NPR-RIKEN CORPORATION (6209) AI Stock Analysis

• Market Cap: ¥65.99B
• Dividend Yield: 6.93%
• Average Volume (3M): 85.45K
• Price to Earnings (P/E): 7.6
• Beta (1Y): 1.15
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: JP
• Employees: 7,036
• Sector: Consumer Cyclical
• Sector Strength: 65
• Industry: Auto - Parts
• EPS (TTM): 45.78
• Shares Outstanding: 28,247,910
• 10 Day Avg. Volume: 82,810
• 30 Day Avg. Volume: 85,446
• PEG Ratio: -19.41
• Price to Book (P/B): 0.39
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.20
• 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: ¥2,787.00
• Price Target Upside: 13.71% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 79 Outperform
• Price Target: ¥2,719.00 ▲(10.93%Upside)

NPR-RIKEN CORPORATION scores well due to its strong financial performance and attractive valuation, with a low P/E ratio and high dividend yield. While technical indicators suggest bearish momentum, the company's robust financial health and effective operational efficiency are significant positives. However, the decline in net income and reduced free cash flow are areas of concern that investors should monitor.

NPR-RIKEN CORPORATION Business Overview & Revenue Model

Company Description

NPR-RIKEN CORPORATION (6209) is a Japanese company that operates primarily in the manufacturing sector. It specializes in producing high-performance piston rings for automotive engines, which are critical components for ensuring engine efficiency, performance, and emissions control. The company's products are used by a wide range of vehicle manufacturers and are renowned for their quality and reliability.

How the Company Makes Money

NPR-RIKEN CORPORATION generates revenue primarily through the sale of its piston rings and other automotive components to car manufacturers and aftermarket suppliers. The company benefits from long-standing relationships with major automotive manufacturers who rely on its products for original equipment manufacturing (OEM). Additionally, NPR-RIKEN has a presence in the aftermarket sector, providing replacement parts that meet or exceed original specifications. This dual approach allows the company to maintain steady income from both new vehicle production and ongoing vehicle maintenance. Key factors contributing to its earnings include its reputation for quality, ongoing innovation in product development, and a global distribution network that extends its market reach. Strategic partnerships with automotive giants and investments in research and development also play a significant role in its financial success.

NPR-RIKEN CORPORATION Financial Statement Overview

Summary

NPR-RIKEN CORPORATION showcases strong revenue growth and operational efficiency, though a significant drop in net income from 2024 to 2025 impacts profitability metrics. The balance sheet is robust with low debt levels, providing financial stability. Cash flow management remains effective but shows a decline in free cash flow, highlighting the need for careful liquidity management moving forward.

Income Statement

NPR-RIKEN CORPORATION has demonstrated strong revenue growth, with a 22.9% increase from 2024 to 2025. The gross profit margin is robust at 23.9% for 2025, though down from previous years. The net profit margin for 2025 is 5.1%, indicating profitability but a decline from 19% in 2024 due to a sharp decrease in net income. EBITDA margin for 2025 is impressive at 13.5%, suggesting strong operational efficiency despite the drop in net income.

Balance Sheet

The company maintains a solid financial position with a debt-to-equity ratio of 0.13 in 2025, indicating low leverage. The return on equity (ROE) for 2025 is 6%, which is lower than the previous year due to reduced net income. The equity ratio of 66.3% reflects a strong equity base relative to assets, enhancing financial stability.

Cash Flow

Free cash flow decreased by 17.6% from 2024 to 2025, reflecting reduced liquidity. The operating cash flow to net income ratio is high at 1.99 for 2025, indicating effective cash generation relative to net income. The free cash flow to net income ratio stands at 1.17, suggesting adequate free cash flow coverage despite the decline in net income.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	170.00B	170.34B	138.59B	86.38B	78.37B	69.72B
Gross Profit	40.54B	40.79B	29.98B	17.24B	17.45B	14.55B
EBITDA	34.15B	23.07B	36.69B	9.48B	10.16B	7.65B
Net Income	25.14B	8.76B	26.32B	4.32B	4.33B	1.88B
Balance Sheet
Total Assets	215.55B	219.04B	218.58B	123.73B	115.71B	110.54B
Cash, Cash Equivalents and Short-Term Investments	23.64B	28.02B	24.44B	23.82B	16.21B	12.61B
Total Debt	20.54B	19.34B	19.79B	10.00B	10.00B	10.00B
Total Liabilities	65.46B	64.37B	69.41B	28.75B	28.63B	30.40B
Stockholders Equity	141.11B	145.25B	140.55B	88.57B	81.22B	74.92B
Cash Flow
Free Cash Flow	0.00	10.22B	12.40B	8.30B	4.01B	4.13B
Operating Cash Flow	0.00	17.48B	18.50B	10.96B	6.42B	7.39B
Investing Cash Flow	0.00	-7.08B	-13.55B	-3.85B	-3.82B	-2.91B
Financing Cash Flow	0.00	-8.40B	-8.62B	-1.45B	-1.52B	-1.51B

NPR-RIKEN CORPORATION Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2451.00
• 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:6209, the sentiment is Positive. The current price of 2451 is above the 20-day moving average (MA) of 2383.20, above the 50-day MA of 2394.32, and above the 200-day MA of 2377.25, indicating a bullish trend. The MACD of 21.90 indicates Negative momentum. The RSI at 65.74 is Neutral, neither overbought nor oversold. The STOCH value of 86.04 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6209.

NPR-RIKEN CORPORATION Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6209	79 Outperform	¥65.99B	7.59		6.93%	―	―
7292	77 Outperform	¥74.26B	12.69		3.68%	4.40%	3.95%
7231	77 Outperform	¥57.60B	8.79		5.91%	-9.99%	37.21%
7241	70 Outperform	¥71.38B	11.49		0.75%	-11.15%	-51.63%
6463	69 Neutral	¥67.34B	7.81		4.85%	-0.69%	8.45%
5988	63 Neutral	¥57.41B	33.33		6.04%	-1.86%	-55.23%
Sector *	56 Neutral	HK$25.22B	4.10	-2.03%	6.15%	-0.31%	-67.64%

NPR-RIKEN CORPORATION Corporate Events

NPR-RIKEN Completes Treasury Share Disposal for Compensation Plan

NPR-RIKEN CORPORATION has completed the payment procedures for the disposal of 36,100 treasury shares as part of a transfer-restricted share compensation plan. This strategic move, resolved at a recent Board of Directors meeting, aims to align the interests of the company’s directors and executive officers with its long-term goals, potentially enhancing corporate governance and stakeholder value.

NPR-RIKEN CORPORATION Announces Closure of Michigan Plant

NPR-RIKEN CORPORATION has decided to close its Michigan Manufacturing Plant, operated by its subsidiary NPR of America, Inc., as part of its First Medium-Term Management Plan. The closure, aimed at optimizing production by transferring functions to other sites, is expected to have a minor impact on the company’s consolidated financial results.

NPR-RIKEN CORPORATION Announces Treasury Share Disposal for Compensation

NPR-RIKEN CORPORATION has announced a resolution to dispose of 36,100 treasury shares as part of a transfer-restricted share compensation system. This initiative aims to enhance motivation among the company’s directors and executive officers by allocating shares under specific conditions, including a restriction period that lasts until the retirement of the recipients from their positions. The move is intended to align the interests of the management with the company’s long-term goals.

NPR-RIKEN CORPORATION Announces Corrections to Financial Results

NPR-RIKEN CORPORATION announced corrections to its consolidated financial results for the fiscal year ended March 31, 2025, due to an error in the aggregation method for segment assets. The correction affects the reported segment assets, particularly in the ‘Other’ category, and involves adjustments to company-wide assets, impacting the financial statements and potentially influencing stakeholder perceptions.

NPR-RIKEN CORPORATION Reports Strong Sales Growth but Decline in Profit

NPR-RIKEN CORPORATION reported a significant increase in net sales and operating profit for the fiscal year ended March 31, 2025, with net sales rising by 22.9% and operating profit by 34.7%. However, the profit attributable to owners of the parent company saw a sharp decline of 66.7%. The company finalized its provisional accounting treatment for a business combination, affecting the financial figures for the previous fiscal year. Despite the decline in profit, the company increased its annual dividend per share, reflecting a commitment to returning value to shareholders.