Ebara (6361) AI Stock Analysis

• Market Cap: $1.45T
• Dividend Yield: 1.61%
• Average Volume (3M): 2.73M
• Price to Earnings (P/E): 20.0
• Beta (1Y): 1.69
• Revenue Growth: 16.57%
• EPS Growth: 6.63%
• Country: JP
• Employees: 20,510
• Sector: Industrials
• Sector Strength: 79
• Industry: Industrial - Machinery
• EPS (TTM): 33.66
• Shares Outstanding: 462,190,200
• 10 Day Avg. Volume: 2,984,150
• 30 Day Avg. Volume: 2,725,426
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.88
• Enterprise Value/Revenue: 1.45
• Enterprise Value/Gross Profit: 4.34
• Enterprise Value/Ebitda: 9.53
• 1Y Price Target: $3,600.12
• Price Target Upside: 14.69% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 78 Outperform
• Price Target: ¥3,683.00 ▲(17.33% Upside)

Ebara's strong financial performance and solid technical indicators are the primary drivers of its stock score. The company's robust revenue growth and operational efficiency are complemented by a stable balance sheet. While the stock shows strong momentum, overbought technical indicators suggest caution. Valuation metrics are fair, supporting the overall positive outlook.

Ebara Business Overview & Revenue Model

Company Description

Ebara Corporation is a Japanese multinational company primarily engaged in the manufacturing and distribution of industrial machinery. The company operates in several sectors including fluid machinery, environmental engineering, and precision machinery. Ebara's core products and services include pumps, compressors, turbines, refrigeration equipment, and environmental systems. It is recognized for its innovative technologies and solutions that cater to a range of industries such as water infrastructure, energy, and manufacturing.

How the Company Makes Money

Ebara Corporation generates revenue through the sale of its diverse range of industrial machinery and systems. The company's key revenue streams include the sale of pumps and compressors used in water supply systems, energy generation, and industrial applications. Additionally, Ebara earns income from its environmental engineering segment, which provides solutions for wastewater treatment and other environmental management services. The company also leverages its precision machinery division, which supplies components for semiconductor manufacturing and other high-tech industries. Ebara's earnings are further supported by its global network and strategic partnerships, which enable it to access and expand in various international markets.

Ebara Financial Statement Overview

Summary

Ebara demonstrates strong financial performance with consistent revenue growth and solid operational efficiency. The balance sheet is stable with a moderate debt-to-equity ratio and healthy return on equity. However, recent increases in capital expenditures have impacted free cash flow growth.

Income Statement

Ebara demonstrates strong financial performance with consistent revenue growth, reaching a TTM total of JPY 885,495 billion. The gross profit margin slightly improved to 33.3% in TTM, indicating effective cost management. Net profit margin is stable at 8.2%, with EBIT and EBITDA margins at 12.1% and 15.2%, respectively, reflecting solid operational efficiency. The revenue growth rate of 13.8% from 2023 to 2024 underlines robust demand and market presence.

Balance Sheet

Ebara's balance sheet is stable, with a moderate debt-to-equity ratio of 0.39 in TTM, showcasing prudent leverage. The equity ratio stands at 46.5%, indicating a strong equity position. Return on equity (ROE) is healthy at 15.6%, reflecting effective use of shareholder funds to generate profit. The company's financial health is reinforced by a substantial asset base.

Cash Flow

The cash flow statement highlights Ebara's capability to generate cash, with operating cash flow at JPY 79,799 billion in TTM. The free cash flow decreased due to higher capital expenditures, yet remains positive at JPY 21,308 billion. The operating cash flow to net income ratio of 1.10 suggests efficient cash conversion, while free cash flow to net income ratio at 0.29 indicates sound cash management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	866.67B	759.33B	680.87B	603.21B	523.73B
Gross Profit	286.97B	232.31B	211.18B	178.64B	144.64B
EBITDA	134.05B	115.68B	97.44B	79.97B	56.49B
Net Income	71.40B	60.28B	50.49B	43.62B	24.24B
Balance Sheet
Total Assets	1.01T	913.90B	828.05B	719.74B	621.58B
Cash, Cash Equivalents and Short-Term Investments	174.83B	148.06B	119.68B	139.75B	123.03B
Total Debt	150.43B	145.25B	119.33B	112.05B	74.72B
Total Liabilities	519.75B	492.33B	458.32B	398.08B	317.11B
Stockholders Equity	473.28B	409.88B	359.97B	312.31B	297.00B
Cash Flow
Free Cash Flow	50.05B	35.55B	12.72B	47.10B	32.98B
Operating Cash Flow	100.94B	70.01B	37.07B	72.86B	64.23B
Investing Cash Flow	-48.55B	-35.63B	-38.32B	-31.36B	-29.07B
Financing Cash Flow	-31.91B	-4.66B	-23.75B	-29.49B	-9.63B

Ebara Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3139.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6361, the sentiment is Positive. The current price of 3139 is above the 20-day moving average (MA) of 2960.00, above the 50-day MA of 2760.87, and above the 200-day MA of 2456.76, indicating a bullish trend. The MACD of 122.26 indicates Negative momentum. The RSI at 65.64 is Neutral, neither overbought nor oversold. The STOCH value of 64.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6361.

Ebara Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6361	78 Outperform	$1.45T	19.95	16.02%	1.61%	16.57%	6.63%
Sector *	64 Neutral	$10.95B	16.10	8.81%	1.99%	2.59%	-16.41%
DAIUF	―	$12.09B	19.16	21.24%	1.55%	―	―
KWHIF	―	$10.62B	21.51	11.02%	2.14%	―	―
NCTKF	―	$2.57B	22.90	4.68%	4.96%	―	―
SOHVF	―	$2.76B	1,101.46	-0.47%	4.91%	―	―
6406	66 Neutral	¥428.46B	30.35		2.92%	2.84%	-20.37%

Ebara Corporate Events

Ebara Corporation Reports Strong First Half 2025 Financial Results

Ebara Corporation reported its consolidated financial results for the first half of 2025, showing a significant increase in revenue and operating profit compared to the previous year. The company also announced a stock split and provided forecasts for the fiscal year ending December 31, 2025, indicating steady growth in revenue and profit, which may positively impact its market positioning and stakeholder confidence.

The most recent analyst rating on (JP:6361) stock is a Buy with a Yen3600.00 price target. To see the full list of analyst forecasts on Ebara stock, see the JP:6361 Stock Forecast page.

Ebara Corporation Announces Strategic Share Repurchase Plan

Ebara Corporation has announced a decision by its board of directors to repurchase up to 9,090,909 of its common shares, representing 1.97% of its outstanding shares, with a maximum expenditure of 20 billion yen. This strategic move aims to enhance shareholder value and optimize equity levels, reflecting the company’s commitment to long-term growth and stability in the market.

The most recent analyst rating on (JP:6361) stock is a Buy with a Yen3600.00 price target. To see the full list of analyst forecasts on Ebara stock, see the JP:6361 Stock Forecast page.

Ebara Corporation Announces Change in Major Shareholders

Ebara Corporation announced a change in its major shareholders as of July 3, 2025, with Ichigo Trust Pte. Ltd. reducing its voting rights from 10.29% to 8.99%. This change may impact Ebara’s shareholder dynamics, but the company has not indicated any immediate effects on its strategic operations or market position.

The most recent analyst rating on (JP:6361) stock is a Buy with a Yen3600.00 price target. To see the full list of analyst forecasts on Ebara stock, see the JP:6361 Stock Forecast page.