Eagle Industry Co., Ltd. (6486) AI Stock Analysis

• Market Cap: ¥111.31B
• Dividend Yield: 4.19%
• Average Volume (3M): 46.53K
• Price to Earnings (P/E): 21.1
• Beta (1Y): 0.73
• Revenue Growth: 0.68%
• EPS Growth: -32.97%
• Country: JP
• Employees: 6,280
• Sector: Industrials
• Sector Strength: 94
• Industry: Industrial - Machinery
• EPS (TTM): 1.85
• Shares Outstanding: 49,757,820
• 10 Day Avg. Volume: 53,000
• 30 Day Avg. Volume: 46,533
• PEG Ratio: -0.82
• Price to Book (P/B): 0.77
• 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: ¥2,037.00
• Price Target Upside: 2.62% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: ¥2,539.00 ▲(27.91%Upside)

Eagle Industry Co., Ltd. benefits from strong technical momentum and a robust financial performance, with stable revenue growth and operational efficiency. However, high valuation metrics and potential risks from declining net profit margins and increasing liabilities are concerns that temper the overall score.

Eagle Industry Co., Ltd. Business Overview & Revenue Model

Company Description

Eagle Industry Co., Ltd. (6486) is a Japanese company specializing in the manufacturing and distribution of precision mechanical components and systems. The company operates in various sectors, including automotive, marine, aerospace, and general industrial markets. Its core products include mechanical seals, special valves, and other critical components that play a crucial role in ensuring the safety and efficiency of machinery and equipment.

How the Company Makes Money

Eagle Industry Co., Ltd. primarily generates revenue through the sale of its precision components and systems to a diverse range of industries. The company's key revenue streams include the automotive industry, where its components are used in engines and other critical systems, and the marine sector, where its products are essential for shipbuilding and maintenance. Additionally, Eagle Industry collaborates with aerospace companies, supplying parts that meet stringent quality and safety standards. The company's earnings are further bolstered by strategic partnerships and long-term contracts with major industrial players, ensuring a steady demand for its products.

Eagle Industry Co., Ltd. Financial Statement Overview

Summary

Eagle Industry Co., Ltd. demonstrates robust revenue growth and operational efficiency with stable gross margins and a strong equity position. However, declining net profit margins, increasing liabilities, and reduced cash flow generation present potential risks. The company should focus on controlling costs and managing debt to sustain its financial health.

Income Statement

Eagle Industry Co., Ltd. has shown consistent revenue growth over the years, with a notable increase from 130.5 billion JPY in 2021 to 168.2 billion JPY in 2025. The gross profit margin has remained relatively stable around 23-24%, indicating efficient cost management. However, the net profit margin has decreased from approximately 3.1% in 2021 to 2.9% in 2025, suggesting rising expenses or other financial pressures. Despite a slight dip in EBIT margin over the years, the EBITDA margin remains strong, indicating solid operational performance.

Balance Sheet

The company's balance sheet reflects a healthy equity position, with stockholders' equity growing consistently from 84.4 billion JPY in 2021 to 113.8 billion JPY in 2025. The debt-to-equity ratio has improved, indicating better leverage management. The equity ratio has also improved, reflecting a stronger financial foundation. However, the total liabilities have increased, which could be a potential risk if not managed properly.

Cash Flow

Eagle Industry Co., Ltd. maintains a positive operating cash flow, although there has been a decline from 17.8 billion JPY in 2021 to 13.7 billion JPY in 2025. The free cash flow has also decreased, which may impact future investments or debt repayments. The operating cash flow to net income ratio indicates strong cash generation relative to net income, yet the decline in free cash flow suggests tighter liquidity conditions.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	168.17B	167.04B	157.38B	140.84B	130.51B
Gross Profit	39.65B	37.66B	37.49B	32.15B	28.74B
EBITDA	22.78B	19.05B	19.62B	17.68B	16.28B
Net Income	4.88B	7.49B	6.80B	5.71B	4.01B
Balance Sheet
Total Assets	203.48B	209.91B	193.23B	180.96B	176.51B
Cash, Cash Equivalents and Short-Term Investments	26.18B	32.54B	30.58B	28.81B	32.66B
Total Debt	40.40B	40.57B	35.47B	32.13B	39.22B
Total Liabilities	80.96B	84.24B	80.31B	77.86B	84.07B
Stockholders Equity	113.83B	116.76B	104.42B	94.33B	84.39B
Cash Flow
Free Cash Flow	3.04B	5.91B	3.15B	5.77B	11.82B
Operating Cash Flow	13.69B	17.74B	12.32B	12.24B	17.85B
Investing Cash Flow	-10.44B	-12.03B	-8.05B	-6.84B	-5.20B
Financing Cash Flow	-8.31B	-6.41B	-3.17B	-11.55B	-2.66B

Eagle Industry Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1985.00
• 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:6486, the sentiment is Positive. The current price of 1985 is above the 20-day moving average (MA) of 1924.70, above the 50-day MA of 1895.36, and above the 200-day MA of 1933.34, indicating a bullish trend. The MACD of 23.41 indicates Negative momentum. The RSI at 65.92 is Neutral, neither overbought nor oversold. The STOCH value of 85.65 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6486.

Eagle Industry Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6490	77 Outperform	¥92.21B	10.96		3.21%	-1.05%	-23.08%
6407	75 Outperform	¥183.35B	13.51		2.94%	15.78%	62.07%
6486	74 Outperform	¥111.31B	21.08		4.19%	0.68%	-32.97%
6363	72 Outperform	¥56.89B	14.17		2.77%	6.66%	-34.82%
6420	68 Neutral	¥132.62B	10.51		2.35%	12.12%	5.56%
Sector *	65 Neutral	$11.14B	15.76	5.26%	2.01%	3.16%	-25.01%

Eagle Industry Co., Ltd. Corporate Events

Eagle Industry Co., Ltd. Revises Financial Forecasts Upward

Eagle Industry Co., Ltd. has revised its financial forecasts for the six months ending September 30, 2025, and the full year ending March 31, 2026, due to better-than-expected performance in its key industry segments. The company anticipates increases in net sales, operating profit, ordinary profit, and profit attributable to owners, reflecting a strong market position and positive outlook for stakeholders.

Eagle Industry Co., Ltd. Reports Fiscal Year 2025 Results and 2026 Forecast

Eagle Industry Co., Ltd. reported its consolidated financial results for the fiscal year ended March 31, 2025, showing a slight increase in net sales by 0.7% to ¥168,172 million. However, the company experienced a decline in ordinary profit and profit attributable to owners of the parent by 12.9% and 34.9%, respectively. Despite these challenges, the company increased its annual dividend per share to ¥100, reflecting a strong commitment to shareholder returns. The forecast for the fiscal year ending March 31, 2026, indicates modest growth in net sales and a significant increase in profit attributable to owners of the parent, suggesting a positive outlook.