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Japan Display Inc (JP:6740)
:6740

Japan Display (6740) AI Stock Analysis

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JP:6740

Japan Display

(6740)

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Neutral 49 (OpenAI - 5.2)
Rating:49Neutral
Price Target:
¥87.00
▲(314.29% Upside)
Action:ReiteratedDate:03/27/26
The score is held down primarily by very weak financial performance (large losses, negative equity, and substantial cash burn). Technicals are a meaningful offset, with the stock in a strong uptrend versus key moving averages and generally supportive momentum. Valuation provides limited support because earnings are negative and no dividend yield is available.
Positive Factors
Specialized small/medium LCD expertise
JDI's core focus on small- and medium-sized LCDs for mobile and compact devices represents a durable product specialization. That technical and manufacturing know-how supports long-term customer relationships with OEMs that require compact display modules and helps preserve a niche market position versus generalist panel makers.
Negative Factors
Negative shareholders' equity
Negative equity combined with ~¥65B of debt materially weakens financial flexibility. Over a 2–6 month horizon this raises refinancing and covenant risk, constrains the ability to fund capex or absorb shocks, and increases the likelihood the firm needs external financing or restructuring to sustain operations.
Read all positive and negative factors
Positive Factors
Negative Factors
Specialized small/medium LCD expertise
JDI's core focus on small- and medium-sized LCDs for mobile and compact devices represents a durable product specialization. That technical and manufacturing know-how supports long-term customer relationships with OEMs that require compact display modules and helps preserve a niche market position versus generalist panel makers.
Read all positive factors

Japan Display (6740) vs. iShares MSCI Japan ETF (EWJ)

Japan Display Business Overview & Revenue Model

Company Description
Japan Display Inc. designs, develops, produces, and sells small-and medium-sized display devices and related products in Japan and internationally. The company offers various LCD modules for mobile applications, such as smartphone, tablet, and not...
How the Company Makes Money
JDI makes money primarily by selling display panels and display modules to device manufacturers. Its main revenue stream is the shipment of small- and medium-sized LCDs (and associated modules such as touch-integrated or driver-integrated assembli...

Japan Display Financial Statement Overview

Summary
Financials appear distressed: TTM revenue is down (~-6.4%), profitability is deeply negative (negative gross profit; EBIT margin ~-13%, net margin ~-48%), shareholders’ equity is negative, and operating/free cash flow are materially negative (about -¥25B/-¥30B). Ongoing losses and cash burn meaningfully raise liquidity and financing risk.
Income Statement
8
Very Negative
Balance Sheet
12
Very Negative
Cash Flow
10
Very Negative
BreakdownTTMMar 2025Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue141.83B188.01B239.15B270.75B295.95B341.69B
Gross Profit-9.71B-2.62B612.00M-10.00B24.81B7.85B
EBITDA-28.01B-32.64B-28.22B-36.20B160.00M-12.50B
Net Income-43.98B-78.22B-44.31B-25.82B-8.10B-42.70B
Balance Sheet
Total Assets138.56B148.03B223.99B222.70B258.27B225.00B
Cash, Cash Equivalents and Short-Term Investments31.44B21.07B29.34B26.22B52.25B55.70B
Total Debt65.00B59.50B33.50B0.0073.68B95.10B
Total Liabilities144.59B141.14B138.33B98.26B185.50B183.17B
Stockholders Equity-6.03B6.89B85.66B124.43B72.77B39.55B
Cash Flow
Free Cash Flow-29.60B-35.96B-29.67B-74.30B-28.84B-32.72B
Operating Cash Flow-25.29B-25.45B-17.58B-65.67B-21.67B-23.12B
Investing Cash Flow18.90B-8.16B-13.43B9.78B95.00M-9.14B
Financing Cash Flow12.51B25.69B32.90B27.68B14.77B20.23B

Japan Display Technical Analysis

Technical Analysis Sentiment
Positive
Last Price21.00
Price Trends
50DMA
52.98
Positive
100DMA
36.84
Positive
200DMA
27.98
Positive
Market Momentum
MACD
8.80
Positive
RSI
55.61
Neutral
STOCH
37.12
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6740, the sentiment is Positive. The current price of 21 is below the 20-day moving average (MA) of 88.20, below the 50-day MA of 52.98, and below the 200-day MA of 27.98, indicating a neutral trend. The MACD of 8.80 indicates Positive momentum. The RSI at 55.61 is Neutral, neither overbought nor oversold. The STOCH value of 37.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6740.

Japan Display Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
¥571.95B9.116.30%2.16%1.90%-105.45%
71
Outperform
¥1.08T20.8515.75%1.08%19.45%41.03%
70
Outperform
¥400.08B14.112.18%-6.10%-7.03%
64
Neutral
¥30.07B-133.36-9.50%-170.30%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
56
Neutral
¥59.50B59.150.90%4.00%0.12%-105.94%
49
Neutral
¥337.59B-6.12-217.94%-31.80%-117.36%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6740
Japan Display
87.00
71.00
443.75%
JP:5214
Nippon Electric Glass Co
7,086.00
4,017.12
130.90%
JP:4186
Tokyo Ohka Kogyo Co
8,717.00
5,897.26
209.14%
JP:7915
Nissha Co.Ltd.
1,267.00
200.27
18.77%
JP:4980
Dexerials Corp.
2,333.50
836.88
55.92%
JP:7746
Okamoto Glass Co., Ltd.
1,033.00
883.00
588.67%

Japan Display Corporate Events

Japan Display to Relocate Tokyo Headquarters and Amend Articles of Incorporation
Apr 10, 2026
Japan Display Inc. plans to relocate its headquarters and the office of subsidiary JDI Design and Development GK from their current building, which is slated for redevelopment, to the 22nd floor of Sphere Tower Tennozu in Shinagawa-ku, Tokyo, on M...
Japan Display Sells Idle Tottori Fab, Keeps AutoTech Operations in Region
Mar 31, 2026
Japan Display Inc. has agreed to sell its idle Tottori fabrication plant to local real estate and cement wholesaler Yahata Touei Estate K.K., with the asset transfer slated for September 30, 2026. The sale follows the March 2025 shutdown of LCD pa...
Japan Display Scraps AutoTech Spinoff to Keep Automotive Displays In-House
Mar 12, 2026
Japan Display Inc. has reversed its earlier plan to spin off its AutoTech automotive display operations into a wholly owned subsidiary, opting instead to keep the business integrated within the group, pending shareholder approval at the June 24, 2...
Japan Display Books FX Gain and Extraordinary Items Amid Restructuring Costs
Feb 12, 2026
Japan Display reported several non-operating and extraordinary items in its fiscal third quarter, including a foreign exchange gain and proceeds from selling surplus raw materials following the shutdown of its Mobara facility. These gains were off...
Japan Display posts deeper balance-sheet strain and withholds outlook amid Mobara fab sale
Feb 12, 2026
Japan Display reported a sharp year-on-year decline in sales and continued losses for the nine months to December 31, 2025, underscoring persistent profitability challenges in its display business. Consolidated sales fell 32.2% to ¥97.3 billi...
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: Mar 27, 2026