Nabtesco (6268) AI Stock Analysis

• Market Cap: ¥314.57B
• Dividend Yield: 3.05%
• Average Volume (3M): 542.82K
• Price to Earnings (P/E): 29.3
• Beta (1Y): 0.86
• Revenue Growth: 2.87%
• EPS Growth: 2.48%
• Country: JP
• Employees: 8,227
• Sector: Industrials
• Sector Strength: 86
• Industry: Industrial - Machinery
• EPS (TTM): 27.33
• Shares Outstanding: 121,064,100
• 10 Day Avg. Volume: 679,450
• 30 Day Avg. Volume: 542,820
• PEG Ratio: -0.50
• Price to Book (P/B): 1.62
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -110.60
• 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: ¥2,496.39
• Price Target Upside: -4.79% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: ¥2,750.00 ▲(4.88%Upside)

Nabtesco's strong financial performance, highlighted by solid revenue growth and efficient cash flow, drives its overall score. The positive technical indicators support a bullish outlook, although valuation concerns due to a high P/E ratio temper enthusiasm. The high dividend yield adds an attractive element for investors seeking income.

Nabtesco Business Overview & Revenue Model

Company Description

Nabtesco Corporation manufactures and sells equipment in the industrial, daily life, and environmental fields in Japan and internationally. It operates through Component Solutions, Transport Solutions, and Accessibility Solutions segments. The company offers precision reduction gears for industrial robots' joints; hydraulic equipment, such as traveling unit for crawlers, control valve for mini excavators, and swing unit for hydraulic excavators; railroad vehicle equipment, such as railroad vehicle brake systems, door operating units, test equipment, brake shoes, seat turning equipment, and snow removal devices; and aircraft equipment comprising flight control actuation systems and high voltage electric power distribution units. It also provides air dryers and wedge brake chambers for commercial vehicles, and hydraulic clutch master cylinders for passenger vehicles; engine remote control systems for vessels; automatic doors and platform doors for buildings; automatic filters/sealers for retort pouch foods; and intelligent prosthetic knee joints, electric wheelchairs, stair lift with a wheelchair, and rollator with a speed control system. Nabtesco Corporation was incorporated in 2003 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Nabtesco makes money primarily by designing, manufacturing, and selling a diverse range of precision equipment and system components. The company's revenue streams are largely derived from its motion control solutions, which are integral to various industrial applications. Key revenue segments include the production and sale of precision reduction gears for robotics and automation, hydraulic equipment for construction machinery, and automatic doors for the transportation industry. Nabtesco also generates income from its aerospace components, serving major aircraft manufacturers. Strategic partnerships and long-term contracts with industry leaders, along with continuous innovation and product development, significantly contribute to Nabtesco's earnings.

Nabtesco Financial Statement Overview

Summary

Nabtesco is financially sound with strong revenue growth and stable margins. The company maintains a robust balance sheet and manages its debt levels effectively. Cash flow management is healthy, though high capital expenditures impact net free cash flow.

Income Statement

Nabtesco demonstrates strong performance with steady revenue growth, notably a 2.94% increase from 2024 to 2025 TTM. Gross profit margin is healthy at 26.6% for TTM, while net profit margin is moderate at 3.23% due to increased operating expenses. EBIT and EBITDA margins are stable, indicating efficient operations.

Balance Sheet

The company maintains a robust balance sheet with a strong equity base, as evidenced by a high equity ratio of 59.93%. The debt-to-equity ratio is moderate at 0.21, reflecting a well-managed leverage. Return on equity is reasonable at 4.06%, suggesting effective use of shareholder funds.

Cash Flow

Nabtesco's cash flow statement shows a significant increase in free cash flow, growing by 462.97% from 2024. The operating cash flow to net income ratio of 2.61 suggests healthy cash generation from operations, although high capital expenditures impact net free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	332.90B	323.38B	333.63B	308.69B	299.80B	279.36B
Gross Profit	88.57B	87.13B	82.66B	76.68B	82.04B	73.19B
EBITDA	32.15B	31.26B	36.16B	32.29B	112.16B	46.59B
Net Income	10.76B	10.12B	14.55B	9.46B	64.82B	20.50B
Balance Sheet
Total Assets	442.52B	445.54B	422.06B	459.29B	481.72B	351.72B
Cash, Cash Equivalents and Short-Term Investments	77.81B	75.17B	77.83B	126.15B	120.59B	67.25B
Total Debt	56.22B	45.84B	32.43B	31.35B	27.32B	48.37B
Total Liabilities	160.42B	158.27B	146.17B	196.06B	226.72B	140.08B
Stockholders Equity	265.26B	270.09B	260.47B	248.70B	239.91B	198.03B
Cash Flow
Free Cash Flow	9.85B	1.75B	-14.42B	-3.65B	27.04B	15.51B
Operating Cash Flow	28.13B	26.65B	11.18B	7.72B	36.34B	34.20B
Investing Cash Flow	-22.04B	-28.73B	-46.30B	13.23B	67.15B	-10.71B
Financing Cash Flow	-1.37B	-4.14B	-13.48B	-13.46B	-57.96B	-17.50B

Nabtesco Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2622.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6268, the sentiment is Positive. The current price of 2622 is above the 20-day moving average (MA) of 2437.16, above the 50-day MA of 2348.28, and above the 200-day MA of 2402.46, indicating a bullish trend. The MACD of 76.90 indicates Negative momentum. The RSI at 77.87 is Negative, neither overbought nor oversold. The STOCH value of 88.83 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6268.

Nabtesco Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6268	71 Outperform	¥314.57B	29.27	4.03%	3.05%	2.87%	2.48%
Sector *	65 Neutral	$10.69B	15.75	5.51%	1.90%	2.72%	-26.43%
FMMFF		$1.74B	23.13	4.82%	2.92%	―	―
HSYDF		$1.74B	75.78	4.32%	<0.01%	―	―
J9R		€3.62B	32.73	9.67%	0.91%	―	―
MKMLF		$1.91B	14.95	6.35%	1.75%	―	―
SOHVF		$2.57B	1,039.02	0.06%	3.70%	―	―

Nabtesco Corporate Events

Nabtesco Reports Strong Q1 2025 Financial Results

Nabtesco Corporation reported a strong performance for the first quarter of fiscal year 2025, with net sales increasing by 13.2% year-on-year to 81,698 million yen and operating income rising by 36.7% to 5,454 million yen. The company maintained its dividend forecast for the year and noted no significant changes in subsidiaries or accounting policies, indicating stable operations and a positive outlook for stakeholders.