Taihei Machinery Works, Ltd. (6342) AI Stock Analysis

• Market Cap: ¥3.91B
• Dividend Yield: 4.26%
• Average Volume (3M): 873.00
• Price to Earnings (P/E): 7.7
• Beta (1Y): 0.36
• Revenue Growth: -23.31%
• EPS Growth: -89.08%
• Country: JP
• Employees: 156
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Paper, Lumber & Forest Products
• EPS (TTM): 91.00
• Shares Outstanding: 1,500,000
• 10 Day Avg. Volume: 820
• 30 Day Avg. Volume: 873
• PEG Ratio: -0.16
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.54
• P/FCF Ratio: -16.99
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: ¥3,464.00 ▲(22.79% Upside)
• Action: Upgraded Date: 01/31/26
• Date: Action: Upgraded 01/31/26

The score is driven primarily by solid financial stability (very low leverage and strong equity backing) but moderated by weakening profitability and negative free cash flow. Technicals are supportive with price above major moving averages, while valuation is a drag due to a high P/E despite a decent dividend yield.

Positive Factors

Low leverage and strong equity base

Very low leverage and a high equity ratio provide durable financial resilience, reducing default risk and preserving access to capital. This structural balance sheet strength supports investment, volatility absorption, and long-term strategic flexibility even through cyclical industry downturns.

Negative Factors

Recent revenue decline

An over-11% year-on-year revenue drop signals weakening demand or market share loss in core segments. Sustained top-line contraction pressures fixed-cost absorption, limits scale benefits, and reduces the firm's ability to rebuild margins or fund strategic initiatives without restoring sales.

Taihei Machinery Works, Ltd. Business Overview & Revenue Model

Company Description

Taihei Machinery Works, Limited manufactures and sells plywood and woodworking machinery in Japan. It offers plywood machinery, including knife grinding machines, knife honing machines, horizontal and green veneer moisture equalizing press machine...

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Taihei Machinery Works, Limited manufactures and sells plywood and woodworking machinery in Japan. It offers plywood machinery, including knife grinding machines, knife honing machines, horizontal and green veneer moisture equalizing press machine...

How the Company Makes Money

Taihei Machinery Works generates revenue through the sale of its machinery and components, which are integral to manufacturing processes across multiple industries. Key revenue streams include direct sales of precision tools and machinery, as well...

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Taihei Machinery Works generates revenue through the sale of its machinery and components, which are integral to manufacturing processes across multiple industries. Key revenue streams include direct sales of precision tools and machinery, as well...

Taihei Machinery Works, Ltd. Financial Statement Overview

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	7.38B	7.86B	8.84B	6.44B	4.94B	3.54B
Gross Profit	1.77B	2.25B	2.66B	1.77B	1.19B	906.00M
EBITDA	553.93M	1.02B	1.53B	837.59M	284.93M	17.91M
Net Income	242.90M	576.75M	1.07B	683.29M	223.41M	3.79M
Balance Sheet
Total Assets	9.92B	10.56B	12.19B	10.08B	8.66B	8.19B
Cash, Cash Equivalents and Short-Term Investments	3.70B	5.02B	5.99B	5.11B	4.25B	4.81B
Total Debt	759.59M	795.05M	821.40M	1.15B	1.18B	1.20B
Total Liabilities	3.01B	3.66B	5.34B	4.24B	3.41B	3.13B
Stockholders Equity	6.91B	6.90B	6.85B	5.84B	5.25B	5.06B
Cash Flow
Free Cash Flow	0.00	-250.02M	1.56B	1.42B	-478.54M	327.79M
Operating Cash Flow	0.00	60.88M	1.69B	1.44B	-463.26M	336.14M
Investing Cash Flow	0.00	306.95M	-1.17B	-787.10M	68.29M	80.58M
Financing Cash Flow	0.00	-629.64M	-479.87M	-164.64M	-76.84M	360.12M

Taihei Machinery Works, Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2821.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6342, the sentiment is Neutral. The current price of 2821 is below the 20-day moving average (MA) of 2866.46, below the 50-day MA of 3044.87, and below the 200-day MA of 2824.62, indicating a neutral trend. The MACD of -53.78 indicates Negative momentum. The RSI at 42.12 is Neutral, neither overbought nor oversold. The STOCH value of 19.31 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6342.

Taihei Machinery Works, Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6342	71 Outperform	¥3.91B	7.74	―	4.26%	-23.31%	-89.08%
3708	64 Neutral	¥60.34B	8.00	―	2.67%	6.26%	-11.38%
3878	64 Neutral	¥9.15B	7.60	―	1.90%	-0.17%	-37.01%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
3896	61 Neutral	¥4.31B	-10.91	―	―	11.79%	-1.56%
3864	59 Neutral	¥39.79B	-9.37	-0.13%	2.31%	-10.04%	43.13%
3877	58 Neutral	¥25.54B	47.50	―	3.72%	-2.18%	-77.82%