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Yokota Manufacturing Co., Ltd. (JP:6248)
:6248
Japanese Market

Yokota Manufacturing Co., Ltd. (6248) AI Stock Analysis

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JP:6248

Yokota Manufacturing Co., Ltd.

(6248)

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Outperform 74 (OpenAI - 5.2)
,
Outperform 74 (OpenAI - 5.2)
,
Outperform 74 (OpenAI - 5.2)
,
Outperform 74 (OpenAI - 5.2)
,
Outperform 74 (OpenAI - 5.2)
,
Outperform 74 (OpenAI - 5.2)
,
Outperform 74 (OpenAI - 5.2)
,
Outperform 74 (OpenAI - 5.2)
,
Outperform 74 (OpenAI - 5.2)
,
Outperform 74 (OpenAI - 5.2)
Rating:74Outperform
Price Target:
¥2,116.00
▲(29.66% Upside)
Action:ReiteratedDate:10/23/25
Yokota Manufacturing Co., Ltd. scores well due to its strong financial performance, characterized by robust revenue growth, profitability, and cash flow management. The stock's valuation is attractive with a low P/E ratio and high dividend yield. However, technical indicators suggest short-term bearish momentum, which slightly tempers the overall score.
Positive Factors
Balance sheet strength
An equity ratio of ~80.5% and minimal leverage provide durable financial flexibility to fund operations, invest selectively, and absorb shocks without relying on external debt. ROE of 10.94% indicates the company converts equity into returns, supporting long-term solvency and strategic optionality.
Cash generation and free cash flow
OCF at 1.45x net income and a 64% year-over-year free cash flow jump demonstrate persistent ability to turn profits into spendable cash. This durability supports reinvestment, dividends, or debt reduction and underpins sustainable capital allocation across multiple quarters.
High and sustainable margins
Robust gross and operating margins alongside improving net margin signal pricing power and operational efficiency. Consistently strong margins provide a durable buffer against input cost variation and support profitable scaling of sales over the medium term.
Negative Factors
Small scale and limited market liquidity
A small workforce (78 employees) and low average trading volume imply limited operational scale and investor liquidity. This constrains ability to pursue very large contracts, achieve rapid scale economies, and may increase execution risk for shareholders over multiple quarters.
Limited forward guidance / investor visibility
Absence of formal guidance and empty earnings highlights reduce forward visibility for investors and analysts. Over a multi-quarter horizon, this makes forecasting tougher, weakens market discipline on execution, and can obscure management's near-term strategic priorities.
No recent corporate strategic announcements
A lack of recent corporate events, partnerships, or M&A activity suggests limited external growth initiatives. Over several months this may constrain expansion avenues and reduce optionality from strategic deals that could accelerate market share or product diversification.

Yokota Manufacturing Co., Ltd. (6248) vs. iShares MSCI Japan ETF (EWJ)

Yokota Manufacturing Co., Ltd. Business Overview & Revenue Model

Company DescriptionYokota Manufacturing Co., Ltd., a fluid control solutions company, develops, manufactures, and sells pumps, valves, devices, materials, and parts in Japan and internationally. It offers self-priming centrifugal, enhanced self-priming, de-foaming, degassing, multistage self-priming, turbine, process, centrifugal, multistage centrifugal, double suction volute, and mixed-flow volute pumps. The company also provides non-water hammer check valves; wafer-type check valves; constant flow regulator valves; float-type regulator valves; and pilot-type regulator valves, including constant pressure, constant flow rate, liquid level-1 regulator, liquid level-2 regulator, safety, pressure relief, pressure sustaining, differential pressure regulator, and emergency shutoff valves. In addition, it offers liquid-air switch valves and automatic-cleaning strainers; and special and seawater resistant stainless steel, casting parts, and non-external-flushing mechanical seal products. Further, the company provides installation and piping services. Its products are used in ultra-pure water production, agricultural irrigation, civil engineering, construction, electric power generation, city water, sewage, chemical processing, plant equipment, food, medicine, aquariums, fisheries, and hot springs applications. It serves government and municipal offices, and other companies. The company was formerly known as Yokota Pump Manufacturing Co., Ltd. and changed its name to Yokota Manufacturing Co., Ltd. in 1959. Yokota Manufacturing Co., Ltd. was incorporated in 1953 and is headquartered in Hiroshima, Japan.
How the Company Makes Moneynull

Yokota Manufacturing Co., Ltd. Financial Statement Overview

Summary
Yokota Manufacturing Co., Ltd. exhibits excellent financial health with strong revenue growth, profitability, and cash flow management. The low debt level and high equity ratio enhance financial stability, while strong cash flow metrics reflect operational efficiency.
Income Statement
85
Very Positive
Yokota Manufacturing Co., Ltd. demonstrates strong revenue growth with a 11.07% increase from 2024 to 2025. The gross profit margin is robust at 47.61%, and net profit margin improved to 14.03% in 2025, showcasing significant profitability. EBIT and EBITDA margins are also strong at 20.02% and 22.53%, respectively. The company's consistent growth in revenue and profitability highlights a positive trajectory.
Balance Sheet
90
Very Positive
The balance sheet is very healthy with a low debt-to-equity ratio, indicating minimal leverage. The equity ratio stands at 80.51%, underscoring financial stability. Return on equity is impressive at 10.94%, reflecting effective use of equity to generate profits. The company's strong equity position and low reliance on debt reduce financial risk.
Cash Flow
88
Very Positive
Operating cash flow to net income ratio is strong at 1.45, indicating efficient cash generation relative to net income. Free cash flow has grown by 64.43% from 2024 to 2025, highlighting effective cash management. Free cash flow to net income ratio is also healthy, reflecting the company's ability to translate profits into free cash flow.
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue2.30B2.28B2.05B1.78B1.73B1.83B
Gross Profit1.12B1.08B923.18M769.78M753.95M824.58M
EBITDA536.77M507.06M416.07M300.58M285.23M321.50M
Net Income335.08M319.47M272.38M168.40M163.09M194.65M
Balance Sheet
Total Assets3.18B3.63B3.28B3.08B2.88B2.92B
Cash, Cash Equivalents and Short-Term Investments1.87B2.09B1.80B1.69B1.72B1.67B
Total Debt3.12M4.53M5.67M6.80M0.000.00
Total Liabilities321.25M707.02M585.40M540.11M435.84M558.04M
Stockholders Equity2.86B2.92B2.69B2.54B2.45B2.37B
Cash Flow
Free Cash Flow0.00382.48M248.48M51.08M125.97M211.69M
Operating Cash Flow0.00461.75M290.43M149.93M178.72M252.24M
Investing Cash Flow0.00-80.79M-57.85M-98.93M-53.18M-40.77M
Financing Cash Flow0.00-93.89M-116.64M-80.56M-80.52M-74.97M

Yokota Manufacturing Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price1632.00
Price Trends
50DMA
1810.02
Positive
100DMA
1732.02
Positive
200DMA
1661.36
Positive
Market Momentum
MACD
10.87
Positive
RSI
51.14
Neutral
STOCH
81.30
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6248, the sentiment is Neutral. The current price of 1632 is below the 20-day moving average (MA) of 1870.30, below the 50-day MA of 1810.02, and below the 200-day MA of 1661.36, indicating a neutral trend. The MACD of 10.87 indicates Positive momentum. The RSI at 51.14 is Neutral, neither overbought nor oversold. The STOCH value of 81.30 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6248.

Yokota Manufacturing Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
¥3.48B6.954.50%4.73%9.23%
74
Outperform
¥22.87B46.662.77%-4.47%-24.47%
65
Neutral
¥20.15B10.67-2.84%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
62
Neutral
¥28.84B-53.893.56%-3.85%-45.64%
49
Neutral
¥4.13B40.074.06%1.44%-184.10%
47
Neutral
¥3.62B4.241.93%-14.00%-216.77%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6248
Yokota Manufacturing Co., Ltd.
1,856.00
410.30
28.38%
JP:6125
Okamoto Machine Tool Works,Ltd.
4,315.00
546.34
14.50%
JP:6218
Enshu Limited
574.00
73.00
14.57%
JP:6440
Juki Corporation
688.00
251.95
57.78%
JP:6482
Yushin Precision Equipment Co., Ltd.
672.00
25.23
3.90%
JP:6757
OSG Corporation Co., Ltd.
795.00
40.53
5.37%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 23, 2025