Kimura Kohki Co., Ltd. (6231) AI Stock Analysis

• Market Cap: ¥47.85B
• Dividend Yield: 0.95%
• Average Volume (3M): 4.06K
• Price to Earnings (P/E): 15.3
• Beta (1Y): 0.92
• Revenue Growth: 18.05%
• EPS Growth: 44.90%
• Country: JP
• Employees: 367
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 201.15
• Shares Outstanding: 3,849,000
• 10 Day Avg. Volume: 2,900
• 30 Day Avg. Volume: 4,060
• PEG Ratio: 0.54
• Price to Book (P/B): 2.42
• Price to Sales (P/S): 1.77
• P/FCF Ratio: 76.25
• 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: 78 Outperform
• Price Target: ¥15,228.00 ▲(23.40% Upside)

Kimura Kohki Co., Ltd. exhibits strong financial performance with robust revenue growth and profitability. The technical analysis supports a bullish outlook with positive momentum indicators. Valuation metrics suggest the stock is fairly valued, making it an attractive investment in the electrical equipment and parts industry.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for products and effective market strategies, supporting long-term business expansion.

Profitability Margins

High profitability margins reflect efficient cost management and competitive pricing power, enhancing financial stability.

Balance Sheet Health

A strong balance sheet with low leverage provides financial flexibility and resilience against economic downturns.

Negative Factors

Cash Flow Volatility

Volatile cash flows can hinder long-term planning and investment, requiring improved cash management strategies.

Equity Growth Fluctuations

Inconsistent equity growth can signal underlying operational challenges, affecting investor confidence and valuation.

Free Cash Flow Concerns

Sustained free cash flow is crucial for funding growth initiatives and maintaining financial health, needing ongoing attention.

Kimura Kohki Co., Ltd. Business Overview & Revenue Model

Company Description

KIMURA KOHKI Co.,Ltd. designs, manufactures, and sells air-conditioning and heat exchanger equipment in Japan. The company offers system products, cold/hot water type products, air-cooled direct expansion and heat pump type products, factory zone air conditioning equipment, water-cooled Heat pump type products, heat recovery external conditioner, induction outlet, heat exchangers, and related air conditioners equipment. KIMURA KOHKI Co.,Ltd. was incorporated in 1947 and is headquartered in Osaka, Japan.

How the Company Makes Money

Kimura Kohki generates revenue primarily through the sale of its precision measuring instruments and automation control equipment. The company's revenue model is based on direct sales to industrial clients, as well as partnerships with distributors and resellers who help expand its market reach. Key revenue streams include the sale of standard products, customized solutions for specific industrial applications, and ongoing maintenance and support services for its equipment. Additionally, strategic collaborations with other technology firms and participation in government and private sector projects contribute to its earnings, allowing Kimura Kohki to leverage its technological expertise and expand its customer base.

Kimura Kohki Co., Ltd. Financial Statement Overview

Summary

Kimura Kohki Co., Ltd. demonstrates strong revenue growth and solid profitability margins. The balance sheet is robust with low leverage and strong equity ratios. Cash flow management shows a recovering trajectory, though past volatility suggests potential areas for improvement.

Income Statement

Kimura Kohki Co., Ltd. demonstrates strong revenue growth with a 15.8% increase in the latest year. The company maintains solid profitability, as evidenced by a gross profit margin of 44.8% and a net profit margin of 15.6% in the most recent year. The EBIT and EBITDA margins are also robust at 22.9% and 26.3%, respectively, reflecting efficient operational management. However, the growth trajectory has shown some fluctuations, with past years showing lower growth rates.

Balance Sheet

The balance sheet is stable with a debt-to-equity ratio of 0.39, indicating prudent leverage levels. The equity ratio stands at 53.0%, showcasing a strong equity base relative to assets. Return on equity (ROE) has been impressive at 21.2%, highlighting effective utilization of shareholder capital. Despite the healthy financial position, the company has experienced fluctuations in its equity growth.

Cash Flow

Recent cash flows indicate a positive trend with a free cash flow to net income ratio of 0.15, despite prior years of negative free cash flow. Operating cash flow to net income ratio stands at 0.90, reflecting good cash conversion from earnings. The free cash flow growth rate has rebounded but requires sustained improvement to ensure long-term financial health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	16.23B	16.04B	13.85B	11.70B	10.20B	10.53B
Gross Profit	7.54B	7.19B	6.21B	4.69B	3.94B	4.30B
EBITDA	4.41B	4.22B	3.17B	1.83B	1.61B	1.72B
Net Income	2.63B	2.50B	2.07B	1.04B	877.54M	960.14M
Balance Sheet
Total Assets	22.90B	22.19B	20.16B	17.67B	15.16B	12.93B
Cash, Cash Equivalents and Short-Term Investments	1.80B	1.60B	1.72B	1.34B	2.25B	2.34B
Total Debt	5.09B	4.56B	4.47B	4.40B	3.38B	2.29B
Total Liabilities	10.87B	10.43B	10.51B	9.92B	8.18B	6.54B
Stockholders Equity	12.03B	11.76B	9.65B	7.75B	6.97B	6.39B
Cash Flow
Free Cash Flow	0.00	373.25M	507.08M	-1.65B	-1.23B	48.23M
Operating Cash Flow	0.00	2.24B	2.00B	548.27M	233.60M	1.82B
Investing Cash Flow	0.00	-2.00B	-1.50B	-2.19B	-1.08B	-1.73B
Financing Cash Flow	0.00	-364.45M	-118.20M	733.82M	750.74M	1.01B

Kimura Kohki Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 12340.00
• 50DMA: Positive
• 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:6231, the sentiment is Neutral. The current price of 12340 is below the 20-day moving average (MA) of 12959.00, below the 50-day MA of 12711.80, and above the 200-day MA of 11027.35, indicating a neutral trend. The MACD of 135.96 indicates Positive momentum. The RSI at 46.89 is Neutral, neither overbought nor oversold. The STOCH value of 55.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6231.

Kimura Kohki Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6763	80 Outperform	¥26.06B	14.73	―	3.16%	12.72%	53.85%
6231	78 Outperform	¥47.85B	15.26	―	0.95%	18.05%	44.90%
6617	76 Outperform	¥74.66B	13.68	―	1.61%	-3.41%	13.79%
6637	72 Outperform	¥57.20B	11.91	―	0.91%	5.28%	18.38%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6905	59 Neutral	¥47.84B	-120.09	―	5.01%	-32.74%	-117.06%