Miyairi Valve Mfg.Co., Ltd. (6495) AI Stock Analysis

• Market Cap: ¥13.20B
• Dividend Yield: 1.65%
• Average Volume (3M): 42.57K
• Price to Earnings (P/E): 242.3
• Beta (1Y): 0.84
• Revenue Growth: 3.96%
• EPS Growth: N/A
• Country: JP
• Employees: 226
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 0.81
• Shares Outstanding: 48,849,937
• 10 Day Avg. Volume: 39,580
• 30 Day Avg. Volume: 42,573
• PEG Ratio: 0.44
• Price to Book (P/B): 1.19
• Price to Sales (P/S): 0.70
• P/FCF Ratio: -9.67
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 55 Neutral
• Price Target: ¥329.00 ▲(140.15% Upside)
• Action: Reiterated Date: 02/21/26
• Date: Action: Reiterated 02/21/26

The score is held back primarily by weakening profitability and cash flow (including recent net losses) and a very expensive valuation (high P/E with a low dividend yield). These negatives are partially offset by strong technical momentum with the price well above key moving averages, though overbought indicators add near-term risk.

Positive Factors

Niche Industrial Franchise

Specialized valves for gas, industrial and infrastructure applications create steady, non-discretionary demand. Aftermarket replacement cycles and project-based contracts support recurring revenue. Technical manufacturing know-how and safety-critical positioning raise barriers to entry.

Positive Operating Cash Flow

Positive operating cash flow shows the core manufacturing operations convert sales into cash, supporting working capital and routine capex even while net income is negative. Reliable OCF provides resilience through cycles and reduces immediate dependence on external financing.

Moderate Leverage

A moderate debt profile and stable equity ratio give financial flexibility to fund project-based production and absorb cyclical shocks. This balance-sheet posture lowers near-term refinancing risk and supports continuity of operations and supplier/customer relationships.

Negative Factors

Profitability Decline

Sustained margin compression and recent net losses weaken internal funding capacity and reduce retained earnings. Lower profitability limits investment in R&D, capex, and product development, risking competitiveness and long-term returns if cost or pricing issues are not addressed.

Weak Free Cash Flow

Falling free cash flow constrains the company's ability to fund growth initiatives, service obligations, or return capital to shareholders. Continued negative FCF may force reliance on external financing, increasing cost of capital and reducing strategic flexibility over the medium term.

Operational Efficiency Pressure

Deteriorating EBIT margins point to rising production costs or pricing pressure that undermine operating leverage. Persistent inefficiencies can erode competitiveness on large contracts and make margin recovery dependent on structural cost improvements or product mix shifts.

Miyairi Valve Mfg.Co., Ltd. Business Overview & Revenue Model

Company Description

Miyairi Valve Mfg. Co., Ltd. engages in the manufacture and sale of various valves in Japan. The company offers brass products, such as LP gas cylinder, screw-end globe, filling, screw-end ball, and safety valves, as well as couplings and valves for bulk system. It also offers steel products, including globe, Y-shaped, ball, check, safety, filling, and emergency shut-off valves. In addition, the company provides strainers; level indicators, manifold distribution systems, and other products. It provides its valves for various applications, such as LP gas cylinders, LPG supplying lines, LPG filling devices, bulk storage tanks, gas transportation, cryogenic valve for LNG, and storage tanks and piping. Miyairi Valve Mfg. Co., Ltd. was incorporated in 1949 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Miyairi Valve generates revenue through the sale of its industrial valves and components, which are distributed to various sectors that require reliable fluid control solutions. The company’s revenue model is primarily based on direct sales to end-users and distributors, complemented by custom manufacturing services for specialized applications. Key revenue streams include bulk orders from large industrial clients, long-term contracts with governmental and municipal projects, and partnerships with global distributors. Additionally, Miyairi Valve benefits from after-sales services and maintenance contracts, which provide a steady income stream and enhance customer loyalty.

Miyairi Valve Mfg.Co., Ltd. Financial Statement Overview

Summary

Financials show headwinds: declining gross/net margins and negative net income, with EBIT margin deterioration indicating operational inefficiencies. Balance sheet leverage is moderate, but falling equity and ROE are concerns. Operating cash flow is positive, yet free cash flow has weakened, signaling liquidity and cash management pressure.

Income Statement

The company exhibits a fluctuating revenue trend with recent declines in gross and net profit margins. Despite experiencing revenue growth in the past, the current period shows challenges with a negative net income impacting profitability metrics. While EBITDA margins remain positive, the decline in EBIT margins suggests operational inefficiencies.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio, indicating a balanced approach to leveraging. However, a decline in stockholders' equity raises concerns. The equity ratio remains stable, suggesting the company maintains a reasonable level of equity relative to its assets, but the decrease in ROE indicates reduced profitability on shareholder investment.

Cash Flow

The cash flow statement reveals a downturn in free cash flow, impacting the company's liquidity. While operating cash flow remains positive, contributing to some stability, the negative free cash flow growth highlights cash management challenges. The ratios of operating and free cash flow to net income are strained due to recent net losses.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	6.79B	6.16B	6.33B	5.39B	4.65B
Gross Profit	1.02B	1.17B	1.19B	844.43M	765.28M
EBITDA	260.96M	452.06M	484.09M	262.36M	290.06M
Net Income	-74.85M	176.82M	233.26M	40.68M	45.20M
Balance Sheet
Total Assets	8.90B	8.65B	8.14B	8.18B	8.30B
Cash, Cash Equivalents and Short-Term Investments	436.80M	481.21M	377.01M	281.08M	291.34M
Total Debt	2.60B	2.12B	1.86B	2.31B	2.64B
Total Liabilities	4.92B	4.47B	4.06B	4.29B	4.43B
Stockholders Equity	3.98B	4.18B	4.08B	3.88B	3.86B
Cash Flow
Free Cash Flow	-488.18M	170.20M	652.77M	465.06M	341.98M
Operating Cash Flow	104.11M	435.07M	825.37M	534.53M	373.11M
Investing Cash Flow	-585.44M	-276.85M	-175.84M	-80.19M	-15.98M
Financing Cash Flow	436.92M	-54.01M	-573.61M	-464.61M	-264.75M

Miyairi Valve Mfg.Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 137.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6495, the sentiment is Positive. The current price of 137 is below the 20-day moving average (MA) of 250.25, below the 50-day MA of 192.84, and above the 200-day MA of 134.32, indicating a bullish trend. The MACD of 29.11 indicates Negative momentum. The RSI at 61.00 is Neutral, neither overbought nor oversold. The STOCH value of 47.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6495.

Miyairi Valve Mfg.Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6492	77 Outperform	¥16.71B	15.97	―	0.72%	6.51%	3.68%
6490	76 Outperform	¥200.97B	22.58	―	2.50%	-2.46%	-10.72%
6498	72 Outperform	¥187.69B	16.40	10.44%	2.77%	2.74%	7.86%
6486	70 Outperform	¥168.25B	20.47	―	3.88%	1.70%	18.50%
6496	69 Neutral	¥26.93B	16.86	―	1.82%	34.70%	-8.44%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6495	55 Neutral	¥13.20B	242.29	―	1.65%	3.96%	―