Takeda Machinery Co., Ltd. (6150) AI Stock Analysis

• Market Cap: ¥3.03B
• Dividend Yield: 2.66%
• Average Volume (3M): 853.00
• Price to Earnings (P/E): 4.0
• Beta (1Y): 0.50
• Revenue Growth: -17.16%
• EPS Growth: -47.34%
• Country: JP
• Employees: 182
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 183.16
• Shares Outstanding: 1,020,000
• 10 Day Avg. Volume: 920
• 30 Day Avg. Volume: 853
• PEG Ratio: -0.30
• Price to Book (P/B): 0.52
• Price to Sales (P/S): 0.56
• P/FCF Ratio: -4.46
• 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: 63 Neutral
• Price Target: ¥3,515.00 ▲(10.88% Upside)
• Action: Downgraded Date: 10/10/25
• Date: Action: Downgraded 10/10/25

Takeda Machinery Co., Ltd.'s overall stock score is primarily influenced by its solid balance sheet and attractive valuation, with a low P/E ratio and reasonable dividend yield. However, challenges such as declining revenue, reduced profitability, and negative cash flows weigh on the score. Technical indicators suggest potential bearish momentum, adding to the cautious outlook.

Positive Factors

Balance Sheet Health

A low debt-to-equity (~0.29) and strong equity ratio indicate conservative leverage, giving the firm financial flexibility to withstand cyclical demand. Over the next 2–6 months this reduces refinancing risk and supports selective capex or incremental investments without stressing the balance sheet.

Gross Margin / Production Efficiency

Sustained healthy gross margins point to efficient manufacturing and cost control in its metalworking business. Margin resiliency supports profitability even if top line softens, enabling the company to preserve operating earnings and reinvest in product quality or service capabilities over months ahead.

Low Earnings Volatility

A low beta (~0.5) implies earnings and cash flows are less sensitive to market swings, aiding predictability for planning and customer contracts. For a capital-equipment manufacturer, lower volatility supports steadier order book management and risk-adjusted decision making over the medium term.

Negative Factors

Declining Revenue

Material negative revenue growth (~-15% as reported) erodes scale and reduces leverage of fixed manufacturing costs. If this trend persists over the next few quarters it will pressure margins, restrict reinvestment capacity and weaken the company's competitive standing in core markets.

Negative Cash Flow

Negative operating and free cash flows indicate the business is not converting profits into cash, creating potential liquidity strain. Over 2–6 months this limits ability to fund working capital, capex or product development internally and raises reliance on external financing or asset sales.

Falling Profitability / EPS

Decreasing net profit margin and previously reported EPS contraction signal weakening profitability. Persistent margin decline undermines return on equity and reduces available cash for dividends or reinvestment, impairing long-term competitiveness if cost or pricing dynamics aren't corrected.

Takeda Machinery Co., Ltd. Business Overview & Revenue Model

Company Description

Takeda Machinery Co., Ltd. engages in the manufacturing and sale of forging machines, machine tools, instruments, and molds in Japan. The company offers shaped steel working machines, which includes compact shaped steel working, flat plate drilling, H/I beam drilling, and sheet metal working machines; and circular sawing machines, such as shaped and solid steel cutting, and hollow section cutting machines. It also provides unit dies machine comprising punching, cutting, notching, and bending die machines. The company was founded in 1966 and is headquartered in Nomi, Japan.

How the Company Makes Money

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Takeda Machinery Co., Ltd. Financial Statement Overview

Summary

Takeda Machinery Co., Ltd. demonstrates strengths in maintaining a solid balance sheet with low leverage and efficient production processes. However, the company faces challenges with declining revenue, reduced profitability, and negative cash flows, which could impact future growth and financial stability.

Income Statement

Takeda Machinery Co., Ltd. has shown a decline in revenue growth with a negative rate of -10.43% in the most recent year, indicating potential challenges in maintaining sales momentum. However, the company maintains a healthy gross profit margin, suggesting efficient production processes. The net profit margin has decreased, reflecting reduced profitability. Overall, while the company is profitable, the declining revenue and profit margins are areas of concern.

Balance Sheet

The company's balance sheet reflects a stable financial position with a manageable debt-to-equity ratio of approximately 0.29, indicating a conservative approach to leverage. The equity ratio is strong, suggesting a solid capital structure. However, the return on equity has decreased, highlighting a need for improved profitability to enhance shareholder returns.

Cash Flow

The cash flow statement reveals significant challenges, with negative operating and free cash flows in the latest year, indicating potential liquidity issues. The free cash flow growth rate is negative, and the operating cash flow to net income ratio is unfavorable, suggesting difficulties in converting profits into cash. This area requires attention to ensure sustainable cash generation.

Breakdown	May 2024	May 2023	May 2022	May 2021	May 2020
Income Statement
Total Revenue	4.89B	5.46B	4.69B	4.44B	3.50B
Gross Profit	1.44B	1.69B	1.37B	1.31B	924.58M
EBITDA	606.70M	822.09M	609.34M	588.15M	319.61M
Net Income	293.67M	427.08M	316.91M	260.93M	118.97M
Balance Sheet
Total Assets	7.64B	7.94B	7.31B	6.74B	6.36B
Cash, Cash Equivalents and Short-Term Investments	1.48B	2.09B	1.10B	1.34B	789.25M
Total Debt	1.51B	1.42B	1.57B	1.45B	1.67B
Total Liabilities	2.43B	2.94B	2.71B	2.43B	2.29B
Stockholders Equity	5.22B	5.00B	4.59B	4.32B	4.07B
Cash Flow
Free Cash Flow	-612.97M	1.24B	-116.72M	885.53M	-161.57M
Operating Cash Flow	-587.13M	1.27B	-82.56M	991.14M	-138.92M
Investing Cash Flow	-23.04M	-108.28M	-71.95M	-63.41M	8.23M
Financing Cash Flow	4.20M	-197.47M	-116.19M	-321.14M	-67.55M

Takeda Machinery Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 3170.00
• 50DMA: Negative
• 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:6150, the sentiment is Neutral. The current price of 3170 is below the 20-day moving average (MA) of 3338.75, below the 50-day MA of 3314.90, and above the 200-day MA of 3046.25, indicating a neutral trend. The MACD of -1.75 indicates Positive momentum. The RSI at 46.58 is Neutral, neither overbought nor oversold. The STOCH value of 75.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6150.

Takeda Machinery Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6138	77 Outperform	¥3.31B	2.79	―	2.66%	3.89%	―
3447	73 Outperform	¥14.18B	3.92	―	3.58%	29.20%	122.98%
5644	72 Outperform	¥15.72B	4.33	―	2.87%	2.38%	-5.80%
5994	69 Neutral	¥6.70B	-102.51	―	1.06%	6.41%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6150	63 Neutral	¥3.03B	4.03	―	2.66%	-17.16%	-47.34%
5852	54 Neutral	¥21.07B	3.53	―	4.33%	5.12%	―