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Juki Corporation (JP:6440)
:6440
Japanese Market

Juki Corporation (6440) AI Stock Analysis

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JP:6440

Juki Corporation

(6440)

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Neutral 62 (OpenAI - 5.2)
Rating:62Neutral
Price Target:
¥569.00
▲(26.44% Upside)
Juki Corporation's stock score is primarily driven by its strong cash flow management and undervaluation based on the P/E ratio. However, profitability challenges and high leverage are significant risks. Technical indicators suggest mixed momentum, with short-term weakness but longer-term stability.
Positive Factors
Improving cash generation
Significant recent gains in operating and free cash flow provide durable liquidity to fund operations, service debt, and invest in product development or service networks. Strong cash generation cushions the business through cyclical equipment demand and supports longer-term strategic initiatives.
Recurring revenue from installed base
A material share of revenue comes from parts, consumables and service tied to an installed fleet. This creates repeatable, higher-margin streams that stabilize cash flow, raise customer lifetime value, and provide resilience when new-equipment orders are lumpy across cycles.
Product and end-market diversification
Serving both apparel sewing and electronics SMT markets spreads end-market risk and captures structural automation demand across sectors. This diversification supports steadier long-term demand and cross-selling of services and solutions as factories automate and upgrade production lines.
Negative Factors
High financial leverage
A debt-to-equity ratio above 2.5 indicates significant leverage that raises interest costs and reduces financial flexibility. High leverage constrains the company's ability to invest, absorb demand shocks, or pursue M&A, elevating long-term solvency and refinancing risks if cash generation weakens.
Persistent unprofitability
Ongoing negative EBIT and net income despite some gross margin improvement point to structural profitability issues—cost base, pricing, or mix. Sustained losses erode equity and limit reinvestment capacity, making long-term margin recovery and shareholder returns more challenging.
Cyclicality from customer capex
Revenue depends heavily on customers' capital spending and replacement cycles, producing lumpy equipment orders. Even with recurring parts and services, pronounced capex cyclicality can drive multi-quarter volatility in revenue, investment planning, and utilization of the service infrastructure.

Juki Corporation (6440) vs. iShares MSCI Japan ETF (EWJ)

Juki Corporation Business Overview & Revenue Model

Company DescriptionJuki Corporation (6440) is a leading global manufacturer of industrial sewing machines and systems, primarily serving the textile and garment industries. Founded in 1938, the company has expanded its offerings to include products for automation and production systems, as well as home sewing machines. Juki operates in various sectors including apparel manufacturing, automotive, and medical devices, providing innovative solutions that enhance productivity and efficiency in sewing operations.
How the Company Makes MoneyJuki Corporation generates revenue primarily through the sale of industrial and home sewing machines, with key revenue streams including machine sales, parts, and after-sales services. The company benefits from a strong presence in both domestic and international markets, leveraging strategic partnerships with textile manufacturers and distributors to expand its reach. Additionally, Juki invests in research and development to innovate new products and enhance existing offerings, which helps maintain competitive advantage and drive sales. The company's revenue model also includes training and support services for customers, contributing to recurring income through maintenance contracts and service agreements.

Juki Corporation Financial Statement Overview

Summary
Juki Corporation demonstrates strong cash flow management with significant improvements in operating and free cash flow. However, the company faces profitability challenges with negative net income and EBIT margins, and high leverage poses financial risks.
Income Statement
55
Neutral
Juki Corporation's income statement reveals a mixed performance. There was a slight increase in total revenue from 2023 to 2024, but the company has been struggling with profitability, as evidenced by the negative net income and EBIT margins over the past few years. Gross profit margin improved in 2024, yet the net profit margin remains negative, highlighting ongoing challenges in controlling costs and achieving profitability.
Balance Sheet
60
Neutral
The balance sheet of Juki Corporation shows a stable equity base but also indicates high leverage with a debt-to-equity ratio exceeding 2.5 in recent years. Although stockholders' equity has been relatively stable, the high level of total debt suggests potential risk. The equity ratio is moderate, showing that a significant portion of assets is financed by debt.
Cash Flow
70
Positive
Cash flow analysis reveals a positive trajectory in recent years, with a substantial improvement in operating cash flow and free cash flow, especially in 2024. The free cash flow growth rate was significant, indicating better cash management and operational efficiency. The operating cash flow to net income ratio is strong, suggesting good cash generation despite net losses.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue93.67B95.19B94.75B117.45B101.29B70.40B
Gross Profit25.90B25.72B23.76B32.27B28.01B15.31B
EBITDA4.97B2.99B33.00M6.17B6.88B-466.00M
Net Income-1.10B-3.23B-7.04B-78.00M2.15B-4.69B
Balance Sheet
Total Assets127.40B142.22B139.30B145.17B129.11B110.23B
Cash, Cash Equivalents and Short-Term Investments14.88B13.17B7.20B4.93B6.59B13.83B
Total Debt74.39B81.63B83.03B78.33B58.01B56.45B
Total Liabilities97.25B109.99B106.94B107.69B93.44B78.86B
Stockholders Equity29.17B31.21B31.60B36.74B35.24B31.03B
Cash Flow
Free Cash Flow0.006.63B-325.00M-16.86B-7.62B5.92B
Operating Cash Flow0.009.37B2.25B-14.64B-6.59B8.51B
Investing Cash Flow0.00-2.00M-2.75B-4.93B-856.00M-2.70B
Financing Cash Flow0.00-4.15B2.46B17.48B-369.00M2.03B

Juki Corporation Technical Analysis

Technical Analysis Sentiment
Positive
Last Price450.00
Price Trends
50DMA
485.30
Positive
100DMA
458.65
Positive
200DMA
418.79
Positive
Market Momentum
MACD
10.23
Positive
RSI
51.45
Neutral
STOCH
36.51
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6440, the sentiment is Positive. The current price of 450 is below the 20-day moving average (MA) of 520.60, below the 50-day MA of 485.30, and above the 200-day MA of 418.79, indicating a neutral trend. The MACD of 10.23 indicates Positive momentum. The RSI at 51.45 is Neutral, neither overbought nor oversold. The STOCH value of 36.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6440.

Juki Corporation Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
¥16.54B5.053.41%-3.27%572.42%
76
Outperform
¥13.31B9.916.70%7.96%43.37%
75
Outperform
¥17.99B29.612.38%19.81%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
62
Neutral
¥15.73B11.49-2.84%
57
Neutral
¥13.95B-27.255.43%1.46%89.88%
53
Neutral
¥17.06B53.811.73%26.09%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6440
Juki Corporation
516.00
160.30
45.07%
JP:6203
Howa Machinery, Ltd.
1,374.00
210.99
18.14%
JP:6210
Toyo Machinery & Metal Co., Ltd.
656.00
51.78
8.57%
JP:6262
PEGASUS CO. LTD
770.00
313.66
68.73%
JP:6317
Kitagawa Corporation
1,736.00
612.30
54.49%
JP:6393
Yuken Kogyo Co., Ltd.
3,235.00
834.46
34.76%

Juki Corporation Corporate Events

JUKI Books ¥1.5 Billion Extraordinary Gain From Strategic Sale of Investment Securities
Jan 19, 2026

JUKI Corporation has completed the sale of five listed investment securities as part of its ongoing review of cross-shareholdings in line with Japan’s Corporate Governance Code and its effort to improve asset efficiency. The transaction generated an extraordinary gain on sale of investment securities totaling ¥1,465 million, which will be booked as extraordinary income across the fiscal years ending December 2025 and December 2026, with ¥1,060 million recognized in 2025 and ¥404 million in 2026; the company is still examining the impact on its full-year 2025 consolidated earnings forecast and may revise guidance if necessary, signaling a continued focus on optimizing its balance sheet and capital allocation for shareholders.

The most recent analyst rating on (JP:6440) stock is a Hold with a Yen559.00 price target. To see the full list of analyst forecasts on Juki Corporation stock, see the JP:6440 Stock Forecast page.

Juki Corporation Announces Strategic Subsidiary Merger
Nov 13, 2025

Juki Corporation has announced a strategic merger of its wholly-owned subsidiaries, Juki Automation Systems Corporation and Juki Technosolutions Corporation, effective December 31, 2025. This merger aims to streamline management, enhance decision-making, and improve operational efficiency in response to economic uncertainties and market challenges, such as fluctuating exchange rates and rising crude oil prices.

The most recent analyst rating on (JP:6440) stock is a Hold with a Yen434.00 price target. To see the full list of analyst forecasts on Juki Corporation stock, see the JP:6440 Stock Forecast page.

Juki Corporation Revises 2025 Earnings Forecast Amid Strategic Shifts
Nov 13, 2025

Juki Corporation has revised its earnings forecast for the fiscal year ending December 31, 2025, due to strategic shifts in its sewing business. Despite a decline in net sales, the company expects higher profitability from improved gross margins and production optimization. The fourth quarter is projected to see increased sales from automotive-related sewing products and capital investments by major customers, leading to a significant rise in operating income. However, ordinary income will be impacted by higher interest expenses and investment losses, although net income is expected to align with initial forecasts due to special gains. The year-end dividend forecast remains unchanged.

The most recent analyst rating on (JP:6440) stock is a Hold with a Yen434.00 price target. To see the full list of analyst forecasts on Juki Corporation stock, see the JP:6440 Stock Forecast page.

Juki Corporation Reports Improved Profitability Amid Sales Decline
Nov 13, 2025

Juki Corporation reported a decrease in net sales by 4.8% for the nine months ending September 30, 2025, compared to the same period in 2024. Despite this decline, the company showed improvement in profitability, with a small profit attributable to owners of the parent, contrasting with a significant loss in the previous year. The equity-to-asset ratio improved slightly, indicating a stronger financial position. The company has revised its earnings forecast for the fiscal year ending December 31, 2025, projecting a modest profit and a cash dividend of 10 yen per share, signaling a positive outlook for stakeholders.

The most recent analyst rating on (JP:6440) stock is a Hold with a Yen434.00 price target. To see the full list of analyst forecasts on Juki Corporation stock, see the JP:6440 Stock Forecast page.

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: Dec 03, 2025