Hitachi Construction Machinery Co (6305) AI Stock Analysis

• Market Cap: $915.89B
• Dividend Yield: 3.91%
• Average Volume (3M): 1.40M
• Price to Earnings (P/E): 11.3
• Beta (1Y): 1.38
• Revenue Growth: -2.46%
• EPS Growth: -12.73%
• Country: JP
• Employees: 26,230
• Sector: Industrials
• Sector Strength: 82
• Industry: Agricultural - Machinery
• EPS (TTM): 91.91
• Shares Outstanding: 215,115,040
• 10 Day Avg. Volume: 1,191,460
• 30 Day Avg. Volume: 1,399,846
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• 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: $4,392.79
• Price Target Upside: 2.18% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

Hitachi Construction Machinery Co's stock score is bolstered by strong technical indicators and attractive valuation metrics. However, increased debt levels and pressure on operational margins temper the overall score. Continued revenue growth and stable financial health provide a solid foundation, yet careful monitoring of debt and operational costs is essential.

Hitachi Construction Machinery Co Business Overview & Revenue Model

Company Description

Hitachi Construction Machinery Co., Ltd. (6305) is a leading global manufacturer and supplier of construction and mining equipment. The company operates in various sectors, including construction machinery, mining operations, and utility equipment. Its core product offerings include hydraulic excavators, wheel loaders, rigid dump trucks, and crawler cranes, which are essential for infrastructure development and resource extraction projects worldwide.

How the Company Makes Money

Hitachi Construction Machinery Co., Ltd. generates revenue primarily through the sale of construction and mining equipment. The company earns income by manufacturing and distributing a wide range of heavy machinery to industries such as construction, mining, and infrastructure development. Key revenue streams include the sale of new equipment, provision of aftermarket parts and services, and leasing arrangements. Significant partnerships, such as joint ventures and collaborations with other industry leaders, also contribute to its earnings by enhancing product offerings and expanding market reach. Additionally, the company benefits from its global network of dealers and service centers, which facilitate sales and provide ongoing support to customers.

Hitachi Construction Machinery Co Financial Statement Overview

Summary

Hitachi Construction Machinery Co shows strong revenue growth and a stable financial position. However, increased debt reliance and pressure on operational margins are potential risks. Cash flow management has improved, but further attention is needed to ensure sustainable growth.

Income Statement

Hitachi Construction Machinery Co has shown consistent revenue growth with a notable increase from 2022 to 2023. The Gross Profit Margin has remained strong, reflecting efficient production and cost management. However, there has been a decline in EBIT and EBITDA margins from 2024 to 2025, indicating increased operational costs or competitive pressures affecting profitability.

Balance Sheet

The company's balance sheet reflects a stable financial position with a reasonable Equity Ratio. However, the Debt-to-Equity Ratio has increased over time, suggesting a rising reliance on debt financing which could pose risks if not managed carefully. The Return on Equity remains robust, indicating effective use of shareholders' funds to generate profits.

Cash Flow

Cash flow analysis reveals challenges in maintaining consistent free cash flow growth. Although operating cash flow has improved significantly in 2025, indicating better operational efficiency, the Free Cash Flow to Net Income Ratio suggests room for improvement in translating earnings into cash flow.

Breakdown
Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
1.41T	1.28T	1.02T	813.33B	931.35B
	Gross Profit
435.17B	377.95B	279.99B	193.34B	250.76B
	EBIT
168.03B	133.31B	106.59B	28.23B	72.85B
	EBITDA
245.81B	200.28B	159.44B	83.81B	125.44B
	Net Income Common Stockholders
93.29B	70.17B	75.83B	10.34B	41.17B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
143.53B	141.85B	119.52B	96.50B	82.47B
	Total Assets
1.89T	1.63T	1.41T	1.22T	1.17T
	Total Debt
649.82B	579.26B	414.54B	388.92B	399.73B
	Net Debt
506.29B	467.27B	320.28B	308.59B	337.57B
	Total Liabilities
1.07T	925.96B	741.63B	651.33B	642.46B
	Stockholders Equity
763.38B	659.99B	611.61B	514.29B	473.54B
Cash Flow		Free Cash Flow
17.43B	-85.28B	4.78B	58.13B	-16.67B
	Operating Cash Flow
73.03B	-26.14B	39.32B	91.34B	22.68B
	Investing Cash Flow
-39.03B	-42.65B	-6.85B	-32.28B	-34.75B
	Financing Cash Flow
-8.92B	87.09B	-25.61B	-46.01B	10.99B

Hitachi Construction Machinery Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4299.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6305, the sentiment is Positive. The current price of 4299 is above the 20-day moving average (MA) of 4061.15, above the 50-day MA of 3953.93, and above the 200-day MA of 3584.92, indicating a bullish trend. The MACD of 120.68 indicates Negative momentum. The RSI at 64.98 is Neutral, neither overbought nor oversold. The STOCH value of 86.26 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6305.

Hitachi Construction Machinery Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6301	80 Outperform	¥3.93T	8.99		4.52%	5.97%	13.78%
6305	75 Outperform	$915.89B	11.25	9.99%	3.91%	-2.46%	-12.73%
7011	74 Outperform	$9.38T	36.64	10.53%	0.73%	9.25%	26.69%
7004	73 Outperform	¥156.06B	8.46		2.49%	11.87%	-3.06%
Sector *	64 Neutral	$4.30B	11.84	5.23%	249.82%	4.06%	-10.21%

Hitachi Construction Machinery Co Corporate Events

Hitachi Construction Machinery Reports Decline in Annual Financial Results

Hitachi Construction Machinery Co., Ltd. reported a decline in its consolidated financial results for the year ended March 31, 2025, with revenue and net income showing a decrease compared to the previous year. Despite the drop in financial performance, the company increased its dividend payout, indicating a commitment to returning value to shareholders. The company also provided a modest revenue forecast for the next fiscal year, reflecting cautious optimism in its market positioning.