Hirata (6258) AI Stock Analysis

• Market Cap: ¥87.70B
• Dividend Yield: 1.68%
• Average Volume (3M): 251.38K
• Price to Earnings (P/E): 14.2
• Beta (1Y): 1.57
• Revenue Growth: 9.27%
• EPS Growth: 69.52%
• Country: JP
• Employees: 1,967
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 41.34
• Shares Outstanding: 32,268,270
• 10 Day Avg. Volume: 250,490
• 30 Day Avg. Volume: 251,383
• PEG Ratio: 0.93
• Price to Book (P/B): 0.69
• Price to Sales (P/S): 0.53
• P/FCF Ratio: 6.35
• 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): 201.18
• Revenue Forecast (FY): ¥91.74B

• Rating: 74 Outperform
• Price Target: ¥2,955.00 ▲(22.36% Upside)
• Action: Reiterated Date: 02/26/26
• Date: Action: Reiterated 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

Recurring service revenue from installed base

Hirata's mix of made-to-order systems plus after-delivery services creates recurring revenue tied to an installed base. This business model improves revenue stability versus pure project sales, supports higher lifetime margins, and builds customer lock-in that matters over multiple quarters.

Consistent revenue growth

Sustained top-line expansion (c.13% growth reported) indicates ongoing demand for automation systems. Continued revenue growth supports scale benefits, strengthens pricing power for custom projects, and enables steady reinvestment in engineering and execution capabilities over the medium term.

Healthy margins and improving ROE

Stable gross, EBIT and EBITDA margins combined with rising return on equity point to efficient operations and effective capital deployment. Margin durability helps protect earnings through industry cycles and improving ROE signals better shareholder returns and reinvestment capacity.

Negative Factors

Rising total debt levels

Although the equity base is solid, rising leverage increases financial risk over time. Higher debt can limit flexibility for funding capex or acquisitions and raises refinancing and interest-rate exposure, making liquidity and covenant management more important across business cycles.

Historically volatile free cash flow

Past swings in free cash flow (despite recent positive FCF) reflect lumpy project timing and receivable/work-in-progress dynamics. Persistent FCF volatility can strain working capital, complicate debt servicing and limit strategic investments without stronger cash conversion discipline.

Sensitivity to customer capex timing and project execution

Revenue and margins depend on winning and successfully executing large, multi-stage capital projects. Customer capex cycles and project delays or cancellations create structural revenue volatility and execution risk, making backlog diversification and project management key to durable performance.

Hirata Business Overview & Revenue Model

Company Description

Hirata 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 Money

Hirata primarily makes money by delivering made-to-order factory automation systems and production equipment to corporate customers. Revenue is largely generated from (1) sales of customized automation equipment and complete production lines (e.g., assembly, inspection, and transfer systems), where projects are priced based on system design, engineering, fabrication, integration, and installation/commissioning; and (2) after-delivery services tied to installed equipment, such as maintenance, parts/consumables, repairs, and support, which provide recurring service revenue compared with one-time equipment sales. Earnings are influenced by the volume and timing of customer capital expenditure (capex) projects, the company’s ability to win new automation line orders, and successful execution of large, multi-stage system integration projects. Specific details on segment revenue split, named major customers, or explicit partnership structures: null.

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

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

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

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.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	90.24B	88.48B	82.84B	78.44B	67.09B	65.26B
Gross Profit	19.59B	18.96B	17.79B	15.84B	12.71B	13.66B
EBITDA	9.56B	9.10B	8.70B	7.44B	5.81B	6.69B
Net Income	5.22B	4.78B	4.34B	4.27B	2.68B	4.08B
Balance Sheet
Total Assets	131.36B	130.28B	130.79B	114.52B	99.49B	92.79B
Cash, Cash Equivalents and Short-Term Investments	10.65B	12.88B	10.65B	11.13B	12.94B	12.69B
Total Debt	36.77B	34.17B	37.03B	29.76B	23.74B	18.69B
Total Liabilities	63.23B	61.44B	65.49B	54.95B	44.55B	40.80B
Stockholders Equity	67.91B	68.61B	65.03B	59.18B	54.51B	51.61B
Cash Flow
Free Cash Flow	0.00	7.46B	-7.84B	-8.13B	-4.62B	-1.65B
Operating Cash Flow	0.00	9.43B	-4.59B	-5.69B	-3.44B	690.07M
Investing Cash Flow	0.00	-2.02B	-2.23B	-2.06B	-1.08B	-2.38B
Financing Cash Flow	0.00	-5.59B	5.87B	5.10B	4.15B	3.54B

Hirata Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2415.00
• 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:6258, the sentiment is Neutral. The current price of 2415 is below the 20-day moving average (MA) of 2854.15, below the 50-day MA of 2701.82, and above the 200-day MA of 2194.12, indicating a neutral trend. The MACD of 11.88 indicates Positive momentum. The RSI at 48.25 is Neutral, neither overbought nor oversold. The STOCH value of 40.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6258.

Hirata Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6104	81 Outperform	¥85.16B	136.93	5.02%	3.23%	-10.00%	-51.92%
6284	78 Outperform	¥129.80B	12.40	―	3.24%	18.70%	33.93%
6381	75 Outperform	¥65.38B	13.24	―	3.95%	-1.67%	-4.39%
6258	74 Outperform	¥87.70B	14.21	9.39%	1.68%	9.27%	69.52%
6482	74 Outperform	¥24.03B	46.66	―	2.77%	-4.47%	-24.47%
6440	65 Neutral	¥20.51B	10.67	―	―	-2.84%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Hirata Corporate Events

Hirata boosts nine-month profits and maintains upbeat full-year outlook

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

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.