Nihon Dempa Kogyo Co., Ltd. (6779) AI Stock Analysis

• Market Cap: ¥15.44B
• Dividend Yield: 4.27%
• Average Volume (3M): 115.46K
• Price to Earnings (P/E): 9.0
• Beta (1Y): 1.36
• Revenue Growth: 5.48%
• EPS Growth: -23.11%
• Country: JP
• Employees: 2,366
• Sector: Technology
• Sector Strength: 82
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -8.90
• Shares Outstanding: 23,128,605
• 10 Day Avg. Volume: 112,120
• 30 Day Avg. Volume: 115,463
• PEG Ratio: -1.13
• Price to Book (P/B): 1.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 9.00
• 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

• Rating: 68 Neutral
• Price Target: ¥764.00 ▲(4.51%Upside)

Nihon Dempa Kogyo Co., Ltd. has a stable financial foundation with positive growth prospects. The stock is attractively valued, offering a strong dividend yield. However, technical indicators suggest bearish market sentiment, which could impact short-term stock performance. The company's financial health and valuation provide a solid base for future growth, but market conditions should be monitored.

Nihon Dempa Kogyo Co., Ltd. Business Overview & Revenue Model

Company Description

Nihon Dempa Kogyo Co., Ltd. (NDK) is a Japan-based company primarily engaged in the manufacturing and sale of crystal devices. It operates in sectors including telecommunications, automotive, and consumer electronics, providing essential components such as crystal oscillators, resonators, and filters. These components are crucial for ensuring the stability and accuracy of frequency control in various electronic devices, making NDK a key player in the global electronic components market.

How the Company Makes Money

Nihon Dempa Kogyo Co., Ltd. generates revenue through the production and sale of crystal devices, which are utilized in a wide range of applications across different industries. The company's primary revenue streams include the sale of crystal oscillators and resonators used in devices like smartphones, GPS systems, and automotive electronics. NDK also benefits from strategic partnerships with electronics manufacturers and telecommunications companies, which rely on its high-precision products to maintain operational efficiency and performance. Additionally, the company's investment in research and development helps it innovate and expand its product offerings, thereby contributing to its revenue growth.

Nihon Dempa Kogyo Co., Ltd. Financial Statement Overview

Summary

Nihon Dempa Kogyo Co., Ltd. maintains a stable financial performance with a robust income statement, demonstrating notable revenue growth and profitability. The balance sheet shows a balanced financial structure with manageable debt levels, while cash flow indicates strong generation capacity despite some management challenges. Overall, the company is positioned for growth but should focus on improving operational efficiency and cash flow management.

Income Statement

Nihon Dempa Kogyo Co., Ltd. has shown a solid performance in its income statement. The company achieved a gross profit margin of 28.96% and a net profit margin of 3.38% for the latest fiscal year. There was a notable revenue growth rate of 5.48% from the previous year, indicating positive business momentum. However, the EBIT margin of 8.52% suggests room for improvement in operational efficiency. Overall, the income statement reflects a stable financial position with growth potential.

Balance Sheet

The balance sheet reveals a moderate financial structure with a debt-to-equity ratio of 1.01, indicating a balanced use of debt and equity. The return on equity is relatively low at 6.14%, suggesting limited returns for shareholders. The equity ratio stands at 40.79%, reflecting a healthy level of equity financing. While the company maintains a stable financial position, there is potential risk due to the significant level of debt.

Cash Flow

The cash flow statement indicates mixed results. The free cash flow growth rate has decreased significantly, highlighting challenges in generating free cash flow. However, the operating cash flow to net income ratio of 3.41 suggests strong cash generation capability relative to net income. The free cash flow to net income ratio of 1.36 is positive, but there is room for improvement in cash flow management. Overall, the cash flow position is stable but could be strengthened further.

Breakdown
Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
53.06B	50.31B	52.51B	45.41B	39.20B
	Gross Profit
15.36B	14.39B	16.41B	12.51B	6.58B
	EBIT
4.52B	4.34B	8.33B	5.18B	2.84B
	EBITDA
7.07B	7.49B	11.21B	8.51B	6.28B
	Net Income Common Stockholders
1.79B	2.33B	6.18B	5.46B	1.98B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
15.88B	12.30B	10.29B	10.36B	16.71B
	Total Assets
71.52B	66.17B	64.16B	61.22B	63.05B
	Total Debt
29.55B	26.15B	27.25B	27.13B	35.72B
	Net Debt
13.67B	13.85B	16.96B	16.77B	19.02B
	Total Liabilities
42.34B	38.80B	40.16B	41.18B	49.50B
	Stockholders Equity
29.17B	27.37B	24.00B	20.04B	13.55B
Cash Flow		Free Cash Flow
2.44B	4.77B	3.29B	2.12B	-2.15B
	Operating Cash Flow
6.11B	8.53B	6.56B	4.56B	124.00M
	Investing Cash Flow
-4.45B	-3.81B	-3.23B	-2.33B	313.00M
	Financing Cash Flow
1.91B	-2.95B	-3.52B	-8.91B	5.42B

Nihon Dempa Kogyo Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 731.00
• 50DMA: Positive
• 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:6779, the sentiment is Neutral. The current price of 731 is above the 20-day moving average (MA) of 707.50, above the 50-day MA of 722.52, and below the 200-day MA of 885.63, indicating a neutral trend. The MACD of -5.13 indicates Negative momentum. The RSI at 53.63 is Neutral, neither overbought nor oversold. The STOCH value of 64.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6779.

Nihon Dempa Kogyo Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6814	78 Outperform	¥96.52B	8.44		4.90%	10.54%	83.58%
6787	71 Outperform	¥152.85B	10.43		1.35%	15.24%	32.83%
6779	68 Neutral	¥15.44B	9.03		4.27%	5.48%	-23.11%
6996	68 Neutral	¥81.20B	13.92		3.00%	-3.24%	-28.68%
Sector *	62 Neutral	$11.92B	10.48	-7.50%	2.95%	7.40%	-8.18%
6962	60 Neutral	€16.84B	59.77	0.75%	5.28%	-1.84%	-84.75%
6976	55 Neutral	¥305.99B	130.51		3.65%	5.82%	-71.99%

Nihon Dempa Kogyo Co., Ltd. Corporate Events

Nihon Dempa Kogyo Unveils Strategic Medium-term Management Plan

Nihon Dempa Kogyo Co., Ltd. announced its Third Medium-term Management Plan, targeting sustainable growth by focusing on high profitability and capital efficiency. The plan includes investments in AI-related, defense, space, and optical products, as well as enhancing photolithographic processing technology and transforming factories into smart ones. The company aims to improve human resource engagement and remuneration to secure talent, acknowledging the potential short-term impact on profits for long-term growth.

Nihon Dempa Kogyo Announces Leadership Changes

Nihon Dempa Kogyo Co., Ltd. announced changes in its directors and corporate officers, effective June 26, 2025, following a resolution at the Board of Directors Meeting. These changes are pending approval at the upcoming Ordinary General Meeting of Shareholders, indicating a strategic shift in leadership roles.