Togami Electric Mfg.Co., Ltd. (6643) AI Stock Analysis

• Market Cap: ¥28.80B
• Dividend Yield: 3.12%
• Average Volume (3M): 7.25K
• Price to Earnings (P/E): 6.4
• Beta (1Y): 0.63
• Revenue Growth: 6.60%
• EPS Growth: 0.27%
• Country: JP
• Employees: 1,083
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 176.16
• Shares Outstanding: 4,795,458
• 10 Day Avg. Volume: 4,660
• 30 Day Avg. Volume: 7,246
• PEG Ratio: 0.42
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.59
• P/FCF Ratio: 16.36
• 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: 85 Outperform
• Price Target: ¥6,968.00 ▲(53.14% Upside)
• Action: Reiterated Date: 03/10/26
• Date: Action: Reiterated 03/10/26

The score is driven primarily by strong financial performance (profitable growth, low leverage, and solid cash generation) and supported by very attractive valuation (low P/E with a dividend). Technicals are also positive, reflecting a clear uptrend with constructive momentum.

Positive Factors

Strong balance sheet / low leverage

Equity growth and very low debt-to-equity indicate durable financial flexibility. A well-capitalized balance sheet supports capital spending, withstands cyclical downturns, and reduces refinancing risk, enabling sustained investment in product development and long-term customer contracts.

Robust free cash flow generation

Consistent growth in free cash flow and strong cash conversion versus net income underpin self-funded growth, dividend capacity, and resilience to short-term revenue swings. Sustained FCF supports reinvestment in operations and reduces dependency on external financing.

Steady revenue growth with healthy margins

Multi-year top-line expansion coupled with healthy gross and EBIT margins signals competitive product positioning and operational efficiency. Revenue growth with maintained profitability supports scaling advantages and improves the durability of cash flows over the medium term.

Negative Factors

Negative EPS growth

Negative EPS growth despite revenue gains suggests earnings per share pressure from margin compression, non-operating items, or share-count dynamics. Persisting EPS declines could weaken returns to shareholders and limit the effectiveness of dividend or buyback policies over time.

Margin variability risk

The noted moderate year-to-year margin variability raises concerns about predictable profitability. Volatile margins can stem from raw material cost swings, pricing pressure, or mix shifts, complicating long-term planning and potentially reducing the reliability of free cash flow forecasts.

End-market concentration / cyclicality

Concentration in utilities and industrial end-markets exposes revenue to capital expenditure cycles and regulatory timing. Structural reliance on these sectors can cause multi-quarter demand variability tied to capex budgets and infrastructure spending, limiting revenue predictability.

Togami Electric Mfg.Co., Ltd. Business Overview & Revenue Model

Company Description

Togami Electric Mfg. Co., Ltd. manufactures and sells tracing devices and measuring instruments, control equipment, switchboards, and medium voltage products in Japan and internationally. The company offers super line checkers, underground distribution fault locators, string tracers, cell line checkers, and new cell line checkers. It also provides electromagnetic switches, including standard and economical electromagnetic switches, reversing magnetic starters/contactors, magnetic and thermal overload relays, and star-delta starters; explosion proof controllers, such as explosion-proof circuit breakers, combination starters, magnetic motor starters, and cast iron and aluminum alloy control switches; and anticorrosion controllers comprising water- and corrosion-proof switches, and corrosion-proof magnetic motor and combination starters. In addition, the company offers metal-enclosed switchgears, low-voltage switchgears, and various motor control centers, as well as medium-voltage overhead distribution products. Togami Electric Mfg. Co., Ltd. was founded in 1925 and is headquartered in Saga, Japan.

How the Company Makes Money

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Togami Electric Mfg.Co., Ltd. Financial Statement Overview

Summary

Strong overall fundamentals: solid revenue growth, healthy profitability, a well-capitalized balance sheet with very low leverage, and strong free cash flow generation with good cash conversion.

Income Statement

The company demonstrates strong revenue growth, with a steady increase from 22.6 billion in 2021 to 27.6 billion in 2025. Gross Profit Margin and EBIT Margin have remained healthy, reflecting efficient cost management. Net Profit Margin is also strong, indicating solid profitability. However, margins have shown moderate variations over the years, suggesting room for stability improvement.

Balance Sheet

The balance sheet showcases a robust equity position with a consistent increase in stockholders' equity from 15.4 billion in 2020 to 22.4 billion in 2025. The Debt-to-Equity Ratio remains very low, highlighting low financial leverage and risk. The Equity Ratio is strong, reflecting a solid capital structure. Overall, the balance sheet is stable and well-capitalized.

Cash Flow

Free Cash Flow has grown significantly, indicating strong cash generation capabilities. Operating Cash Flow to Net Income Ratio is healthy, demonstrating efficient cash conversion. The Free Cash Flow to Net Income Ratio further supports the company's ability to generate cash relative to its earnings. The cash flow statement signifies strong liquidity and operational efficiency.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	27.97B	27.65B	26.73B	24.81B	23.58B	22.59B
Gross Profit	7.10B	7.17B	6.20B	5.27B	4.81B	4.87B
EBITDA	3.62B	4.02B	3.75B	2.81B	2.46B	2.50B
Net Income	2.24B	2.39B	2.09B	1.43B	1.29B	1.33B
Balance Sheet
Total Assets	31.99B	32.40B	31.40B	28.82B	26.83B	25.75B
Cash, Cash Equivalents and Short-Term Investments	7.79B	7.71B	7.12B	6.81B	6.56B	6.65B
Total Debt	850.05M	766.77M	338.25M	354.68M	380.88M	396.58M
Total Liabilities	9.37B	9.75B	10.30B	9.91B	9.16B	9.09B
Stockholders Equity	22.37B	22.40B	20.88B	18.73B	17.50B	16.51B
Cash Flow
Free Cash Flow	0.00	1.00B	642.29M	719.57M	978.43M	1.33B
Operating Cash Flow	0.00	2.81B	2.15B	1.50B	1.80B	1.91B
Investing Cash Flow	0.00	-1.62B	-1.54B	-874.74M	-1.52B	-585.42M
Financing Cash Flow	0.00	-705.97M	-438.44M	-423.68M	-453.46M	-391.81M

Togami Electric Mfg.Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4550.00
• 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:6643, the sentiment is Positive. The current price of 4550 is below the 20-day moving average (MA) of 5947.75, below the 50-day MA of 5156.10, and above the 200-day MA of 4138.63, indicating a bullish trend. The MACD of 371.07 indicates Positive momentum. The RSI at 56.22 is Neutral, neither overbought nor oversold. The STOCH value of 37.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6643.

Togami Electric Mfg.Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6643	85 Outperform	¥28.80B	6.42	―	3.12%	6.60%	0.27%
6617	76 Outperform	¥81.69B	8.23	―	1.61%	-3.41%	13.79%
5819	75 Outperform	¥13.11B	10.63	―	3.02%	3.43%	3.75%
6637	72 Outperform	¥51.07B	12.37	―	0.91%	5.28%	18.38%
6804	72 Outperform	¥141.05B	3.86	8.07%	2.64%	79.29%	35.48%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6905	59 Neutral	¥51.04B	195.39	―	5.01%	-32.74%	-117.06%