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Hirata (JP:6258)
:6258

Hirata (6258) AI Stock Analysis

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JP:6258

Hirata

(6258)

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Outperform 74 (OpenAI - 5.2)
Rating:74Outperform
Price Target:
¥3,358.00
▲(39.05% Upside)
Action:ReiteratedDate:02/26/26
The score is driven primarily by solid financial performance (steady growth and profitability, with some debt and cash-flow volatility risk) and strong bullish technical momentum (price above key moving averages and positive MACD). Valuation is reasonable with a moderate P/E and modest dividend yield.
Positive Factors
Consistent revenue growth & healthy margins
Hirata's multi-year revenue growth with stable gross/net and EBIT/EBITDA margins indicates the business converts sales into profit reliably. This margin stability supports durable earnings, funds reinvestment in systems engineering, and reduces sensitivity to single-project outcomes over the next 2–6 months.
Recurring after-delivery services
The company's business model includes after-delivery services (maintenance, parts, repairs) that generate recurring revenue and increase customer lifetime value. These services smooth revenue volatility from project timing, improve margins over installed bases, and enhance long-term cash visibility and customer stickiness.
Solid equity base and improving ROE
A stable equity base combined with improving ROE signals efficient capital use and financial resilience. Manageable leverage and improving returns provide flexibility for targeted capex or selective investments, supporting durable operational capacity and strategic execution over a multi-month horizon.
Negative Factors
Rising total debt levels
Elevated and rising debt increases financial fixed costs and reduces flexibility if demand softens. Higher leverage can pressure cash available for capex or R&D, and it heightens refinancing and interest-rate risks that could constrain strategic choices if cyclical order flows weaken over the coming months.
Volatile free cash flow history
Past volatility in free cash flow undermines predictability for reinvestment, dividends, and deleveraging. Even with a recent positive year, inconsistent cash conversion from profits makes funding multi-stage projects and smoothing working capital needs harder, increasing execution risk during uneven order cycles.
Dependence on customer capex timing
Revenue and profitability are lumpy due to dependence on customers' capex decisions and project scheduling. Because major orders and multi-stage integrations drive results, delays or cuts in OEM/industrial capex—notably electronics and auto/EV sectors—can quickly reduce revenue visibility and strain near-term execution plans.

Hirata (6258) vs. iShares MSCI Japan ETF (EWJ)

Hirata Business Overview & Revenue Model

Company DescriptionHirata Corporation manufactures and sells various manufacturing line systems, industrial robots, and logistic equipment in Japan and internationally. The company offers automotive related production equipment, such as engine assembly, cylinder head assembly, and piston assembly lines; transmission related equipment comprising CVT assembly, automatic transmission assembly, and DCT assembly lines; and engine and component related equipment. It also provides semiconductor related equipment, including equipment front end modules/sorters, wafer transfer robots, aligners, load ports, and SMIF openers; and panel manufacturing systems, such as coater systems, glass cutting systems, coating and lamination systems, and auto-loader systems. In addition, the company offers industrial robot equipment, including cartesian, SCARA-type, articulated, and wafer transfer robots, as well as 3D vision systems, robot controllers, teach pendants, and robot sumulators; electronics and electrical appliance production equipment comprising home electronics related automated assembly lines, and electronic components and others; and power modules consisting of mounters, vacuum reflow ovens, and ultrasonic welders. Further, it provides sorting/stocking systems, stacker cranes, and traceability systems for production management; and medical/chemistry and physics devices, such as pathological tissue specimen preparation devices, cell observation devices, cell destructive equipment, and membrane damage detection systems. Hirata Corporation was incorporated in 1920 and is headquartered in Kumamoto, Japan.
How the Company Makes MoneyHirata generates revenue through the sale of its industrial equipment and systems, which includes both standard products and custom solutions tailored to client specifications. Key revenue streams consist of direct sales of machinery and equipment, service contracts for maintenance and support, and the sale of spare parts. The company has established significant partnerships with major manufacturers and suppliers, which enhances its market reach and contributes to stable earnings. Additionally, Hirata benefits from ongoing demand for automation solutions as industries increasingly adopt advanced technologies to improve operational efficiencies.

Hirata Financial Statement Overview

Summary
Strong overall fundamentals: healthy profitability with stable EBIT/EBITDA margins and consistent revenue growth. Balance sheet is solid with improving ROE, but rising debt and historically volatile free cash flow keep the score from being higher.
Income Statement
78
Positive
Hirata has shown a consistent revenue growth over the years, with a notable increase from 2024 to 2025. The gross profit margin and net profit margin are healthy, supporting profitability. The EBIT and EBITDA margins are stable, indicating efficient operations. However, the growth rate in revenue has been moderate, and there is room for improvement in expanding profit margins.
Balance Sheet
72
Positive
The balance sheet reflects a solid equity base, with a reasonable debt-to-equity ratio, suggesting manageable leverage. The return on equity has been improving, indicating effective use of equity to generate profits. However, total debt levels have increased in recent years, which could pose a risk if not managed properly. The equity ratio is stable, supporting long-term financial stability.
Cash Flow
65
Positive
Hirata's cash flow has shown improvement, with positive free cash flow in the last reported year, recovering from previous negative figures. The operating cash flow to net income ratio suggests that cash generation from operations is aligning with reported profits. However, historical volatility in free cash flow growth rates indicates the need for continued focus on cash flow stability.
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue90.24B88.48B82.84B78.44B67.09B65.26B
Gross Profit19.59B18.96B17.79B15.84B12.71B13.66B
EBITDA9.56B9.10B8.70B7.44B5.81B6.69B
Net Income5.22B4.78B4.34B4.27B2.68B4.08B
Balance Sheet
Total Assets131.36B130.28B130.79B114.52B99.49B92.79B
Cash, Cash Equivalents and Short-Term Investments10.65B12.88B10.65B11.13B12.94B12.69B
Total Debt36.77B34.17B37.03B29.76B23.74B18.69B
Total Liabilities63.23B61.44B65.49B54.95B44.55B40.80B
Stockholders Equity67.91B68.61B65.03B59.18B54.51B51.61B
Cash Flow
Free Cash Flow0.007.46B-7.84B-8.13B-4.62B-1.65B
Operating Cash Flow0.009.43B-4.59B-5.69B-3.44B690.07M
Investing Cash Flow0.00-2.02B-2.23B-2.06B-1.08B-2.38B
Financing Cash Flow0.00-5.59B5.87B5.10B4.15B3.54B

Hirata Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2415.00
Price Trends
50DMA
2661.80
Positive
100DMA
2398.94
Positive
200DMA
2166.98
Positive
Market Momentum
MACD
100.27
Negative
RSI
65.95
Neutral
STOCH
88.37
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6258, the sentiment is Positive. The current price of 2415 is below the 20-day moving average (MA) of 2873.10, below the 50-day MA of 2661.80, and above the 200-day MA of 2166.98, indicating a bullish trend. The MACD of 100.27 indicates Negative momentum. The RSI at 65.95 is Neutral, neither overbought nor oversold. The STOCH value of 88.37 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6258.

Hirata Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
¥99.47B48.305.02%3.23%-10.00%-51.92%
77
Outperform
¥133.17B17.513.24%18.70%33.93%
75
Outperform
¥68.69B16.943.95%-1.67%-4.39%
74
Outperform
¥95.58B14.299.39%1.68%9.27%69.52%
74
Outperform
¥25.46B27.462.77%-4.47%-24.47%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
61
Neutral
¥21.82B16.40-2.84%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6258
Hirata
2,997.00
1,431.62
91.45%
JP:6104
Shibaura Machine Co., Ltd.
4,520.00
1,018.53
29.09%
JP:6284
Nissei ASB Machine Co,. Ltd.
9,100.00
4,168.15
84.51%
JP:6381
ANEST IWATA Corp.
1,726.00
529.36
44.24%
JP:6440
Juki Corporation
745.00
304.06
68.96%
JP:6482
Yushin Precision Equipment Co., Ltd.
748.00
122.56
19.60%

Hirata Corporate Events

Hirata boosts nine-month profits and maintains upbeat full-year outlook
Feb 13, 2026

Hirata reported consolidated net sales of ¥69.1 billion for the nine months ended December 31, 2025, a 10.9% year-on-year increase, with operating profit surging 45.3% to ¥6.8 billion and profit attributable to owners of parent climbing 60.0% to ¥4.7 billion. Earnings per share rose to ¥153.69, while total assets expanded to ¥144.3 billion and the equity ratio dipped to 50.1%, reflecting business growth alongside a modest rise in financial leverage.

The company maintained a conservative dividend stance in the interim, paying no first or second quarter dividends but forecasting a year-end dividend of ¥65 per share after a 3-for-1 stock split. For the full year ending March 31, 2026, Hirata projects net sales of ¥96.0 billion and a 19.3% rise in profit attributable to owners of parent to ¥5.7 billion, signaling continued earnings momentum that underpins its position in the factory automation market and offers improving returns to shareholders.

The most recent analyst rating on (JP:6258) stock is a Buy with a Yen3323.00 price target. To see the full list of analyst forecasts on Hirata stock, see the JP:6258 Stock Forecast page.

Hirata Lifts Nine-Month Profit 60% and Confirms Full-Year Guidance
Feb 13, 2026

Hirata reported solid growth for the nine months ended December 31, 2025, with net sales rising 10.9% year on year to ¥69.1 billion and profit attributable to owners of parent surging 60.0% to ¥4.7 billion, reflecting strong operating leverage and improved profitability. Operating profit jumped 45.3% to ¥6.8 billion and ordinary profit climbed 53.9% to ¥6.9 billion, while basic earnings per share, adjusted for a 3-for-1 share split, increased to ¥153.69.

The company’s financial position remained sound, with total assets increasing to ¥144.3 billion and equity of ¥72.3 billion, although the equity ratio edged down to 50.1% from 52.7%, indicating some balance sheet expansion. Hirata kept its dividend forecast unchanged, planning a total annual dividend of ¥65.00 per share for the year ending March 31, 2026, and maintained its full-year guidance, targeting ¥96.0 billion in net sales and ¥5.7 billion in profit attributable to owners of parent, implying continued profit growth and stable shareholder returns.

The most recent analyst rating on (JP:6258) stock is a Buy with a Yen3323.00 price target. To see the full list of analyst forecasts on Hirata stock, see the JP:6258 Stock Forecast page.

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: Feb 26, 2026