OSG Corporation Co., Ltd. (6757) AI Stock Analysis

• Market Cap: ¥4.30B
• Dividend Yield: 4.06%
• Average Volume (3M): 7.89K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.56
• Revenue Growth: 1.44%
• EPS Growth: -184.10%
• Country: JP
• Employees: 349
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): -20.35
• Shares Outstanding: 5,500,000
• 10 Day Avg. Volume: 4,480
• 30 Day Avg. Volume: 7,893
• PEG Ratio: -4.16
• Price to Book (P/B): 1.75
• Price to Sales (P/S): 0.57
• P/FCF Ratio: -33.85
• 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: 64 Neutral
• Price Target: ¥990.00 ▼(-1.79% Downside)
• Action: Reiterated Date: 10/23/25
• Date: Action: Reiterated 10/23/25

The overall stock score is influenced primarily by the company's strong technical analysis indicators, suggesting positive market sentiment. However, financial performance challenges, particularly in cash flow and profitability, and a high P/E ratio indicating potential overvaluation, weigh down the score.

Positive Factors

Strong Gross Profitability

A strong gross profit margin indicates that OSG Corporation can effectively manage production costs, which is crucial for maintaining profitability in the competitive industrial machinery sector.

Solid Equity Base

A solid equity base provides financial stability and flexibility, allowing OSG Corporation to invest in growth opportunities and weather economic downturns more effectively.

Innovation in Cutting Tool Technology

Continuous innovation in cutting tool technology helps OSG maintain a competitive edge, attract new customers, and sustain long-term revenue growth in the global market.

Negative Factors

Revenue Decline

A declining revenue trend poses challenges to OSG's market position and growth prospects, potentially affecting its ability to invest in new technologies and expand its market share.

Cash Flow Challenges

Negative cash flow indicates potential liquidity issues, limiting OSG's ability to fund operations and invest in growth, which could impact its long-term financial health and operational flexibility.

Low Net Profit Margin

A low net profit margin suggests inefficiencies in converting revenue into profit, which could hinder OSG's ability to generate sufficient returns for shareholders and reinvest in the business.

OSG Corporation Co., Ltd. Business Overview & Revenue Model

Company Description

OSG Corporation Co., Ltd. develops and sells water products in Japan and internationally. The company offers water ionizers and purifiers, and ionized alkaline water vending machines for beverage purpose; and acidic water generators for disinfection purpose. Its products are used for residential, commercial, and industrial sectors. The company was incorporated in 1970 and is headquartered in Osaka, Japan.

How the Company Makes Money

OSG Corporation generates revenue primarily through the sale of its cutting tools and related products. The company’s key revenue streams include direct sales to manufacturers in various industries, distribution through a network of partners, and providing specialized services such as tool reconditioning and support. Significant partnerships with large automotive and aerospace manufacturers also contribute to its earnings. Additionally, OSG invests in research and development to introduce advanced products, which helps to maintain competitive pricing and drive sales growth in the cutting tool market.

OSG Corporation Co., Ltd. Financial Statement Overview

Summary

OSG Corporation Co., Ltd. shows strong gross profitability and a solid equity base, but faces challenges in revenue growth, net profitability, and cash flow generation. The moderate debt usage and low return on equity highlight potential financial weaknesses.

Income Statement

The gross profit margin for 2025 is approximately 58.47%, indicating strong profitability at the gross level. However, the net profit margin for 2025 stands at about 0.42%, which is quite low, reflecting challenges in converting revenue into net income. Revenue has decreased over the years, with a notable decline of approximately 19.7% from 2022 to 2025, indicating a negative growth trajectory. EBIT and EBITDA margins are also relatively low at 1.68% and 3.25% respectively, suggesting limited operational efficiency.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of approximately 0.63 in 2025, indicating a balanced use of debt and equity but suggesting potential leverage risks. The return on equity (ROE) for 2025 is low at 1.29%, showing limited effectiveness in using equity to generate profits. However, the equity ratio is strong at about 40.12%, demonstrating a solid equity base relative to total assets.

Cash Flow

The operating cash flow to net income ratio in 2025 is negative, as is the free cash flow, indicating cash flow challenges. The company has experienced a substantial decline in free cash flow over the years, with a negative free cash flow in 2025, which may pose risks to liquidity and operational flexibility. Despite this, cash reserves remain relatively strong.

Breakdown	TTM	Jan 2025	Jan 2024	Jan 2023	Jan 2022	Jan 2021
Income Statement
Total Revenue	8.02B	7.93B	7.90B	8.13B	9.87B	10.24B
Gross Profit	4.68B	4.65B	4.65B	4.42B	5.09B	5.13B
EBITDA	313.79M	258.00M	295.57M	565.45M	1.27B	1.37B
Net Income	52.43M	33.84M	49.61M	198.14M	638.50M	583.04M
Balance Sheet
Total Assets	6.73B	6.40B	6.73B	6.73B	6.81B	6.26B
Cash, Cash Equivalents and Short-Term Investments	2.18B	2.36B	2.70B	2.55B	2.64B	2.53B
Total Debt	1.96B	1.61B	1.60B	1.55B	1.46B	1.42B
Total Liabilities	3.84B	3.50B	3.55B	3.31B	3.12B	3.17B
Stockholders Equity	2.48B	2.57B	2.74B	2.90B	3.11B	2.63B
Cash Flow
Free Cash Flow	0.00	-132.43M	289.83M	155.78M	245.22M	1.07B
Operating Cash Flow	0.00	-796.00K	447.26M	305.69M	649.56M	1.12B
Investing Cash Flow	0.00	399.20M	-227.29M	-235.23M	-588.42M	-619.95M
Financing Cash Flow	0.00	-227.68M	-154.76M	-228.83M	-142.41M	-378.46M

OSG Corporation Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1008.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6757, the sentiment is Neutral. The current price of 1008 is above the 20-day moving average (MA) of 821.45, above the 50-day MA of 895.36, and above the 200-day MA of 852.53, indicating a neutral trend. The MACD of -21.39 indicates Negative momentum. The RSI at 46.19 is Neutral, neither overbought nor oversold. The STOCH value of 59.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6757.

OSG Corporation Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6159	76 Outperform	¥13.42B	11.91	―	0.93%	23.05%	89.17%
6118	74 Outperform	¥64.67B	12.89	―	2.54%	2.00%	39.80%
6757	64 Neutral	¥4.30B	-93.33	―	4.06%	1.44%	-184.10%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6125	62 Neutral	¥32.01B	20.12	―	3.56%	-3.85%	-45.64%
6155	58 Neutral	¥5.22B	-34.90	―	2.10%	-0.59%	89.24%
6147	57 Neutral	¥1.50B	-6.42	―	3.08%	-4.18%	-192.32%