Wintest Corp. (6721) AI Stock Analysis

• Market Cap: ¥7.44B
• Dividend Yield: N/A
• Average Volume (3M): 319.65K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.72
• Revenue Growth: -35.81%
• EPS Growth: -99.72%
• Country: JP
• Employees: 72
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -11.24
• Shares Outstanding: 53,927,100
• 10 Day Avg. Volume: 265,900
• 30 Day Avg. Volume: 319,653
• PEG Ratio: 0.65
• Price to Book (P/B): 16.81
• Price to Sales (P/S): 13.46
• P/FCF Ratio: -7.67
• 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: 48 Neutral
• Price Target: ¥122.00 ▲(15.09% Upside)

The score is held down primarily by very weak financial performance (deep losses, persistent cash burn, and rapid equity erosion). Technicals provide some support with the stock trading above key moving averages, but valuation remains constrained by ongoing losses and no stated dividend yield.

Positive Factors

Recurring revenue & services

Wintest's mix of subscription software and long-term service/maintenance contracts creates recurring revenue and stronger customer retention. Those predictable streams partially offset cyclical hardware sales, supporting steady revenue visibility and cross-sell opportunities over a multi-quarter horizon.

Market position in ATE

As a supplier of automated test equipment and test-data analytics to large semiconductor and electronics firms, Wintest benefits from high technical barriers, long qualification cycles, and sticky customer relationships. This strategic position supports durable demand and competitive differentiation.

Revenue rebound

A 30.7% revenue recovery in 2025 indicates improving end-market demand and validates product-market fit. Sustained top-line growth of this magnitude can leverage fixed costs, help restore gross margins, and provide the operational runway needed to stabilize the business over coming quarters.

Negative Factors

Severely negative profitability

The shift to deeply negative gross profit and expanding net losses shows the core business is not covering direct costs. Persistently unprofitable unit economics threaten long-term viability, force margin-recovery actions, and can erode investor and customer confidence if structural cost or pricing issues remain unresolved.

Persistent cash burn

Consistent negative operating and free cash flow, including ~-¥0.75B in 2025, increases funding risk and limits reinvestment capacity. Continued cash burn may force external financing, dilutive measures, or spending cuts, constraining R&D and capital expenditures needed to sustain product leadership.

Eroded equity and weaker balance sheet

Equity erosion from ¥1.66B to ¥0.34B and contracting total assets materially reduces the balance sheet cushion. Even with moderate debt ratios, the loss of equity weakens financial flexibility, heightens refinancing risk, and leaves less room to absorb future revenue or margin shocks.

Wintest Corp. Business Overview & Revenue Model

Company Description

Wintest Corp. designs, develops, and sells automatic test equipment for semiconductor integrated circuits and flat panel displays for image sensor tester, LCD driver tester, and logic tester markets primarily in Japan. It offers LCD/OLED high speed driver test equipment, LCD/PDP/OLED driver IC test systems, standard logic IC test systems, digital output CIS test systems, high-end CCD/CIS test systems, LCD/OLED/LCOS array/CCD/CIS test systems, compact analog mixed signal IC test systems, and analog and mixed signal IC test systems, as well as automatic machines and handlers. In addition, the company is involved in the design and construction, inspection, maintenance, and assurance to solar power generation systems; solar panel monitoring agency business; sales and maintenance of environmental equipment; and design and manufacture of AOI test systems. Further, it offers cleaning and coating, insurance handling, and consulting services. Wintest Corp. was incorporated in 1993 and is headquartered in Yokohama, Japan. Wintest Corp. opeartes as a subsidiary of Wuhan Jingce Electronic Group Co.,Ltd.

How the Company Makes Money

Wintest Corp. generates revenue through several key streams. The primary source of income comes from the sale of automated test equipment (ATE), which is essential for semiconductor testing and quality assurance in electronics manufacturing. In addition to hardware sales, the company also earns significant revenue from software solutions that assist clients in managing test data and analytics. These software products are typically offered on a subscription basis, providing recurring revenue. Furthermore, Wintest Corp. engages in service contracts and maintenance agreements for its products, ensuring ongoing revenue from existing customers. Strategic partnerships with major semiconductor manufacturers and electronics companies enhance its market presence and contribute to steady earnings through collaborative projects and joint ventures.

Wintest Corp. Financial Statement Overview

Summary

Despite a strong 2025 revenue rebound (+30.7% YoY), profitability is severely weak with deeply negative gross profit and widening net losses. Cash flow is consistently negative with persistent free-cash-flow burn, and equity has eroded sharply, increasing financial risk even though leverage is not excessive.

Income Statement

Revenue rebounded strongly in 2025 (+30.7% year over year after a flat 2024), but profitability is extremely weak. The company shifted from positive gross profit in 2022–2023 to deeply negative gross profit in 2024–2025, and losses widened materially (net loss of ~¥1.24B in 2025 vs ~¥0.55B in 2023). Operating profitability remains heavily negative, indicating the core business is not covering its cost structure despite the top-line recovery.

Balance Sheet

Leverage is not excessive (debt-to-equity ~0.61 in 2025), but the balance sheet has weakened sharply as equity declined (¥1.66B in 2023 to ¥0.34B in 2025). Total assets also contracted over the period, signaling reduced financial flexibility. While debt levels are manageable in absolute terms, continued losses are eroding the equity cushion and increase downside risk.

Cash Flow

Cash generation is consistently negative: operating cash flow and free cash flow were both meaningfully negative across 2023–2025 (about -¥0.75B free cash flow in 2025). Importantly, cash burn is persistent and does not show a clear improving trend, which heightens funding risk if the company needs to support operations through external financing.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	328.32M	429.05M	417.09M	407.00M	210.31M	307.58M
Gross Profit	-474.06M	-491.01M	-338.84M	151.00M	62.16M	18.06M
EBITDA	-1.24B	-1.21B	-1.09B	-546.66M	-679.04M	-629.72M
Net Income	-1.29B	-1.24B	-1.11B	-554.00M	-686.24M	-629.18M
Balance Sheet
Total Assets	1.22B	919.36M	1.20B	1.97B	1.90B	1.90B
Cash, Cash Equivalents and Short-Term Investments	323.55M	82.96M	90.70M	361.00M	278.48M	219.11M
Total Debt	127.25M	211.12M	244.19M	169.20M	358.47M	110.50M
Total Liabilities	309.61M	575.86M	495.37M	309.00M	549.53M	305.78M
Stockholders Equity	907.32M	343.50M	699.93M	1.66B	1.35B	1.59B
Cash Flow
Free Cash Flow	0.00	-752.65M	-664.21M	-558.30M	-613.48M	-858.30M
Operating Cash Flow	0.00	-751.17M	-662.30M	-558.27M	-613.48M	-856.09M
Investing Cash Flow	0.00	-30.71M	-1.91M	-300.00K	3.88M	21.85M
Financing Cash Flow	0.00	667.14M	171.22M	641.00M	667.98M	68.62M

Wintest Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 106.00
• 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:6721, the sentiment is Positive. The current price of 106 is below the 20-day moving average (MA) of 121.50, below the 50-day MA of 113.34, and below the 200-day MA of 112.04, indicating a bullish trend. The MACD of 3.77 indicates Negative momentum. The RSI at 52.03 is Neutral, neither overbought nor oversold. The STOCH value of 34.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6721.

Wintest Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6859	75 Outperform	¥85.01B	15.14	―	3.12%	2.78%	-5.32%
6853	73 Outperform	¥20.42B	20.36	―	2.93%	-1.58%	12.24%
6874	72 Outperform	¥23.25B	10.26	―	2.84%	8.78%	16.25%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6858	59 Neutral	¥9.68B	22.72	―	2.45%	15.66%	-69.17%
6844	58 Neutral	¥41.18B	10.73	―	1.95%	6.10%	―
6721	48 Neutral	¥7.44B	-5.12	―	―	-35.81%	-99.72%