Toyo Kanetsu K.K (6369) AI Stock Analysis

• Market Cap: €35.34B
• Dividend Yield: 4.87%
• Average Volume (3M): 30.33K
• Price to Earnings (P/E): 10.1
• Beta (1Y): 1.06
• Revenue Growth: 0.60%
• EPS Growth: -23.08%
• Country: JP
• Employees: 1,157
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 105.76
• Shares Outstanding: 8,023,074
• 10 Day Avg. Volume: 20,690
• 30 Day Avg. Volume: 30,333
• PEG Ratio: 2.30
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.47
• P/FCF Ratio: 8.92
• 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: 81 Outperform
• Price Target: ¥5,267.00 ▲(10.65% Upside)

Toyo Kanetsu K.K. demonstrates strong financial performance with significant revenue and profit growth, supported by efficient cost management. The stock's valuation is attractive, with a low P/E ratio and high dividend yield. Technical indicators suggest a positive trend, reinforcing the stock's potential. However, asset optimization and maintaining growth momentum are areas to monitor.

Positive Factors

Revenue Growth

The company's significant revenue growth of approximately 12.4% indicates a strong market position and effective business strategies, enhancing its long-term prospects.

Cash Flow Improvement

Improved cash flow reflects effective financial management and operational efficiency, providing the company with greater flexibility for growth and investment.

Profit Margin Enhancement

The improvement in net profit margin showcases the company's ability to manage costs and increase profitability, supporting sustainable long-term growth.

Negative Factors

Asset Optimization

Decreasing total assets may indicate inefficiencies or underutilized resources, which could impact the company's ability to sustain growth if not addressed.

Earnings Per Share Decline

The decline in earnings per share growth suggests challenges in maintaining profitability, which could affect investor confidence and long-term financial health.

Growth Momentum Concerns

Concerns about sustaining growth momentum highlight potential challenges in market expansion and operational efficiency, which could impact future performance.

Toyo Kanetsu K.K Business Overview & Revenue Model

Company Description

Toyo Kanetsu K.K. engages in plant and machinery, material handling systems, and other businesses in Japan, Southeast Asia, and internationally. The company's Plant & Machinery Business segment designs, builds, and executes construction works of storage tanks for LNG, LPG, crude oil and other gases and liquids; and provides maintenance services and other operations for the tanks. Its Logistics Solutions Business segment develops, designs, builds, and executes construction works of material handling systems for sorting, picking, and conveying systems, as well as offers maintenance services and other operations. In addition, the company is involved in the building construction business; manufacture and sale of industrial facilities and equipment; real estate rental; leasing operations; and inspection, measurement, analysis of asbestos, etc. The company was formerly known as Toyo Kanetsu Kogyo K.K. and changed its name to Toyo Kanetsu K.K. in 1969. Toyo Kanetsu K.K. was incorporated in 1941 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Toyo Kanetsu K.K. generates revenue primarily through the sale of its industrial equipment and systems, which are tailored to meet the needs of various industries focused on environmental sustainability. Key revenue streams include direct sales of machinery, service contracts for maintenance and support, and consulting services for environmental management solutions. Additionally, the company may collaborate with government agencies and private enterprises on projects that require specialized equipment for waste treatment and energy recovery, thereby enhancing its earnings through partnerships and joint ventures.

Toyo Kanetsu K.K Financial Statement Overview

Summary

Toyo Kanetsu K.K. exhibits a strong financial position with notable improvements across key areas. The income statement reflects robust revenue and profit growth supported by efficient cost controls. The balance sheet maintains stability with moderate leverage and solid equity ratios. Cash flow improvements underscore effective financial management and operational efficiency. However, asset optimization and maintaining growth momentum remain areas to watch.

Income Statement

Toyo Kanetsu K.K. has shown strong revenue growth with a sharp increase from 53.79 billion JPY in 2024 to 60.47 billion JPY in 2025, marking a growth rate of approximately 12.4%. The gross profit margin improved to 21.9% in 2025, reflecting efficient cost management. Net profit margin also strengthened to 6.0%, indicating enhanced profitability. The EBIT and EBITDA margins have improved, showcasing effective operational performance.

Balance Sheet

The company maintains a solid balance sheet with a debt-to-equity ratio of 0.36, indicating moderate leverage. Return on equity stands at 9.4%, showing a reasonable return for shareholders. The equity ratio remains strong at 57.7%, demonstrating a substantial equity base. However, a slight decrease in total assets from 2024 to 2025 suggests potential areas for asset optimization.

Cash Flow

The company has significantly improved its cash flow position, turning from negative free cash flow of -2.20 billion JPY in 2024 to a positive 3.17 billion JPY in 2025. The operating cash flow to net income ratio of 1.46 indicates strong cash generation relative to net income. Additionally, a robust free cash flow to net income ratio further emphasizes the company's effective cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	59.15B	60.47B	53.79B	47.35B	59.18B	43.62B
Gross Profit	13.21B	13.24B	11.77B	10.81B	10.16B	9.25B
EBITDA	5.92B	6.03B	5.66B	4.27B	4.52B	3.48B
Net Income	3.52B	3.64B	3.55B	2.38B	2.33B	1.78B
Balance Sheet
Total Assets	70.63B	67.44B	67.89B	64.00B	64.29B	58.76B
Cash, Cash Equivalents and Short-Term Investments	9.37B	6.52B	8.35B	6.99B	8.76B	7.41B
Total Debt	18.70B	13.98B	17.02B	11.44B	13.70B	9.21B
Total Liabilities	32.38B	28.52B	30.14B	25.91B	27.81B	22.28B
Stockholders Equity	38.24B	38.90B	37.75B	38.08B	36.47B	36.48B
Cash Flow
Free Cash Flow	2.56B	3.17B	-2.20B	-82.00M	-2.11B	351.00M
Operating Cash Flow	3.04B	5.30B	-739.00M	1.10B	-1.10B	1.48B
Investing Cash Flow	-347.50M	-1.76B	-1.04B	826.00M	-830.00M	-338.00M
Financing Cash Flow	-3.32B	-5.42B	3.12B	-3.72B	3.21B	-5.18B

Toyo Kanetsu K.K Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4760.00
• 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:6369, the sentiment is Positive. The current price of 4760 is above the 20-day moving average (MA) of 4598.50, above the 50-day MA of 4567.65, and above the 200-day MA of 3992.88, indicating a bullish trend. The MACD of 68.03 indicates Negative momentum. The RSI at 60.69 is Neutral, neither overbought nor oversold. The STOCH value of 73.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6369.

Toyo Kanetsu K.K Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6369	81 Outperform	€35.34B	10.12	9.76%	4.87%	0.60%	-23.08%
6237	76 Outperform	¥53.03B	11.66	―	2.81%	2.85%	3.17%
7102	75 Outperform	¥49.43B	5.34	13.58%	1.17%	6.01%	49.59%
6339	74 Outperform	¥55.29B	21.76	1.99%	4.23%	30.99%	-65.52%
6247	72 Outperform	¥39.96B	9.53	―	3.48%	18.47%	64.23%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6363	62 Neutral	¥49.35B	14.08	―	3.25%	6.35%	-34.20%