Revenue & Gross MarginConsistent revenue uptick (+7.23%) alongside a 22.8% gross margin indicates durable product demand and effective cost control. That margin profile supports reinvestment in operations and provides resilience to input-cost fluctuations, sustaining medium-term profitability.

Low Leverage / Strong Balance SheetA conservative debt-to-equity ratio (0.21) and a 59.11% equity ratio give the company financing flexibility and a large liability buffer. Low leverage reduces refinancing and interest-rate risk, enabling stable capital allocation and resilience through economic cycles.

Improved Cash GenerationThe move to positive free cash flow (651.97M yen) with OCF roughly matching net income (1.05x) strengthens self-funding capacity. Improved cash generation supports funding for maintenance, selective growth investments, or shareholder returns without raising external capital.

Bears Say

Cash Flow VolatilityDespite recent positive free cash flow, the company’s historical cash-flow fluctuations reduce predictability of available funds. That variability complicates multi-period planning for capex, dividends or debt repayment and raises execution risk during downcycles.

Inconsistent Revenue SignalsThe dataset shows conflicting top-line indicators (a negative RevenueGrowth metric versus a reported +7.23% year), reflecting uneven reporting windows or recent variability. This inconsistency undermines visibility into sustainable demand and complicates forecasting over several quarters.

Modest Net ProfitabilityA net margin of only ~5.27% provides a limited buffer against cost increases or weaker volumes. Even with operational improvements, modest bottom-line conversion constrains retained earnings available for strategic investment and leaves returns more exposed to margin compression.

6402 FAQ

What was Kanematsu Engineering Co., Ltd.’s price range in the past 12 months?

Kanematsu Engineering Co., Ltd. lowest stock price was ¥970.00 and its highest was ¥1943.00 in the past 12 months.

What is Kanematsu Engineering Co., Ltd.’s market cap?

Kanematsu Engineering Co., Ltd.’s market cap is ¥10.80B.

When is Kanematsu Engineering Co., Ltd.’s upcoming earnings report date?

Kanematsu Engineering Co., Ltd.’s upcoming earnings report date is May 18, 2026 which is in 75 days.

How were Kanematsu Engineering Co., Ltd.’s earnings last quarter?

Kanematsu Engineering Co., Ltd. released its earnings results on Feb 06, 2026. The company reported ¥62.65 earnings per share for the quarter, beating the consensus estimate of N/A by ¥62.65.

Is Kanematsu Engineering Co., Ltd. overvalued?

According to Wall Street analysts Kanematsu Engineering Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Kanematsu Engineering Co., Ltd. pay dividends?

Kanematsu Engineering Co., Ltd. pays a Notavailable dividend of ¥58 which represents an annual dividend yield of 2.15%. See more information on Kanematsu Engineering Co., Ltd. dividends here

What is Kanematsu Engineering Co., Ltd.’s EPS estimate?

Kanematsu Engineering Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Kanematsu Engineering Co., Ltd. have?

Kanematsu Engineering Co., Ltd. has 5,564,000 shares outstanding.

What happened to Kanematsu Engineering Co., Ltd.’s price movement after its last earnings report?

Kanematsu Engineering Co., Ltd. reported an EPS of ¥62.65 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 1.124%.

Which hedge fund is a major shareholder of Kanematsu Engineering Co., Ltd.?

Currently, no hedge funds are holding shares in JP:6402

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Kanematsu Engineering Co., Ltd.

Kanematsu Engineering Co., Ltd. (6402) is a Japanese company specializing in engineering and manufacturing solutions, primarily focusing on advanced technologies in the fields of electronics, machinery, and precision instruments. The company operates in various sectors, including semiconductor manufacturing equipment, industrial machinery, and environmental systems. Kanematsu Engineering is known for its innovative products and services, which cater to both domestic and international markets, enhancing operational efficiencies and technological advancements for its clients.