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

• Market Cap: ¥23.74B
• Dividend Yield: 1.86%
• Average Volume (3M): 24.21K
• Price to Earnings (P/E): 15.5
• Beta (1Y): 0.45
• Revenue Growth: 4.09%
• EPS Growth: 9.96%
• Country: JP
• Employees: 462
• Sector: Industrials
• Sector Strength: 72
• Industry: Waste Management
• EPS (TTM): 24.01
• Shares Outstanding: 15,871,400
• 10 Day Avg. Volume: 6,670
• 30 Day Avg. Volume: 24,210
• PEG Ratio: 0.64
• Price to Book (P/B): 0.88
• Price to Sales (P/S): 1.19
• P/FCF Ratio: 15.82
• 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: 73 Outperform
• Price Target: ¥1,766.00 ▲(50.81% Upside)

KANAME KOGYO Co., Ltd. demonstrates strong financial performance with robust revenue growth and profitability, supported by a solid balance sheet. The technical analysis indicates bullish momentum, though caution is advised due to overbought signals. Valuation metrics suggest the stock is fairly valued, with a reasonable P/E ratio and a modest dividend yield. The absence of earnings call data and corporate events does not impact the overall assessment.

Positive Factors

Revenue Growth

KANAME KOGYO's consistent revenue growth indicates strong demand for its products and effective market penetration, supporting long-term business expansion.

Balance Sheet Strength

A strong balance sheet with low leverage enhances financial stability, providing the company with flexibility to invest in growth opportunities and withstand economic fluctuations.

Profitability Margins

Improving profitability margins reflect efficient cost management and operational effectiveness, contributing to sustainable financial performance.

Negative Factors

EBITDA Margin Decline

The decline in EBITDA margin suggests rising operational costs, which could pressure profitability if not addressed, impacting long-term financial health.

Financing Cash Flow Fluctuations

Inconsistent financing cash flow may signal difficulties in funding operations or growth initiatives, potentially affecting future financial stability.

Absence of Earnings Call Data

Lack of earnings call data limits transparency and investor insight into management's strategic direction, potentially affecting investor confidence.

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

Company Description

Kaname Kogyo Co.,Ltd. provides waste management services. The company engages in the collection, transportation, and disposal of general and industrial waste. It is also involved in the recycling activities. The company was founded in 1972 and is headquartered in Tokyo, Japan.

How the Company Makes Money

KANAME KOGYO generates revenue through the sale of its industrial machinery and automation solutions. The company earns money by providing customized equipment and systems tailored to meet the specific needs of its clients across different industries. Key revenue streams include direct sales of machinery, maintenance and repair services, and long-term service contracts. Additionally, KANAME KOGYO may engage in strategic partnerships with other firms to enhance their technology offerings and expand market reach, contributing positively to their overall earnings.

KANAME KOGYO Co., Ltd. Financial Statement Overview

Summary

KANAME KOGYO Co., Ltd. exhibits strong financial health, characterized by steady revenue growth and improved profitability margins, highlighting effective operational management. The company's balance sheet is particularly robust, with low leverage and high equity ratios, promoting stability and financial security. Cash flow generation is strong, although fluctuations in financing activities warrant attention. Overall, the company's financial performance is commendable, with a solid foundation for future growth.

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	14.58B	14.51B	13.50B	13.03B	11.93B	11.00B
Gross Profit	3.38B	3.37B	2.98B	2.91B	2.39B	1.96B
EBITDA	2.81B	2.88B	2.44B	2.35B	1.86B	1.55B
Net Income	1.52B	1.51B	1.29B	1.26B	873.00M	618.22M
Balance Sheet
Total Assets	24.41B	24.13B	23.58B	22.43B	21.45B	20.85B
Cash, Cash Equivalents and Short-Term Investments	5.45B	5.64B	5.78B	5.43B	4.80B	4.48B
Total Debt	1.64B	978.78M	1.46B	1.52B	1.84B	1.99B
Total Liabilities	4.87B	4.55B	5.12B	5.00B	5.01B	5.07B
Stockholders Equity	19.53B	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: 1171.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• 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 1171 is below the 20-day moving average (MA) of 1498.90, below the 50-day MA of 1352.68, and above the 200-day MA of 1167.45, indicating a neutral trend. The MACD of 34.54 indicates Positive momentum. The RSI at 62.71 is Neutral, neither overbought nor oversold. The STOCH value of 74.77 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
5699	81 Outperform	¥4.71B	8.40	―	1.79%	-0.27%	0.09%
5698	77 Outperform	¥15.41B	13.09	―	2.50%	-9.37%	590.66%
1712	77 Outperform	¥31.01B	21.71	―	0.82%	15.80%	11.11%
9221	77 Outperform	¥13.68B	14.19	―	2.30%	8.36%	327.58%
6566	73 Outperform	¥23.74B	15.52	―	1.86%	4.09%	9.96%
4245	67 Neutral	¥9.41B	39.79	―	3.35%	7.12%	-43.68%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%