Daihen Corporation (6622) AI Stock Analysis

• Market Cap: ¥235.16B
• Dividend Yield: 1.74%
• Average Volume (3M): 152.80K
• Price to Earnings (P/E): 18.8
• Beta (1Y): 1.47
• Revenue Growth: 14.49%
• EPS Growth: -21.17%
• Country: JP
• Employees: 4,669
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 133.90
• Shares Outstanding: 25,203,290
• 10 Day Avg. Volume: 202,710
• 30 Day Avg. Volume: 152,803
• PEG Ratio: -0.48
• Price to Book (P/B): 1.11
• Price to Sales (P/S): 0.68
• P/FCF Ratio: 9.56
• 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: ¥10,150.00
• Price Target Upside: 4.42% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: ¥8,946.00 ▼(-7.96% Downside)

Daihen Corporation's overall stock score is driven by strong financial performance, despite challenges with rising liabilities and cash flow volatility. Technical analysis indicates bearish momentum, which weighs on the score. Valuation is moderate, providing some support but not enough to offset technical weaknesses.

Positive Factors

Revenue Growth

Strong revenue growth indicates increasing demand for Daihen's products, reflecting their competitive position and market expansion capabilities.

Cash Flow Improvement

Improved cash flow generation enhances financial flexibility, allowing Daihen to reinvest in growth opportunities and manage liabilities effectively.

Balance Sheet Stability

A solid balance sheet with prudent leverage supports Daihen's long-term financial health, enabling sustainable growth and investment capacity.

Negative Factors

Rising Liabilities

Rising liabilities could strain Daihen's financial resources, potentially impacting its ability to invest in growth or weather economic downturns.

Net Profit Margin Decline

Declining net profit margins may affect profitability, necessitating cost control measures to maintain financial performance.

Cash Flow Volatility

Volatile cash flows can hinder financial planning and stability, potentially affecting Daihen's ability to fund operations and growth consistently.

Daihen Corporation Business Overview & Revenue Model

Company Description

Daihen Corporation (6622) is a Japanese multinational company specializing in manufacturing industrial equipment and systems, with a strong focus on robotics, welding technology, and power electronics. The company operates in various sectors, including automation, energy, and advanced manufacturing, providing innovative solutions for industries such as automotive, electronics, and construction. Core products include robotic systems, welding machines, and power supply systems, aimed at enhancing productivity and efficiency for its clients.

How the Company Makes Money

Daihen Corporation generates revenue primarily through the sale of its industrial equipment and systems. Key revenue streams include the manufacturing and sale of robotic solutions, which cater to the increasing demand for automation in various sectors, particularly in automotive production. Additionally, the company earns from its welding technology products and systems, which are essential for construction and manufacturing processes. Service and maintenance contracts also contribute to its income, providing ongoing support to clients. Strategic partnerships with other tech companies and industry leaders enhance its market presence and drive sales, while the growing demand for automation and advanced manufacturing technologies supports Daihen's overall revenue growth.

Daihen Corporation Financial Statement Overview

Summary

Daihen Corporation demonstrates strong financial performance with robust revenue growth and healthy profitability metrics. The balance sheet is stable with prudent leverage, but rising liabilities need attention. Cash flow has improved, though historical volatility suggests potential risks.

Income Statement

Daihen Corporation shows a strong income statement performance with consistent revenue growth and healthy margins. The Gross Profit Margin improved to 27.34% in the latest annual report. However, the Net Profit Margin declined to 5.28% due to increased operating expenses. Revenue growth was robust at 20.04% from the previous year, indicating strong demand for the company's products. The EBIT and EBITDA margins remain stable at 7.14% and 11.18%, respectively.

Balance Sheet

The balance sheet reflects a solid financial position with a Debt-to-Equity Ratio of 0.50, showcasing prudent leverage management. The Return on Equity (ROE) stands at 8.64%, indicating efficient use of equity to generate profits. The Equity Ratio is healthy at 47.67%, demonstrating financial stability and a strong asset base. However, the increase in total liabilities poses a potential risk if not managed carefully.

Cash Flow

Cash flow analysis reveals mixed performance, with a significant turnaround in operating cash flow to 24.01 billion yen, indicating improved cash generation capabilities. The Free Cash Flow turned positive to 16.06 billion yen from a negative position, reflecting better cash utilization. The Operating Cash Flow to Net Income Ratio at 2.01 signifies strong cash flow relative to profits. However, the historical volatility in cash flows suggests potential risks in cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	232.13B	226.38B	188.57B	185.29B	160.62B	145.14B
Gross Profit	64.33B	61.90B	53.41B	53.19B	48.68B	46.85B
EBITDA	27.75B	25.30B	27.02B	23.27B	20.77B	17.30B
Net Income	13.30B	11.96B	16.49B	13.19B	10.98B	9.41B
Balance Sheet
Total Assets	288.90B	290.23B	276.62B	212.69B	194.80B	175.13B
Cash, Cash Equivalents and Short-Term Investments	28.90B	30.35B	23.33B	15.27B	24.82B	19.26B
Total Debt	72.30B	68.94B	66.45B	33.21B	27.60B	29.68B
Total Liabilities	134.33B	136.94B	128.03B	92.79B	89.17B	78.21B
Stockholders Equity	139.09B	138.37B	134.14B	113.80B	99.69B	91.17B
Cash Flow
Free Cash Flow	0.00	16.06B	-16.47B	-12.43B	8.95B	10.31B
Operating Cash Flow	0.00	24.01B	-8.99B	-7.23B	12.95B	13.94B
Investing Cash Flow	0.00	-9.60B	-10.56B	-4.72B	-3.30B	-3.90B
Financing Cash Flow	0.00	-5.98B	25.95B	1.90B	-5.31B	-5.58B

Daihen Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9720.00
• 50DMA: Positive
• 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:6622, the sentiment is Positive. The current price of 9720 is above the 20-day moving average (MA) of 9053.50, above the 50-day MA of 9281.20, and above the 200-day MA of 7384.34, indicating a bullish trend. The MACD of 138.85 indicates Negative momentum. The RSI at 58.91 is Neutral, neither overbought nor oversold. The STOCH value of 79.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6622.

Daihen Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6371	74 Outperform	€217.98B	9.57	8.83%	3.77%	1.48%	8.86%
6420	68 Neutral	¥152.62B	12.04	―	1.94%	11.63%	3.32%
6508	64 Neutral	€295.81B	16.06	14.28%	2.36%	8.03%	23.50%
6407	64 Neutral	¥225.50B	17.37	―	2.66%	6.16%	17.11%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6622	63 Neutral	¥235.16B	18.77	―	1.74%	14.49%	-21.17%
6925	59 Neutral	$212.54B	44.31	2.20%	2.84%	-3.70%	-36.38%

Daihen Corporation Corporate Events

Daihen Corporation Announces Secondary Stock Offering Details

Daihen Corporation has announced the selling price for a secondary offering of its common stock, set at 8,380 yen per share, with a total expected revenue of 12,570,000,000 yen. This move, resolved by the Board of Directors, aims to enhance the company’s capital base and potentially strengthen its market positioning, impacting stakeholders by possibly increasing liquidity and investment opportunities.

Daihen Corporation Announces Secondary Offering to Boost Share Liquidity

Daihen Corporation has announced a secondary offering of 1.5 million shares of its common stock, as approved by its Board of Directors. This move is aimed at enhancing the liquidity of its shares and expanding its shareholder base, particularly among individual investors, in response to the trend of unwinding cross shareholdings in Japan’s stock market.

Daihen Corporation Reports Strong Financial Performance and Raises Dividend Forecast

Daihen Corporation reported a significant improvement in its financial performance for the six months ending September 30, 2025, with net sales increasing by 9.5% and operating profit rising by 36.9% compared to the previous year. The company has also revised its dividend forecast upwards, reflecting confidence in its ongoing financial stability and growth prospects, which could positively impact stakeholders and enhance its market positioning.

Daihen Corporation Surpasses Forecasts and Revises Financial Outlook

Daihen Corporation announced a significant improvement in its financial performance for the first half of the fiscal year, surpassing previous forecasts due to strong sales in electrical infrastructure and semiconductor sectors, alongside effective cost reduction measures. The company has revised its full-year financial forecast and year-end dividend, reflecting increased confidence in its financial outlook despite uncertainties in semiconductor investments, highlighting a commitment to stakeholder returns.

Daihen Corporation Reports Strong Financial Performance and Raises Dividend Forecast

Daihen Corporation reported a significant increase in its consolidated financial results for the six months ended September 30, 2025, with net sales rising by 9.5% and operating profit by 36.9% compared to the previous year. The company also revised its dividend forecast upwards, indicating confidence in its financial performance and future growth prospects, which could positively impact stakeholders and enhance its market positioning.