Trinity Industrial Corporation (6382) AI Stock Analysis

• Market Cap: ¥21.36B
• Dividend Yield: 5.56%
• Average Volume (3M): 5.55K
• Price to Earnings (P/E): 7.5
• Beta (1Y): 0.97
• Revenue Growth: 3.55%
• EPS Growth: 27.86%
• Country: JP
• Employees: 957
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 43.08
• Shares Outstanding: 18,220,000
• 10 Day Avg. Volume: 3,550
• 30 Day Avg. Volume: 5,546
• PEG Ratio: 0.47
• Price to Book (P/B): 0.58
• Price to Sales (P/S): 0.47
• P/FCF Ratio: -2.69
• 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: 82 Outperform
• Price Target: ¥1,508.00 ▲(16.27% Upside)
• Action: Reiterated Date: 08/02/25
• Date: Action: Reiterated 08/02/25

Trinity Industrial Corporation's stock is rated highly due to strong technical indicators and attractive valuation metrics, including a low P/E ratio and high dividend yield. Financial performance is solid but slightly tempered by cash flow challenges. The absence of recent earnings call insights or corporate events maintains the focus on existing financial and technical strengths.

Positive Factors

Strong balance sheet

Very low leverage and a high equity ratio provide durable financial resilience. This structural strength gives management flexibility to fund capex, support operations in downturns, maintain payouts, or pursue strategic M&A without excessive financing risk over the next 2–6 months.

Sustainable profit margins

Consistently healthy gross and operating margins indicate effective cost control and pricing power in its auto-parts niche. Such margin structure supports reinvestment and payouts, and helps absorb input cost swings, sustaining profitability over the medium term.

Consistent revenue growth

Steady year-over-year top-line growth reflects durable product demand and market positioning. Continued revenue expansion supports operating leverage, helps stabilize margins and provides a platform to improve cash generation and shareholder returns over coming quarters.

Negative Factors

Negative free cash flow

Material negative free cash flow is a structural concern: it reduces available liquidity for investment or distributions and may require financing if persistent. Even with strong equity, continued negative FCF can constrain strategic options and increase funding costs.

Weak cash conversion

Poor conversion of accounting earnings into cash suggests working-capital or collection issues or elevated capex. This degrades earnings quality and can force trade-offs between growth, capex and dividends, creating medium-term pressure on financial flexibility.

Moderate return on equity

A mid-single-digit ROE indicates limited efficiency in converting equity into returns. With minimal leverage, boosting ROE will require sustained margin expansion or faster revenue growth; absent that, long-term shareholder value creation may remain modest.

Trinity Industrial Corporation Business Overview & Revenue Model

Company Description

Trinity Industrial Corporation designs, manufactures, sells, and installs coating plants, machinery, and industrial equipment in Japan. The company engages in the planning, design, manufacture, installation, and after-sales service of painting systems, paint supply equipment, painting equipment, drying equipment, etc. for a range of fields, including automobiles, steel parts, aluminum parts, resin parts, housing parts, and aircraft parts. It also offers pre-treatment system, electrodeposition coat system, painting booth/air make up system, drying oven/heat treatment furnace, and paint equipment/painting system; and Tri-D³eco system, water transfer, and painting services for automotive parts. In addition, the company is involved in the planning, designing, molding, and assembly of automotive parts. The company was incorporated in 1946 and is headquartered in Toyota, Japan.

How the Company Makes Money

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Trinity Industrial Corporation Financial Statement Overview

Summary

Trinity Industrial Corporation shows strong revenue growth and operational efficiency, with healthy profit margins and a robust balance sheet. However, challenges in cash flow management, particularly the negative free cash flow, indicate areas needing improvement to ensure long-term financial stability.

Income Statement

Trinity Industrial Corporation has demonstrated solid revenue growth over the past year, with a revenue increase of 8.72% from 2024 to 2025. The company maintains a strong gross profit margin of 20.53% and a healthy net profit margin of 5.97% for the latest period. EBIT and EBITDA margins are also robust at 8.07% and 11.33%, respectively, indicating effective cost management and operational efficiency. However, the relatively modest net profit margin suggests room for improvement in bottom-line profitability.

Balance Sheet

The balance sheet of Trinity Industrial Corporation is strong, with a solid equity ratio of 75.82%, indicating a substantial equity buffer relative to total assets. The debt-to-equity ratio is low at 0.006, reflecting minimal leverage and financial risk. Return on equity stands at 7.46%, suggesting moderate profitability relative to shareholder investments. The company’s financial position is stable, with significant cash reserves enhancing liquidity.

Cash Flow

The cash flow statement reveals challenges in generating positive free cash flow, with a negative free cash flow of -6,985 million yen in 2025. The operating cash flow to net income ratio is negative, indicating issues with translating earnings into cash. The company's free cash flow has declined significantly year-over-year, pointing to increased capital expenditures or operational adjustments. Despite this, the company's historical capacity to generate positive free cash flow suggests potential for recovery.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	40.44B	40.22B	36.99B	29.05B	34.16B	35.36B
Gross Profit	8.45B	8.26B	7.60B	5.59B	6.41B	6.64B
EBITDA	4.75B	4.56B	4.51B	2.80B	3.48B	3.15B
Net Income	2.70B	2.40B	2.06B	1.27B	1.81B	1.62B
Balance Sheet
Total Assets	41.70B	42.46B	44.77B	38.72B	38.79B	39.11B
Cash, Cash Equivalents and Short-Term Investments	8.59B	9.36B	17.01B	14.68B	11.88B	11.77B
Total Debt	1.03B	178.58M	170.78M	153.24M	213.09M	134.25M
Total Liabilities	9.21B	9.58B	13.75B	10.76B	11.23B	13.11B
Stockholders Equity	31.82B	32.20B	30.29B	27.29B	26.96B	25.44B
Cash Flow
Free Cash Flow	0.00	-6.99B	2.66B	2.94B	894.26M	1.52B
Operating Cash Flow	0.00	-2.81B	3.62B	4.34B	2.11B	2.11B
Investing Cash Flow	0.00	-4.67B	-874.11M	-774.84M	-1.32B	-714.19M
Financing Cash Flow	0.00	-1.01B	-621.26M	-958.39M	-691.19M	-604.49M

Trinity Industrial Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1297.00
• 50DMA: Negative
• 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:6382, the sentiment is Negative. The current price of 1297 is below the 20-day moving average (MA) of 1368.65, below the 50-day MA of 1354.00, and above the 200-day MA of 1177.24, indicating a neutral trend. The MACD of -8.16 indicates Positive momentum. The RSI at 38.98 is Neutral, neither overbought nor oversold. The STOCH value of 21.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6382.

Trinity Industrial Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6382	82 Outperform	¥21.36B	7.53	―	5.56%	3.55%	27.86%
7254	76 Outperform	¥17.85B	4.18	―	1.67%	-4.44%	-17.38%
7220	71 Outperform	¥186.71B	-8.32	―	1.93%	-3.23%	24.93%
7280	70 Outperform	¥58.56B	14.59	―	0.99%	-0.83%	-27.20%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
7294	57 Neutral	¥19.81B	18.77	―	3.19%	-8.99%	-62.26%
6584	47 Neutral	¥26.45B	-5.63	―	3.33%	-3.91%	-36.53%