Meiko Electronics Co., Ltd. (6787) AI Stock Analysis

• Market Cap: ¥252.17B
• Dividend Yield: 0.8%
• Average Volume (3M): 225.37K
• Price to Earnings (P/E): 16.1
• Beta (1Y): 1.66
• Revenue Growth: 15.13%
• EPS Growth: 31.79%
• Country: JP
• Employees: 11,912
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 143.96
• Shares Outstanding: 26,803,320
• 10 Day Avg. Volume: 290,100
• 30 Day Avg. Volume: 225,370
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥7,823.00
• Price Target Upside: -17.13% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 76 Outperform
• Price Target: ¥7,823.00 ▼(-17.13% Downside)

Meiko Electronics Co., Ltd.'s strong financial performance and positive technical indicators drive a solid overall stock score. The company's robust revenue growth and profitability, coupled with favorable market momentum, position it well within its industry. However, the reasonable valuation and negative free cash flow prompt some caution, highlighting the importance of managing capital expenditures for sustained success.

Meiko Electronics Co., Ltd. Business Overview & Revenue Model

Company Description

Meiko Electronics Co., Ltd. engages in the design, manufacture, and sale of printed circuit boards (PCBs) and auxiliary electronics in Japan, rest of Asia, North America, Europe, and internationally. Its principal products include double-sided/multi-layer through-hole PCBs, HDI PCBs, flexible PCBs, flex-rigid PCBs, high electric current PCBs, heat dissipation PCBs, embedded devices PCBs, solder stencils, PCB testers, and imaging devices and systems. The company also provides circuit design and electronic manufacturing services. Its products have applications in the areas of automobiles, telecommunications, industrial devices, and amusement/home appliances. The company was formerly known as Meiko Denshi Kogyo Co., Ltd. and changed its name to Meiko Electronics Co., Ltd. in April 1991. Meiko Electronics Co., Ltd. was founded in 1975 and is headquartered in Ayase, Japan.

How the Company Makes Money

Meiko Electronics Co., Ltd. primarily generates revenue through the production and sale of printed circuit boards (PCBs). Its revenue streams are diversified across various industries such as automotive, telecommunications, and consumer electronics. The company utilizes its cutting-edge manufacturing facilities to produce high-quality, reliable PCBs that meet the specific needs of its clients. Additionally, Meiko may engage in strategic partnerships and collaborations to enhance its technological capabilities and market reach, further contributing to its earnings. The company's emphasis on innovation and quality control allows it to maintain competitive pricing and retain a strong customer base, thereby driving its revenue growth.

Meiko Electronics Co., Ltd. Financial Statement Overview

Summary

Meiko Electronics Co., Ltd. demonstrates strong financial health with impressive revenue growth and profitability. The financial statements indicate solid returns on equity and robust cash flow generation, though negative free cash flow suggests the need to manage capital expenditures carefully.

Income Statement

Meiko Electronics Co., Ltd. has shown strong revenue growth with a 15.23% increase from the previous year and consistent improvement in gross and net profit margins. The gross profit margin increased to 19.23%, and the net profit margin to 7.21%. EBIT and EBITDA margins also improved to 9.23% and 16.28%, respectively, indicating enhanced operational efficiency.

Balance Sheet

The company maintains a solid equity base with an equity ratio of 42.22%. However, the debt-to-equity ratio stands at 0.81, suggesting moderate leverage. Return on equity is impressive at 13.79%, reflecting effective use of shareholders' equity to generate profits.

Cash Flow

Operating cash flow remains robust at ¥21.66 billion, although free cash flow has turned negative. The operating cash flow to net income ratio is healthy, indicating strong cash generation relative to net earnings. However, the negative free cash flow highlights potential challenges in managing capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	206.81B	206.81B	179.46B	167.28B	151.28B	119.26B
Gross Profit	39.78B	39.78B	31.39B	26.02B	27.39B	17.52B
EBITDA	33.39B	33.67B	26.85B	21.83B	21.29B	13.82B
Net Income	14.93B	14.93B	11.31B	8.85B	11.45B	4.64B
Balance Sheet
Total Assets	256.37B	256.37B	229.96B	202.39B	168.33B	142.04B
Cash, Cash Equivalents and Short-Term Investments	23.15B	23.15B	21.60B	17.58B	10.70B	12.37B
Total Debt	87.57B	87.57B	79.26B	75.79B	67.00B	68.31B
Total Liabilities	140.76B	140.76B	124.50B	117.92B	109.64B	101.43B
Stockholders Equity	108.24B	108.24B	98.18B	77.32B	58.49B	40.42B
Cash Flow
Free Cash Flow	0.00	-2.74B	1.68B	-3.39B	2.00B	-2.10B
Operating Cash Flow	0.00	21.66B	23.36B	15.71B	13.97B	7.85B
Investing Cash Flow	0.00	-24.33B	-21.59B	-29.04B	-11.79B	-9.49B
Financing Cash Flow	0.00	4.14B	681.00M	19.96B	-4.73B	-618.00M

Meiko Electronics Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9440.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6787, the sentiment is Positive. The current price of 9440 is above the 20-day moving average (MA) of 8612.00, above the 50-day MA of 7597.00, and above the 200-day MA of 7508.64, indicating a bullish trend. The MACD of 627.74 indicates Negative momentum. The RSI at 72.31 is Negative, neither overbought nor oversold. The STOCH value of 78.91 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6787.

Meiko Electronics Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6787	76 Outperform	¥252.17B	16.07		0.80%	15.13%	31.79%
Sector *	61 Neutral	$35.45B	8.20	-10.60%	1.91%	8.56%	-9.51%
JPAVF	―	$1.18B	18.62	7.13%	2.44%	―	―
6951	78 Outperform	¥238.98B	12.31		1.98%	10.15%	-18.57%
6814	75 Outperform	¥178.21B	13.02		1.95%	9.11%	114.88%
6957	75 Outperform	¥109.36B	36.21		2.12%	4.48%	-39.40%

Meiko Electronics Co., Ltd. Corporate Events

Meiko Electronics FY2025 Financial Outlook and Strategic Plans

Meiko Electronics Co., Ltd. has released a financial briefing for FY2025, highlighting the company’s strategic plans and performance outlook. The announcement underscores the potential risks and uncertainties that could impact the printed circuit board business, including raw material prices, market conditions, and international factors, which may influence the company’s future results.

Meiko Electronics Revises 2025 Earnings Forecast Upwards

Meiko Electronics Co., Ltd. has revised its full-year consolidated earnings forecast for fiscal year 2025, increasing expected net sales and profits due to easing concerns over U.S. tariffs and strong demand. The revision also reflects improved profitability anticipated from the new operations at their Vietnam Plant No.4, highlighting a positive outlook for the company’s financial performance.

Meiko Electronics Reports Strong Q1 Financial Performance

Meiko Electronics Co., Ltd. reported a significant increase in its financial performance for the three months ending June 30, 2025, with net sales rising by 12.9% and operating profit surging by 71.0% compared to the previous year. The company’s strong performance is indicative of its robust market positioning and operational efficiency, which may positively impact its stakeholders and future growth prospects.

Meiko Electronics Evaluates FASF Membership Status

Meiko Electronics Co., Ltd. announced that as of March 31, 2025, it is not a member of the Financial Accounting Standards Foundation (FASF). Despite this, the company has established a robust system to stay updated with accounting standards through close collaboration with auditing firms and participation in seminars. Meiko continues to evaluate its stance on FASF membership, considering future changes in accounting standards.