Aichi Corporation (6345) AI Stock Analysis

• Market Cap: ¥84.19B
• Dividend Yield: 4.98%
• Average Volume (3M): 102.30K
• Price to Earnings (P/E): 15.1
• Beta (1Y): 0.48
• Revenue Growth: 1.68%
• EPS Growth: 18.85%
• Country: JP
• Employees: 1,046
• Sector: Industrials
• Sector Strength: 72
• Industry: Agricultural - Machinery
• EPS (TTM): 25.96
• Shares Outstanding: 74,570,000
• 10 Day Avg. Volume: 89,310
• 30 Day Avg. Volume: 102,303
• PEG Ratio: 0.71
• Price to Book (P/B): 1.12
• Price to Sales (P/S): 1.59
• P/FCF Ratio: 13.68
• 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: 78 Outperform
• Price Target: ¥1,505.00 ▲(11.07% Upside)

Aichi Corporation's strong financial performance is the most significant factor, supported by solid revenue growth and excellent profitability. The technical analysis indicates a mixed short-term outlook, while the valuation is reasonable with an attractive dividend yield. The lack of earnings call and corporate events data does not impact the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for Aichi's products and services, enhancing the company's market position and financial stability.

Profitability

Sustained profitability reflects efficient cost management and operational excellence, supporting long-term financial health and shareholder value.

Balance Sheet Strength

A strong balance sheet with low leverage enhances financial flexibility and reduces risk, supporting sustainable growth and resilience in downturns.

Negative Factors

Free Cash Flow Conversion

Improving free cash flow conversion is crucial for funding growth initiatives and maintaining dividend payouts, impacting long-term cash availability.

Cash Flow Efficiency

Enhancing cash flow efficiency is essential for better capital allocation and financial planning, affecting the company's ability to invest in growth.

Earnings Call Data

Lack of earnings call data limits transparency and investor insight into management's strategic outlook, potentially affecting investor confidence.

Aichi Corporation Business Overview & Revenue Model

Company Description

Aichi Corporation (6345) is a Japanese company primarily engaged in the manufacturing and sales of aerial work platforms, electric lifts, and related equipment. The company operates in the construction machinery sector, providing innovative solutions for various industries, including construction, maintenance, and logistics. Aichi's core products consist of scissor lifts, boom lifts, and truck-mounted lifts, which are designed to enhance efficiency and safety in elevated work environments.

How the Company Makes Money

Aichi Corporation generates revenue primarily through the sale of its aerial work platforms and related equipment. The company's revenue model is built around both direct sales to customers and leasing options for its machinery. Key revenue streams include the sale of new equipment, aftermarket services such as maintenance and repairs, and the leasing of equipment for short-term projects. Additionally, Aichi maintains significant partnerships with construction firms and rental companies, which help to expand its market reach and enhance its earnings. The company's focus on innovation and quality also contributes to customer loyalty and repeat business, further solidifying its financial performance.

Aichi Corporation Financial Statement Overview

Summary

Aichi Corporation exhibits strong financial health with solid revenue growth, excellent profitability, and robust cash flow generation. The balance sheet is particularly strong with low leverage and high equity levels. The cash flow statement indicates efficient cash management, although there is potential to enhance the free cash flow to net income conversion. Overall, the company is well-positioned for sustainable growth and financial stability.

Income Statement

Aichi Corporation has demonstrated strong profitability with a consistent gross profit margin and increasing net profit margin over the years. The revenue growth rate from 2024 to 2025 is 11.63%, showcasing solid top-line growth. The EBIT and EBITDA margins have also improved, indicating efficient cost management and operational excellence.

Balance Sheet

The company maintains a very low debt-to-equity ratio, reflecting minimal leverage and strong financial stability. The return on equity is impressive, showcasing effective use of shareholder funds. The equity ratio remains robust, highlighting the company's solid financial foundation and low reliance on debt.

Cash Flow

Aichi Corporation has shown a strong free cash flow growth rate of 13.76% from 2024 to 2025, indicating effective cash generation. The operating cash flow to net income ratio is healthy, suggesting good cash conversion efficiency. However, there is room for improvement in the free cash flow to net income ratio.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	55.73B	59.31B	53.13B	60.68B	56.59B	59.33B
Gross Profit	12.18B	12.75B	11.78B	13.05B	12.61B	12.75B
EBITDA	9.11B	10.42B	7.78B	8.84B	8.43B	8.75B
Net Income	6.17B	6.33B	5.27B	5.96B	5.64B	5.91B
Balance Sheet
Total Assets	86.82B	100.36B	94.92B	95.70B	90.56B	90.87B
Cash, Cash Equivalents and Short-Term Investments	26.76B	46.87B	42.13B	39.03B	38.08B	37.76B
Total Debt	183.50M	273.58M	255.99M	308.30M	397.57M	443.32M
Total Liabilities	15.41B	16.34B	13.13B	17.12B	14.52B	17.55B
Stockholders Equity	71.41B	84.02B	81.79B	78.57B	76.04B	73.32B
Cash Flow
Free Cash Flow	-2.77B	6.87B	6.04B	3.72B	3.33B	10.20B
Operating Cash Flow	2.08B	9.87B	7.11B	4.51B	3.99B	10.87B
Investing Cash Flow	-3.55B	-1.96B	32.76B	-2.25B	997.70M	-10.66B
Financing Cash Flow	-17.00B	-3.13B	-3.55B	-3.23B	-3.22B	-3.19B

Aichi Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1355.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6345, the sentiment is Negative. The current price of 1355 is above the 20-day moving average (MA) of 1306.40, above the 50-day MA of 1325.16, and above the 200-day MA of 1320.22, indicating a bearish trend. The MACD of -6.23 indicates Positive momentum. The RSI at 42.44 is Neutral, neither overbought nor oversold. The STOCH value of 10.61 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6345.

Aichi Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6432	81 Outperform	¥306.62B	11.36	―	2.91%	0.31%	-11.04%
6345	78 Outperform	¥84.19B	15.06	―	4.98%	1.68%	18.85%
6289	73 Outperform	¥44.24B	30.10	―	2.76%	-10.66%	-38.53%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6395	62 Neutral	€137.17B	23.87	5.59%	2.84%	10.49%	-5.19%
7226	57 Neutral	¥97.35B	4,279.63	―	5.56%	13.71%	-77.02%
6390	43 Neutral	¥16.23B	-2.58	―	5.57%	-2.22%	18.80%

Aichi Corporation Corporate Events

Aichi Corporation Reports Decline in Semi-Annual Financial Results, Forecasts Recovery

Aichi Corporation reported a decline in its financial performance for the six months ending September 30, 2025, with net sales dropping by 12.7% and operating profit decreasing by 17.1% compared to the previous year. Despite the downturn, the company forecasts a modest recovery for the fiscal year ending March 31, 2026, with expected growth in net sales and profits, indicating potential stabilization and strategic adjustments to enhance financial health.