Teikoku Tsushin Kogyo Co., Ltd. (6763) AI Stock Analysis

• Market Cap: ¥27.66B
• Dividend Yield: 3.16%
• Average Volume (3M): 11.85K
• Price to Earnings (P/E): 17.3
• Beta (1Y): 0.80
• Revenue Growth: 12.72%
• EPS Growth: 53.85%
• Country: JP
• Employees: 1,571
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 55.51
• Shares Outstanding: 9,856,107
• 10 Day Avg. Volume: 14,610
• 30 Day Avg. Volume: 11,846
• PEG Ratio: 0.22
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 1.35
• P/FCF Ratio: 23.83
• 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: 80 Outperform
• Price Target: ¥3,347.00 ▲(25.17% Upside)
• Action: Reiterated Date: 10/07/25
• Date: Action: Reiterated 10/07/25

Teikoku Tsushin Kogyo Co., Ltd. scores well due to its strong financial performance and reasonable valuation. The technical indicators suggest positive momentum, though caution is advised due to the RSI nearing overbought levels. The absence of earnings call and corporate events data does not impact the overall score.

Positive Factors

Balance Sheet Strength

Extremely low leverage and an 83.06% equity ratio provide durable financial flexibility and low refinancing risk. Strong equity funding and a positive ROE enable the company to fund operations, withstand cyclical downturns, and pursue selective investments without relying on debt.

Revenue Growth and Healthy Margins

Double-digit revenue growth alongside robust gross and net margins signals sustainable demand and operational efficiency. Consistent margins imply pricing power and cost control, supporting durable profitability even if sales mix shifts across industrial and consumer end markets.

Cash Generation and Free Cash Flow

Positive free cash flow and near-1.0 cash conversion indicate earnings translate into real cash, supporting capex, dividends, or strategic spending. This cash generation underpins long-term financial resilience despite periodic operating cash flow fluctuations.

Negative Factors

Declining Operating Cash Flow

A drop in operating cash flow and negative FCF growth versus prior year can constrain reinvestment capacity and limit margin expansion. Persistent OCF weakness would reduce internal funding for new product tooling or capacity, pressuring strategic flexibility over the medium term.

Earnings Per Share Contraction

Negative EPS growth despite revenue gains suggests margin volatility, one-off items, or higher costs eroding per-share profitability. Continued EPS contraction would challenge reinvestment and shareholder return policies and may reflect structural cost pressures.

Revenue Sensitivity to End‑Market Cyclicality

Business depends on unit volumes and OEM orders, making sales cyclical and sensitive to industrial and consumer demand swings. Even with strong margins, volume volatility can produce outsized revenue and cashflow variability across 2–6 months, complicating planning.

Teikoku Tsushin Kogyo Co., Ltd. Business Overview & Revenue Model

Company Description

Teikoku Tsushin Kogyo Co., Ltd. provides various electronic components in Japan and internationally. It offers discrete products comprising potentiometers, resistance sensors, trimmer potentiometers, switches, encoders, antifreeze-heaters, sparking plugs and flame rods, and fixed resistors used in automotive products, gaming devices and toys, AV equipment, music instruments, acoustic equipment, house equipment, home appliances, office and industrial equipment, and medical and health care devices. The company was incorporated in 1944 and is headquartered in Kawasaki, Japan.

How the Company Makes Money

Teikoku Tsushin Kogyo generates revenue primarily through the sale of its communication equipment and systems to various sectors, including government, military, and commercial enterprises. Key revenue streams include direct sales of hardware, software solutions, and service contracts for installation and maintenance of communication systems. The company also benefits from partnerships and collaborations with other technology firms, enabling it to expand its product offerings and enhance its market reach. Additionally, revenue may be supplemented by government contracts and grants for projects involving advanced communication technologies.

Teikoku Tsushin Kogyo Co., Ltd. Financial Statement Overview

Summary

Teikoku Tsushin Kogyo Co., Ltd. demonstrates strong financial health with robust revenue growth, high profit margins, and solid balance sheet metrics. Despite a decrease in operating cash flow, the company maintains positive free cash flow, indicating sound cash management.

Income Statement

Teikoku Tsushin Kogyo Co., Ltd. has shown strong revenue growth, particularly notable with a 10.28% increase from 2024 to 2025. The company maintains a robust gross profit margin of 30.94% and a commendable net profit margin of 11.97% for 2025. Consistent EBIT and EBITDA margins demonstrate operational efficiency and profitability. Overall, the income statement indicates a well-managed and growing company.

Balance Sheet

The balance sheet reflects a solid financial position, with a low debt-to-equity ratio of 0.002, highlighting minimal leverage and reduced financial risk. A strong equity ratio of 83.06% in 2025 provides stability and indicates the company's reliance on equity rather than debt. Return on equity stands at a healthy 7.23%, showcasing effective use of shareholders' funds to generate profits.

Cash Flow

Cash flow analysis reveals a decrease in operating cash flow from 2024 to 2025. However, the company maintains a positive free cash flow in 2025, ensuring flexibility in investments and operations. The operating cash flow to net income ratio is 0.90, suggesting effective cash generation from operations. While free cash flow growth is negative compared to 2024, the overall cash management remains solid.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	17.14B	16.79B	15.22B	16.49B	15.11B	12.02B
Gross Profit	5.44B	5.20B	4.65B	5.22B	5.03B	3.92B
EBITDA	2.66B	3.19B	2.64B	2.87B	2.81B	1.58B
Net Income	1.68B	2.01B	1.36B	1.39B	1.58B	755.37M
Balance Sheet
Total Assets	32.56B	33.46B	32.09B	30.31B	29.09B	27.27B
Cash, Cash Equivalents and Short-Term Investments	12.64B	13.14B	12.34B	10.57B	10.04B	9.06B
Total Debt	1.86B	46.89M	98.88M	41.78M	43.39M	47.26M
Total Liabilities	4.99B	5.05B	4.68B	4.61B	4.74B	4.21B
Stockholders Equity	27.01B	27.79B	26.78B	25.13B	23.82B	22.63B
Cash Flow
Free Cash Flow	0.00	948.44M	2.34B	767.10M	1.19B	-656.81M
Operating Cash Flow	0.00	1.81B	2.92B	1.63B	1.79B	409.21M
Investing Cash Flow	0.00	228.10M	-87.21M	-534.70M	-757.38M	-973.27M
Financing Cash Flow	0.00	-1.28B	-1.27B	-750.66M	-648.70M	-467.75M

Teikoku Tsushin Kogyo Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2674.00
• 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:6763, the sentiment is Positive. The current price of 2674 is below the 20-day moving average (MA) of 2819.20, below the 50-day MA of 2746.06, and above the 200-day MA of 2472.95, indicating a bullish trend. The MACD of 33.13 indicates Negative momentum. The RSI at 60.98 is Neutral, neither overbought nor oversold. The STOCH value of 81.20 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6763.

Teikoku Tsushin Kogyo Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6643	81 Outperform	¥28.52B	12.78	―	3.12%	6.60%	0.27%
6763	80 Outperform	¥27.66B	17.28	―	3.16%	12.72%	53.85%
6994	74 Outperform	¥35.50B	13.86	―	2.35%	5.15%	480.70%
6668	70 Outperform	¥17.12B	9.82	―	1.66%	12.23%	65.42%
7480	70 Outperform	¥22.88B	15.62	―	6.06%	-1.22%	-7.71%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
6619	45 Neutral	¥10.72B	-0.79	―	―	―	―

Teikoku Tsushin Kogyo Co., Ltd. Corporate Events

Teikoku Tsushin Kogyo Reshapes Executive Team, Elevates Sales Leadership

Teikoku Tsushin Kogyo announced changes to its executive officer lineup, effective April 1, 2026, following a board resolution on February 25, 2026. Director and Senior Vice President Akira Takaoka will become Director and Senior Executive Officer responsible for sales, while Executive Officer Ryoji Minami will continue as Sales Department Manager with clarified responsibility for sales.

The updated executive roster formalizes a clearer division of roles across management, development, administration, sales, production, quality assurance, product planning, and accounting. By elevating sales leadership and specifying responsibilities, the company appears to be tightening its governance structure and sharpening its commercial focus, which may support more agile decision-making and operational execution in its core businesses.

The most recent analyst rating on (JP:6763) stock is a Buy with a Yen3336.00 price target. To see the full list of analyst forecasts on Teikoku Tsushin Kogyo Co., Ltd. stock, see the JP:6763 Stock Forecast page.

Teikoku Tsushin Kogyo’s NOBLE Brand Charts Shift Beyond Resistors in FY2026 Outlook

NOBLE, the brand of Teikoku Tsushin Kogyo Co., Ltd., signaled a strategic evolution from a conventional resistor company toward a more diversified electronic components player, aiming to become the “new NOBLE.” The company released its consolidated third-quarter financial highlights for the year ending March 2026, outlining trends in net sales, operating profit, and regional and market breakdowns, and also presented revised earnings and dividend forecasts that frame its near-term financial trajectory and operational priorities.

The disclosure of forecasts for consolidated net sales and operating profit, alongside balance sheet information, offers stakeholders a structured view of NOBLE’s performance and expectations as it restructures its portfolio. While detailed figures are not provided in the release excerpt, the emphasis on forecast revisions and market-by-region analysis underlines management’s focus on navigating demand conditions in electronic components and repositioning the business for future growth.

The most recent analyst rating on (JP:6763) stock is a Buy with a Yen3072.00 price target. To see the full list of analyst forecasts on Teikoku Tsushin Kogyo Co., Ltd. stock, see the JP:6763 Stock Forecast page.

Teikoku Tsushin Kogyo Profit Slides Despite Higher Sales and Stable Dividend

Teikoku Tsushin Kogyo reported consolidated net sales of ¥13.0 billion for the nine months to December 31, 2025, up 3.6% year on year, but operating profit fell 26.1% to ¥1.06 billion and profit attributable to owners dropped 30.7% to ¥965 million, with earnings per share sliding to ¥102.92. Despite the profit decline, the balance sheet remains solid with an equity ratio of 82.9%, the company plans to maintain a full-year dividend of ¥100 per share, and it now forecasts only modest full-year sales growth with double-digit profit declines, underscoring pressure on margins and earnings sustainability.

The most recent analyst rating on (JP:6763) stock is a Buy with a Yen3072.00 price target. To see the full list of analyst forecasts on Teikoku Tsushin Kogyo Co., Ltd. stock, see the JP:6763 Stock Forecast page.

Teikoku Tsushin Kogyo Raises Full-Year Profit Outlook on FX Gains

Teikoku Tsushin Kogyo has revised its consolidated full-year forecast for the fiscal year ending March 31, 2026, lifting net sales guidance slightly to ¥17.0 billion while keeping operating profit unchanged at ¥1.3 billion. The company now expects ordinary profit of ¥1.65 billion and profit attributable to owners of parent of ¥1.4 billion, which would raise projected earnings per share to ¥151.

Management attributed the upward revision mainly to higher-than-expected foreign exchange gains in the third quarter, driven by the yen’s depreciation, which pushed ordinary profit above the previous forecast. Reflecting this currency backdrop, the firm also revised its assumed fourth-quarter exchange rate from ¥145 to ¥154 per U.S. dollar, while leaving its dividend forecast unchanged, signaling no immediate change in shareholder return policy despite the earnings upgrade.

The most recent analyst rating on (JP:6763) stock is a Buy with a Yen3072.00 price target. To see the full list of analyst forecasts on Teikoku Tsushin Kogyo Co., Ltd. stock, see the JP:6763 Stock Forecast page.

Teikoku Tsushin Kogyo Nears Cap on ¥500 Million Share Buyback Program

Teikoku Tsushin Kogyo has completed a share buyback program authorized by its board in August 2025, acquiring a total of 194,600 common shares for 499,965,900 yen via market purchases through a trust system. The final tranche, executed between February 1 and 4, 2026, added 3,800 shares at a cost of 10,698,400 yen, nearly exhausting the program’s 200,000-share and 500 million-yen ceilings, signaling active capital policy and potential shareholder value enhancement.

The buyback represents up to 2.1% of outstanding shares excluding treasury stock, underscoring management’s commitment to capital efficiency and possible support for the share price in the TSE Prime Market. This completion may slightly improve key financial metrics per share and could influence investor perception of the company’s balance sheet strategy and long-term capital allocation discipline.

The most recent analyst rating on (JP:6763) stock is a Buy with a Yen3072.00 price target. To see the full list of analyst forecasts on Teikoku Tsushin Kogyo Co., Ltd. stock, see the JP:6763 Stock Forecast page.

Teikoku Tsushin Kogyo Nears Completion of ¥500 Million Share Buyback Program

Teikoku Tsushin Kogyo has disclosed the latest status of its ongoing share buyback program, reporting that it repurchased 34,200 common shares for a total of 92.89 million yen via market purchases through a trust between January 1 and January 31, 2026. This transaction forms part of a broader board-approved buyback plan, authorized in August 2025, allowing purchases of up to 200,000 shares or 500 million yen through March 24, 2026; as of November 30, 2025, the company had already acquired 190,800 shares for 489.27 million yen, signaling an almost complete execution of the authorized program, which is likely aimed at enhancing shareholder value and optimizing capital structure.

The most recent analyst rating on (JP:6763) stock is a Buy with a Yen3072.00 price target. To see the full list of analyst forecasts on Teikoku Tsushin Kogyo Co., Ltd. stock, see the JP:6763 Stock Forecast page.

Teikoku Tsushin Kogyo Reports Progress on Share Buyback Program

Teikoku Tsushin Kogyo has reported the latest status of its ongoing share buyback program authorized by the board in August 2025. During the period from December 1 to December 31, 2025, the company repurchased 30,600 common shares for a total of 80,435,400 yen via market purchases through a trust. Cumulatively, as of December 31, 2025, it has acquired 156,600 shares for 396,376,300 yen under this resolution, against a maximum authorized limit of 200,000 shares or 500 million yen to be executed by March 24, 2026. The progress of this buyback underscores management’s ongoing use of treasury share acquisition as a capital allocation tool, which may support shareholder returns and signal confidence in the company’s valuation.

The most recent analyst rating on (JP:6763) stock is a Buy with a Yen3002.00 price target. To see the full list of analyst forecasts on Teikoku Tsushin Kogyo Co., Ltd. stock, see the JP:6763 Stock Forecast page.

Teikoku Tsushin Kogyo Acquires Treasury Shares to Boost Shareholder Value

Teikoku Tsushin Kogyo Co., Ltd. announced the acquisition of 32,400 treasury shares for approximately 81.9 million yen during November 2025, as part of a broader plan to acquire up to 200,000 shares by March 2026. This strategic move is aimed at enhancing shareholder value and optimizing capital structure, reflecting the company’s commitment to efficient financial management.

The most recent analyst rating on (JP:6763) stock is a Buy with a Yen3002.00 price target. To see the full list of analyst forecasts on Teikoku Tsushin Kogyo Co., Ltd. stock, see the JP:6763 Stock Forecast page.