Organo Corp. (6368) AI Stock Analysis

• Market Cap: ¥362.52B
• Dividend Yield: 2.25%
• Average Volume (3M): 183.13K
• Price to Earnings (P/E): 15.0
• Beta (1Y): 1.53
• Revenue Growth: 8.59%
• EPS Growth: 39.41%
• Country: JP
• Employees: 2,512
• Sector: Industrials
• Sector Strength: 90
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): 221.56
• Shares Outstanding: 46,359,700
• 10 Day Avg. Volume: 174,230
• 30 Day Avg. Volume: 183,126
• PEG Ratio: 0.51
• Price to Book (P/B): 1.92
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.27
• 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

• Rating: 75 Outperform
• Price Target: ¥8,798.00 ▲(11.37%Upside)

Organo Corp.'s strong financial performance and reasonable valuation are key strengths, indicating a solid investment potential. Positive technical momentum supports the outlook, though overbought signals suggest caution in the near term.

Organo Corp. Business Overview & Revenue Model

Company Description

Organo Corporation operates as a water treatment engineering company in Japan and internationally. The company operates through two segments, Water Treatment Engineering Business Unit and Performance Products Business Unit. It offers pure water systems, such as reverse osmosis (RO) systems, regenerative automatic and manual pure water systems, electric regeneration pure water systems, desktop-type pure water systems, cabinet-type pure water systems, electrode ionization high-purity water systems, cartridge water purifiers, and two-stage RO systems; ultrapure water systems, including desktop and cabinet-type ultrapure water systems, and final polishing unit; and other equipment comprising alkaline electrolyzed water production equipment, homogenizers, electro conductivity meters, resistivity meters, and ion exchange filters. The company also provides water, wastewater, and RO water treatment chemicals; industrial filters consisting of micro filter, sanitary, polypropylene, and plastic housings, as well as micro, RO wound, PF cartridge, capsule, and PF carbon; and commercial water purifiers. In addition, it offers ultrapure and multi-functional water production systems, wastewater treatment systems, valuable resource recovery systems, and organic solvent refining systems for the electronics industry; water supply and sewage treatment facilities; purified water production and supply systems, UF water production and supply systems, and water for injection production and supply systems, as well as pharmaceutical water system consulting services; condensate filter, condensate demineralizer, reactor water cleanup, fuel pool cleanup, makeup water, and waste water treatment systems; and sugar refining systems and equipment. The company was formerly known as Japan Organo Co., Ltd. and changed its name to Organo Corporation in 1966. Organo Corporation was incorporated in 1941 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Organo Corp. generates revenue through the sale and service of its water treatment systems and chemical products. Its key revenue streams include the installation and maintenance of water purification and wastewater treatment systems for industrial clients, as well as the sale of specialized chemical products used in these processes. The company also engages in long-term service contracts with municipal and environmental clients, providing ongoing system maintenance and operational support. Additionally, strategic partnerships with other industrial firms and government entities enhance its market reach and contribute to sustained earnings.

Organo Corp. Financial Statement Overview

Summary

Organo Corp. exhibits strong financial performance with robust revenue growth, improved profit margins, solid equity position, and effective cash flow management, positioning it well for future growth.

Income Statement

Organo Corp. has shown strong revenue growth, with a consistent increase in total revenue over the years, indicating a positive trajectory. The gross profit margin has improved, reflecting efficient cost management. Notably, the net profit margin has strengthened markedly, showcasing enhanced profitability. EBIT and EBITDA margins have also shown consistent improvement, underscoring robust operational performance.

Balance Sheet

The balance sheet of Organo Corp. reveals a solid equity position, with a favorable equity ratio indicating financial stability. The debt-to-equity ratio is within a reasonable range, suggesting manageable leverage levels. Additionally, the company has shown a strong return on equity, reflecting effective utilization of shareholder funds and solid profitability.

Cash Flow

Organo Corp.'s cash flow statement indicates a strong recovery in operating cash flow, supporting a positive free cash flow trend. The operating cash flow to net income ratio is robust, confirming effective cash conversion. Meanwhile, the free cash flow to net income ratio has improved, signaling efficient capital management despite past fluctuations.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
159.82B	163.27B	150.36B	132.43B	112.07B	100.64B
	Gross Profit
51.31B	55.18B	43.84B	34.98B	28.51B	26.33B
	EBIT
28.10B	31.12B	22.54B	15.21B	10.85B	9.58B
	EBITDA
30.97B	34.53B	25.88B	17.04B	12.18B	10.79B
	Net Income Common Stockholders
21.03B	24.15B	17.31B	11.73B	9.21B	7.07B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
47.17B	16.75B	17.64B	25.41B	31.49B	22.58B
	Total Assets
178.97B	194.40B	182.70B	164.85B	130.51B	115.01B
	Total Debt
38.33B	22.56B	36.47B	33.02B	15.63B	16.00B
	Net Debt
19.94B	5.81B	18.82B	17.46B	-4.57B	3.20B
	Total Liabilities
84.45B	73.20B	80.56B	78.48B	54.50B	47.65B
	Stockholders Equity
94.28B	120.95B	101.93B	86.17B	75.84B	67.21B
Cash Flow		Free Cash Flow
0.00	26.54B	2.08B	-19.99B	7.99B	-5.84B
	Operating Cash Flow
0.00	28.80B	3.73B	-18.54B	10.79B	-4.58B
	Investing Cash Flow
0.00	-2.13B	-1.42B	-1.31B	-1.52B	-1.26B
	Financing Cash Flow
0.00	-20.82B	-641.00M	14.71B	-2.59B	4.93B

Organo Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7900.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6368, the sentiment is Positive. The current price of 7900 is above the 20-day moving average (MA) of 7730.50, above the 50-day MA of 6933.40, and above the 200-day MA of 7348.64, indicating a bullish trend. The MACD of 184.07 indicates Positive momentum. The RSI at 66.86 is Neutral, neither overbought nor oversold. The STOCH value of 72.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6368.

Organo Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6368	75 Outperform	¥362.52B	15.04		2.25%	8.59%	39.41%
Sector *	66 Neutral	$4.52B	12.34	5.41%	3.62%	4.15%	-12.18%
KTWIF		$4.17B	32.28	6.03%	1.60%	―	―
MTWTF		$546.95M	14.26	8.79%	0.02%	―	―
TKUMF		$1.09B	16.41	9.36%	0.03%	―	―
893		€277.01M	8.88	13.39%	3.74%	―	―
6332	76 Outperform	¥85.75B	13.06		5.14%	12.10%	148.39%

Organo Corp. Corporate Events

Organo Corporation Transfers Shares to Enhance Indonesian Water Treatment Venture

Organo Corporation announced its decision to transfer part of its shareholding in its Indonesian joint venture, PT Lautan Organo Water, to its partner’s subsidiary, PT Lautan Air Indonesia. This move is aimed at boosting the synergy and growth potential of the water treatment business in Indonesia, following slower than expected growth. Organo Corporation will retain a 30% stake in the venture, continuing its involvement in the water treatment sector while optimizing its business portfolio.