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Howa Machinery, Ltd. (JP:6203)
:6203
Japanese Market
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Howa Machinery, Ltd. (6203) Price & Analysis

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6203 Stock Chart & Stats

¥1192.00
-¥19.00(-1.50%)
At close: 4:00 PM EST
¥1192.00
-¥19.00(-1.50%)

Bulls Say, Bears Say

Bulls Say
Strong Revenue GrowthSustained 25.5% revenue growth indicates durable demand and expanding market traction across industrial machinery and defense segments. Such top-line expansion supports operating leverage, capacity utilization and provides a base to invest in product development and customer relationships over the next 2-6 months.
Improving ProfitabilityMargins have recovered from prior losses to positive gross, EBIT and net margins, showing improving cost management and pricing power. This margin restoration points to structural progress in operations that can sustain earnings as revenues grow and help fund reinvestment or deleveraging over the medium term.
Manageable Leverage And Equity BaseModerate debt-to-equity and a 55% equity ratio provide a conservative capital structure and financial cushion. This balance sheet flexibility supports funding of capex or working capital needs, and reduces refinancing risk, improving the company's resilience to industry cyclicality over coming quarters.
Bears Say
Weak Cash ConversionOperating cash flow is only 7% of reported net income and free cash flow remains negative, indicating earnings are not translating into cash. Persistent weak cash conversion limits ability to self-fund growth, pay dividends or reduce debt and raises longer-term liquidity and execution risks.
Low Return On EquityA 4% ROE signals modest efficiency in converting shareholder capital into profits. Over time, low ROE can constrain equity investor returns and suggests capital may be under-employed or margins need further improvement to generate attractive returns relative to peers.
Modest Absolute MarginsDespite recovery, EBITDA and net margins remain low, leaving limited buffer against cyclical downturns or cost inflation. Modest absolute margins also restrict free cash flow potential, making it harder to build reserves or fund strategic initiatives without improving operational efficiency.

6203 FAQ

What was Howa Machinery, Ltd.’s price range in the past 12 months?
Howa Machinery, Ltd. lowest stock price was ¥959.00 and its highest was ¥2030.00 in the past 12 months.
    What is Howa Machinery, Ltd.’s market cap?
    Howa Machinery, Ltd.’s market cap is ¥17.29B.
      When is Howa Machinery, Ltd.’s upcoming earnings report date?
      Howa Machinery, Ltd.’s upcoming earnings report date is May 15, 2026 which is in 24 days.
        How were Howa Machinery, Ltd.’s earnings last quarter?
        Howa Machinery, Ltd. released its earnings results on Feb 12, 2026. The company reported ¥36.75 earnings per share for the quarter, beating the consensus estimate of N/A by ¥36.75.
          Is Howa Machinery, Ltd. overvalued?
          According to Wall Street analysts Howa Machinery, Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium
            Does Howa Machinery, Ltd. pay dividends?
            Howa Machinery, Ltd. pays a Annually dividend of ¥20 which represents an annual dividend yield of 1.73%. See more information on Howa Machinery, Ltd. dividends here
              What is Howa Machinery, Ltd.’s EPS estimate?
              Howa Machinery, Ltd.’s EPS estimate for its next earnings report is not yet available.
              How many shares outstanding does Howa Machinery, Ltd. have?
              Howa Machinery, Ltd. has 12,548,134 shares outstanding.
                What happened to Howa Machinery, Ltd.’s price movement after its last earnings report?
                Howa Machinery, Ltd. reported an EPS of ¥36.75 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 10.795%.
                  Which hedge fund is a major shareholder of Howa Machinery, Ltd.?
                  Currently, no hedge funds are holding shares in JP:6203
                  What is the TipRanks Smart Score and how is it calculated?
                  Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                    Company Description

                    Howa Machinery, Ltd.

                    Howa Machinery, Ltd. provides machine tools, pneumatic and hydraulic equipment, electronic machines, sweepers, metal joinery fittings, and firearms in Japan. The company's machine tools include machining centers, transfer lines, and standard machine tool units for transfer lines; and pneumatic and hydraulic equipment comprising power chucks, rotating cylinders, rodless slit and magnetic type cylinders, hydraulic and pneumatic clamp cylinders, hydraulic jig cylinders, rotary actuators, and hydraulic cylinders. It also provides electronic machines, which include exposure systems for printed circuit boards, ceramic green sheet-related equipment, and testing systems for mounted circuit boards; and street and industrial sweepers, and scrubbers, as well as sporting rifles. The company was formerly known as Howa Heavy Industries, Ltd. and changed its name to Howa Machinery, Ltd. in 1945. Howa Machinery, Ltd. was incorporated in 1907 and is headquartered in Kiyosu, Japan.

                    Howa Machinery, Ltd. (6203) Earnings & Revenues

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