NAGAOKA INTERNATIONAL CORP (6239) AI Stock Analysis

• Market Cap: ¥10.33B
• Dividend Yield: 2.36%
• Average Volume (3M): 14.06K
• Price to Earnings (P/E): 10.6
• Beta (1Y): 0.58
• Revenue Growth: -6.19%
• EPS Growth: -17.05%
• Country: JP
• Employees: 219
• Sector: Energy
• Sector Strength: 63
• Industry: Oil & Gas Refining & Marketing
• EPS (TTM): 67.96
• Shares Outstanding: 7,078,400
• 10 Day Avg. Volume: 10,770
• 30 Day Avg. Volume: 14,056
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥1,524.00
• Price Target Upside: 3.96% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 68 Neutral
• Price Target: ¥1,524.00 ▲(3.96% Upside)

The overall stock score is primarily driven by a strong financial foundation and attractive valuation metrics. Technical indicators suggest a neutral to slightly bearish trend, but the low stochastic value indicates potential for upward movement. The absence of earnings call and corporate events data limits additional insights.

Positive Factors

Cash Generation Ability

Improved free cash flow growth indicates enhanced cash generation capabilities, supporting reinvestment in the business and financial stability.

Balance Sheet Health

A strong equity base and low leverage risk provide financial stability, enabling the company to withstand economic fluctuations and invest in growth.

Operational Efficiency

Strong gross profit margins reflect effective cost control, which can sustain profitability and competitive pricing over the long term.

Negative Factors

Revenue Growth Decline

Declining revenue growth indicates challenges in market expansion or product demand, potentially impacting long-term business sustainability.

Net Profit Margin Decline

A declining net profit margin suggests difficulties in converting sales into profits, which may affect future profitability and investment capacity.

Earnings Growth Challenges

Negative EPS growth reflects potential operational or market challenges, limiting the company's ability to enhance shareholder value in the near term.

NAGAOKA INTERNATIONAL CORP Business Overview & Revenue Model

Company Description

NAGAOKA INTERNATIONAL CORP (6239) is a company engaged in the manufacture and sale of industrial machinery and equipment. The company specializes in providing cutting-edge technology solutions for various industries, including oil and gas, water treatment, and chemical processing. NAGAOKA INTERNATIONAL CORP is known for its innovative approach to engineering and its commitment to delivering high-quality products that meet the specific needs of its clients.

How the Company Makes Money

NAGAOKA INTERNATIONAL CORP generates revenue primarily through the sale of its industrial machinery and equipment. The company's key revenue streams include the manufacturing and distribution of specialized equipment for the oil and gas sector, water treatment systems, and chemical processing machinery. Additionally, NAGAOKA INTERNATIONAL CORP may engage in strategic partnerships and collaborations with other firms to enhance its product offerings and expand its market reach. The company also potentially benefits from after-sales services and maintenance contracts, which provide an ongoing revenue stream beyond the initial sale of equipment.

NAGAOKA INTERNATIONAL CORP Financial Statement Overview

Summary

The company demonstrates a stable financial position with strong operational efficiency and cash flow management. However, challenges are present in maintaining sales momentum and profitability due to declining revenue growth and net profit margin. The low leverage and strong equity base provide a solid foundation for future growth.

Income Statement

The company shows a mixed performance in its income statement. The gross profit margin is strong, indicating efficient cost management. However, the net profit margin has decreased over the last year, reflecting challenges in converting revenue into profit. The revenue growth rate is negative, suggesting a decline in sales compared to the previous year. Despite this, the EBIT and EBITDA margins remain healthy, indicating operational efficiency.

Balance Sheet

The balance sheet reflects a solid equity position with a low debt-to-equity ratio, indicating financial stability and lower leverage risk. Return on equity is positive, showing effective use of equity to generate profits. The equity ratio is strong, suggesting a robust capital structure with a significant portion of assets financed by equity.

Cash Flow

The cash flow statement shows a significant improvement in free cash flow growth, indicating enhanced cash generation capabilities. The operating cash flow to net income ratio is moderate, suggesting a reasonable conversion of income into cash. The free cash flow to net income ratio is strong, reflecting efficient cash management and the ability to generate cash relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.64B	8.92B	9.51B	8.15B	6.33B	6.26B
Gross Profit	3.41B	3.67B	3.74B	2.88B	2.25B	2.05B
EBITDA	1.51B	1.68B	2.01B	1.50B	1.46B	1.13B
Net Income	848.14M	970.37M	1.15B	867.38M	795.03M	677.95M
Balance Sheet
Total Assets	8.88B	10.02B	10.25B	8.89B	7.42B	6.50B
Cash, Cash Equivalents and Short-Term Investments	2.41B	2.52B	2.54B	2.11B	2.12B	1.68B
Total Debt	398.02M	231.11M	319.96M	1.19B	1.25B	796.92M
Total Liabilities	1.84B	2.52B	3.25B	3.26B	2.45B	2.53B
Stockholders Equity	7.04B	7.51B	7.00B	5.63B	4.97B	3.97B
Cash Flow
Free Cash Flow	90.00M	401.17M	2.25B	332.31M	70.01M	1.55B
Operating Cash Flow	170.00M	514.95M	2.30B	365.47M	152.27M	1.69B
Investing Cash Flow	-204.00M	-133.95M	-182.90M	-49.84M	-87.28M	-317.58M
Financing Cash Flow	-266.00M	-308.96M	-1.77B	-309.26M	206.19M	-792.59M

NAGAOKA INTERNATIONAL CORP Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1466.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6239, the sentiment is Positive. The current price of 1466 is above the 20-day moving average (MA) of 1414.60, above the 50-day MA of 1405.16, and above the 200-day MA of 1247.06, indicating a bullish trend. The MACD of 14.15 indicates Negative momentum. The RSI at 59.87 is Neutral, neither overbought nor oversold. The STOCH value of 70.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6239.

NAGAOKA INTERNATIONAL CORP Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5009	82 Outperform	¥10.55B	12.40		6.69%	8.57%	15.83%
7486	79 Outperform	¥8.53B	13.37		3.45%	-0.85%	-33.24%
5010	73 Outperform	¥3.87B	3.26		―	-9.90%	27.50%
5015	73 Outperform	¥20.18B	23.59		4.90%	16.98%	-7.36%
6239	68 Neutral	¥10.33B	10.55		2.36%	-6.19%	-17.05%
Sector *	66 Neutral	$15.27B	7.59	4.09%	5.23%	3.88%	-62.31%
7462	65 Neutral	¥1.74B	790.72		1.25%	-23.49%	-95.63%

NAGAOKA INTERNATIONAL CORP Corporate Events

Nagaoka International Reports Mixed Financial Results Amid Strategic Adjustments

Nagaoka International Corporation reported a slight increase in net sales for the six months ending December 31, 2024, but experienced declines in operating and ordinary profits compared to the previous year. Despite these challenges, the company maintains a strong equity ratio, and its forecast for the full fiscal year anticipates a recovery in profits, signaling resilience and strategic adjustments to benefit stakeholders.