NF Holdings Corporation (6864) AI Stock Analysis

• Market Cap: ¥9.48B
• Dividend Yield: 2.37%
• Average Volume (3M): 97.94K
• Price to Earnings (P/E): 26.1
• Beta (1Y): 0.63
• Revenue Growth: 4.03%
• EPS Growth: -2.88%
• Country: JP
• Employees: 324
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 14.40
• Shares Outstanding: 7,070,000
• 10 Day Avg. Volume: 155,340
• 30 Day Avg. Volume: 97,943
• PEG Ratio: 0.49
• Price to Book (P/B): 0.68
• Price to Sales (P/S): 0.95
• P/FCF Ratio: 50.51
• 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: ¥1,424.00
• Price Target Upside: 5.48% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 61 Neutral
• Price Target: ¥1,424.00 ▲(5.48% Upside)

The overall stock score of 61 reflects a mixed outlook for NF Holdings Corporation. The strong balance sheet and medium-term technical support are positive factors, but they are offset by declining revenues, fluctuating profitability, and high valuation. The lack of strong market momentum and cash flow volatility further weigh on the score.

NF Holdings Corporation Business Overview & Revenue Model

Company Description

NF Holdings Corporation provides measurement instruments, power supply and power control products, function modules, and customized products in Japan. Its measurement instruments include signal generators, LCR meters, impedance analyzers, AC voltmeters/noise meters, lock-in amplifiers/preamplifiers, filters, measurement systems, and frequency response analyzers; and power supply and power control products comprise AC power sources, power amplifiers, electronic loads, power test instruments, and low noise DC power supplies. The company's function modules include filters, amplifiers, oscillators, and phase detectors; and customized products comprise grid-connection testing systems, high-speed bipolar power amplifiers for testing vehicle electronic components, simulated regeneration power supplies, etc. Its products are used in various applications, such as automobiles, digital appliances, electronic devices, fuel cells, solar power, and other clean energy technologies; and nanotechnology, as well as in satellite, rocket, and other aerospace technologies. The company was founded in 1959 and is headquartered in Yokohama, Japan.

How the Company Makes Money

NF Holdings Corporation generates revenue through the sale of its electronic components and systems to a diverse clientele across multiple industries. The company earns money by providing cutting-edge semiconductor testing systems and electronic measurement instruments, which are essential for ensuring the quality and efficiency of electronic products. Additionally, NF Holdings may engage in strategic partnerships with other technology firms to enhance its product offerings and tap into new markets. The company's financial performance is influenced by the demand for electronics in the telecommunications, automotive, and consumer electronics sectors, as well as its ability to innovate and maintain a competitive edge in the rapidly evolving technology landscape.

NF Holdings Corporation Financial Statement Overview

Summary

NF Holdings Corporation exhibits a mixed financial performance. The balance sheet is strong with low leverage and high equity, but the income statement reveals declining revenues and fluctuating profitability. Cash flow management shows volatility, indicating potential areas for improvement. The company should focus on stabilizing revenue and enhancing cash flow generation to strengthen its financial position.

Income Statement

The company shows a declining revenue trend over the past few years, with a noticeable decrease in total revenue from 2020 to 2025. Gross profit margin remains relatively stable, indicating consistent cost management. However, the net profit margin has fluctuated, reflecting challenges in maintaining profitability. The EBIT and EBITDA margins have also shown a downward trend, suggesting pressures on operational efficiency.

Balance Sheet

The balance sheet is strong with a high equity ratio, indicating a solid financial structure. The debt-to-equity ratio is low, suggesting low leverage and financial risk. Return on equity has been inconsistent, reflecting variability in profitability. Overall, the company maintains a stable financial position with significant equity backing.

Cash Flow

Cash flow from operations has been inconsistent, with periods of negative cash flow indicating volatility in cash generation. Free cash flow has improved recently but remains low compared to historical levels. The operating cash flow to net income ratio suggests challenges in converting profits into cash. Overall, cash flow management appears to be an area for improvement.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.28B	9.08B	9.40B	9.64B	10.15B	10.65B
Gross Profit	3.30B	3.26B	3.06B	3.21B	3.63B	3.47B
EBITDA	993.91M	1.01B	814.20M	1.02B	1.41B	994.66M
Net Income	363.19M	450.65M	323.84M	457.08M	615.47M	444.21M
Balance Sheet
Total Assets	16.03B	17.32B	18.63B	18.83B	18.64B	18.83B
Cash, Cash Equivalents and Short-Term Investments	4.78B	5.45B	5.34B	5.53B	6.11B	7.48B
Total Debt	911.59M	1.42B	1.92B	2.03B	2.25B	2.58B
Total Liabilities	2.47B	3.65B	4.69B	5.11B	5.22B	6.02B
Stockholders Equity	12.45B	12.56B	12.64B	12.40B	12.04B	11.54B
Cash Flow
Free Cash Flow	0.00	169.94M	49.76M	-337.95M	-1.02B	-666.10M
Operating Cash Flow	0.00	340.99M	530.27M	279.42M	-594.86M	-411.82M
Investing Cash Flow	0.00	1.28B	-44.99M	-700.91M	-832.14M	-237.84M
Financing Cash Flow	0.00	-735.83M	-349.43M	-540.72M	-580.87M	1.04B

NF Holdings Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1350.00
• 50DMA: Negative
• 100DMA: Negative
• 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:6864, the sentiment is Negative. The current price of 1350 is below the 20-day moving average (MA) of 1390.95, below the 50-day MA of 1351.32, and above the 200-day MA of 1299.50, indicating a neutral trend. The MACD of 17.79 indicates Positive momentum. The RSI at 47.14 is Neutral, neither overbought nor oversold. The STOCH value of 30.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6864.

NF Holdings Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6859	75 Outperform	¥75.39B	13.74	―	3.12%	3.74%	4.01%
6853	69 Neutral	¥18.51B	17.47	―	3.25%	2.10%	4.70%
6866	68 Neutral	¥80.11B	13.89	―	3.35%	7.28%	4.16%
6858	67 Neutral	¥6.41B	12.93	―	2.62%	13.34%	-74.02%
6863	67 Neutral	¥12.38B	9.26	―	5.80%	4.80%	32.85%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6864	61 Neutral	¥9.48B	26.10	―	2.37%	4.03%	-2.88%