Yaskawa Electric (6506) AI Stock Analysis

• Market Cap: $859.27B
• Dividend Yield: 2.05%
• Average Volume (3M): 3.11M
• Price to Earnings (P/E): 15.0
• Beta (1Y): 1.42
• Revenue Growth: -6.60%
• EPS Growth: 12.74%
• Country: JP
• Employees: 13,010
• Sector: Industrials
• Sector Strength: 90
• Industry: Electrical Equipment & Parts
• EPS (TTM): 44.40
• Shares Outstanding: 266,690,500
• 10 Day Avg. Volume: 4,255,690
• 30 Day Avg. Volume: 3,111,996
• PEG Ratio: -1.97
• Price to Book (P/B): 1.82
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 40.80
• 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: $3,859.88
• Price Target Upside: 17.43% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 70 Outperform
• Price Target: ¥3,614.00 ▲(9.95%Upside)

Yaskawa Electric demonstrates strong financial performance with stable operations and balance sheet strength, contributing significantly to its stock score. Technical analysis suggests a stable trend without strong momentum signals. Valuation metrics show the stock is fairly valued, with modest dividend yield. These factors collectively provide a solid foundation for the company’s stock score.

Yaskawa Electric Business Overview & Revenue Model

Company Description

Yaskawa Electric Corporation, listed on the Tokyo Stock Exchange under ticker symbol 6506, is a global leader in the automation industry, providing innovative solutions across various sectors including industrial robotics, motion control, and systems engineering. The company is renowned for its advanced technology in robotics, drives, motion control, and system engineering, enhancing productivity and efficiency for industries such as manufacturing, automotive, electronics, and energy.

How the Company Makes Money

Yaskawa Electric Corporation generates revenue primarily through the sale of its automation and robotic products, which include industrial robots, motion controllers, and drive systems. The company's revenue streams are diversified across several key segments: motion control, robotics, and system engineering. The motion control segment includes sales of AC drives, servo drives, and machine controllers, which are used in manufacturing and process automation. The robotics segment is driven by the sale and servicing of industrial robots used in various applications like welding, assembly, and packaging. Additionally, the company engages in system engineering, providing comprehensive solutions that integrate its products into customer operations. Yaskawa's earnings are further supported by strategic partnerships and collaborations with other technology and industrial firms, enhancing its market reach and technological capabilities.

Yaskawa Electric Financial Statement Overview

Summary

Yaskawa Electric exhibits strong financial health overall, with solid revenue growth and efficient operations. The balance sheet reflects stability and prudent financial management. While cash flow management has seen some volatility, the company remains fundamentally sound with opportunities to enhance cash flow efficiency.

Income Statement

The company has shown consistent revenue growth over the years, with a slight decline in the most recent year. Gross profit margins are healthy, and EBIT margins indicate efficient operational performance. However, net profit margin shows some volatility, reflecting fluctuations in net income, which could be a concern for sustained profitability.

Balance Sheet

The balance sheet is strong, with a solid equity base and a manageable debt-to-equity ratio. The equity ratio is robust, indicating financial stability. Return on equity is consistently positive, reflecting effective use of shareholder funds.

Cash Flow

Operating cash flow is generally positive, although there was a significant drop in one year. Free cash flow has fluctuated, with negative figures in some periods, potentially indicating challenges in cash management. The cash flow metrics suggest room for improvement in cash generation relative to net income.

Breakdown
Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
537.68B	575.66B	555.96B	479.08B	389.71B
	Gross Profit
191.48B	209.10B	192.01B	168.65B	116.37B
	EBIT
49.29B	65.17B	68.30B	52.86B	27.18B
	EBITDA
100.28B	86.55B	83.17B	70.19B	43.27B
	Net Income Common Stockholders
56.99B	50.69B	51.78B	38.35B	18.93B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
59.03B	40.28B	46.74B	57.23B	52.91B
	Total Assets
743.77B	702.34B	653.13B	559.04B	487.43B
	Total Debt
109.53B	95.90B	99.56B	68.04B	76.54B
	Net Debt
50.50B	55.62B	57.29B	12.89B	25.59B
	Total Liabilities
304.16B	294.32B	298.06B	260.94B	237.87B
	Stockholders Equity
431.19B	399.34B	347.50B	291.23B	246.27B
Cash Flow		Free Cash Flow
19.20B	23.59B	-24.14B	25.01B	30.99B
	Operating Cash Flow
56.51B	54.62B	-2.21B	49.23B	39.60B
	Investing Cash Flow
-21.29B	-29.35B	-19.69B	-24.16B	-9.60B
	Financing Cash Flow
-15.67B	-29.42B	7.20B	-22.48B	-20.28B

Yaskawa Electric Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 3287.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6506, the sentiment is Neutral. The current price of 3287 is below the 20-day moving average (MA) of 3318.15, above the 50-day MA of 3154.55, and below the 200-day MA of 4027.09, indicating a neutral trend. The MACD of 7.55 indicates Positive momentum. The RSI at 51.28 is Neutral, neither overbought nor oversold. The STOCH value of 22.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6506.

Yaskawa Electric Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5803	76 Outperform	€1.90T	20.89	24.26%	1.46%	22.46%	78.59%
6504	76 Outperform	$952.44B	10.38	14.10%	2.32%	1.83%	21.82%
6503	75 Outperform	¥6.24T	19.08	8.40%	1.72%	5.02%	14.73%
6516	72 Outperform	¥120.81B	21.43		1.63%	-13.34%	-45.52%
6506	70 Outperform	$859.27B	15.04	13.62%	2.05%	-6.60%	12.74%
5801	70 Neutral	¥492.69B	14.78	9.85%	2.03%	13.75%	412.79%
Sector *	66 Neutral	$4.49B	12.34	5.40%	248.65%	4.13%	-12.33%

Yaskawa Electric Corporate Events

Yaskawa Electric Reports Mixed Financial Results for FY 2025

Yaskawa Electric reported a decrease in revenue and operating profit for the fiscal year ending February 28, 2025, with revenue down by 6.6% and operating profit dropping by 24.3%. Despite these declines, the company saw an increase in profit before tax and profit attributable to owners of the parent, indicating some resilience in its financial performance. Looking ahead, Yaskawa plans to increase revenue and operating profit in the next fiscal year by capitalizing on recovering market demand and optimizing production and sales. However, a decrease in profit before tax and earnings per share is expected due to the absence of previous gains from share transfers.