Juki Corporation (6440) AI Stock Analysis

• Market Cap: ¥11.72B
• Dividend Yield: 3.42%
• Average Volume (3M): 93.24K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.90
• Revenue Growth: -1.17%
• EPS Growth: 63.91%
• Country: JP
• Employees: 4,621
• Sector: Industrials
• Sector Strength: 89
• Industry: Industrial - Machinery
• EPS (TTM): 33.69
• Shares Outstanding: 29,874,180
• 10 Day Avg. Volume: 68,950
• 30 Day Avg. Volume: 93,240
• PEG Ratio: -0.18
• Price to Book (P/B): 0.40
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥363.00
• Price Target Upside: -8.79% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 60 Neutral
• Price Target: ¥434.00 ▲(9.05%Upside)

Juki Corporation's overall stock score is driven by strong technical momentum, despite poor valuation metrics and financial vulnerabilities. The company's positive cash flow trajectory and revenue growth are offset by profitability challenges and high leverage risks.

Juki Corporation Business Overview & Revenue Model

Company Description

Juki Corporation (6440) is a prominent Japanese manufacturer specializing in industrial sewing machines and systems. With a rich history dating back to its founding in 1938, Juki operates in two primary sectors: the sewing machinery & systems business and the electronic assembly systems business. The company is renowned for its high-quality, durable sewing machines used in garment and apparel manufacturing, as well as its advanced electronic assembly equipment used in the production of printed circuit boards.

How the Company Makes Money

Juki Corporation generates revenue through the sale of its industrial sewing machines and electronic assembly systems. The sewing machinery segment, which caters to apparel and non-apparel industries, remains a significant source of income, benefiting from ongoing demand in the garment manufacturing sector. The electronic assembly systems segment also contributes substantially to revenue, serving industries involved in electronics manufacturing. Juki's earnings are further bolstered by after-sales services, including maintenance and repair, which provide a steady stream of income. The company also engages in strategic partnerships and collaborations to enhance its product offerings and market reach, thereby supporting its revenue growth.

Juki Corporation Financial Statement Overview

Summary

Juki Corporation's financial performance is mixed. A slight revenue increase and improved cash flow are positives. However, ongoing profitability issues and high leverage pose significant risks. Despite cash flow improvements, negative net income and high debt indicate financial vulnerabilities.

Income Statement

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

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

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.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	95.19B	94.75B	117.45B	101.29B	70.40B
Gross Profit	25.72B	22.35B	32.27B	28.01B	15.31B
EBITDA	2.99B	31.00M	6.17B	6.88B	-466.00M
Net Income	-3.23B	-7.04B	16.00M	2.15B	-4.78B
Balance Sheet
Total Assets	142.22B	139.30B	145.17B	129.11B	110.23B
Cash, Cash Equivalents and Short-Term Investments	13.17B	7.20B	4.93B	6.59B	13.83B
Total Debt	81.63B	83.03B	78.33B	58.01B	56.45B
Total Liabilities	109.99B	106.94B	107.69B	93.44B	78.86B
Stockholders Equity	31.21B	31.60B	36.74B	35.24B	31.03B
Cash Flow
Free Cash Flow	6.63B	-325.00M	-16.86B	-7.62B	5.92B
Operating Cash Flow	9.37B	2.25B	-14.64B	-6.59B	8.51B
Investing Cash Flow	-2.00M	-2.75B	-4.93B	-856.00M	-2.70B
Financing Cash Flow	-4.15B	2.46B	17.48B	-369.00M	2.03B

Juki Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 398.00
• 50DMA: Positive
• 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:6440, the sentiment is Positive. The current price of 398 is above the 20-day moving average (MA) of 395.55, above the 50-day MA of 376.24, and above the 200-day MA of 388.94, indicating a bullish trend. The MACD of 6.66 indicates Positive momentum. The RSI at 54.67 is Neutral, neither overbought nor oversold. The STOCH value of 55.56 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

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6262	76 Outperform	¥14.27B	14.78		2.08%	25.64%	―
6393	75 Outperform	¥11.97B	8.95		5.17%	13.50%	63.21%
Sector *	71 Outperform	¥264.85B	14.09	8.47%	2.87%	6.39%	13.10%
6317	71 Outperform	¥13.15B	10.41		3.55%	-6.96%	-1.72%
6203	65 Neutral	¥12.92B	16.76		1.92%	25.48%	―
6440	60 Neutral	¥11.72B	―		3.42%	-1.17%	63.91%
6210	54 Neutral	¥13.29B	―		5.40%	-1.14%	68.17%

Juki Corporation Corporate Events

Juki Corporation Launches Next Career Program Amid Economic Challenges

Juki Corporation announced the implementation of the Next Career Program as part of its cost structure reform. This program targets employees aged 50 to 65, offering them retirement packages and reemployment support. The initiative is a strategic response to economic challenges such as the Trump tariffs and economic stagnation in China, aiming to optimize human resources. The financial impact of the program is expected to be minor, with costs recorded as extraordinary losses.

Juki Corporation Enhances Financial Stability Through Asset Trust Establishment

Juki Corporation has announced a strategic financial maneuver involving the establishment of a trust for its fixed assets, specifically its headquarters, and the subsequent transfer of the beneficiary rights in trust. This move is part of the company’s five-year plan aimed at enhancing financial stability by improving cash flow and reducing inventories. By employing a sale and leaseback method, Juki aims to bolster its cash reserves, thereby strengthening its financial base without significantly impacting its consolidated financial performance for the current fiscal year.

Juki Corporation Reports Q1 2025 Financial Results with Positive Year-End Outlook

Juki Corporation reported its consolidated financial results for the first quarter of 2025, showing a slight decline in net sales to ¥22,957 million, a decrease of 1.2% compared to the previous year. Despite a challenging quarter with an operating loss of ¥332 million, the company forecasts a positive outlook for the fiscal year, expecting a 10.8% increase in net sales and a return to profitability with a projected operating profit of ¥2,000 million.