Consistent Revenue GrowthConsistent revenue growth of ~4% YoY reflects steady OEM demand and durable order flows for engine and drivetrain components. For an auto-parts supplier, predictable top-line expansion supports better capacity utilization, long-term supplier relationships and steadier cash generation across the next several quarters.

Prudent Balance SheetA low Debt-to-Equity ratio (0.41) and a solid equity ratio (43.6%) provide financial resilience against cyclical auto demand. Prudent leverage management preserves access to borrowing capacity, supports investment flexibility and reduces refinancing risk, which is valuable over a 2–6 month horizon and beyond.

Strong Operating Cash GenerationOperating cash flow materially exceeds reported net income (OCF/Net Income 6.8), indicating earnings quality and internal funding capacity. Robust OCF supports working capital needs, operational continuity and selective reinvestment without immediate reliance on external financing, sustaining operations in the medium term.

Bears Say

Low Net ProfitabilityA net profit margin of roughly 1.2% provides a very thin buffer against cost inflation, input-price volatility or pricing pressure from OEMs. Low bottom-line profitability constrains retained earnings for reinvestment and makes the business more sensitive to negative shocks over coming quarters, limiting strategic optionality.

Sharp Free Cash Flow DeclineA 65.7% drop in free cash flow is a significant deterioration in cash available after investments. Such a decline reduces capacity for dividends, capex or debt reduction and, if persistent or driven by structural working-capital needs, could materially constrain financial flexibility and execution of medium-term strategic plans.

Margin Compression On OperationsDeclining EBIT and EBITDA margins imply operational efficiency pressures or weaker pricing power. For a component manufacturer, persistent margin erosion can impair competitiveness, limit funding for product development and capital upgrades, and reduce resilience to cyclical downturns over the next several quarters.

6493 FAQ

What was NITTAN Corporation’s price range in the past 12 months?

NITTAN Corporation lowest stock price was ¥225.00 and its highest was ¥816.00 in the past 12 months.

What is NITTAN Corporation’s market cap?

NITTAN Corporation’s market cap is ¥19.82B.

When is NITTAN Corporation’s upcoming earnings report date?

NITTAN Corporation’s upcoming earnings report date is May 07, 2026 which is in 60 days.

How were NITTAN Corporation’s earnings last quarter?

NITTAN Corporation released its earnings results on Jan 30, 2026. The company reported ¥19.17 earnings per share for the quarter, beating the consensus estimate of N/A by ¥19.17.

Is NITTAN Corporation overvalued?

According to Wall Street analysts NITTAN Corporation’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does NITTAN Corporation pay dividends?

NITTAN Corporation pays a Semiannually dividend of ¥7 which represents an annual dividend yield of 2.02%. See more information on NITTAN Corporation dividends here

What is NITTAN Corporation’s EPS estimate?

NITTAN Corporation’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does NITTAN Corporation have?

NITTAN Corporation has 28,978,860 shares outstanding.

What happened to NITTAN Corporation’s price movement after its last earnings report?

NITTAN Corporation reported an EPS of ¥19.17 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 0.901%.

Which hedge fund is a major shareholder of NITTAN Corporation?

Currently, no hedge funds are holding shares in JP:6493

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

NITTAN Corporation

NITTAN Corporation manufactures and distributes engine valves in Japan. The company offers engine valves for engines in automobiles, motorcycles and scooters, trucks, and buses; and engine valves for marine and general-purpose products for engine manufacturing customers, as well as for generators, tillers, mowers, etc. It also manufactures and sells precision forged gears and automatic transmission parts for automobiles, trucks, agricultural, construction, and industrial machinery. In addition, the company manufactures and sells valve lifters, roller rocker arms, and machine tools; and produces, processes, and sells chemical free vegetables. The company was formerly known as Nittan Valve Co., Ltd. and changed its name to NITTAN Corporation in April 2022. NITTAN Corporation was founded in 1948 and is headquartered in Hadano, Japan.