Takeuchi Mfg.Co., Ltd. (6432) AI Stock Analysis

• Market Cap: ¥289.93B
• Dividend Yield: 2.99%
• Average Volume (3M): 259.24K
• Price to Earnings (P/E): 12.7
• Beta (1Y): 1.24
• Revenue Growth: 0.31%
• EPS Growth: -11.04%
• Country: JP
• Employees: 1,198
• Sector: Industrials
• Sector Strength: 72
• Industry: Agricultural - Machinery
• EPS (TTM): 138.94
• Shares Outstanding: 48,999,000
• 10 Day Avg. Volume: 449,940
• 30 Day Avg. Volume: 259,236
• PEG Ratio: 13.16
• Price to Book (P/B): 1.45
• Price to Sales (P/S): 1.14
• P/FCF Ratio: 48.36
• 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: ¥4,800.00
• Price Target Upside: -26.94% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 1
• EPS Forecast (FY): 551.56
• Revenue Forecast (FY): ¥230.75B

• Rating: 73 Outperform
• Price Target: ¥8,173.00 ▲(24.40% Upside)
• Action: Reiterated Date: 01/15/26
• Date: Action: Reiterated 01/15/26

The score is primarily driven by strong underlying financial performance (profitability and a low-leverage balance sheet), supported by attractive valuation (moderate P/E and ~3% yield). Offsetting this are softer near-term technicals (below 20/50-day averages) and weaker recent cash flow growth.

Positive Factors

Profitability & Margin Sustainability

Takeuchi's history of consistent gross and net margins and healthy EBIT/EBITDA margins indicates durable operational efficiency. Robust margins provide a buffer versus cyclical revenue swings, support reinvestment in product development and dealer support, and sustain cash generation over the next several months.

Low Leverage / Strong Balance Sheet

A very low debt-to-equity ratio gives Takeuchi financial flexibility to fund working capital, dealer financing, and capital expenditures without stressing liquidity. Low leverage reduces refinancing risk in downturns and supports consistent dividend and investment policies across medium-term cycles.

Diversified Revenue Streams & Global Distributor Network

Takeuchi's mix of equipment sales plus recurring aftermarket parts, maintenance and warranty services creates more predictable revenues and higher lifetime customer value. A global dealer/distributor network strengthens market reach, customer service quality and retention, supporting steady demand and margins over time.

Negative Factors

Sharp Revenue Decline

A roughly 24% year-over-year revenue contraction materially reduces scale and can erode pricing leverage and fixed-cost absorption. Prolonged or recurring top-line weakness could pressure margins, dealer ordering patterns and investment plans, requiring several quarters to restore prior growth trajectories.

Free Cash Flow Slowdown & Volatility

While operating cash flow remains positive, recent declines and volatility in free cash flow growth limit excess liquidity for capex, share returns or buffer against cyclical troughs. Variable FCF complicates multi-quarter planning and raises the importance of working-capital and inventory management execution.

Slight Decline in Return on Equity

A recent dip in ROE suggests the company is slightly less efficient at converting equity into profits. Even from a strong base, declining ROE can signal emerging margin pressure, lower asset utilization, or adverse mix trends that may persist absent operational improvements.

Takeuchi Mfg.Co., Ltd. Business Overview & Revenue Model

Company Description

Takeuchi Mfg. Co., Ltd. manufactures and sells construction machinery in Japan and internationally. The company offers compact and hydraulic excavators, track loaders, crawler dumpers, and other construction machinery. It also provides parts and services. The company was founded in 1963 and is headquartered in Hanishina, Japan.

How the Company Makes Money

Takeuchi generates revenue primarily through the sale of its construction machinery and equipment. The company's key revenue streams include the sale of mini-excavators, track loaders, and attachments, which are marketed to contractors, rental companies, and construction firms globally. Additionally, Takeuchi earns revenue from aftermarket services, including maintenance, parts sales, and warranty services. The company has established strategic partnerships with distributors and dealers worldwide, enhancing its market reach and enabling it to leverage local expertise in sales and service. Factors contributing to its earnings include strong brand reputation, continuous product innovation, and a focus on customer satisfaction, which help drive demand for its products.

Takeuchi Mfg.Co., Ltd. Financial Statement Overview

Summary

Strong profitability and operational efficiency (high income statement score) supported by a low-leverage, solid balance sheet. The score is tempered by weaker cash flow trends, including a notable slowdown in free cash flow growth and recent revenue decline.

Income Statement

Takeuchi Mfg.Co., Ltd. demonstrates strong profitability with consistent gross and net profit margins over the years. Despite a slight revenue decline in the latest year, the company maintains healthy EBIT and EBITDA margins, indicating operational efficiency. The revenue growth rate has fluctuated, but overall, the company has shown resilience in maintaining profitability.

Balance Sheet

The company maintains a very low debt-to-equity ratio, indicating minimal leverage and strong financial stability. Return on equity is robust, reflecting efficient use of shareholder funds. The equity ratio is solid, showcasing a strong capital structure. However, the slight decline in ROE in the latest year suggests a need for careful monitoring of equity returns.

Cash Flow

Operating cash flow remains positive, but there is a notable decline in free cash flow growth in the latest year. The free cash flow to net income ratio is healthy, indicating good cash conversion. However, the volatility in free cash flow growth rates suggests potential challenges in cash management.

Breakdown	TTM	Feb 2025	Feb 2024	Feb 2023	Feb 2022	Feb 2021
Income Statement
Total Revenue	217.73B	213.23B	212.63B	178.97B	140.89B	112.25B
Gross Profit	54.09B	56.01B	52.15B	43.04B	30.33B	22.11B
EBITDA	39.58B	39.36B	38.78B	23.42B	19.67B	14.97B
Net Income	26.31B	26.11B	26.15B	15.98B	13.35B	9.77B
Balance Sheet
Total Assets	212.09B	218.54B	198.87B	158.78B	137.20B	115.89B
Cash, Cash Equivalents and Short-Term Investments	39.34B	46.48B	55.17B	43.99B	47.26B	40.23B
Total Debt	454.00M	110.00M	43.00M	40.00M	4.00M	6.00M
Total Liabilities	43.21B	51.54B	51.24B	36.98B	33.12B	25.98B
Stockholders Equity	168.88B	167.00B	147.63B	121.80B	104.08B	89.91B
Cash Flow
Free Cash Flow	0.00	5.01B	17.10B	-229.00M	9.33B	8.58B
Operating Cash Flow	0.00	8.28B	24.64B	8.54B	13.78B	10.38B
Investing Cash Flow	0.00	-2.35B	-7.77B	-8.86B	-4.30B	-1.97B
Financing Cash Flow	0.00	-14.58B	-4.71B	-3.32B	-2.53B	-2.39B

Takeuchi Mfg.Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6570.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6432, the sentiment is Negative. The current price of 6570 is below the 20-day moving average (MA) of 6844.32, below the 50-day MA of 6735.14, and above the 200-day MA of 5817.94, indicating a neutral trend. The MACD of -160.14 indicates Positive momentum. The RSI at 37.86 is Neutral, neither overbought nor oversold. The STOCH value of 18.60 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6432.

Takeuchi Mfg.Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6301	75 Outperform	¥5.37T	12.01	―	4.06%	0.40%	8.40%
6432	73 Outperform	¥289.93B	12.67	―	2.99%	0.31%	-11.04%
6395	70 Outperform	¥150.48B	7.33	9.45%	2.86%	10.49%	-5.19%
6345	70 Outperform	¥83.93B	15.03	―	4.79%	1.68%	18.85%
6305	67 Neutral	¥1.10T	13.34	9.16%	3.98%	-2.72%	29.43%
6326	65 Neutral	¥2.76T	13.56	7.55%	2.22%	-3.22%	-29.63%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Takeuchi Mfg.Co., Ltd. Corporate Events

Take Co. to Acquire 8.3% Stake in Takeuchi Mfg. from President and Foundation

Takeuchi Mfg. Co., Ltd. has disclosed that Take Co., Ltd., led by Akio Takeuchi, will acquire 3,821,927 of its shares—equivalent to 8.30% of voting rights—as of January 19, 2026, from company president Toshiya Takeuchi and the TAKEUCHI Scholarship Foundation. The transaction, classified under Japanese law as an act equivalent to a tender offer because it exceeds the 5% voting-rights threshold, is framed as a move to establish Take Co., Ltd. as a long-term stable shareholder, reinforcing continuity in the company’s ownership structure and signaling an intention to support the firm’s ongoing operations rather than pursue a change in control.

The most recent analyst rating on (JP:6432) stock is a Buy with a Yen7437.00 price target. To see the full list of analyst forecasts on Takeuchi Mfg.Co., Ltd. stock, see the JP:6432 Stock Forecast page.

Takeuchi Posts Higher Sales but Lower Operating Profit, Affirms FY2026 Outlook and Dividend Plan

Takeuchi Mfg. Co., Ltd. reported consolidated net sales of ¥172.8 billion for the nine months ended November 30, 2025, a 3.9% increase year on year, while operating profit fell 7.0% to ¥31.4 billion and ordinary profit inched up 1.6% to ¥32.9 billion, resulting in largely flat profit attributable to owners of the parent at ¥23.5 billion and higher earnings per share due in part to a lower average share count. The company’s financial base strengthened further, with total assets of ¥215.2 billion, net assets of ¥177.5 billion, and an equity ratio of 82.5%, and it maintained its full‑year forecast for FY2026, targeting 4.6% growth in net sales to ¥223.0 billion and modest profit increases, alongside a planned full‑year dividend of ¥210 per share, signaling confidence in earnings sustainability and ongoing shareholder returns despite some profit margin pressure.

The most recent analyst rating on (JP:6432) stock is a Buy with a Yen7342.00 price target. To see the full list of analyst forecasts on Takeuchi Mfg.Co., Ltd. stock, see the JP:6432 Stock Forecast page.