Fulltech Co. Ltd. (6546) AI Stock Analysis

• Market Cap: ¥6.11B
• Dividend Yield: 2.64%
• Average Volume (3M): 2.36K
• Price to Earnings (P/E): 28.6
• Beta (1Y): 0.18
• Revenue Growth: 2.49%
• EPS Growth: -32.03%
• Country: JP
• Employees: 719
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): -4.27
• Shares Outstanding: 5,367,800
• 10 Day Avg. Volume: 2,910
• 30 Day Avg. Volume: 2,356
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 58 Neutral
• Price Target: ¥1,184.00 ▼(-1.42% Downside)
• Action: Downgraded Date: 03/21/26
• Date: Action: Downgraded 03/21/26

The score is primarily held back by weakened earnings quality and a sharp 2025 reversal into negative operating and free cash flow despite strong revenue growth. Technical indicators add a mildly bearish-to-neutral backdrop, while valuation is only moderately supported by the dividend given the elevated P/E.

Positive Factors

Conservative balance sheet (low leverage)

Low debt-to-equity (~0.10–0.12) and steady equity growth give Fulltech durable financial flexibility. This reduces refinancing and solvency risk, supports capital spending or cyclical cushions, and allows management to pursue strategic investments without immediate liquidity pressure.

Accelerating revenue growth

A 32.7% revenue acceleration in 2025 reflects improving demand or market share gains, implying structural top-line momentum. Sustained higher sales provide scale benefits, can support longer-term margin recovery if cost controls follow, and underpins growth-oriented strategic planning.

Moderate dividend supports shareholder returns

A ~2.8% dividend indicates consistent cash-return discipline and helps anchor investor expectations across cycles. For income-focused holders this adds structural support to total returns and signals management willingness to allocate cash to shareholders when feasible.

Negative Factors

Sharp cash-flow reversal in 2025

The move to deeply negative operating and free cash flow in 2025 materially weakens the firm's cash generation profile. Persistent negative FCF can force external financing, constrain reinvestment or dividends, and increase vulnerability to demand shocks or higher funding costs over the medium term.

Profitability deterioration and compressed returns

A sharp decline in net income and mid-single-digit ROE indicate the company is not consistently converting revenue into attractive returns. Structural margin pressure or adverse product mix can limit reinvestment capacity and weaken long-term capital efficiency and shareholder value creation.

Weakened earnings quality raises execution risk

Weakened earnings quality and volatile cash generation point to execution and working-capital issues. This reduces predictability of results, complicates budgeting and strategic execution, and increases the probability of management needing remedial actions or costly external financing.

Fulltech Co. Ltd. Business Overview & Revenue Model

Company Description

Fulltech Co.Ltd. manufactures, sells, constructs, and maintains hardware and related products. The company's products include automatic doors, automatic door peripheral products, stainless steel sash products, smoking area systems, security products, and others. It also engages in the sale, operation, and management of the bicycle parking racks and systems. The company was founded in 1963 and is headquartered in Sapporo, Japan.

How the Company Makes Money

null

Fulltech Co. Ltd. Financial Statement Overview

Summary

Strong revenue acceleration in 2025 (+32.7%) and a conservative balance sheet (low debt-to-equity) are positives, but profitability weakened (net income fell to 250.1M from 457.9M) and 2025 cash generation deteriorated sharply (operating cash flow and free cash flow turned materially negative), increasing execution and liquidity risk.

Income Statement

Revenue growth is solid overall, accelerating to 32.7% in 2025 after mid-to-high single-digit growth in 2022–2024, but profitability is inconsistent. Earnings fell sharply in 2025 versus 2024 (net income down from 457.9M to 250.1M) and margins have compressed from stronger 2020–2021 levels to modest levels in 2023–2024, suggesting cost pressure or mix shift despite higher sales.

Balance Sheet

Leverage looks conservative with low debt relative to equity (about 0.10–0.12 in 2023–2024), and equity has steadily increased over time, supporting balance-sheet resilience. The main weakness is subdued returns on shareholder capital (ROE mostly mid-single digits recently, dipping to ~3.6% in 2025), implying the company is not consistently converting its balance-sheet strength into strong profitability.

Cash Flow

Cash generation has been volatile: operating cash flow and free cash flow were positive in 2021–2024, but 2025 flipped meaningfully negative (operating cash flow -872.8M; free cash flow -1,003.7M). While 2023–2024 showed improving free cash flow, the sharp reversal in 2025 raises concerns around working-capital swings or elevated investment needs and reduces near-term financial flexibility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	13.52B	13.57B	13.81B	12.78B	11.94B	11.51B
Gross Profit	4.69B	4.72B	4.64B	4.05B	3.57B	4.04B
EBITDA	720.82M	699.84M	824.37M	621.50M	230.74M	775.37M
Net Income	399.31M	250.06M	457.90M	239.21M	94.05M	436.61M
Balance Sheet
Total Assets	11.07B	11.43B	12.31B	12.08B	10.90B	11.11B
Cash, Cash Equivalents and Short-Term Investments	2.14B	1.80B	2.84B	2.65B	1.81B	1.86B
Total Debt	593.00M	823.05M	696.84M	751.66M	92.09M	211.31M
Total Liabilities	4.27B	4.43B	5.63B	5.68B	4.74B	4.66B
Stockholders Equity	6.80B	7.00B	6.69B	6.41B	6.15B	6.45B
Cash Flow
Free Cash Flow	0.00	-1.00B	644.64M	387.46M	310.57M	450.42M
Operating Cash Flow	0.00	-872.77M	753.16M	649.01M	376.44M	490.10M
Investing Cash Flow	0.00	-215.09M	-66.83M	-318.51M	-136.83M	-312.15M
Financing Cash Flow	0.00	-45.59M	-503.30M	509.28M	-287.79M	-212.99M

Fulltech Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1201.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6546, the sentiment is Neutral. The current price of 1201 is above the 20-day moving average (MA) of 1134.25, above the 50-day MA of 1161.56, and above the 200-day MA of 1155.84, indicating a neutral trend. The MACD of -9.68 indicates Negative momentum. The RSI at 47.53 is Neutral, neither overbought nor oversold. The STOCH value of 71.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6546.

Fulltech Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6360	79 Outperform	¥5.54B	8.84	―	6.61%	-30.65%	-46.85%
6158	71 Outperform	¥6.22B	16.81	―	4.08%	-11.74%	-46.96%
6518	70 Outperform	¥5.72B	6.11	―	2.50%	9.07%	―
6408	67 Neutral	¥6.89B	3.03	―	1.37%	-3.05%	―
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6494	62 Neutral	¥5.70B	17.92	―	―	9.59%	54.63%
6546	58 Neutral	¥6.11B	28.64	―	2.64%	2.49%	-32.03%