Kitz (6498) AI Stock Analysis

• Market Cap: ¥148.27B
• Dividend Yield: 2.87%
• Average Volume (3M): 321.75K
• Price to Earnings (P/E): 12.8
• Beta (1Y): 0.93
• Revenue Growth: 2.74%
• EPS Growth: 7.86%
• Country: JP
• Employees: 5,415
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 32.43
• Shares Outstanding: 87,565,610
• 10 Day Avg. Volume: 453,540
• 30 Day Avg. Volume: 321,746
• PEG Ratio: 0.00
• Price to Book (P/B): 0.00
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 143.75
• Revenue Forecast (FY): ¥181.00B

• Rating: 72 Outperform
• Price Target: ¥1,858.00 ▲(11.06% Upside)

Kitz's strong financial performance is the most significant factor driving its overall score, supported by solid revenue growth and profitability. The valuation is attractive with a reasonable P/E ratio and a good dividend yield. However, technical indicators suggest short-term bearish momentum, which slightly offsets the positive financial and valuation aspects.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion.

Cash Generation

Strong cash generation enhances financial flexibility, allowing for reinvestment in growth initiatives and resilience against market fluctuations.

Balance Sheet Health

A strong balance sheet with low leverage provides stability and reduces financial risk, supporting sustainable long-term operations.

Negative Factors

Market Position Challenges

Lack of recent strategic initiatives or partnerships may indicate challenges in maintaining competitive market positioning.

Profit Margin Pressure

While operationally efficient, relatively modest net profit margins could be pressured by rising costs or competitive pricing strategies.

Stock Performance

Short-term bearish momentum may reflect investor concerns, potentially impacting capital raising or shareholder sentiment.

Kitz Business Overview & Revenue Model

Company Description

Kitz (6498) is a Japanese company primarily engaged in the manufacturing and sales of high-quality valves and fittings used in various industries, including oil and gas, water supply, and building construction. The company is known for its innovative designs and commitment to quality, offering products that meet international standards and cater to both domestic and global markets. Kitz operates through different business segments, focusing on the production of industrial valves, plumbing equipment, and other related products, ensuring a diverse portfolio to serve various customer needs.

How the Company Makes Money

Kitz generates revenue primarily through the sale of its industrial valves and fittings, which are essential components in numerous applications across different sectors. The company's revenue model is based on direct sales to industrial clients, distributors, and contractors, as well as exports to international markets. Key revenue streams include the manufacturing of custom products tailored to specific industry requirements, which often command higher prices due to their specialized nature. Additionally, Kitz benefits from strategic partnerships with other manufacturers and distributors to enhance market reach and efficiency. The company also invests in research and development to innovate and improve product offerings, thereby driving sales growth and maintaining a competitive edge in the market.

Kitz Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	175.56B	172.04B	166.94B	159.91B	135.79B	117.25B
Gross Profit	46.71B	44.97B	42.42B	38.82B	34.46B	30.50B
EBITDA	23.70B	23.84B	21.07B	19.22B	16.25B	12.69B
Net Income	11.60B	11.82B	10.59B	8.55B	4.95B	3.56B
Balance Sheet
Total Assets	175.43B	172.41B	166.69B	152.57B	143.42B	140.68B
Cash, Cash Equivalents and Short-Term Investments	24.91B	30.73B	29.00B	24.37B	27.94B	33.72B
Total Debt	33.40B	34.78B	37.94B	36.92B	38.87B	0.00
Total Liabilities	61.86B	62.60B	64.48B	61.53B	62.17B	65.51B
Stockholders Equity	112.11B	108.39B	100.87B	89.96B	80.37B	69.13B
Cash Flow
Free Cash Flow	3.45B	9.15B	7.12B	1.13B	4.58B	13.21B
Operating Cash Flow	13.78B	18.56B	16.01B	8.54B	8.28B	16.98B
Investing Cash Flow	-10.12B	-7.84B	-7.41B	-7.47B	-3.24B	-3.36B
Financing Cash Flow	-10.46B	-9.91B	-5.19B	-5.57B	-11.53B	8.96B

Kitz Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1673.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6498, the sentiment is Neutral. The current price of 1673 is below the 20-day moving average (MA) of 1699.70, below the 50-day MA of 1708.18, and above the 200-day MA of 1371.63, indicating a neutral trend. The MACD of -1.11 indicates Positive momentum. The RSI at 45.35 is Neutral, neither overbought nor oversold. The STOCH value of 10.24 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6498.

Kitz Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6496	76 Outperform	¥20.36B	14.66	―	1.84%	34.70%	-8.44%
6498	72 Outperform	¥148.27B	12.82	10.44%	2.87%	2.74%	7.86%
6486	69 Neutral	¥137.50B	18.31	―	3.93%	1.70%	18.50%
6490	67 Neutral	¥105.57B	12.27	―	2.71%	-2.46%	-10.72%
6492	65 Neutral	¥13.23B	12.65	―	0.77%	6.51%	3.68%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6495	50 Neutral	¥5.81B	97.12	―	1.65%	3.96%	―