NS Tool Co., Ltd. (6157) AI Stock Analysis

• Market Cap: ¥18.84B
• Dividend Yield: 3.97%
• Average Volume (3M): 26.16K
• Price to Earnings (P/E): 14.9
• Beta (1Y): 0.67
• Revenue Growth: 3.18%
• EPS Growth: 2.22%
• Country: JP
• Employees: 350
• Sector: Industrials
• Sector Strength: 86
• Industry: Manufacturing - Tools & Accessories
• EPS (TTM): 13.90
• Shares Outstanding: 25,035,034
• 10 Day Avg. Volume: 35,500
• 30 Day Avg. Volume: 26,163
• PEG Ratio: -6.19
• Price to Book (P/B): 1.51
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 27.98
• 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

• Rating: 70 Outperform
• Price Target: ―

NS Tool Co., Ltd. displays strong financial fundamentals with a debt-free balance sheet and solid profitability, which are the main strengths supporting its stock score. However, technical indicators are currently negative, suggesting weak market momentum. The stock's valuation appears attractive, with a low P/E ratio and high dividend yield, which partially offsets the bearish technical outlook.

NS Tool Co., Ltd. Business Overview & Revenue Model

Company Description

NS Tool Co., Ltd. (6157) is a Japanese company specialized in the manufacturing and distribution of high-precision cutting tools. The company primarily serves industries that require intricate and precise machining, such as the electronics and automotive sectors. NS Tool is renowned for its micro end mills and innovative solutions that cater to the specific needs of precision machining applications.

How the Company Makes Money

NS Tool Co., Ltd. generates revenue through the design, production, and sale of specialized cutting tools. The company's key revenue streams include direct sales to manufacturers in industries like electronics and automotive, which demand high-precision tools for their machining processes. Additionally, NS Tool may engage in strategic partnerships with distributors and other industrial entities to expand its market reach and enhance its distribution network. The company's ability to innovate and provide tailored solutions to meet the specific needs of its clients significantly contributes to its earnings.

NS Tool Co., Ltd. Financial Statement Overview

Summary

NS Tool Co., Ltd. is in a robust financial position, marked by strong profitability, a debt-free balance sheet, and generally positive cash flow trends. While recent revenue growth has slowed, the company maintains high margins and strong equity. The primary area of concern is the fluctuation in operating cash flow, which requires monitoring to ensure continued financial health.

Income Statement

NS Tool Co., Ltd. demonstrates strong profitability with a consistent gross profit margin averaging around 53%. The company maintains solid net profit margins, reflecting efficient cost management. Although there is a slight decline in revenue growth recently, the overall revenue trajectory remains positive over the last few years. EBIT and EBITDA margins are robust, indicating effective operational management.

Balance Sheet

The balance sheet of NS Tool Co., Ltd. is exceptionally strong, with zero debt, which eliminates leverage risk. The company boasts a high equity ratio of over 90%, showcasing financial stability and resilience. Additionally, the return on equity is impressive, driven by consistent profitability and efficient equity utilization.

Cash Flow

Cash flow management is solid, with positive free cash flow in most periods. However, there are fluctuations in operating cash flow, which is currently at zero in the latest TTM period. This could pose short-term liquidity challenges if not addressed promptly, despite overall positive cash flow trends historically.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	9.33B	9.43B	9.04B	9.66B	9.52B	8.10B
Gross Profit	5.00B	4.98B	4.94B	5.12B	4.89B	4.14B
EBITDA	2.31B	2.42B	2.50B	2.78B	2.80B	2.22B
Net Income	1.31B	1.26B	1.32B	1.48B	1.52B	1.21B
Balance Sheet
Total Assets	19.32B	19.95B	19.24B	18.86B	17.87B	16.94B
Cash, Cash Equivalents and Short-Term Investments	9.36B	9.87B	8.89B	8.50B	8.54B	7.67B
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	1.30B	1.53B	1.51B	1.66B	1.71B	1.61B
Stockholders Equity	18.02B	18.42B	17.73B	17.20B	16.17B	15.33B
Cash Flow
Free Cash Flow	0.00	1.90B	1.27B	927.80M	1.60B	2.06B
Operating Cash Flow	0.00	2.01B	1.83B	1.61B	2.26B	2.53B
Investing Cash Flow	0.00	-392.61M	-575.25M	-1.14B	-348.86M	-187.25M
Financing Cash Flow	0.00	-684.30M	-883.88M	-560.86M	-763.17M	-438.38M

NS Tool Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 755.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6157, the sentiment is Positive. The current price of 755 is above the 20-day moving average (MA) of 697.35, above the 50-day MA of 694.02, and above the 200-day MA of 723.52, indicating a bullish trend. The MACD of 9.46 indicates Negative momentum. The RSI at 79.48 is Negative, neither overbought nor oversold. The STOCH value of 89.63 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6157.

NS Tool Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6101	79 Outperform	¥85.27B	7.87		3.51%	27.98%	104.10%
6146	73 Outperform	¥4.40T	35.47	27.22%	1.21%	27.88%	47.09%
6113	72 Outperform	$501.84B	16.05	6.10%	3.91%	-1.69%	-16.80%
Sector *	71 Outperform	¥253.62B	13.00	8.49%	3.09%	6.31%	12.77%
6157	70 Outperform	¥18.84B	14.86		3.97%	3.18%	2.22%
6135	68 Neutral	$276.97B	18.67	6.35%	1.75%	3.93%	-8.46%
6141	67 Neutral	$463.66B	28.46	8.94%	3.06%	-4.91%	-16.52%

NS Tool Co., Ltd. Corporate Events

NS Tool Co., Ltd. Announces Change in Major Shareholders

NS Tool Co., Ltd. has announced a change in its major shareholders, with M.Y. Corporation, Inc. becoming the new largest shareholder, replacing The Master Trust Bank of Japan, Ltd. This shift in shareholder structure, confirmed by the list of shareholders as of March 31, 2025, does not affect the company’s management or business performance.

NS Tool Co., Ltd. Announces Change in Accounting Auditor

NS Tool Co., Ltd. has announced a change in its accounting auditor, transitioning from A&A Partners to Sousei Audit Corporation. This decision, effective after the 64th Ordinary General Meeting of Shareholders on June 24, 2025, is aimed at gaining a fresh audit perspective and leveraging Sousei Audit Corporation’s expertise and independence. The change is expected to enhance the company’s audit quality and align audit costs with its business scale, marking a strategic move after 18 years with the previous auditor.

NS Tool Co., Ltd. Reports Mixed Financial Results for 2024

NS Tool Co., Ltd. reported consolidated business results for the nine months ending December 2024, highlighting a 4.3% increase in net sales to 7,042 million yen compared to the previous period. Despite this, operating profit, ordinary profit, and profit attributable to owners of the parent saw decreases of 3.8%, 4.3%, and 1.1% respectively, indicating challenges in maintaining profitability amid growing sales. The company maintained a strong equity-to-asset ratio of 92.3% as of December 2024. The forecast for the fiscal year ending March 2025 projects a 4.3% rise in net sales to 9,430 million yen but anticipates declines in operating and ordinary profit by 7.4% and 8.8% respectively. These results may impact stakeholder confidence and suggest a period of strategic adjustments for NS Tool Co., Ltd. to enhance profitability and market competitiveness.