Koike Sanso Kogyo Co., Ltd. (6137) AI Stock Analysis

• Market Cap: ¥30.78B
• Dividend Yield: 3.21%
• Average Volume (3M): 42.07K
• Price to Earnings (P/E): 8.0
• Beta (1Y): 0.77
• Revenue Growth: 7.43%
• EPS Growth: 18.47%
• Country: JP
• Employees: 1,034
• Sector: Industrials
• Sector Strength: 94
• Industry: Industrial - Machinery
• EPS (TTM): 31.63
• Shares Outstanding: 22,614,664
• 10 Day Avg. Volume: 42,960
• 30 Day Avg. Volume: 42,066
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• P/FCF Ratio: N/A
• 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: ¥1,366.00
• Price Target Upside: -1.23% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 86 Outperform
• Price Target: ¥1,633.00 ▲(18.08%Upside)

Koike Sanso Kogyo Co., Ltd. receives a high overall score driven by strong technical indicators and attractive valuation. While financial performance is solid, temporary dips in cash flow and potential external pressures require attention.

Koike Sanso Kogyo Co., Ltd. Business Overview & Revenue Model

Company Description

Koike Sanso Kogyo Co., Ltd. (6137) is a Japanese industrial company that specializes in the manufacturing and distribution of cutting and welding equipment. It operates primarily in the machinery sector, offering a range of products that includes gas cutting machines, welding machines, and related accessories. The company is known for its advanced technology and quality products, serving various industries such as construction, automotive, and shipbuilding.

How the Company Makes Money

Koike Sanso Kogyo Co., Ltd. generates revenue through the sale of its cutting and welding machines and equipment. This includes both direct sales to end-users and through a network of distributors. The company also offers maintenance and repair services for its products, providing an additional revenue stream. Key revenue streams include the domestic Japanese market as well as international markets, where the company exports its products. Strategic partnerships with other industrial firms and participation in industry exhibitions and trade shows also contribute to its business growth and revenue.

Koike Sanso Kogyo Co., Ltd. Financial Statement Overview

Summary

Koike Sanso Kogyo Co., Ltd. demonstrates strong financial performance with consistent revenue growth, robust profit margins, low leverage, and healthy equity ratios. However, the company faces challenges such as a temporary dip in free cash flow generation and potential external economic pressures.

Income Statement

Koike Sanso Kogyo Co., Ltd. has shown consistent revenue growth over the past few years, with a revenue growth rate of 7.43% from 2024 to 2025. The gross profit margin is robust at 31.49%, indicating effective cost management. The net profit margin has improved to 6.58%, reflecting solid profitability. EBIT and EBITDA margins are also strong at 9.87% and 13.92%, respectively, highlighting operational efficiency. However, maintaining these margins amidst industry volatility remains a challenge.

Balance Sheet

The company's balance sheet is stable, with a debt-to-equity ratio of 0.17, indicating low leverage and financial prudence. The return on equity stands at 8.54%, and the equity ratio is a healthy 56.94%, demonstrating strong shareholder equity. However, the company must be vigilant about potential external economic pressures that could affect asset and equity valuations.

Cash Flow

Koike Sanso Kogyo Co., Ltd. has shown a free cash flow growth rate of -22.83% from 2024 to 2025, indicating a temporary dip in cash generation. The operating cash flow to net income ratio is 1.01, suggesting adequate cash conversion from profits. The free cash flow to net income ratio of 0.65 points to a good balance between cash flow and profitability. Continued focus on cash management is crucial to sustain financial flexibility.

Breakdown
Income Statement
Total Revenue
Gross Profit
EBITDA
Net Income
Balance Sheet
Total Assets
Cash, Cash Equivalents and Short-Term Investments
Total Debt
Total Liabilities
Stockholders Equity
Cash Flow
Free Cash Flow
Operating Cash Flow
Investing Cash Flow
Financing Cash Flow

Koike Sanso Kogyo Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1383.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6137, the sentiment is Positive. The current price of 1383 is above the 20-day moving average (MA) of 1330.90, above the 50-day MA of 1262.06, and above the 200-day MA of 1198.83, indicating a bullish trend. The MACD of 30.94 indicates Negative momentum. The RSI at 61.60 is Neutral, neither overbought nor oversold. The STOCH value of 84.47 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6137.

Koike Sanso Kogyo Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6137	86 Outperform	¥30.78B	8.02		3.21%	7.43%	18.47%
6144	80 Outperform	¥29.15B	12.41		4.31%	4.40%	18.82%
6125	71 Outperform	¥32.75B	15.00		3.30%	-12.88%	-70.22%
6149	69 Neutral	¥11.61B	20.21		2.54%	-10.39%	-43.57%
6405	66 Neutral	¥23.68B	16.19		1.87%	7.26%	28.17%
6151	65 Neutral	¥34.28B	25.48		2.14%	0.68%	-22.82%
Sector *	58 Neutral	HK$14.89B	4.77	-2.78%	5.38%	3.80%	-54.55%