Horiba (6856) AI Stock Analysis

• Market Cap: $528.75B
• Dividend Yield: 0.81%
• Average Volume (3M): 172.52K
• Price to Earnings (P/E): 14.6
• Beta (1Y): 1.41
• Revenue Growth: 7.09%
• EPS Growth: 6.00%
• Country: JP
• Employees: 8,955
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 184.52
• Shares Outstanding: 42,233,253
• 10 Day Avg. Volume: 174,960
• 30 Day Avg. Volume: 172,520
• PEG Ratio: -0.71
• Price to Book (P/B): 1.22
• Price to Sales (P/S): 1.21
• P/FCF Ratio: 17.34
• Enterprise Value/Market Cap: 0.73
• Enterprise Value/Revenue: 1.18
• Enterprise Value/Gross Profit: 2.71
• Enterprise Value/Ebitda: 5.77
• 1Y Price Target: $15,437.25
• Price Target Upside: 18.61% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 81 Outperform
• Price Target: ¥12,520.00 ▼(-3.80% Downside)

Horiba's overall stock score is driven by its strong financial performance and positive technical trends. The company exhibits robust growth and profitability, supported by a stable balance sheet. Technical analysis indicates bullish momentum, while valuation metrics suggest the stock is fairly priced. The absence of earnings call insights and corporate events did not affect the score calculation.

Horiba Business Overview & Revenue Model

Company Description

Horiba Ltd. (Ticker: 6856) is a global leader in analytical and measuring instruments, specializing in the fields of automotive testing, process and environmental monitoring, and medical diagnostics. Established in Japan, the company operates across several sectors, including automotive, semiconductor, and life sciences, offering a range of core products like emission analyzers, mass spectrometers, and water quality testing equipment. Horiba is committed to innovation and quality, serving a diverse clientele with tailored solutions that meet stringent regulatory standards.

How the Company Makes Money

Horiba generates revenue through multiple streams, primarily through the sale of its analytical and measuring instruments, which cater to various industries, including automotive, semiconductor, and healthcare. The company earns income from product sales, service contracts, and maintenance agreements, with a significant portion of its revenue stemming from ongoing support and calibration services. Additionally, Horiba benefits from strategic partnerships with other technology companies and research institutions that enhance its product offerings and market reach. The company's ability to provide integrated solutions, along with its focus on R&D, positions it favorably in competitive markets, thereby contributing to its overall earnings.

Horiba Financial Statement Overview

Summary

Horiba demonstrates robust financial performance with strong revenue growth and solid profitability margins. The balance sheet is stable with a high equity ratio and manageable debt levels. However, a recent decline in net income and fluctuations in capital expenditures slightly dampen the overall strong performance.

Income Statement

Horiba demonstrates strong financial performance with a consistently increasing revenue trend, growing from ¥187.08 billion in 2020 to ¥317.37 billion in 2024. The gross profit margin maintains a robust level, averaging around 43%, while the net profit margin hovers at approximately 10.5% in the latest year. EBIT and EBITDA margins are also healthy, indicating efficient operational management. However, there was a slight decline in net income from 2023 to 2024, which slightly dampens the overall strong performance.

Balance Sheet

Horiba's balance sheet shows a strong equity base with an equity ratio of nearly 65.3% in 2024, indicating solid financial stability. The debt-to-equity ratio is manageable at 0.20, reflecting prudent financial leverage. Return on equity remains attractive, supporting profitability. The company has a growing asset base, enhancing its capacity for growth. However, the relatively high level of total liabilities requires ongoing monitoring to ensure it remains within a comfortable range.

Cash Flow

Horiba's cash flow statement highlights substantial free cash flow generation, although there was a slowdown in growth from 2023 to 2024. The operating cash flow to net income ratio is strong, indicating effective cash conversion from earnings. The free cash flow to net income ratio also supports the company's profitability profile. However, fluctuations in capital expenditure affect free cash flow growth rates, reflecting potential volatility in cash allocation strategies.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	323.59B	317.37B	290.56B	270.13B	224.31B	187.08B
Gross Profit	141.50B	136.85B	127.38B	116.67B	93.22B	76.43B
EBITDA	66.41B	61.40B	67.03B	57.19B	41.16B	29.04B
Net Income	36.30B	33.59B	40.30B	34.07B	21.31B	13.19B
Balance Sheet
Total Assets	478.91B	481.62B	449.03B	416.74B	371.58B	328.07B
Cash, Cash Equivalents and Short-Term Investments	153.20B	146.33B	134.78B	141.35B	137.03B	116.50B
Total Debt	64.05B	64.40B	60.39B	67.20B	80.18B	77.07B
Total Liabilities	165.00B	166.91B	165.30B	175.89B	167.09B	149.40B
Stockholders Equity	313.89B	314.69B	283.71B	240.83B	204.48B	178.66B
Cash Flow
Free Cash Flow	0.00	22.18B	7.48B	21.88B	22.70B	17.21B
Operating Cash Flow	0.00	40.34B	16.65B	33.97B	35.27B	32.25B
Investing Cash Flow	0.00	-17.56B	-7.32B	-10.74B	-14.66B	-14.02B
Financing Cash Flow	0.00	-15.93B	-20.96B	-22.45B	-4.04B	843.00M

Horiba Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13015.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6856, the sentiment is Positive. The current price of 13015 is above the 20-day moving average (MA) of 12861.50, above the 50-day MA of 12026.30, and above the 200-day MA of 10487.25, indicating a bullish trend. The MACD of 231.75 indicates Positive momentum. The RSI at 57.95 is Neutral, neither overbought nor oversold. The STOCH value of 51.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6856.

Horiba Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6856	81 Outperform	$528.75B	14.59	11.91%	0.81%	7.09%	6.00%
6951	78 Outperform	¥271.22B	13.56	―	1.91%	10.15%	-18.57%
6965	73 Outperform	$493.13B	33.82	4.46%	2.31%	0.66%	-52.50%
6806	73 Outperform	$649.71B	20.31	8.68%	2.56%	13.89%	11.34%
4186	73 Outperform	$615.50B	21.57	13.68%	1.24%	21.48%	65.56%
6645	68 Neutral	$832.00B	25.44	4.20%	2.38%	1.05%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Horiba Corporate Events

Horiba Completes Treasury Stock Disposal for RSU Grant System

Horiba, Ltd. has completed the payment for the disposal of treasury stock under its post-vesting restricted stock unit (RSU) grant system, as resolved in a board meeting on March 29, 2025. This disposal involved 14,221 shares of common stock at a price of 10,230 JPY per share, totaling 145,480,830 JPY, and was allocated to directors and corporate officers, potentially impacting the company’s equity structure and stakeholder interests.

The most recent analyst rating on (JP:6856) stock is a Buy with a Yen13000.00 price target. To see the full list of analyst forecasts on Horiba stock, see the JP:6856 Stock Forecast page.

Horiba Announces Correction to Treasury Stock Disposal Notice

Horiba, Ltd. announced a correction to its previously disclosed notice regarding the disposal of treasury stock related to its post-vesting restricted stock unit (RSU) grant system. The correction clarifies that the disposal of 14,221 common shares at a price of 10,230 JPY per share, totaling 145,480,830 JPY, will be an overseas offering to fewer than 50 people outside Japan, necessitating an Extraordinary Report under the Financial Instruments and Exchange Act. This correction ensures compliance with regulatory requirements and maintains transparency with stakeholders.

The most recent analyst rating on (JP:6856) stock is a Buy with a Yen13000.00 price target. To see the full list of analyst forecasts on Horiba stock, see the JP:6856 Stock Forecast page.

HORIBA Reports Strong Q1 2025 Results and Upward Forecast

HORIBA, Ltd. reported a notable increase in its financial performance for the first quarter of 2025, with net sales rising by 2.3% and operating income increasing by 17.4% compared to the same period last year. The company also announced an upward revision in its full-year forecast, indicating expected growth in net sales and income, reflecting a positive outlook for its operations and potential benefits for stakeholders.

The most recent analyst rating on (JP:6856) stock is a Buy with a Yen13000.00 price target. To see the full list of analyst forecasts on Horiba stock, see the JP:6856 Stock Forecast page.

HORIBA, Ltd. Reports Positive Q1 2025 Financial Results and Upward Forecasts

HORIBA, Ltd. reported a 2.3% increase in net sales for the first quarter of 2025, alongside significant growth in operating and ordinary income compared to the previous year. The company has adjusted its business forecasts for the full year, anticipating a 5.6% increase in net sales and a 7.6% rise in operating income, reflecting a positive outlook despite economic uncertainties.

The most recent analyst rating on (JP:6856) stock is a Buy with a Yen13000.00 price target. To see the full list of analyst forecasts on Horiba stock, see the JP:6856 Stock Forecast page.