KANAME KOGYO Co., Ltd. (6566) AI Stock Analysis

• Market Cap: ¥18.41B
• Dividend Yield: 2.39%
• Average Volume (3M): 4.18K
• Price to Earnings (P/E): 12.1
• Beta (1Y): 0.33
• Revenue Growth: 5.26%
• EPS Growth: 11.18%
• Country: JP
• Employees: 462
• Sector: Industrials
• Sector Strength: 70
• Industry: Waste Management
• EPS (TTM): 23.56
• Shares Outstanding: 15,871,400
• 10 Day Avg. Volume: 2,150
• 30 Day Avg. Volume: 4,176
• 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: ¥1,281.00
• Price Target Upside: 10.24% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 73 Outperform
• Price Target: ¥1,281.00 ▲(10.24% Upside)

KANAME KOGYO Co., Ltd. has a strong financial foundation with robust revenue growth and profitability, which is the most significant factor in its overall score. The technical analysis indicates neutral momentum, while the valuation suggests the stock is fairly priced with a reasonable dividend yield. The absence of earnings call data and corporate events does not impact the score.

KANAME KOGYO Co., Ltd. Business Overview & Revenue Model

Company Description

KANAME KOGYO Co., Ltd. (6566) is a Japan-based company primarily engaged in the construction business. The company offers a wide range of services including civil engineering, construction work, and maintenance of facilities. It is involved in both public and private sector projects, providing comprehensive solutions from planning and design to construction and maintenance.

How the Company Makes Money

KANAME KOGYO Co., Ltd. generates revenue through its diverse construction services. Its key revenue streams include contracts for civil engineering projects, building construction, and facility maintenance. The company engages in both government and private sector contracts, leveraging its expertise to secure large-scale projects. Additionally, KANAME KOGYO may benefit from strategic partnerships or joint ventures that enhance its project portfolio and expand its market reach, contributing to its overall earnings.

KANAME KOGYO Co., Ltd. Financial Statement Overview

Summary

KANAME KOGYO Co., Ltd. exhibits strong financial health with steady revenue growth and improved profitability margins, highlighting effective operational management. The balance sheet is robust with low leverage and high equity ratios, promoting stability. Cash flow generation is strong, although fluctuations in financing activities warrant attention.

Income Statement

The company demonstrates robust revenue growth with a CAGR of about 5.5% over the past five years, reaching a total revenue of ¥14,506,733,000 in 2025. The gross profit margin has consistently improved, achieving approximately 23.3% in 2025. Net profit margins have also improved significantly, reaching 10.4% in 2025 from 5.6% in 2020, indicating strong operational efficiencies and cost management. However, the slight decrease in EBITDA margin from 12.8% to 11.9% in 2025 suggests room for improvement in operational costs.

Balance Sheet

The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.05 in 2025, reflecting conservative financial leverage and effective debt management. The equity ratio is high at 81.1%, indicating solid asset funding through equity. Return on equity (ROE) has increased to 7.7% in 2025, showcasing the company's ability to generate profits from shareholder investments. The consistent increase in stockholders' equity over the years further highlights financial stability.

Cash Flow

Operating cash flow has shown a consistent upward trend, reaching ¥2,133,567,000 in 2025. The free cash flow has grown significantly, reflecting effective capital expenditure management and a focus on generating cash efficiently. The free cash flow to net income ratio is healthy, suggesting good conversion of income into cash. However, fluctuations in financing cash flow indicate potential challenges in maintaining steady financing activities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.51B	14.51B	13.50B	13.03B	11.93B	11.00B
Gross Profit	3.37B	3.37B	2.98B	2.91B	2.39B	1.96B
EBITDA	2.79B	2.88B	2.44B	2.35B	1.86B	1.55B
Net Income	1.51B	1.51B	1.29B	1.26B	873.00M	618.22M
Balance Sheet
Total Assets	24.13B	24.13B	23.58B	22.43B	21.45B	20.85B
Cash, Cash Equivalents and Short-Term Investments	5.64B	5.64B	5.78B	5.43B	4.80B	4.48B
Total Debt	978.78M	978.78M	1.46B	1.52B	1.84B	1.99B
Total Liabilities	4.55B	4.55B	5.12B	5.00B	5.01B	5.07B
Stockholders Equity	19.57B	19.57B	18.46B	17.43B	16.44B	15.78B
Cash Flow
Free Cash Flow	0.00	1.09B	1.23B	1.55B	792.44M	1.07B
Operating Cash Flow	0.00	2.13B	1.81B	1.93B	1.38B	1.55B
Investing Cash Flow	0.00	-1.19B	-623.58M	-451.59M	-679.18M	-539.98M
Financing Cash Flow	0.00	-1.09B	-830.06M	-771.64M	-462.24M	-853.52M

KANAME KOGYO Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1162.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6566, the sentiment is Positive. The current price of 1162 is below the 20-day moving average (MA) of 1162.15, below the 50-day MA of 1174.76, and above the 200-day MA of 1118.64, indicating a neutral trend. The MACD of -3.30 indicates Negative momentum. The RSI at 52.91 is Neutral, neither overbought nor oversold. The STOCH value of 68.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6566.

KANAME KOGYO Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1712	77 Outperform	¥20.36B	14.97		1.16%	-5.25%	-11.55%
5699	77 Outperform	¥4.57B	10.89		1.86%	-5.80%	-23.45%
6566	73 Outperform	¥18.41B	12.11		2.39%	5.26%	11.18%
9221	69 Neutral	¥13.13B	14.11		2.50%	8.44%	264.80%
5698	67 Neutral	¥14.72B	12.50		3.09%	-5.98%	117.92%
4245	65 Neutral	¥9.08B	34.46		3.51%	7.87%	-43.45%
Sector *	63 Neutral	$10.73B	15.32	7.37%	2.01%	2.86%	-14.57%