Morita Holdings Corporation (6455) AI Stock Analysis

• Market Cap: ¥109.10B
• Dividend Yield: 2.42%
• Average Volume (3M): 48.53K
• Price to Earnings (P/E): 11.2
• Beta (1Y): 0.59
• Revenue Growth: 12.25%
• EPS Growth: 32.16%
• Country: JP
• Employees: 1,723
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 18.03
• Shares Outstanding: 46,918,545
• 10 Day Avg. Volume: 48,760
• 30 Day Avg. Volume: 48,526
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥2,463.00
• Price Target Upside: 2.88% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 73 Outperform
• Price Target: ¥2,475.00 ▲(3.38% Upside)

The overall stock score is driven by strong financial performance and attractive valuation. The company's solid balance sheet and profitability are key strengths, while technical indicators suggest potential short-term weakness. The lack of earnings call data and corporate events does not impact the score.

Morita Holdings Corporation Business Overview & Revenue Model

Company Description

Morita Holdings Corporation, through its subsidiaries, develops, manufactures, and sells ladder trucks, fire trucks, and other fire trucks and specialty vehicles. The company offers fire trucks, including ladder trucks, chemical and water tenders, lighting tower vehicles/rescue trucks, aircraft rescue and fire fighting vehicles, multi-purpose fire fighting vehicles, and CAFS/water pumps; fire extinguishers and equipment; and lumbar support wear and lumbar support innerwear for women. It also provides recycling machines comprising shredder plants, scrap shears, and scrap baling presses, as well as recyclable, non-recyclable, combustible bulky, and incombustible bulky waste processing plants. In addition, the company offers environmental conservation vehicles consisting of cesspit emptiers, garbage collectors, container lifters, cleaning vehicles, vacuum tanks, and home-visit bathing service cars. Further, it provides waste recycling plants and hydraulic equipment; aerial platforms; electronic applied and information processing machinery; and maintenance services for fire trucks. The company was formerly known as Morita Corporation and changed its name to Morita Holdings Corporation in October 2008. Morita Holdings Corporation was founded in 1907 and is headquartered in Osaka, Japan.

How the Company Makes Money

Morita Holdings generates revenue through the sale of its machinery and systems, which include waste collection vehicles, shredders, and waste treatment plants. The company earns money by providing these products to municipalities, waste management companies, and industrial clients. Key revenue streams include the sale of new equipment, maintenance services, and parts supply for existing machinery. Additionally, Morita Holdings may engage in partnerships with governmental and private entities to develop large-scale waste management projects, contributing further to its earnings through contracts and service agreements.

Morita Holdings Corporation Financial Statement Overview

Summary

Morita Holdings Corporation demonstrates strong profitability and a solid balance sheet with low leverage. While the company faces challenges in revenue growth, its operational efficiency and cash flow generation remain robust.

Income Statement

Morita Holdings Corporation shows strong profitability with a consistent gross profit margin around 27% and a net profit margin of approximately 8.5% in the TTM. However, the revenue growth rate has declined by 32.4% in the TTM, indicating a potential challenge in maintaining growth momentum. EBIT and EBITDA margins remain healthy, reflecting efficient operations.

Balance Sheet

The company maintains a solid financial position with a low debt-to-equity ratio, indicating minimal leverage risk. Return on equity is stable at around 10%, showcasing effective use of equity. The equity ratio is strong, suggesting a robust capital structure with a high proportion of equity financing.

Cash Flow

Operating cash flow is strong, with a positive free cash flow growth rate of 6.2% in the TTM. The free cash flow to net income ratio is healthy, indicating good cash generation relative to earnings. However, the operating cash flow to net income ratio suggests room for improvement in cash flow efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	111.38B	111.74B	95.20B	81.34B	83.60B	84.67B
Gross Profit	30.94B	30.47B	25.12B	19.34B	22.07B	22.15B
EBITDA	16.40B	17.07B	12.29B	8.63B	10.80B	11.86B
Net Income	9.25B	9.47B	6.01B	4.00B	5.35B	6.22B
Balance Sheet
Total Assets	137.85B	143.35B	139.69B	123.99B	125.17B	122.52B
Cash, Cash Equivalents and Short-Term Investments	30.80B	29.89B	26.38B	19.96B	29.28B	23.32B
Total Debt	5.87B	495.00M	1.43B	505.00M	6.32B	6.18B
Total Liabilities	40.79B	45.65B	48.11B	39.77B	43.26B	43.15B
Stockholders Equity	95.89B	96.53B	90.51B	83.22B	80.95B	78.05B
Cash Flow
Free Cash Flow	10.13B	9.54B	7.85B	-511.00M	9.57B	10.78B
Operating Cash Flow	11.84B	11.39B	11.17B	2.14B	10.54B	11.67B
Investing Cash Flow	-1.40B	-1.49B	-3.48B	-2.67B	-685.00M	-611.00M
Financing Cash Flow	-6.11B	-6.00B	-1.49B	-8.96B	-3.63B	-3.65B

Morita Holdings Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2394.00
• 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:6455, the sentiment is Positive. The current price of 2394 is above the 20-day moving average (MA) of 2327.25, above the 50-day MA of 2282.64, and above the 200-day MA of 2135.54, indicating a bullish trend. The MACD of 36.70 indicates Negative momentum. The RSI at 67.41 is Neutral, neither overbought nor oversold. The STOCH value of 86.67 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6455.

Morita Holdings Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6490	77 Outperform	98.00B	11.64	11.24%	3.02%	-0.98%	-18.48%
6459	76 Outperform	88.87B	16.01	―	3.45%	3.52%	-2.32%
6486	74 Outperform	131.75B	22.92	4.29%	3.54%	>-0.01%	-26.82%
6340	74 Outperform	97.53B	9.74	9.32%	2.55%	11.77%	2.77%
6284	74 Outperform	107.41B	14.15	10.94%	2.04%	15.99%	32.43%
6455	73 Outperform	¥109.10B	11.20	―	2.42%	12.25%	32.16%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Morita Holdings Corporation Corporate Events

Morita Holdings Proposes Governance Enhancements with Articles Amendment

Morita Holdings Corporation has announced proposed amendments to its Articles of Incorporation to be discussed at the upcoming Annual General Meeting of Shareholders. The amendments aim to strengthen corporate governance by increasing the maximum number of directors from nine to twelve, introducing a Vice Chairman position, and revising the procedures for convening and chairing Board meetings. These changes are intended to enhance management flexibility and responsiveness to the evolving business environment.

Morita Holdings Announces Leadership Change to Drive Transformation

Morita Holdings Corporation announced a change in its leadership, with Masayoshi Kato being appointed as the new President, effective June 20, 2025. This strategic move aims to drive transformation and enhance corporate value under new leadership, potentially impacting the company’s operations and market positioning.

Morita Holdings Boosts Year-End Dividend Amid Strong Financial Performance

Morita Holdings Corporation announced an increase in its year-end dividend to 33 yen per share, reflecting a strong financial performance that exceeded forecasts. This decision aligns with the company’s policy to enhance shareholder value while maintaining a robust financial position, as it achieved record-high operating profits and met key financial targets.