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Yaskawa Electric Corporation (JP:6506)
:6506

Yaskawa Electric (6506) AI Stock Analysis

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JP:6506

Yaskawa Electric

(6506)

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Outperform 72 (OpenAI - 5.2)
Rating:72Outperform
Price Target:
¥4,709.00
▲(11.01% Upside)
Action:ReiteratedDate:01/11/26
The score is driven primarily by solid overall fundamentals (strong growth and a strong balance sheet) but held back by weak recent cash conversion and margin compression. Technicals are constructive and provide support, while valuation is a notable headwind due to the high P/E and modest yield.
Positive Factors
Revenue Growth
Sustained TTM revenue growth of ~54% signals expanding market adoption of Yaskawa's automation and robotics solutions. Durable top-line expansion increases installed base, drives recurring service and spare-parts demand, and supports long-term scale benefits across global manufacturing end markets.
Negative Factors
Margin Compression
A meaningful decline in net margin reduces the company's ability to convert revenue growth into durable profitability. If driven by cost inflation, product mix shifts or pricing pressure, compressed margins can persistently erode cash flow, ROE and reinvestment capacity absent corrective actions.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Growth
Sustained TTM revenue growth of ~54% signals expanding market adoption of Yaskawa's automation and robotics solutions. Durable top-line expansion increases installed base, drives recurring service and spare-parts demand, and supports long-term scale benefits across global manufacturing end markets.
Read all positive factors

Yaskawa Electric (6506) vs. iShares MSCI Japan ETF (EWJ)

Yaskawa Electric Business Overview & Revenue Model

Company Description
YASKAWA Electric Corporation engages in motion control, robotics, system engineering, and other businesses worldwide. It manufactures and sells various AC drives, including general purpose AC drives, specific purpose AC drives, AC Drive for system...
How the Company Makes Money
Yaskawa makes money primarily by selling industrial automation and motion-control equipment and providing related services. Key revenue streams generally include: (1) Motion Control: sales of servo motors, servo drives/amplifiers, controllers, and...

Yaskawa Electric Financial Statement Overview

Summary
Strong revenue growth (+54% TTM) and a conservatively levered balance sheet (debt-to-equity ~0.25) support quality. However, net margin has compressed (~6.9% TTM vs ~10.6% annually) and TTM free cash flow is slightly negative (~-1.3B), which meaningfully weakens near-term financial confidence.
Income Statement
78
Positive
Balance Sheet
82
Very Positive
Cash Flow
54
Neutral
BreakdownTTMFeb 2026Feb 2025Feb 2024Feb 2023Feb 2022
Income Statement
Total Revenue539.22B537.68B575.66B555.96B479.08B389.71B
Gross Profit191.34B191.48B209.10B192.01B168.65B116.37B
EBITDA75.19B103.07B92.35B93.20B74.07B44.62B
Net Income37.05B56.99B50.69B51.78B38.35B18.93B
Balance Sheet
Total Assets796.57B743.77B702.34B653.13B559.04B487.43B
Cash, Cash Equivalents and Short-Term Investments43.72B59.03B40.28B42.27B55.15B50.95B
Total Debt117.71B109.53B95.90B99.56B68.04B76.54B
Total Liabilities323.87B304.16B294.31B298.05B260.93B237.86B
Stockholders Equity463.22B431.19B399.34B347.50B291.23B246.27B
Cash Flow
Free Cash Flow-1.27B19.20B23.59B-24.14B25.01B30.99B
Operating Cash Flow47.61B56.51B54.62B-2.21B49.23B39.60B
Investing Cash Flow-48.07B-21.29B-29.35B-19.69B-24.16B-9.44B
Financing Cash Flow-1.15B-15.67B-29.42B7.20B-22.48B-20.45B

Yaskawa Electric Technical Analysis

Technical Analysis Sentiment
Negative
Last Price4242.00
Price Trends
50DMA
4994.60
Negative
100DMA
4710.54
Negative
200DMA
3976.32
Positive
Market Momentum
MACD
-184.34
Positive
RSI
34.46
Neutral
STOCH
25.10
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6506, the sentiment is Negative. The current price of 4242 is below the 20-day moving average (MA) of 4763.90, below the 50-day MA of 4994.60, and above the 200-day MA of 3976.32, indicating a neutral trend. The MACD of -184.34 indicates Positive momentum. The RSI at 34.46 is Neutral, neither overbought nor oversold. The STOCH value of 25.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6506.

Yaskawa Electric Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
¥161.71B16.571.53%3.37%21.35%
72
Outperform
$1.15T35.768.39%1.49%-2.18%30.16%
72
Outperform
¥134.06B3.868.07%2.64%79.29%35.48%
71
Outperform
¥10.81T21.589.29%1.19%4.62%40.65%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
63
Neutral
¥1.55T19.9512.05%1.50%5.44%-5.19%
59
Neutral
¥48.95B-60.125.01%-32.74%-117.06%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6506
Yaskawa Electric
4,387.00
403.97
10.14%
JP:6503
Mitsubishi Electric
5,275.00
2,499.15
90.03%
JP:6504
Fuji Electric Co
10,870.00
4,292.64
65.26%
JP:6804
Hosiden
2,624.00
586.69
28.80%
JP:6516
Sanyo Denki Co., Ltd.
4,390.00
1,394.55
46.56%
JP:6905
Cosel Co., Ltd.
1,190.00
163.87
15.97%

Yaskawa Electric Corporate Events

Yaskawa Electric Holds Forecast and Dividend as Profit Slumps Despite Stable Revenue
Jan 9, 2026
Yaskawa Electric reported consolidated revenue of ¥395.2 billion for the first three quarters of the fiscal year ending February 28, 2026, a slight 0.4% increase year on year, while operating profit dipped 3.3% to ¥33.2 billion and profi...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jan 11, 2026