options and is committed to ensuring shareholders have the necessary information to make informed decisions.

Makino Milling Receives Acquisition Interests Amid Nidec Proposal
Mar 18, 2025

Makino Milling Machine Co., Ltd. has received initial letters of intent from multiple third parties interested in acquiring the company to make it a wholly-owned subsidiary. This development follows a proposal from Nidec Corporation for a similar acquisition. The company is evaluating these proposals to ensure they enhance corporate value and benefit shareholders, and has requested Nidec to delay its tender offer to allow for thorough consideration of all options.

Makino Milling Explores Strategic Options with Nidec
Mar 13, 2025

Makino Milling Machine Co., Ltd. held a significant meeting with Nidec Corporation to explore strategic options, including potential corporate takeovers, aimed at enhancing corporate value. The company is considering various proposals in line with industry guidelines to ensure the protection of shareholder interests.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.