Tokyo Cosmos Electric Co., Ltd. (6772) AI Stock Analysis

• Market Cap: ¥11.40B
• Dividend Yield: 1.77%
• Average Volume (3M): 1.71K
• Price to Earnings (P/E): 19.2
• Beta (1Y): 0.03
• Revenue Growth: -1.17%
• EPS Growth: -42.36%
• Country: JP
• Employees: 645
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -76.37
• Shares Outstanding: 1,365,172
• 10 Day Avg. Volume: 3,380
• 30 Day Avg. Volume: 1,710
• PEG Ratio: -0.46
• Price to Book (P/B): 1.11
• Price to Sales (P/S): 0.80
• P/FCF Ratio: 8.58
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: ¥9,277.00 ▲(2.62% Upside)

The overall stock score of 65 reflects strong financial performance with improved profitability and leverage. However, technical analysis indicates bearish momentum, and valuation metrics suggest the stock is fairly priced. The lack of earnings call data and corporate events limits further insights.

Positive Factors

Financial Health

A decreasing debt-to-equity ratio indicates improved leverage and financial stability, reducing risk and enhancing long-term resilience.

Profitability

Improving net profit margins reflect enhanced operational efficiency and profitability, supporting sustainable growth and shareholder value.

Product Quality

Reputation for high-quality products strengthens competitive advantage, fostering customer loyalty and supporting long-term market position.

Negative Factors

Cash Flow Challenges

Negative free cash flow growth indicates potential cash flow challenges, which could impact the company's ability to invest in growth opportunities.

Revenue Growth

A dip in revenue growth could signal challenges in market expansion or competition, potentially affecting future earnings and market share.

Operational Efficiency

Decreasing EBIT and EBITDA margins suggest pressure on operational efficiencies, which may affect profitability if not addressed.

Tokyo Cosmos Electric Co., Ltd. Business Overview & Revenue Model

Company Description

Tokyo Cosmos Electric Co., Ltd. manufactures and sells electronic components in Japan and internationally. The company offers TOCOS film heaters, switches, trimmer capacitors, opto electronic devices, automotive devices, and potentiometer for industrial and consumer. It serves automobile and motorcycle, agriculture and construction, two-way radio, industrial, amusement, infrastructure, office and home, and healthcare sectors. In addition, it provides accessories. The company was incorporated in 1947 and is headquartered in Zama, Japan.

How the Company Makes Money

Tokyo Cosmos Electric generates revenue through the sale of its electronic components and systems, catering to various industries such as telecommunications, automotive, and industrial automation. Key revenue streams include the production and distribution of semiconductors and other electronic parts, which are sold to OEMs (original equipment manufacturers) and other manufacturers. The company may also engage in long-term contracts with major corporations, providing custom solutions and ongoing support services, which contribute to stable income. Additionally, partnerships with technology firms and participation in joint ventures allow Tokyo Cosmos Electric to expand its market reach and enhance its product offerings, ultimately driving sales and increasing profitability.

Tokyo Cosmos Electric Co., Ltd. Financial Statement Overview

Summary

Tokyo Cosmos Electric Co., Ltd. demonstrates solid financial health with substantial improvements in profitability and leverage over the years. The balance sheet shows improved leverage and financial stability, though recent cash flow trends suggest a need for close monitoring.

Income Statement

The company shows solid profitability with consistent gross profit margins improving from 22.6% in 2021 to 27.8% in 2025. Net profit margins have seen significant improvement, moving from a negative position in 2021 to 6.7% in 2025. Revenue growth has been relatively stable with a slight dip in the latest year. However, EBIT and EBITDA margins have slightly decreased, indicating some pressure on operational efficiencies.

Balance Sheet

The balance sheet is strong with a decreasing debt-to-equity ratio from 1.51 in 2020 to 0.20 in 2025, indicating improved leverage. The equity ratio has increased over the years, reflecting financial stability and reduced risk. ROE remains healthy at 9.4% in 2025, showcasing effective utilization of equity capital.

Cash Flow

Operating cash flow has remained robust, though it has decreased from 2024 to 2025. Free cash flow remains positive, demonstrating the company's ability to generate cash after capital expenditures. However, the free cash flow growth rate has been negative in the latest year, indicating potential cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.52B	10.51B	10.43B	10.71B	9.51B	7.87B
Gross Profit	2.90B	2.92B	2.75B	2.74B	2.15B	1.38B
EBITDA	1.31B	1.50B	1.97B	2.18B	1.61B	769.98M
Net Income	594.12M	709.01M	962.25M	1.17B	630.03M	-161.52M
Balance Sheet
Total Assets	12.00B	12.01B	12.42B	13.40B	12.73B	13.08B
Cash, Cash Equivalents and Short-Term Investments	3.17B	3.34B	3.58B	4.04B	3.22B	3.10B
Total Debt	1.26B	1.51B	2.46B	4.30B	5.13B	5.97B
Total Liabilities	4.54B	4.44B	5.41B	7.49B	8.05B	9.14B
Stockholders Equity	7.46B	7.58B	7.00B	5.92B	4.68B	3.95B
Cash Flow
Free Cash Flow	0.00	976.40M	1.46B	1.46B	981.42M	206.87M
Operating Cash Flow	0.00	1.20B	1.63B	1.71B	1.22B	558.79M
Investing Cash Flow	0.00	-216.35M	-163.00M	-204.10M	-161.04M	-186.64M
Financing Cash Flow	0.00	-1.15B	-2.14B	-874.50M	-1.06B	1.21B

Tokyo Cosmos Electric Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9040.00
• 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:6772, the sentiment is Positive. The current price of 9040 is above the 20-day moving average (MA) of 8877.00, above the 50-day MA of 8765.80, and above the 200-day MA of 7931.97, indicating a bullish trend. The MACD of 121.83 indicates Negative momentum. The RSI at 53.71 is Neutral, neither overbought nor oversold. The STOCH value of 55.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6772.

Tokyo Cosmos Electric Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6915	75 Outperform	¥32.09B	12.36	―	4.94%	-7.10%	6.38%
6919	66 Neutral	¥9.99B	54.14	―	5.71%	-0.23%	-32.32%
6772	65 Neutral	¥11.40B	19.19	―	1.77%	-1.17%	-42.36%
6779	64 Neutral	¥20.65B	18.23	―	3.24%	2.87%	-53.44%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6926	46 Neutral	¥4.43B	-2.35	―	―	-6.31%	-64.22%

Tokyo Cosmos Electric Co., Ltd. Corporate Events

Tokyo Cosmos Electric Receives Investigation Report on Shareholder Matters

Tokyo Cosmos Electric Co., Ltd. has received an investigation report from a Special Investigation Committee, which was established to examine the company’s stance on a tender offer by Bourns Japan Holdings LLC and the handling of shareholder proposals at its recent general meeting. The company plans to disclose the report with necessary redactions to protect sensitive information, indicating a commitment to transparency and addressing shareholder concerns.

Tokyo Cosmos Electric Announces Stock Split and Amendments to Articles of Incorporation

Tokyo Cosmos Electric Co., Ltd. announced a stock split, increasing its total issued shares from 1,365,172 to 6,825,860, to make shares more affordable and broaden its investor base. The company also amended its Articles of Incorporation to reflect an increase in authorized shares to 21 million, effective January 1, 2026, aligning with its strategic goals to enhance market accessibility.

Tokyo Cosmos Electric Terminates Tender Offer Agreement with Bourns Japan

Tokyo Cosmos Electric Co., Ltd. has announced the termination of its Tender Offer Agreement with Bourns Japan Holdings LLC. The decision was influenced by the major shareholders’ lack of intention to tender their shares, which made the success of the tender offer unlikely. This move reflects a significant shift in the company’s strategic direction and could impact its future operations and stakeholder relationships.

Tokyo Cosmos Electric Reports Extraordinary Loss and Revises Earnings Forecast

Tokyo Cosmos Electric Co., Ltd. has reported an extraordinary loss of ¥224 million due to expenses related to a tender offer by Bourns Japan Holdings LLC, which includes fees for expert advice and investigation costs. Additionally, the company has revised its consolidated earnings forecast for the fiscal year ending March 2026, projecting a significant decrease in net sales and profits due to ongoing uncertainties in global supply and demand conditions influenced by tariff policies from the United States and China.

Tokyo Cosmos Electric Announces Executive Restructuring

Tokyo Cosmos Electric Co., Ltd. has announced a restructuring under a new Medium-Term Management Plan, introducing a divisional headquarters structure. This change includes appointing Masao Arai and Kazutomo Miyata as executive officers to lead the Potentiometer and Automotive Devices divisions, respectively, effective January 1, 2026, which is expected to enhance operational efficiency and strategic focus.

Tokyo Cosmos Electric Reports Decline in Financial Performance for H1 2025

Tokyo Cosmos Electric Co., Ltd. reported a decline in its financial performance for the six months ending September 30, 2025, with net sales decreasing by 6.1% and operating profit dropping by 44.6% compared to the previous year. The company faces significant challenges as it navigates a competitive market, impacting its profitability and shareholder returns.