Elecom Co (6750) AI Stock Analysis

• Market Cap: ¥163.46B
• Dividend Yield: 2.84%
• Average Volume (3M): 170.95K
• Price to Earnings (P/E): 7.5
• Beta (1Y): 0.55
• Revenue Growth: 4.48%
• EPS Growth: 22.39%
• Country: JP
• Employees: 1,905
• Sector: Technology
• Sector Strength: 88
• Industry: Computer Hardware
• EPS (TTM): 145.00
• Shares Outstanding: 92,221,420
• 10 Day Avg. Volume: 128,590
• 30 Day Avg. Volume: 170,950
• PEG Ratio: -23.42
• Price to Book (P/B): 1.56
• Price to Sales (P/S): 1.09
• P/FCF Ratio: 9.14
• 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): 193.27
• Revenue Forecast (FY): ¥130.22B

• Rating: 79 Outperform
• Price Target: ¥1,999.00 ▲(13.00% Upside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is driven primarily by strong financial resilience (very low leverage and solid operating margins) and compelling valuation (low P/E and supportive dividend yield). Technicals add a modest tailwind near-term, though longer-term trend signals remain mixed, and cash-flow volatility/earnings quality concerns prevent a higher score.

Positive Factors

Very low leverage

Extremely low leverage and a large equity base materially reduce financial risk and preserve flexibility. This conservatism supports sustained dividend capacity, resilience through demand cycles, and optionality for opportunistic M&A or capex without stressing interest coverage.

Healthy margins

Consistently high gross and operating margins reflect differentiated branded products and favorable product mix. Durable margin structure supports cash generation and reinvestment capacity, making the business less vulnerable to commodity price swings than low‑margin peripheral peers.

Diversified products & channels

A wide product portfolio across inputs, connectivity, storage and mobile accessories plus multi‑channel distribution (retail, resellers, e‑commerce) reduces exposure to any single device cycle, smoothing revenue and enabling cross‑sell of higher‑margin items over time.

Negative Factors

Declining free cash flow

A notable FCF decline reduces internal funding for R&D, product rollout, or shareholder returns if persistent. Declining FCF despite solid margins suggests working‑capital or timing effects that can constrain durable investment and weaken the balance between earnings and cash generation.

Weak cash conversion

Operating cash flow covering only ~60% of reported net income indicates earnings may not reliably convert to cash. This points to receivable/inventory swings or below‑the‑line timing that can amplify earnings volatility and limit free cash flow predictability in tighter market conditions.

Earnings quality volatility

A large gap between TTM and the latest annual net income suggests one‑offs or below‑the‑line items lifting near‑term profits. That reduces confidence in recurring earnings trends, complicates forecasting and could undermine sustainability of dividends or reinvestment if such items reverse.

Elecom Co Business Overview & Revenue Model

Company Description

Elecom Co., Ltd. (6750) is a Japanese company specializing in the design, development, and manufacturing of a wide range of consumer electronics and computer peripherals. Operating primarily in the information technology sector, Elecom offers products such as keyboards, mice, USB hubs, mobile accessories, and various network devices. The company is known for its innovative designs and high-quality products, catering to both individual consumers and corporate clients.

How the Company Makes Money

Elecom generates revenue primarily through the sale of its diverse product line in the consumer electronics and IT peripherals market. Key revenue streams include direct sales of hardware products such as input devices, audio accessories, and network solutions, which are sold through various distribution channels including online platforms, retail stores, and B2B partnerships. Additionally, the company benefits from licensing agreements and collaborations with other technology firms, enhancing its market reach. Elecom's strategic focus on research and development also allows it to introduce new products, thereby driving sales growth and expanding its customer base.

Elecom Co Financial Statement Overview

Summary

Strong overall fundamentals led by an exceptionally low-debt balance sheet (debt-to-equity ~0.01) and healthy profitability (TTM ~40% gross margin, ~12% operating margin). Revenue growth is solid (TTM +4.7%), but the score is held back by weaker cash-flow consistency (TTM FCF -22.5% and operating cash flow ~60% of net income) and potential below-the-line volatility implied by elevated TTM net income versus the latest annual figure.

Income Statement

TTM (Trailing-Twelve-Months) revenue grew a solid 4.7% with healthy profitability (about 40% gross margin and ~12% operating margin). Net margin is ~8.5%, supported by steady operating earnings. However, net income in TTM appears elevated versus the latest annual period (TTM ~¥18.5B vs FY2025 ~¥9.3B), suggesting potential one-offs or volatility below the operating line; margins are also below the stronger levels seen in FY2021–FY2022.

Balance Sheet

Balance sheet is a clear strength: leverage is very low (TTM debt-to-equity ~0.01) with a large equity base (~¥103B) versus modest debt (~¥1.2B). Returns on equity are consistently healthy (~10–14% historically; ~12% TTM), indicating good profitability without relying on leverage. The main drawback is limited evidence of accelerating balance-sheet efficiency improvements—strength here is more about conservatism than momentum.

Cash Flow

Cash generation is positive with TTM free cash flow (~¥10.9B) and good conversion versus earnings (free cash flow is ~85% of net income). That said, TTM free cash flow declined materially (-22.5%), and operating cash flow has not consistently covered reported net income (TTM operating cash flow is ~60% of net income; similar in FY2025). This points to working-capital swings and/or earnings quality variability that investors will want to monitor.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	125.94B	118.01B	110.17B	103.73B	107.36B	108.04B
Gross Profit	50.42B	46.19B	42.57B	38.34B	39.71B	41.59B
EBITDA	18.41B	16.78B	16.77B	14.21B	16.11B	18.05B
Net Income	18.50B	9.30B	9.98B	8.13B	10.40B	10.75B
Balance Sheet
Total Assets	141.53B	114.74B	117.37B	106.85B	110.62B	105.52B
Cash, Cash Equivalents and Short-Term Investments	65.55B	54.92B	52.35B	55.11B	54.46B	61.40B
Total Debt	1.17B	500.00M	500.00M	500.00M	500.00M	500.00M
Total Liabilities	38.46B	32.05B	30.92B	25.64B	29.22B	28.71B
Stockholders Equity	103.05B	82.68B	86.43B	81.19B	81.38B	76.80B
Cash Flow
Free Cash Flow	10.92B	14.10B	6.57B	2.41B	6.21B	12.20B
Operating Cash Flow	13.85B	17.35B	9.67B	9.16B	9.66B	14.80B
Investing Cash Flow	-3.61B	-4.42B	-2.43B	-7.11B	-5.66B	-5.11B
Financing Cash Flow	-3.81B	-10.64B	-8.17B	-3.25B	-14.13B	4.73B

Elecom Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1769.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6750, the sentiment is Positive. The current price of 1769 is above the 20-day moving average (MA) of 1719.20, above the 50-day MA of 1710.42, and below the 200-day MA of 1787.05, indicating a bullish trend. The MACD of 25.87 indicates Negative momentum. The RSI at 67.77 is Neutral, neither overbought nor oversold. The STOCH value of 85.76 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6750.

Elecom Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6750	79 Outperform	¥163.46B	7.47	12.77%	2.84%	4.48%	22.39%
6676	75 Outperform	¥62.97B	8.14	―	2.03%	-13.53%	173.43%
6727	72 Outperform	¥116.85B	16.19	17.33%	4.06%	-8.93%	48.98%
7751	69 Neutral	¥4.60T	12.97	―	3.27%	4.02%	-41.52%
6737	69 Neutral	¥94.24B	18.89	―	4.76%	1.81%	9.07%
6724	67 Neutral	¥677.74B	15.69	6.07%	3.69%	0.48%	6.92%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Elecom Co Corporate Events

Elecom to Purchase Fractional Shares as Treasury Stock After Nippon Antenna Share Exchange

Elecom has moved to purchase fractional shares created by its November 25, 2025 share exchange that turned Nippon Antenna Co., Ltd. into a wholly owned subsidiary. The board resolved to buy 726 fractional common shares allocated to former Nippon Antenna shareholders on February 13, 2026, at the Tokyo Stock Exchange closing price, and treat them as treasury stock, a standard post-transaction step that tidies up the company’s capital structure following the integration.

This limited-scale treasury share purchase is primarily administrative and is not expected to materially affect Elecom’s overall financial position. However, it completes an important technical phase of the share exchange, helping to finalize ownership consolidation of Nippon Antenna and align Elecom’s outstanding share count with its post-transaction corporate structure.

The most recent analyst rating on (JP:6750) stock is a Hold with a Yen1919.00 price target. To see the full list of analyst forecasts on Elecom Co stock, see the JP:6750 Stock Forecast page.

Elecom Lifts Full-Year Profit Outlook on Bargain Gain From Nippon Antenna Deal

Elecom Co., Ltd. has booked an extraordinary gain of ¥7.65 billion from the bargain purchase of TV and communications equipment maker Nippon Antenna, which became a wholly owned subsidiary through a share exchange effective November 25, 2025. This non-recurring gain sharply lifts the company’s projected profit attributable to owners to ¥17.80 billion for the year ending March 31, 2026, while net sales guidance is nudged up to ¥131 billion as Nippon Antenna’s results are consolidated.

Despite the higher revenue outlook, Elecom is keeping its operating and ordinary profit forecasts unchanged, citing M&A-related costs and uncertainty around foreign exchange movements. The company reports mixed performance across product lines, with weakness in high-priced beauty appliances, power supplies and security-related goods offset by strong demand for keyboards, docking stations, mobile accessories and industrial PCs, illustrating a shifting product mix as it integrates Nippon Antenna into its broader growth strategy.

The most recent analyst rating on (JP:6750) stock is a Hold with a Yen1919.00 price target. To see the full list of analyst forecasts on Elecom Co stock, see the JP:6750 Stock Forecast page.

Elecom profit soars on strong nine-month results as outlook and dividend rise

Elecom Co. reported strong results for the first nine months ended December 31, 2025, with net sales up 9.1% to ¥95.27 billion and profit attributable to owners of parent surging 145.5% to ¥15.52 billion, lifting basic earnings per share to ¥201.10. The balance sheet also strengthened, as total assets rose to ¥141.53 billion and the equity ratio improved to 72.7%, supported in part by the consolidation of Nippon Antenna Co., Ltd. and a reduction in treasury shares.

The company kept its dividend plan on an upward track, confirming a total annual dividend forecast of ¥52.00 per share for the year ending March 31, 2026, up from ¥48.00 in the prior year. Elecom also upgraded its full-year outlook, now projecting double-digit growth in sales and profits, with net sales of ¥131.0 billion and profit attributable to owners of parent of ¥17.80 billion, signaling continued earnings momentum and a shareholder-friendly capital policy.

The most recent analyst rating on (JP:6750) stock is a Hold with a Yen1919.00 price target. To see the full list of analyst forecasts on Elecom Co stock, see the JP:6750 Stock Forecast page.

Elecom Buys Fractional Treasury Shares After Nippon Antenna Share Exchange

Elecom Co., Ltd. has moved to purchase its own shares generated as fractional entitlements following a share exchange that made Nippon Antenna Co., Ltd. its wholly owned subsidiary as of November 25, 2025. The board approved the acquisition of 726 fractional shares allocated to former Nippon Antenna shareholders on February 13, 2026, treating them as treasury stock and pricing the transaction based on that day’s Tokyo Stock Exchange closing price, a routine step to tidy up the post-integration capital structure.

The decision underscores Elecom’s completion of the structural integration of Nippon Antenna and reflects standard capital management practice rather than a broader change in shareholder return policy. By consolidating these fractional shares as treasury stock, Elecom simplifies its share registry and eliminates minor residual holdings, which may marginally streamline administration and improve clarity for investors following the stock exchange transaction.

The most recent analyst rating on (JP:6750) stock is a Hold with a Yen1919.00 price target. To see the full list of analyst forecasts on Elecom Co stock, see the JP:6750 Stock Forecast page.

Elecom boosts full-year profit forecast on bargain gain from Nippon Antenna deal

Elecom Co., Ltd. has recognized an extraordinary gain of ¥7.65 billion from a bargain purchase arising out of its share exchange-based acquisition of Nippon Antenna Co., Ltd., which became a wholly owned subsidiary in November 2025. This gain, calculated on a provisional basis, reflects the incorporation of Nippon Antenna’s performance from October 1, 2025, and significantly lifts the company’s profitability for the current fiscal period.

On the back of this transaction and mixed performance across its product portfolio, Elecom revised its full-year forecast for the year ending March 31, 2026, slightly raising net sales to ¥131 billion while leaving operating and ordinary profit forecasts unchanged. However, profit attributable to owners of parent was sharply upgraded by 75.4% to ¥17.80 billion, as the one-off bargain purchase gain offsets higher M&A-related costs and market challenges in certain categories, notably high-priced beauty appliances, power supplies, and security-related products, while robust demand for PC-related peripherals and mobile accessories supports the top line.

The most recent analyst rating on (JP:6750) stock is a Hold with a Yen1919.00 price target. To see the full list of analyst forecasts on Elecom Co stock, see the JP:6750 Stock Forecast page.

Elecom Lifts Nine-Month Profit 145% and Raises Full-Year Outlook

Elecom reported strong results for the nine months to December 31, 2025, with net sales rising 9.1% year on year to ¥95.27 billion and profit attributable to owners of parent surging 145.5% to ¥15.52 billion, lifting basic earnings per share to ¥201.10. The company’s financial position also strengthened, as total assets climbed to ¥141.53 billion and the equity ratio improved to 72.7%, helped by the addition of Nippon Antenna Co., Ltd. to the consolidated group.

The board maintained its dividend stance, confirming a planned full-year payout of ¥52.00 per share for the year ending March 31, 2026, up from ¥48.00 in the prior year, underscoring confidence in cash generation. Elecom also upgraded its full-year forecast, now projecting an 11.0% rise in net sales to ¥131.0 billion and a 91.4% jump in profit attributable to owners of parent to ¥17.80 billion, signaling robust earnings momentum and a firmer competitive footing in its core markets.

The most recent analyst rating on (JP:6750) stock is a Hold with a Yen1919.00 price target. To see the full list of analyst forecasts on Elecom Co stock, see the JP:6750 Stock Forecast page.

Elecom Co. Completes Acquisition of Nippon Antenna

Elecom Co., Ltd. has completed the acquisition of Nippon Antenna Co., Ltd. as a wholly-owned subsidiary through a simplified share exchange, effective November 25, 2025. This strategic move is expected to enhance the corporate value of both companies by utilizing Elecom’s resources for procurement, development, and sales, while fostering collaboration between the two entities. The acquisition also involved the appointment of new directors for Nippon Antenna, indicating a significant management integration. The financial implications, including potential negative goodwill, are yet to be fully determined and will be announced in due course.

The most recent analyst rating on (JP:6750) stock is a Buy with a Yen2071.00 price target. To see the full list of analyst forecasts on Elecom Co stock, see the JP:6750 Stock Forecast page.