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Kanematsu Engineering Co., Ltd. (JP:6402)
:6402
Japanese Market

Kanematsu Engineering Co., Ltd. (6402) AI Stock Analysis

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JP:6402

Kanematsu Engineering Co., Ltd.

(6402)

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Outperform 79 (OpenAI - 5.2)
Rating:79Outperform
Price Target:
¥2,222.00
▲(47.15% Upside)
Action:ReiteratedDate:03/04/26
The score is driven primarily by strong financial performance (healthy margins, solid balance sheet, and improved free cash flow) and an attractive valuation (P/E 9.91). Technicals are supportive due to a strong uptrend, but extremely overbought RSI/Stoch readings add near-term risk and cap the upside in the score.
Positive Factors
Revenue & Gross Margin
Consistent 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.
Negative Factors
Cash Flow Volatility
Despite 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.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue & Gross Margin
Consistent 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.
Read all positive factors

Kanematsu Engineering Co., Ltd. (6402) vs. iShares MSCI Japan ETF (EWJ)

Kanematsu Engineering Co., Ltd. Business Overview & Revenue Model

Company Description
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 opera...
How the Company Makes Money
Kanematsu Engineering Co., Ltd. generates revenue through a multifaceted business model that includes the sale of high-tech equipment and systems used in semiconductor production and industrial applications. Key revenue streams come from the manuf...

Kanematsu Engineering Co., Ltd. Financial Statement Overview

Summary
Strong income statement (revenue up 7.23%, healthy 22.8% gross margin, improved profitability) and solid balance sheet (low debt-to-equity of 0.21, 59.11% equity ratio). Cash flow improved to positive free cash flow (651.97M yen) with OCF/net income at 1.05, but historical volatility tempers the score.
Income Statement
82
Very Positive
Balance Sheet
76
Positive
Cash Flow
70
Positive
BreakdownMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue13.30B12.40B11.34B11.87B11.61B
Gross Profit3.03B2.83B2.68B2.80B2.79B
EBITDA1.41B1.27B1.48B1.33B1.17B
Net Income700.69M618.92M754.36M750.28M716.86M
Balance Sheet
Total Assets12.08B13.38B13.75B12.81B11.08B
Cash, Cash Equivalents and Short-Term Investments1.58B1.50B2.38B967.51M1.42B
Total Debt1.49B1.83B2.18B2.46B0.00
Total Liabilities4.94B6.74B7.47B7.10B4.86B
Stockholders Equity7.14B6.64B6.29B5.71B6.22B
Cash Flow
Free Cash Flow651.97M-262.33M1.95B-2.33B-899.82M
Operating Cash Flow733.30M-111.96M2.28B-243.69M939.66M
Investing Cash Flow-83.51M-150.63M-334.95M-1.29B-897.20M
Financing Cash Flow-568.34M-615.44M-541.04M1.18B-235.28M

Kanematsu Engineering Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1510.00
Price Trends
50DMA
1778.46
Positive
100DMA
1650.43
Positive
200DMA
1504.75
Positive
Market Momentum
MACD
6.94
Positive
RSI
54.17
Neutral
STOCH
45.20
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6402, the sentiment is Positive. The current price of 1510 is below the 20-day moving average (MA) of 1877.99, below the 50-day MA of 1778.46, and above the 200-day MA of 1504.75, indicating a neutral trend. The MACD of 6.94 indicates Positive momentum. The RSI at 54.17 is Neutral, neither overbought nor oversold. The STOCH value of 45.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6402.

Kanematsu Engineering Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
82
Outperform
¥17.69B7.970.72%6.51%3.68%
79
Outperform
¥10.23B6.382.15%-0.94%6.93%
75
Outperform
¥64.47B13.243.95%-1.67%-4.39%
70
Outperform
¥87.94B4.093.09%6.35%-34.20%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
60
Neutral
¥12.37B10.996.70%7.96%43.37%
52
Neutral
¥9.60B42.221.65%3.96%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6402
Kanematsu Engineering Co., Ltd.
1,840.00
856.21
87.03%
JP:6363
Torishima Pump Mfg.Co., Ltd.
3,350.00
1,691.52
101.99%
JP:6381
ANEST IWATA Corp.
1,620.00
654.62
67.81%
JP:6393
Yuken Kogyo Co., Ltd.
3,015.00
1,069.65
54.98%
JP:6492
Okano Valve Mfg. Co., Ltd.
10,440.00
6,283.70
151.18%
JP:6495
Miyairi Valve Mfg.Co., Ltd.
200.00
114.79
134.72%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Mar 04, 2026