TADANO (6395) AI Stock Analysis

• Market Cap: ¥176.47B
• Dividend Yield: 2.86%
• Average Volume (3M): 382.92K
• Price to Earnings (P/E): 9.6
• Beta (1Y): 1.23
• Revenue Growth: 10.49%
• EPS Growth: -5.19%
• Country: JP
• Employees: 4,916
• Sector: General
• Sector Strength: N/A
• Industry: Agricultural - Machinery
• EPS (TTM): N/A
• Shares Outstanding: 129,500,350
• 10 Day Avg. Volume: 341,870
• 30 Day Avg. Volume: 382,920
• PEG Ratio: 0.04
• Price to Book (P/B): 0.65
• Price to Sales (P/S): 0.38
• P/FCF Ratio: -10.54
• 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): 89.94
• Revenue Forecast (FY): ¥327.00B

• Rating: 70 Outperform
• Price Target: ¥1,517.00 ▲(41.38% Upside)
• Action: Upgraded Date: 02/18/26
• Date: Action: Upgraded 02/18/26

The score is driven by strong technical momentum and attractive valuation (low P/E plus a solid dividend). These positives are tempered by the most significant risk: weak cash conversion and recently negative operating/free cash flow alongside rising leverage.

Positive Factors

Revenue growth & profitability recovery

Multi-year revenue expansion and a structural move from losses to sustained positive earnings (2023–2025) indicate a durable business turnaround. This supports ongoing capacity utilization, reinvestment ability, and a stronger earnings base that can underpin medium-term operational stability.

After-sales recurring revenue

A significant after-sales and service footprint creates recurring, higher-margin revenue streams tied to installed equipment. This durable service revenue improves customer stickiness, smooths cyclicality in new-equipment sales, and supports long-term cash flows and margin resilience.

Diversified lifting product portfolio

A broad product set across multiple end markets (construction, infrastructure, logistics, industrial) and varied crane types reduces single-market dependence. This structural diversification lessens cyclic risk, widens addressable markets, and supports steadier demand over a multi‑month to multi‑year horizon.

Negative Factors

Weak cash generation

Negative operating and free cash flow despite reported profits is a durable quality‑of‑earnings concern. It suggests working capital strain or heavy investment needs, reducing self‑funding ability for capex, dividends, or debt service and increasing reliance on external financing.

Rising leverage

An increasing debt-to-equity ratio raises financial vulnerability, especially alongside weak cash conversion. Higher leverage constrains strategic flexibility, increases interest expense sensitivity, and elevates refinancing and solvency risk in downturns or during prolonged capex cycles.

Modest and pressured margins

Relatively low net margins and a decline in operating profitability indicate structural cost or pricing pressure. Limited margin headroom reduces free cash flow potential and returns on capital, making the business more sensitive to input inflation or competitive pricing over the medium term.

TADANO Business Overview & Revenue Model

Company Description

Tadano Ltd., together with its subsidiaries, develops, produces, distributes, and services lifting equipment worldwide. The company offers all-terrain, rough terrain, truck, telescopic boom crawler, lattice boom crawler, and loader cranes; aerial work platforms; special purpose vehicles; and used equipment. It also provides components, such as hydraulic cylinders; and repair and maintenance services. The company was formerly known as Tadano Iron Works Co., Ltd. and changed its name to Tadano Ltd. in 1989. Tadano Ltd. was founded in 1919 and is headquartered in Takamatsu, Japan.

How the Company Makes Money

TADANO generates revenue primarily through the sale of its crane products, which include mobile cranes, truck-mounted cranes, and rough-terrain cranes. The company also earns money through after-sales services, including maintenance, repairs, and spare parts sales, which contribute significantly to its revenue. Furthermore, TADANO has formed strategic partnerships and collaborations with other companies in the construction and heavy equipment sectors, enhancing its market reach and product offerings. The demand for TADANO's products is driven by global infrastructure development and construction projects, which are critical factors influencing the company's earnings.

TADANO Financial Statement Overview

Summary

Income statement trends are solid (strong multi-year revenue growth and a clear move from losses to profits), but overall financial quality is held back by weak cash generation (negative operating and free cash flow in 2024–2025) and rising leverage (debt-to-equity increasing into 2025).

Income Statement

Revenue has expanded strongly over the last several years, with growth accelerating in 2025 (annual revenue growth ~11%) on top of prior gains. Profitability has also improved versus earlier years, moving from losses (2021) to solid positive earnings (2023–2025). That said, margins are still relatively modest for an industrial manufacturer (2025 net margin ~5%), and operating profitability was stronger in 2024 than 2025 (lower operating margin in 2025), suggesting some cost or pricing pressure despite higher sales.

Balance Sheet

The balance sheet shows a moderate leverage profile: debt is below equity, but debt-to-equity has risen over time (roughly 0.50 in 2023 to ~0.73 in 2025), which increases financial risk if the cycle turns. Equity and asset base have grown alongside the business, and returns on equity were positive in recent years (where provided), but not consistently strong, indicating the company is profitable yet not highly efficient with shareholder capital.

Cash Flow

Cash generation is the key weak point. Operating cash flow has been volatile and recently negative (2025 operating cash flow below zero, following near-breakeven in 2024), while free cash flow is also negative in 2024–2025. This creates a notable quality-of-earnings concern given that reported net income is positive, and it may imply working-capital strain and/or elevated investment needs that are pressuring cash conversion.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Mar 2022
Income Statement
Total Revenue	314.91B	349.48B	291.50B	280.27B	257.24B	205.66B
Gross Profit	86.30B	93.19B	84.52B	73.62B	64.22B	46.33B
EBITDA	29.88B	28.51B	24.79B	24.36B	16.14B	11.44B
Net Income	5.75B	18.30B	6.64B	7.77B	2.95B	13.10B
Balance Sheet
Total Assets	451.45B	458.53B	403.42B	365.24B	356.69B	344.72B
Cash, Cash Equivalents and Short-Term Investments	117.75B	81.84B	93.13B	94.34B	98.16B	118.40B
Total Debt	164.71B	149.66B	122.47B	91.31B	98.33B	98.17B
Total Liabilities	263.19B	252.58B	214.53B	183.89B	188.92B	184.41B
Stockholders Equity	186.49B	205.86B	188.79B	181.03B	167.23B	159.11B
Cash Flow
Free Cash Flow	0.00	-12.72B	-7.69B	7.01B	-24.21B	14.74B
Operating Cash Flow	0.00	-2.41B	26.00M	10.12B	-20.42B	17.33B
Investing Cash Flow	0.00	-649.00M	-25.11B	-3.98B	4.52B	-7.08B
Financing Cash Flow	0.00	-2.11B	21.62B	-13.25B	-5.05B	-471.00M

TADANO Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1073.00
• 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:6395, the sentiment is Positive. The current price of 1073 is below the 20-day moving average (MA) of 1388.20, below the 50-day MA of 1223.90, and above the 200-day MA of 1071.59, indicating a bullish trend. The MACD of 60.63 indicates Positive momentum. The RSI at 58.27 is Neutral, neither overbought nor oversold. The STOCH value of 56.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6395.

TADANO Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6301	75 Outperform	¥6.53T	16.60	―	4.06%	0.40%	8.40%
6395	70 Outperform	¥176.47B	9.61	5.59%	2.86%	10.49%	-5.19%
6345	70 Outperform	¥92.32B	16.14	―	4.79%	1.68%	18.85%
6305	67 Neutral	¥1.37T	18.13	10.54%	3.98%	-2.72%	29.43%
7226	67 Neutral	¥121.23B	47.46	―	5.07%	13.71%	-77.02%
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
6390	51 Neutral	¥19.57B	4.13	―	5.40%	-2.22%	18.80%

TADANO Corporate Events

Tadano Doubles Annual Dividend as Earnings Improve, Lifts Year-End Payout to 26 Yen

Tadano has revised its dividend plan for the fiscal year ended December 31, 2025, deciding to raise the year-end dividend from a previously forecast 18 yen to 26 yen per share, with the total payout climbing to 3,312 million yen from 1,653 million yen a year earlier. The move, subject to approval at the March 27, 2026 shareholders’ meeting, reflects stronger full-year results and aligns with the company’s stated policy of stable dividends targeting a 30% payout ratio, underscoring management’s confidence in its financial position and commitment to shareholder returns.

The annual dividend for the current fiscal year will rise to 44 yen per share, up from 23 yen in the prior year, indicating a significant enhancement in shareholder remuneration despite a lower payout ratio versus the previous period. This step suggests Tadano is leveraging improved earnings to reward investors while retaining sufficient earnings for future strategic investments, which may support its competitive positioning in the global crane and lifting equipment market.

The most recent analyst rating on (JP:6395) stock is a Hold with a Yen1264.00 price target. To see the full list of analyst forecasts on TADANO stock, see the JP:6395 Stock Forecast page.

Tadano Posts FY2025 Results and Highlights Acquisition-Led Expansion

Tadano released its consolidated financial results for fiscal year 2025, covering the period from January 1 to December 31, 2025, and outlined how it measures market demand and share, excluding certain regional crane production. The company also highlighted its recent acquisition-driven expansion, including Tadano Utilities in 2024, Manitex International in early 2025, and Tadano Infrastructure Solutions in mid-2025, underscoring a strategy to broaden its product portfolio and strengthen its position in specialized infrastructure and lifting markets.

The most recent analyst rating on (JP:6395) stock is a Hold with a Yen1264.00 price target. To see the full list of analyst forecasts on TADANO stock, see the JP:6395 Stock Forecast page.

Tadano Lifts Earnings and Dividend as Sales Surge, Eyes Further Growth in 2026

Tadano reported consolidated net sales of ¥349.5 billion for the fiscal year ended December 31, 2025, up 19.9% year on year, while operating profit fell 22% to ¥18.6 billion and ordinary profit dropped 28.4% to ¥15.1 billion. Despite weaker margins, profit attributable to owners of the parent surged 175.5% to ¥18.3 billion, lifting basic earnings per share to ¥144.78 and supporting a sharp increase in annual dividends to ¥44 per share from ¥23.

Total assets rose to ¥458.5 billion and equity climbed to ¥205.9 billion, though the equity-to-asset ratio eased to 44.9%, reflecting business expansion and balance sheet growth. The group added four companies to its consolidation scope, including Tadano Infrastructure Solutions and Italy-based PM Oil & Steel S.p.A. and U.S.-based Manitex units, and it forecasts further top-line growth to ¥400 billion and a recovery in operating profit to ¥25 billion in fiscal 2026, signaling continued strategic expansion in global lifting solutions.

The most recent analyst rating on (JP:6395) stock is a Hold with a Yen1264.00 price target. To see the full list of analyst forecasts on TADANO stock, see the JP:6395 Stock Forecast page.

Tadano Reshapes European Leadership and Technical Management with Senior Executive Changes

Tadano Ltd. has announced senior leadership changes affecting its European operations and technical management, promoting Noriaki Yashiro to Director and Senior Managing Executive Officer with responsibility for European operations, global HR and ICT, and continued leadership of key European subsidiaries. At the same time, Global Chief Technical Officer Hiroyuki Goda will transition to the role of Senior Managing Executive Officer overseeing European operations and technical functions at the group’s European units, before retiring from his director position after the March 27, 2026 shareholders’ meeting, signaling a planned succession in the company’s European leadership and technology governance structure.

The most recent analyst rating on (JP:6395) stock is a Hold with a Yen1022.00 price target. To see the full list of analyst forecasts on TADANO stock, see the JP:6395 Stock Forecast page.

Tadano Refreshes Board with New Outside Directors from Komatsu and Finance Sector

Tadano Ltd. has announced planned changes to its board of directors effective March 27, 2026, following the company’s Ordinary General Shareholders’ Meeting. The company intends to appoint Komatsu Ltd. chairman Hiroyuki Ogawa and investment and corporate finance specialist Shotaro Akita as new outside directors, bringing deep experience in global manufacturing, production management, and capital markets to Tadano’s governance. At the same time, Director and Managing Executive Officer Hiroyuki Goda and Outside Director Tatsuro Ishizuka will retire from the board, marking a generational and strategic refresh of the leadership structure that is likely aimed at strengthening oversight, international competitiveness, and shareholder-oriented governance.

The most recent analyst rating on (JP:6395) stock is a Hold with a Yen1022.00 price target. To see the full list of analyst forecasts on TADANO stock, see the JP:6395 Stock Forecast page.

Tadano to Absorb Engineering Subsidiary in Streamlining Merger

Tadano Ltd. has approved a simplified absorption-type merger of its wholly owned subsidiary Tadano Engineering Ltd., effective April 1, 2026, with Tadano as the surviving entity and the engineering unit to be dissolved. The move consolidates engineering management and design functions—covering truck loader cranes, aerial work platforms, and hydraulic gantry systems—into the parent company to streamline operations and enhance collaboration with affiliated engineering companies in India and the Philippines, with Tadano stating that the impact on consolidated earnings will be immaterial and no changes will occur to its name, capital, or core business profile.

The most recent analyst rating on (JP:6395) stock is a Hold with a Yen1022.00 price target. To see the full list of analyst forecasts on TADANO stock, see the JP:6395 Stock Forecast page.

Tadano Reshapes Executive Lineup to Strengthen Global Operations

Tadano Ltd. announced a series of officer personnel changes effective January 1, 2026, including revised responsibilities for five executive officers involved in product development, quality and safety assurance, and overseas group companies such as Tadano Technology Philippines Inc. The updated leadership and organizational structure, which clarifies roles across European, Chinese, Pan-American, and infrastructure operations, appears aimed at strengthening global governance, technical oversight, and sales execution as the company continues to integrate and manage its international crane and lifting solutions businesses.

The most recent analyst rating on (JP:6395) stock is a Hold with a Yen1067.00 price target. To see the full list of analyst forecasts on TADANO stock, see the JP:6395 Stock Forecast page.