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

• Market Cap: ¥304.71B
• Dividend Yield: 2.99%
• Average Volume (3M): 259.24K
• Price to Earnings (P/E): 11.0
• Beta (1Y): 1.21
• 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: -32.39% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: ¥7,437.00 ▲(4.75% Upside)

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 and Margins

Consistent strong profitability and margins indicate durable operational efficiency, enabling pricing power and the ability to absorb cyclical demand drops. Sustained margins support reinvestment in R&D, dealer support and steady earnings quality over the medium term.

Balance Sheet Strength

Very low leverage and a solid equity ratio provide financial flexibility to fund capex, product development and dealer financing without stressing cash flow. This reduces financial risk and supports stable dividends and strategic investments across multiple quarters.

Aftermarket and Distribution

Recurring aftermarket parts, maintenance and warranty services together with global dealer partnerships diversify revenue and increase customer stickiness. These structural streams smooth cycles, enhance lifecycle margins and support more stable long‑term cash flows.

Negative Factors

Revenue Decline

A near‑25% reported revenue decline and fluctuating top‑line growth reduce scale benefits and can pressure margins and dealer economics. If sustained, weaker revenue hampers reinvestment capacity, reduces operating leverage and weighs on medium‑term earnings power.

Free Cash Flow Volatility

While operating cash remains positive, a notable decline and volatility in free cash flow growth reduces capacity to self‑fund expansion or shore up returns. Volatile FCF limits strategic optionality and may force tradeoffs between capex, dividends and balance‑sheet conservatism.

Slight ROE Weakening

A recent slight decline in ROE suggests diminishing capital efficiency, potentially from margin pressure or capital base increases. Continued ROE erosion could signal weaker returns on new investments and pressure shareholder returns over successive quarters.

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	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
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	38.34B	39.36B	38.62B	23.26B	19.35B	14.88B
Net Income	26.31B	26.11B	26.15B	15.98B	13.35B	9.77B
Balance Sheet
Total Assets	212.09B	217.72B	198.15B	158.78B	137.20B	115.53B
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	50.72B	50.53B	36.98B	33.12B	25.62B
Stockholders Equity	168.88B	167.00B	147.62B	121.80B	104.08B	89.91B
Cash Flow
Free Cash Flow	0.00	5.01B	16.78B	-464.00M	9.18B	8.33B
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: Positive
• Last Price: 7100.00
• 50DMA: Negative
• 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:6432, the sentiment is Positive. The current price of 7100 is above the 20-day moving average (MA) of 6656.50, above the 50-day MA of 6773.80, and above the 200-day MA of 5543.87, indicating a neutral trend. The MACD of -147.84 indicates Positive momentum. The RSI at 43.75 is Neutral, neither overbought nor oversold. The STOCH value of 31.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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
6326	76 Outperform	¥2.70T	15.28	7.16%	2.22%	-3.22%	-29.63%
6432	73 Outperform	¥304.71B	11.04	―	2.99%	0.31%	-11.04%
6305	68 Neutral	¥1.07T	14.42	10.54%	3.98%	-2.72%	29.43%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6395	62 Neutral	¥144.40B	13.10	5.59%	2.86%	10.49%	-5.19%
6390	43 Neutral	¥16.03B	-6.03	―	5.40%	-2.22%	18.80%

Takeuchi Mfg.Co., Ltd. Corporate Events

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.