Japan Cash Machine Co., Ltd. (6418) AI Stock Analysis

• Market Cap: ¥30.32B
• Dividend Yield: 4%
• Average Volume (3M): 102.20K
• Price to Earnings (P/E): 6.0
• Beta (1Y): 0.91
• Revenue Growth: -20.75%
• EPS Growth: 7.75%
• Country: JP
• Employees: 564
• Sector: Industrials
• Sector Strength: 72
• Industry: Business Equipment & Supplies
• EPS (TTM): 118.62
• Shares Outstanding: 29,672,651
• 10 Day Avg. Volume: 85,450
• 30 Day Avg. Volume: 102,203
• PEG Ratio: 0.28
• Price to Book (P/B): 0.85
• Price to Sales (P/S): 0.72
• P/FCF Ratio: 3.78
• 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: 71 Outperform
• Price Target: ¥1,085.00 ▲(5.75% Upside)

The overall stock score of 71 reflects strong financial performance with stable profitability and a solid balance sheet. Valuation is attractive with a reasonable P/E ratio and a high dividend yield. Technical analysis indicates some bearish momentum, but the stock is not overbought. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Cash Flow Improvement

Improving cash flow indicates enhanced financial health and operational efficiency, providing more flexibility for investments and debt management.

Strong Profitability

Consistent profitability margins suggest effective cost management and pricing strategies, supporting long-term financial stability and shareholder value.

Stable Balance Sheet

A stable balance sheet with manageable leverage enhances the company's ability to withstand economic fluctuations and invest in growth opportunities.

Negative Factors

Revenue Decline

Declining revenue can signal challenges in market demand or competitive positioning, potentially impacting future growth and profitability.

Earnings Volatility

Significant earnings volatility can undermine investor confidence and affect the company's ability to plan and execute long-term strategies effectively.

Historical Cash Flow Volatility

Volatile cash flow history may indicate operational inefficiencies or external pressures, affecting the company's ability to maintain stable financial operations.

Japan Cash Machine Co., Ltd. Business Overview & Revenue Model

Company Description

Japan Cash Machine Co., Ltd., together with its subsidiaries, develops, manufactures, and sells money-handling and amusement center machines in Japan and internationally. The company offers bill validator units, ATMs, automatic ticketing machines, fare adjustment machines, vending machines, depositing machines, and various types of kiosk terminals under the JCM brand. It serves casinos and gaming, banking, transportation, retail, amusement, and other markets. The company was founded in 1955 and is headquartered in Osaka, Japan.

How the Company Makes Money

Japan Cash Machine generates revenue primarily through the sale of its cash handling equipment, including ATMs and cash recycling machines. Additionally, the company earns income from ongoing maintenance and support services for its installed machines, creating a recurring revenue stream. The company may also engage in partnerships with financial institutions and retail chains to provide customized cash management solutions, further diversifying its revenue sources. Furthermore, advancements in technology allow Japan Cash Machine to explore new markets and expand its offerings, contributing to its overall earnings.

Japan Cash Machine Co., Ltd. Financial Statement Overview

Summary

Japan Cash Machine Co., Ltd. demonstrates strong profitability and a stable balance sheet, with effective management of debt and equity. While recent revenue decline is a concern, the company maintains operational efficiency. Cash flow improvements are promising, but historical volatility suggests a need for cautious monitoring.

Income Statement

The company shows strong profitability with a consistent gross profit margin around 40% and a net profit margin of approximately 10%. However, the recent TTM data indicates a revenue decline of 6.59%, which is a concern. Despite this, EBIT and EBITDA margins remain healthy, reflecting operational efficiency.

Balance Sheet

The balance sheet is stable with a moderate debt-to-equity ratio of 0.34, indicating manageable leverage. Return on equity is solid at 12.35%, suggesting effective use of equity capital. The equity ratio is healthy, showing a strong equity base relative to total assets.

Cash Flow

Cash flow performance is improving, with a 14.13% growth in free cash flow in the TTM period. The operating cash flow to net income ratio is close to 1, indicating good cash generation relative to net income. However, past periods showed negative operating cash flow, highlighting potential volatility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	35.32B	37.82B	31.61B	25.26B	20.04B	17.02B
Gross Profit	13.71B	15.32B	12.19B	8.99B	7.60B	5.29B
EBITDA	3.49B	5.42B	4.06B	3.12B	1.62B	-7.36B
Net Income	1.88B	3.81B	3.28B	3.15B	605.38M	-7.56B
Balance Sheet
Total Assets	47.64B	49.39B	47.70B	38.82B	33.14B	31.77B
Cash, Cash Equivalents and Short-Term Investments	17.35B	17.50B	12.58B	13.71B	14.26B	12.49B
Total Debt	10.20B	10.98B	11.09B	4.35B	5.06B	4.51B
Total Liabilities	17.02B	17.35B	19.04B	11.65B	9.97B	9.66B
Stockholders Equity	30.62B	32.03B	28.66B	27.16B	23.17B	22.11B
Cash Flow
Free Cash Flow	8.22B	7.20B	-5.85B	-1.38B	1.08B	-1.27B
Operating Cash Flow	8.77B	7.64B	-4.93B	-799.70M	1.33B	-843.54M
Investing Cash Flow	-605.69M	-390.29M	-402.68M	522.05M	-255.80M	-34.54M
Financing Cash Flow	-2.97B	-2.79B	4.12B	-1.42B	397.94M	3.99B

Japan Cash Machine Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1026.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6418, the sentiment is Positive. The current price of 1026 is above the 20-day moving average (MA) of 998.30, above the 50-day MA of 993.00, and above the 200-day MA of 983.10, indicating a bullish trend. The MACD of 3.45 indicates Negative momentum. The RSI at 60.11 is Neutral, neither overbought nor oversold. The STOCH value of 97.08 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6418.

Japan Cash Machine Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7991	76 Outperform	¥15.99B	7.13	―	5.53%	-27.22%	-62.64%
7999	75 Outperform	¥12.78B	18.14	―	4.27%	0.33%	-65.09%
6418	71 Outperform	¥30.32B	6.00	―	4.00%	-20.75%	7.75%
4051	67 Neutral	¥44.70B	27.14	―	1.85%	-4.16%	66.22%
7314	66 Neutral	¥4.17B	―	―	2.15%	23.24%	-111.63%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
7957	61 Neutral	¥2.25B	5.34	―	5.25%	0.34%	―

Japan Cash Machine Co., Ltd. Corporate Events

Japan Cash Machine Completes Treasury Share Disposal for Executive Remuneration

Japan Cash Machine Co., Ltd. announced the completion of payment for the disposal of 34,500 treasury shares as part of a restricted share-based remuneration plan. This move, resolved by the Board of Directors, aims to align the interests of the company’s executives and general managers with its long-term performance, potentially impacting its corporate governance and stakeholder relations.

Japan Cash Machine Co., Ltd. Reports Decline in Q1 2025 Financial Results

Japan Cash Machine Co., Ltd. reported a significant decline in its financial performance for the three months ended June 30, 2025, with net sales dropping by 24.7% and operating profit plummeting by 77% compared to the same period in the previous year. The company has maintained its earnings forecast for the fiscal year ending March 31, 2026, despite the challenging financial results, indicating a cautious outlook for recovery and stability in its operations.