TOYO ELECTRIC MFG CO LTD (6505) AI Stock Analysis

• Market Cap: ¥18.55B
• Dividend Yield: 3.41%
• Average Volume (3M): 51.43K
• Price to Earnings (P/E): 9.0
• Beta (1Y): 0.75
• Revenue Growth: 26.13%
• EPS Growth: 132.94%
• Country: JP
• Employees: 1,147
• Sector: Industrials
• Sector Strength: 73
• Industry: Industrial - Machinery
• EPS (TTM): 94.67
• Shares Outstanding: 9,735,000
• 10 Day Avg. Volume: 44,180
• 30 Day Avg. Volume: 51,433
• 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: ¥2,352.00
• Price Target Upside: 14.51% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 81 Outperform
• Price Target: ¥2,352.00 ▲(14.51% Upside)

TOYO ELECTRIC MFG CO LTD's strong financial performance and bullish technical indicators are the most significant factors driving the high score. The stock's low P/E ratio and attractive dividend yield further enhance its appeal. However, the lack of earnings call data and corporate events limits the analysis to these key areas.

TOYO ELECTRIC MFG CO LTD Business Overview & Revenue Model

Company Description

TOYO ELECTRIC MFG CO LTD (6505) is a Japanese company specializing in the manufacturing and development of electrical and electronic equipment. The company operates primarily in the sectors of industrial machinery, electrical components, and automation systems. TOYO ELECTRIC offers a wide range of products, including transformers, power supplies, and control devices, catering to various industries such as manufacturing, energy, and telecommunications.

How the Company Makes Money

TOYO ELECTRIC MFG CO LTD generates revenue through the sales of its electrical and electronic products to a diverse clientele across various industries. The company's primary revenue streams include the manufacturing and sale of transformers, power supplies, and automation systems. By establishing partnerships with key players in industrial sectors, TOYO ELECTRIC enhances its market reach and leverages collaborative projects to drive sales. Additionally, the company may engage in after-sales services and maintenance contracts, providing ongoing revenue and fostering customer loyalty. The global demand for efficient electrical solutions and advancements in automation technology further contribute to the company's earnings.

TOYO ELECTRIC MFG CO LTD Financial Statement Overview

Summary

TOYO ELECTRIC MFG CO LTD demonstrates strong financial performance with robust revenue growth and improving profitability margins. The balance sheet reflects a stable financial position with manageable debt levels. Cash flow generation is strong, but there is potential for improvement in cash flow efficiency. The company should continue to focus on stabilizing revenue growth and enhancing cash flow management to maintain its financial health.

Income Statement

TOYO ELECTRIC MFG CO LTD has shown strong revenue growth of 11.56% in the latest period, with improving gross and net profit margins. The EBIT and EBITDA margins have also improved, indicating enhanced operational efficiency. However, the company experienced fluctuating revenue growth in previous years, which could pose a risk if not stabilized.

Balance Sheet

The company's debt-to-equity ratio has improved over the years, indicating better leverage management. The return on equity has been positive, showing profitability, but there is room for improvement. The equity ratio suggests a stable financial structure, but the company should continue to monitor its debt levels to maintain financial health.

Cash Flow

TOYO ELECTRIC MFG CO LTD has shown significant free cash flow growth, indicating strong cash generation capabilities. However, the operating cash flow to net income ratio suggests that cash flow generation relative to net income could be improved. The free cash flow to net income ratio is healthy, but the company should focus on sustaining cash flow growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	38.94B	40.54B	32.14B	31.02B	30.16B	33.14B
Gross Profit	9.91B	10.60B	8.17B	7.20B	6.82B	7.34B
EBITDA	3.12B	3.49B	2.20B	2.05B	84.00M	2.64B
Net Income	1.75B	2.13B	935.00M	824.00M	-930.00M	977.00M
Balance Sheet
Total Assets	53.82B	53.21B	51.65B	49.68B	46.92B	51.97B
Cash, Cash Equivalents and Short-Term Investments	3.91B	5.01B	6.42B	5.52B	4.45B	3.96B
Total Debt	12.83B	9.21B	10.59B	11.17B	11.76B	13.84B
Total Liabilities	27.64B	25.83B	25.58B	25.10B	24.91B	27.96B
Stockholders Equity	26.18B	27.38B	26.07B	24.58B	22.01B	24.01B
Cash Flow
Free Cash Flow	0.00	25.00M	1.45B	474.00M	2.13B	1.19B
Operating Cash Flow	0.00	601.00M	1.85B	815.00M	2.50B	1.78B
Investing Cash Flow	0.00	-290.00M	-413.00M	635.00M	289.00M	-155.00M
Financing Cash Flow	0.00	-2.00B	-979.00M	-390.00M	-2.36B	-971.00M

TOYO ELECTRIC MFG CO LTD Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2054.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6505, the sentiment is Positive. The current price of 2054 is above the 20-day moving average (MA) of 1996.80, above the 50-day MA of 1859.32, and above the 200-day MA of 1401.38, indicating a bullish trend. The MACD of 48.60 indicates Positive momentum. The RSI at 63.48 is Neutral, neither overbought nor oversold. The STOCH value of 87.13 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6505.

TOYO ELECTRIC MFG CO LTD Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6505	81 Outperform	¥18.55B	8.97		3.41%	26.13%	132.94%
6373	79 Outperform	¥14.86B	15.55		1.84%	2.44%	163.48%
6203	72 Outperform	¥16.86B	18.33		1.47%	29.02%	―
6317	71 Outperform	¥15.73B	5.37		2.98%	-6.23%	405.48%
6496	68 Neutral	¥18.21B	10.39		1.95%	27.72%	70.12%
Sector *	63 Neutral	$10.73B	15.32	7.37%	2.01%	2.86%	-14.57%
6210	54 Neutral	¥13.64B	―		5.26%	-1.14%	68.17%

TOYO ELECTRIC MFG CO LTD Corporate Events

Toyo Denki Seizo Reports Extraordinary Income from Asset Sale

Toyo Denki Seizo K.K. announced the sale of a portion of its cross-shareholdings, resulting in an extraordinary income gain of 281 million yen. This move aims to improve asset efficiency and strengthen the company’s financial structure, with the gain being recognized in the fiscal year ending May 31, 2025.

Toyo Denki Seizo K.K. Reports Robust Financial Growth and Positive Outlook

Toyo Denki Seizo K.K. reported significant growth in its financial performance for the nine months ending February 28, 2025, with net sales increasing by 30.6% and operating profit surging by 708.1% compared to the previous year. The company also revised its financial forecast, projecting continued growth in net sales and profits, which indicates a strong market position and potential positive implications for stakeholders.

Toyo Denki Revises Performance and Dividend Forecasts Upward

Toyo Denki Seizo K.K. has revised its consolidated performance and dividend forecasts for the fiscal year ending May 31, 2025, citing stronger-than-expected demand in its Transportation Business and successful cost reduction efforts. The company has increased its net sales forecast by 2.7% and its profit attributable to owners by 8.3%, leading to a revised year-end dividend forecast of 44 yen per share, up from the previous 40 yen, reflecting its commitment to enhancing corporate value and shareholder returns.