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Mabuchi Motor Co (JP:6592)
:6592

Mabuchi Motor Co (6592) AI Stock Analysis

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JP

Mabuchi Motor Co

(OTC:6592)

Rating:68Neutral
Price Target:
¥2,327.00
▲(9.71%Upside)
Mabuchi Motor Co's strong financial performance is the most significant factor driving the score, supported by robust revenue growth and a solid balance sheet. The stock's valuation is moderate due to a high P/E ratio, though the dividend yield adds some appeal. Technical analysis suggests neutral to slightly bearish momentum, limiting immediate upside potential.

Mabuchi Motor Co (6592) vs. iShares MSCI Japan ETF (EWJ)

Mabuchi Motor Co Business Overview & Revenue Model

Company DescriptionMabuchi Motor Co., Ltd. is a leading Japanese manufacturer specializing in small electric motors. The company operates primarily in the automotive, consumer electronics, and industrial sectors, supplying precision motors that are essential components in products like automotive power seats, mirrors, and electronic locks, as well as in various consumer appliances and industrial equipment. Mabuchi Motor is renowned for its high-quality, reliable, and energy-efficient motor solutions which cater to a wide range of applications across different industries.
How the Company Makes MoneyMabuchi Motor Co. generates revenue through the design, manufacture, and sale of small electric motors. The company's primary revenue streams come from supplying these motors to automotive manufacturers for use in vehicles, such as power window systems, electric door locks, and mirror adjustment mechanisms. Additionally, Mabuchi Motor provides motors for consumer electronics, including personal care appliances and home office equipment, as well as for industrial machinery and devices. The company's earnings are bolstered by strategic partnerships with major automotive and electronics companies, which ensure a steady demand for its products. Mabuchi Motor's focus on innovation, quality, and efficiency helps maintain its competitive edge and drives its financial performance.

Mabuchi Motor Co Financial Statement Overview

Summary
Mabuchi Motor Co has a strong financial foundation with impressive revenue growth and stable profitability. The balance sheet is robust, featuring low leverage and high equity, mitigating financial risk. While cash flow metrics have improved, past fluctuations in profitability and free cash flow highlight areas for potential risk management and strategic focus.
Income Statement
85
Very Positive
Mabuchi Motor Co has demonstrated robust revenue growth over recent years, with a significant increase from ¥116.43 billion in 2020 to ¥196.21 billion in 2024. Gross profit margin improved, indicating efficient cost management. However, the net profit margin has shown fluctuations with a recent decline from previous years, suggesting potential areas for profitability improvement. The EBIT and EBITDA margins have been solid, showing consistent operational efficiency.
Balance Sheet
88
Very Positive
The company's balance sheet reflects financial stability with a strong equity base, as evidenced by the low debt-to-equity ratio. The equity ratio remains high, underscoring a solid capital structure with minimal leverage risk. Return on Equity (ROE) has been healthy, although recent net income fluctuations suggest potential volatility in returns.
Cash Flow
82
Very Positive
Mabuchi Motor Co has shown positive free cash flow growth, particularly recovering from negative figures in 2021 to a strong position in 2024. The operating cash flow to net income ratio is favorable, highlighting effective cash generation relative to income. The free cash flow to net income ratio indicates solid cash management practices, although past inconsistencies warrant attention.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
196.21B178.66B156.71B134.59B116.43B
Gross Profit
52.88B41.60B37.46B36.41B34.86B
EBITDA
35.60B28.19B32.89B30.13B21.84B
Net Income
12.83B19.42B14.29B14.25B8.99B
Balance SheetTotal Assets
354.99B336.61B307.78B285.70B262.56B
Cash, Cash Equivalents and Short-Term Investments
134.94B116.60B103.11B105.50B111.52B
Total Debt
517.00M830.00M1.11B122.00M380.00M
Total Liabilities
35.37B31.57B27.61B25.80B23.46B
Stockholders Equity
319.62B305.03B280.17B259.91B239.10B
Cash FlowFree Cash Flow
26.07B18.73B-267.00M-879.00M11.01B
Operating Cash Flow
40.13B31.74B10.21B8.74B18.74B
Investing Cash Flow
-15.75B-15.61B-10.47B-12.97B-5.30B
Financing Cash Flow
-16.18B-11.85B-10.09B-11.29B-10.95B

Mabuchi Motor Co Technical Analysis

Technical Analysis Sentiment
Negative
Last Price2121.00
Price Trends
50DMA
2129.33
Negative
100DMA
2194.78
Negative
200DMA
2188.28
Negative
Market Momentum
MACD
-7.88
Positive
RSI
44.65
Neutral
STOCH
35.96
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6592, the sentiment is Negative. The current price of 2121 is below the 20-day moving average (MA) of 2139.28, below the 50-day MA of 2129.33, and below the 200-day MA of 2188.28, indicating a bearish trend. The MACD of -7.88 indicates Positive momentum. The RSI at 44.65 is Neutral, neither overbought nor oversold. The STOCH value of 35.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6592.

Mabuchi Motor Co Peers Comparison

Overall Rating
UnderperformOutperform
Sector (67)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
¥337.58B6.99
0.76%4.53%29.41%
73
Outperform
€194.75B13.646.34%7.23%0.40%
73
Outperform
¥341.65B9.406.71%4.09%-1.06%-28.59%
69
Neutral
¥312.31B7.20
2.40%-5.01%153.39%
68
Neutral
¥270.14B28.472.93%3.58%7.15%-57.77%
68
Neutral
¥296.20B29.46
5.30%0.99%24.85%
67
Neutral
¥249.82B12.906.57%2.80%5.08%-11.25%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6592
Mabuchi Motor Co
2,121.00
-261.81
-10.99%
JP:5991
NHK Spring Co., Ltd.
1,566.00
18.90
1.22%
JP:6471
NSK Ltd.
644.80
-103.26
-13.80%
JP:7988
Nifco Inc.
3,314.00
-431.59
-11.52%
JP:7278
Exedy Corporation
4,150.00
1,289.62
45.09%
JP:7282
Toyoda Gosei Co
2,702.00
-47.48
-1.73%

Mabuchi Motor Co Corporate Events

Mabuchi Motor Co. Announces Treasury Stock Purchase
Jun 2, 2025

Mabuchi Motor Co., Ltd. announced the purchase of 512,000 shares of its common stock for approximately ¥1.1 billion, as part of a broader plan to acquire up to 4.6 million shares by the end of 2025. This move is part of the company’s strategy to manage its capital structure and potentially enhance shareholder value, reflecting a significant commitment to its stock buyback program.

The most recent analyst rating on (JP:6592) stock is a Sell with a Yen2300.00 price target. To see the full list of analyst forecasts on Mabuchi Motor Co stock, see the JP:6592 Stock Forecast page.

Mabuchi Motor Launches Voluntary Retirement Program Amid Strategic Shift
May 12, 2025

Mabuchi Motor Co., Ltd. announced the implementation of a voluntary retirement program called the ‘Next Career Support Program’ as part of its strategy under ‘The Management Plan 2030’. This initiative aims to support employees seeking new opportunities outside the company, while also transforming the organization to address management issues amid a slowing automotive market. The program targets employees aged 50 to 58, excluding managers and supervisors, and includes a premium on retirement allowance and reemployment support. The financial impact of this program will be recorded as an extraordinary loss in the fiscal year ending December 2025, with further announcements if significant impacts are recognized.

Mabuchi Motor Co. Updates on Treasury Stock Purchase
May 7, 2025

Mabuchi Motor Co., Ltd. announced the status of its treasury stock purchase, revealing that it acquired 825,200 shares at a total cost of ¥1,748,056,050 between April 1 and April 30, 2025. This purchase is part of a broader plan approved by the board to buy back up to 4.6 million shares, with the aim of enhancing shareholder value and optimizing capital structure. As of April 30, 2025, the company has acquired 1,325,200 shares, representing 28.8% of the maximum allowed under the resolution.

Mabuchi Motor Co. Reports Mixed Q1 2025 Financial Results
Apr 28, 2025

Mabuchi Motor Co. reported its consolidated financial results for the first quarter of 2025, showing a 4.2% increase in net sales compared to the previous year. However, the company experienced a significant decline in ordinary income and profit attributable to owners of the parent, with decreases of 48.6% and 50.6%, respectively. Despite these challenges, the company maintains a strong equity ratio of 92.0% and has forecasted a slight increase in dividends per share for the fiscal year 2025. The results indicate a mixed performance, with growth in sales but declining profitability, which may impact the company’s market positioning and stakeholder confidence.

Mabuchi Motor Co. Announces Treasury Stock Disposal for Executive Compensation
Apr 10, 2025

Mabuchi Motor Co., Ltd. announced the disposal of 25,280 shares of treasury stock as part of a stock compensation plan for its Directors and Executive Officers. This initiative aims to align the interests of the management with shareholders by promoting sustainable corporate value and enhancing value-sharing over the medium and long term.

Mabuchi Motor Completes Acquisition and Renames OB Kogyo
Apr 1, 2025

Mabuchi Motor Co., Ltd. has completed the acquisition of OB Kogyo, Ltd., a manufacturer of high-precision plastic gear systems, and renamed it to Mabuchi OB Gear System Co., Ltd. This strategic move aims to leverage OB Kogyo’s global gear capabilities to enhance Mabuchi’s product offerings, improving group cohesiveness and providing more value-added solutions to customers. The acquisition is expected to have a limited impact on Mabuchi’s consolidated financial performance for the current fiscal year.

Mabuchi Motor Co. Announces Treasury Stock Purchase
Apr 1, 2025

Mabuchi Motor Co., Ltd. has announced the purchase of 316,400 shares of its common stock, totaling ¥740,350,400, during March 2025. This move is part of a broader plan approved by the board to buy back up to 4.6 million shares by the end of 2025, aiming to enhance shareholder value and optimize capital structure.

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: Jun 13, 2025