Keyence (6861) AI Stock Analysis

• Market Cap: ¥13.71T
• Dividend Yield: 0.78%
• Average Volume (3M): 684.14K
• Price to Earnings (P/E): 30.9
• Beta (1Y): 1.02
• Revenue Growth: 7.09%
• EPS Growth: 7.51%
• Country: JP
• Employees: 12,286
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 444.67
• Shares Outstanding: 243,207,690
• 10 Day Avg. Volume: 680,310
• 30 Day Avg. Volume: 684,136
• PEG Ratio: 4.53
• Price to Book (P/B): 4.56
• Price to Sales (P/S): 13.39
• P/FCF Ratio: 35.89
• 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: ¥75,413.68
• Price Target Upside: 33.38% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 1,758.76
• Revenue Forecast (FY): ¥1.15T

• Rating: 80 Outperform
• Price Target: ¥75,804.00 ▲(34.07% Upside)
• Action: Downgraded Date: 01/29/26
• Date: Action: Downgraded 01/29/26

The score is driven primarily by exceptional financial quality—elite margins, strong cash generation, and a debt-free balance sheet. Technicals are moderately supportive with neutral momentum signals, while the premium valuation (high P/E and low yield) meaningfully tempers the overall score.

Positive Factors

Profitability / Pricing Power

Consistently very high gross and operating margins point to differentiated products and durable pricing power in factory automation. Such margin durability supports strong internal funding for R&D and capex, protects returns through cycles, and enables reinvestment without reliance on external financing.

Negative Factors

Uneven Historical Revenue Growth

Irregular top-line performance indicates exposure to cyclical end-markets and uneven adoption across product cycles. That variability complicates multi-period planning, can compress operating leverage in weak years, and means investors and management must manage for lumpy demand rather than steady expansion.

Keyence Business Overview & Revenue Model

Company Description

Keyence Corporation, together with its subsidiaries, develops, manufactures, and sells factory automation solutions worldwide. The company offers photoelectric, fiber optic, laser, positioning, vision, and inductive proximity sensors, as well as n...

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Keyence Corporation, together with its subsidiaries, develops, manufactures, and sells factory automation solutions worldwide. The company offers photoelectric, fiber optic, laser, positioning, vision, and inductive proximity sensors, as well as n...

How the Company Makes Money

Keyence makes money primarily through the sale of its automation and sensing solutions. The company's revenue model is centered on providing high-tech products that cater to the needs of industrial automation. The key revenue streams include sales...

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Keyence makes money primarily through the sale of its automation and sensing solutions. The company's revenue model is centered on providing high-tech products that cater to the needs of industrial automation. The key revenue streams include sales...

Keyence Financial Statement Overview

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	568.18B	1.06T	967.29B	922.42B	755.17B	538.13B
Gross Profit	472.31B	887.70B	802.51B	754.73B	621.19B	440.88B
EBITDA	312.08B	564.97B	508.78B	510.44B	426.67B	284.31B
Net Income	214.73B	398.66B	369.64B	362.96B	303.36B	197.29B
Balance Sheet
Total Assets	3.45T	3.29T	2.96T	2.65T	2.32T	2.01T
Cash, Cash Equivalents and Short-Term Investments	1.32T	1.22T	1.13T	940.46B	1.00T	930.00B
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	171.79B	180.67B	158.60B	158.80B	150.45B	97.03B
Stockholders Equity	3.28T	3.11T	2.81T	2.49T	2.17T	1.91T
Cash Flow
Free Cash Flow	378.13B	395.18B	375.42B	263.28B	265.31B	188.29B
Operating Cash Flow	396.78B	409.52B	387.92B	302.63B	271.48B	192.65B
Investing Cash Flow	-292.40B	-280.61B	-242.79B	-283.49B	-11.13B	-177.49B
Financing Cash Flow	-90.03B	-83.43B	-76.31B	-63.67B	-49.82B	-48.53B

Keyence Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 56540.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6861, the sentiment is Negative. The current price of 56540 is below the 20-day moving average (MA) of 60949.73, below the 50-day MA of 59205.41, and below the 200-day MA of 57002.40, indicating a bearish trend. The MACD of -479.85 indicates Positive momentum. The RSI at 40.24 is Neutral, neither overbought nor oversold. The STOCH value of 5.93 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6861.

Keyence Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6914	80 Outperform	¥94.15B	13.80	―	1.68%	2.72%	33.10%
6861	80 Outperform	¥13.71T	30.90	12.80%	0.78%	7.09%	7.51%
6856	78 Outperform	¥757.93B	18.06	11.99%	0.65%	8.50%	14.06%
6965	74 Outperform	¥549.48B	44.29	4.03%	2.25%	3.97%	-41.76%
6981	74 Outperform	¥6.47T	59.16	8.95%	1.88%	2.88%	28.76%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6645	57 Neutral	¥863.10B	36.79	2.99%	2.62%	3.51%	―

Keyence Corporate Events