HOKUETSU INDUSTRIES CO., LTD. (6364) AI Stock Analysis

• Market Cap: ¥49.27B
• Dividend Yield: 3.33%
• Average Volume (3M): 32.17K
• Price to Earnings (P/E): 9.5
• Beta (1Y): 0.66
• Revenue Growth: 2.98%
• EPS Growth: 10.15%
• Country: JP
• Employees: 761
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 53.55
• Shares Outstanding: 30,165,419
• 10 Day Avg. Volume: 26,420
• 30 Day Avg. Volume: 32,166
• PEG Ratio: -2.39
• Price to Book (P/B): 1.29
• Price to Sales (P/S): 0.96
• P/FCF Ratio: 17.23
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: ¥2,150.00 ▲(23.78% Upside)

Hokuetsu Industries' strong financial performance is the primary driver of its overall score, reflecting robust earnings and a solid balance sheet. The valuation is reasonable, supported by a fair P/E ratio and a decent dividend yield. However, technical analysis indicates bearish momentum, which slightly offsets the positive financial and valuation aspects.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and demand for the company's products, supporting long-term business expansion.

Balance Sheet Health

A strong equity position and low debt levels enhance financial stability, providing flexibility for future investments and growth.

Cash Flow Management

Efficient cash flow management supports sustainable operations and the ability to reinvest in business opportunities, driving long-term success.

Negative Factors

EPS Decline

A decline in EPS growth can indicate challenges in profitability, potentially impacting investor confidence and future earnings potential.

Profit Margin Pressure

While margins are healthy, any pressure on profit margins could affect overall profitability, challenging the company's ability to maintain its competitive edge.

Earnings Volatility

Earnings volatility can signal uncertainty in financial performance, potentially affecting investor sentiment and the company's ability to forecast future results accurately.

HOKUETSU INDUSTRIES CO., LTD. Business Overview & Revenue Model

Company Description

Airman Corporation engages in the manufacture and sale of construction machinery, including construction equipment for heavy machinery and industrial machinery in Japan and internationally. The company also engages in the manufacture and sale of air compressors under the AIRMAN brand. In addition, the company offers engine compressors, engine generators, aerial work platforms, motor compressors, emergency generators, scissors lifters, and mini excavators. The company was formerly known as Hokuetsu Industries Co., Ltd. and changed its name to Airman Corporation in April 2025. The company was incorporated in 1938 and is headquartered in Tsubame, Japan.

How the Company Makes Money

HOKUETSU INDUSTRIES generates revenue through multiple streams, primarily focused on the sale of industrial machinery and equipment. The company earns significant income from the sale of concrete production machinery, which is essential for the construction industry. Additionally, HOKUETSU offers maintenance and repair services for its machinery, contributing to its revenue through service contracts. The company also engages in partnerships with construction firms and government projects, which provide stable income sources through long-term contracts. Their focus on innovation and technological advancements allows them to maintain a competitive edge, attracting more clients and increasing sales volume.

HOKUETSU INDUSTRIES CO., LTD. Financial Statement Overview

Summary

Hokuetsu Industries demonstrates strong financial performance with consistent revenue growth, high profitability, conservative leverage, and efficient cash management. The company is well-positioned within the industrial machinery sector, with robust earnings and a solid balance sheet supporting its strategic objectives.

Income Statement

Hokuetsu Industries demonstrates strong financial performance with consistent revenue growth, evidenced by a 5.64% increase in 2025. The company maintains solid profitability with a gross profit margin of 26.76% and a net profit margin of 8.78% for 2025. Additionally, EBIT and EBITDA margins have shown healthy trends at 12.62% and 14.82%, respectively, indicating efficient operational management. The income statement reflects robust growth and stability.

Balance Sheet

The balance sheet of Hokuetsu Industries is robust, with a high equity ratio of 63.65% in 2025, indicating a strong equity position and financial stability. The debt-to-equity ratio remains low at 0.19, showcasing conservative leverage practices. Return on equity is solid at 11.78%, reflecting effective utilization of equity to generate profits. Overall, the company exhibits a strong balance sheet with minimal risks.

Cash Flow

Hokuetsu Industries displays a positive cash flow trajectory, with a 71.97% growth in free cash flow from 2024 to 2025. The operating cash flow to net income ratio stands at 0.81, reflecting healthy cash conversion capabilities. The free cash flow to net income ratio at 0.64 suggests efficient management of capital expenditures. The cash flow statement indicates solid cash management, though there is room for improvement in converting income to cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	54.83B	54.83B	51.90B	49.00B	36.65B	32.93B
Gross Profit	14.69B	14.67B	13.46B	11.52B	9.55B	8.21B
EBITDA	5.92B	8.13B	8.43B	6.33B	5.09B	3.85B
Net Income	4.35B	4.81B	5.10B	3.75B	2.75B	1.94B
Balance Sheet
Total Assets	64.06B	64.20B	56.35B	53.24B	45.83B	43.38B
Cash, Cash Equivalents and Short-Term Investments	18.52B	19.25B	11.65B	12.84B	10.94B	11.38B
Total Debt	7.77B	7.92B	1.29B	1.27B	100.00M	1.07B
Total Liabilities	22.69B	23.16B	18.77B	19.04B	14.52B	13.42B
Stockholders Equity	41.20B	40.87B	37.41B	34.04B	31.16B	29.83B
Cash Flow
Free Cash Flow	0.00	3.06B	1.78B	1.76B	1.15B	2.11B
Operating Cash Flow	0.00	3.91B	3.97B	2.87B	2.28B	4.10B
Investing Cash Flow	0.00	-1.08B	-2.76B	-867.94M	-615.90M	-2.02B
Financing Cash Flow	0.00	4.37B	-2.49B	-158.97M	-2.22B	-1.73B

HOKUETSU INDUSTRIES CO., LTD. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1737.00
• 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:6364, the sentiment is Negative. The current price of 1737 is below the 20-day moving average (MA) of 1792.55, below the 50-day MA of 1882.50, and below the 200-day MA of 1912.92, indicating a bearish trend. The MACD of -43.12 indicates Positive momentum. The RSI at 34.66 is Neutral, neither overbought nor oversold. The STOCH value of 17.38 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6364.

HOKUETSU INDUSTRIES CO., LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6517	78 Outperform	¥64.97B	13.52	―	2.75%	-6.00%	-13.74%
5982	77 Outperform	¥59.15B	12.33	―	3.33%	5.51%	13.00%
6237	76 Outperform	¥54.87B	12.07	―	2.91%	2.85%	3.17%
6381	75 Outperform	¥62.68B	14.63	―	4.06%	-1.67%	-4.39%
6364	71 Outperform	¥49.27B	9.46	―	3.33%	2.98%	10.15%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6363	62 Neutral	¥51.53B	14.70	―	3.11%	6.35%	-34.20%

HOKUETSU INDUSTRIES CO., LTD. Corporate Events

AIRMAN CORPORATION Reports Modest Growth in First Half of 2025

AIRMAN CORPORATION reported a modest increase in net sales by 2.6% to ¥27,866 million for the six months ended September 30, 2025, compared to the previous year. Despite a decrease in operating profit by 3.2%, the company saw a rise in ordinary profit by 7.5% and profit attributable to owners of the parent by 8.5%. The company maintains a strong equity-to-asset ratio of 65.4%, indicating robust financial health. The forecast for the fiscal year ending March 31, 2026, anticipates slight growth in net sales and profits, reflecting stable market positioning.

AIRMAN CORPORATION Completes Treasury Shares Disposal for Employee Compensation

AIRMAN CORPORATION has completed the payment process for the disposal of treasury shares as restricted stock compensation to its employees. This move involves 39,700 common shares at a disposal price of 2,067 yen per share, totaling 82,059,900 yen, and is part of the company’s strategy to incentivize its workforce.

AIRMAN CORPORATION Announces Treasury Share Buyback

AIRMAN CORPORATION, a company listed on the Tokyo Stock Exchange, has announced the purchase of 108,700 treasury shares for a total of 219,682,300 yen. This acquisition is part of a larger plan approved by the Board of Directors to buy back up to 600,000 shares, representing 2.12% of the total issued shares, with a budget of up to 1 billion yen. The move is aimed at enhancing shareholder value and optimizing the company’s capital structure.