Chino Corporation (6850) AI Stock Analysis

• Market Cap: ¥21.32B
• Dividend Yield: 2.73%
• Average Volume (3M): 15.98K
• Price to Earnings (P/E): 11.3
• Beta (1Y): 0.95
• Revenue Growth: 9.88%
• EPS Growth: 11.83%
• Country: JP
• Employees: 1,095
• Sector: Technology
• Sector Strength: 92
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 13.52
• Shares Outstanding: 9,260,116
• 10 Day Avg. Volume: 21,530
• 30 Day Avg. Volume: 15,980
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥2,581.00
• Price Target Upside: 1.37% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 79 Outperform
• Price Target: ¥2,581.00 ▲(1.37% Upside)

Chino Corporation's strong financial performance is the most significant factor contributing to its overall stock score. The company's robust growth and profitability, solid financial position, and improved cash flow stability are complemented by favorable technical analysis and attractive valuation. However, the technical indicators suggest caution due to potential overbought conditions.

Chino Corporation Business Overview & Revenue Model

Company Description

Chino Corporation (6850) is a Japanese company primarily engaged in the manufacture and sale of measuring instruments and control equipment. The company's offerings include industrial instruments, temperature sensors, recorders, and controllers that are widely used in industries such as manufacturing, automotive, and energy. Chino Corporation is known for its innovative solutions that enhance operational efficiency and quality control in various industrial processes.

How the Company Makes Money

Chino Corporation generates revenue through the sale of its measurement and control products to a diverse range of industries. The company's key revenue streams include the sale of industrial instruments such as temperature and pressure sensors, as well as data loggers and control systems. Additionally, Chino Corporation offers maintenance and calibration services, which provide a recurring revenue stream. The company may also engage in partnerships or collaborations with other firms to expand its market reach and enhance its technological capabilities, further contributing to its earnings.

Chino Corporation Financial Statement Overview

Summary

Chino Corporation exhibits a strong financial performance with robust growth and profitability on the income statement, a solid financial position on the balance sheet, and improved cash generation and management in cash flows.

Income Statement

Chino Corporation has demonstrated robust revenue growth, with a significant increase from previous years. The Gross Profit Margin and Net Profit Margin have also improved, indicating strong operational efficiency. The EBIT and EBITDA margins have steadily increased, showcasing enhanced profitability. Overall, the income statement reflects strong growth and profitability with minimal weaknesses.

Balance Sheet

The company maintains a solid Debt-to-Equity Ratio, highlighting prudent financial leverage. The Return on Equity is commendable, driven by consistent profitability. The Equity Ratio demonstrates a stable financial position with a strong equity base. While the debt levels are manageable, continuous monitoring is advisable to maintain financial stability.

Cash Flow

Chino Corporation has shown substantial improvement in Free Cash Flow, reflecting strong cash generation capabilities. The Operating Cash Flow to Net Income Ratio and Free Cash Flow to Net Income Ratio are healthy, indicating efficient cash management. Although prior years showed fluctuations, recent trends are positive, suggesting improved cash flow stability.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	29.33B	27.43B	23.79B	21.91B	21.08B
Gross Profit	9.15B	8.39B	7.87B	7.08B	6.36B
EBITDA	4.08B	3.58B	2.80B	2.29B	2.73B
Net Income	1.99B	1.76B	1.54B	1.05B	1.29B
Balance Sheet
Total Assets	37.77B	36.53B	36.29B	31.55B	30.40B
Cash, Cash Equivalents and Short-Term Investments	8.13B	7.30B	9.18B	7.33B	6.99B
Total Debt	2.61B	3.02B	3.38B	2.26B	2.59B
Total Liabilities	12.73B	13.34B	14.72B	11.40B	10.90B
Stockholders Equity	21.98B	20.26B	18.78B	17.56B	16.64B
Cash Flow
Free Cash Flow	1.84B	-1.34B	1.05B	970.00M	1.39B
Operating Cash Flow	2.54B	101.00M	1.62B	1.88B	2.34B
Investing Cash Flow	-667.00M	81.00M	-564.00M	-578.00M	-748.72M
Financing Cash Flow	-1.10B	-1.10B	655.00M	-978.00M	-968.70M

Chino Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2546.00
• 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:6850, the sentiment is Positive. The current price of 2546 is above the 20-day moving average (MA) of 2408.50, above the 50-day MA of 2374.68, and above the 200-day MA of 2145.82, indicating a bullish trend. The MACD of 49.82 indicates Negative momentum. The RSI at 69.21 is Neutral, neither overbought nor oversold. The STOCH value of 93.27 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6850.

Chino Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6626	80 Outperform	¥27.02B	7.97		1.68%	6.82%	24.23%
6850	79 Outperform	¥21.32B	11.26		2.73%	9.88%	11.83%
6874	73 Outperform	¥21.49B	9.64		2.73%	11.31%	20.92%
6848	71 Outperform	¥16.06B	15.06		2.69%	2.16%	-15.53%
6853	69 Neutral	¥17.72B	16.66		3.38%	2.10%	5.08%
Sector *	61 Neutral	$35.97B	6.65	-7.26%	1.99%	8.60%	-7.54%
6844	58 Neutral	¥32.88B	―		2.04%	5.16%	-5946.54%

Chino Corporation Corporate Events

Chino Corporation Completes Treasury Shares Disposal for Stock Compensation

Chino Corporation has completed the payment procedures for the disposal of 12,699 treasury shares as restricted stock compensation, a move resolved by the Board of Directors on July 9, 2025. This action is part of the company’s strategy to align the interests of its executives with those of shareholders, potentially enhancing corporate governance and operational efficiency.

Chino Corporation Announces Share Split and Dividend Revision

Chino Corporation announced a share split to enhance investment accessibility and liquidity, doubling its issued shares from 9,260,116 to 18,520,232. The company also revised its dividend forecast and adjusted its shareholder benefit program, aiming to attract a broader investor base and strengthen its market position.

Chino Corporation Reports Q1 2025 Financial Results and Announces Stock Split

Chino Corporation reported its consolidated financial results for the three months ended June 30, 2025, showing a significant year-on-year increase in net sales by 19.1% to 6,905 million yen. However, the company experienced declines in operating profit, ordinary profit, and profit attributable to owners of the parent, with the latter dropping by 43.7%. The company also announced a stock split effective October 1, 2025, and revised its dividend forecast, reflecting the stock split’s impact. This move is part of Chino Corporation’s strategy to enhance shareholder benefits and potentially improve market positioning.

Chino Corporation Implements Restricted Stock Compensation Plan

Chino Corporation announced its decision to dispose of treasury shares as part of a restricted stock compensation plan aimed at incentivizing its directors and executive officers. This move is designed to align the interests of the company’s leadership with those of its shareholders, promoting long-term corporate value growth. The plan involves the allocation of 12,699 shares to eligible directors and officers, with a total disposal value of 29,372,787 yen, and includes specific conditions regarding the transfer and acquisition of the shares.

Chino Corporation Announces Increased Year-End Dividend

Chino Corporation has announced a year-end dividend of 55 yen per share for the fiscal year ending March 2025, reflecting an increase from the previous year’s 40 yen. This decision aligns with the company’s medium-term business plan to raise the consolidated dividend payout ratio to 40% by 2026, emphasizing sustainable profit growth and shareholder returns.

Chino Corporation Announces Change in Accounting Auditor

Chino Corporation has announced a change in its accounting auditor, resolving to appoint Audit Corporation A&A partners as the new auditor, replacing Nakachi & Co. This decision comes as Nakachi & Co. completes its term and has requested not to renew the contract due to increased audit workload and challenges in staffing for overseas operations. The change is supported by the Audit & Supervisory Board, which selected A&A partners for their independence, expertise, and understanding of Chino’s business fields, ensuring appropriate and fair audit practices.