IRISO Electronics Co., Ltd. (6908) AI Stock Analysis

• Market Cap: ¥89.86B
• Dividend Yield: 3.05%
• Average Volume (3M): 104.86K
• Price to Earnings (P/E): 23.8
• Beta (1Y): 0.91
• Revenue Growth: 10.79%
• EPS Growth: 12.28%
• Country: JP
• Employees: 3,037
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): N/A
• Shares Outstanding: 24,460,878
• 10 Day Avg. Volume: 110,170
• 30 Day Avg. Volume: 104,856
• PEG Ratio: -0.44
• Price to Book (P/B): 0.83
• Price to Sales (P/S): 1.04
• P/FCF Ratio: 17.02
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: ¥4,147.00 ▲(28.99% Upside)
• Action: Upgraded Date: 10/16/25
• Date: Action: Upgraded 10/16/25

IRISO Electronics Co., Ltd. receives a score of 70, driven by its stable financial performance and attractive dividend yield. The technical analysis indicates a neutral market sentiment, with no significant momentum. The valuation is reasonable, offering a balance between growth potential and income. The absence of earnings call data and corporate events means these factors did not influence the score.

Positive Factors

Strong balance sheet

A 77.3% equity ratio and low debt indicate durable financial resilience, giving the company flexibility to fund operations, absorb demand shocks, and invest in manufacturing or tooling. This reduces refinancing risk and supports long-term capital allocation and dividend continuity.

Consistent revenue and margins

The company reports steady revenue increases (including a recent year with revenue up) alongside strong gross and operating margins, reflecting effective cost management and pricing. Combined with engineering-driven "design-in" sales, this supports recurring program revenues over product lifecycles.

Solid cash generation

Robust operating cash flow and maintained positive free cash flow provide durable internal funding for dividends, working capital, and selective capex. Reliable cash conversion from operations enhances financial flexibility and reduces dependence on external financing over time.

Negative Factors

Declining net income / EPS

A notable drop in net income and negative EPS growth compresses retained earnings and can weaken return metrics. Persisting earnings pressure may limit reinvestment, constrain dividend increases, and indicate margin or demand challenges that could impair medium-term shareholder returns.

Pressure on free cash flow growth

Higher capital expenditures have driven negative free cash flow growth despite positive absolute FCF. If elevated capex persists to support new programs or capacity, it could reduce cash available for dividends or require additional funding, tightening financial flexibility over months.

Concentration in automotive end-market

Heavy exposure to the automotive sector concentrates revenue and ties sales to OEM production cycles and model launches. This structural concentration raises susceptibility to industry cyclicality and program timing, producing uneven revenue and margin pressure across vehicle cycles.

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

Company Description

Iriso Electronics Co., Ltd. develops, manufactures, and sells connectors. The company offers board to board, FPC/FFC, socket, pin header, input/output, and card edge connectors, as well as compression terminals and ESD protector chips. It serves automotive, industrial, and consumer sectors. The company sells its products primarily in Japan, South Korea, China, Hong Kong, Taiwan, Singapore, Malaysia, Thailand, the Philippines, Germany, the United States, and India. Iriso Electronics Co., Ltd. was founded in 1966 and is headquartered in Yokohama, Japan.

How the Company Makes Money

IRISO Electronics generates revenue primarily through the sale of its electronic components and systems. The company's key revenue streams are derived from its extensive product portfolio, which includes connectors and sensors used in various applications across multiple industries. Additionally, IRISO benefits from long-term partnerships with major firms in the automotive and industrial sectors, which provide a steady demand for its products. The company also engages in research and development to innovate and improve its offerings, thereby enhancing customer satisfaction and fostering repeat business. Furthermore, IRISO's global distribution network allows it to reach a wide market, contributing to its overall revenue growth.

IRISO Electronics Co., Ltd. Financial Statement Overview

Summary

IRISO Electronics Co., Ltd. showcases stable financial performance with consistent revenue growth and strong margins. The balance sheet reflects low leverage and high equity, supporting financial resilience. Cash flow generation is robust, although capital expenditures have impacted free cash flow growth. Areas needing attention include improving net income and managing capital expenditures.

Income Statement

IRISO Electronics Co., Ltd. has demonstrated consistent revenue growth, with a revenue increase of 2% in the latest year. However, the net profit margin has declined, primarily due to a decrease in net income. The gross profit margin remains strong, indicating effective cost management. EBIT and EBITDA margins are also solid, although there has been a slight decline in EBIT margin over the past year.

Balance Sheet

The company maintains a strong equity base with an equity ratio of 77.3%, indicating financial stability. The debt-to-equity ratio is low, suggesting low leverage and reduced financial risk. Return on equity remains positive, although it has decreased due to a drop in net income. Overall, the balance sheet is robust with good equity positioning.

Cash Flow

Operating cash flow is strong, and the company has maintained positive free cash flow. However, the free cash flow growth rate is negative due to higher capital expenditures. The operating cash flow to net income ratio is favorable, indicating efficient cash generation from operations.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	58.96B	56.33B	55.27B	52.90B	43.86B	36.52B
Gross Profit	18.91B	17.94B	17.14B	17.32B	14.34B	11.20B
EBITDA	10.78B	10.50B	13.35B	13.29B	9.96B	7.60B
Net Income	2.80B	2.66B	5.59B	5.54B	3.91B	2.14B
Balance Sheet
Total Assets	90.88B	91.37B	96.86B	82.49B	73.15B	63.94B
Cash, Cash Equivalents and Short-Term Investments	24.37B	24.31B	26.69B	18.64B	14.07B	14.26B
Total Debt	12.08B	9.32B	6.82B	2.49B	410.00M	398.00M
Total Liabilities	23.14B	20.17B	19.84B	14.47B	11.38B	9.21B
Stockholders Equity	67.74B	70.62B	76.23B	67.42B	61.34B	54.35B
Cash Flow
Free Cash Flow	0.00	3.44B	3.88B	3.19B	519.00M	1.42B
Operating Cash Flow	0.00	12.04B	12.93B	11.61B	6.69B	6.23B
Investing Cash Flow	0.00	-8.78B	-9.09B	-8.18B	-6.25B	-4.88B
Financing Cash Flow	0.00	-5.50B	2.31B	516.00M	-1.61B	-1.38B

IRISO Electronics Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3215.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6908, the sentiment is Positive. The current price of 3215 is below the 20-day moving average (MA) of 3589.50, below the 50-day MA of 3419.10, and above the 200-day MA of 3043.10, indicating a bullish trend. The MACD of 106.72 indicates Negative momentum. The RSI at 74.22 is Negative, neither overbought nor oversold. The STOCH value of 93.16 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6908.

IRISO Electronics Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6806	78 Outperform	¥766.87B	25.94	8.09%	2.85%	11.18%	-0.75%
6814	76 Outperform	¥250.13B	15.44	―	1.88%	6.56%	106.55%
6908	70 Outperform	¥89.86B	23.76	―	3.05%	10.79%	12.28%
6787	67 Neutral	¥565.07B	32.87	―	0.76%	15.02%	46.62%
6807	64 Neutral	¥186.42B	24.55	5.91%	2.39%	-3.24%	-25.21%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

IRISO Electronics Co., Ltd. Corporate Events

IRISO Electronics Announces FY2025 Q3 Results and Earnings Outlook

IRISO Electronics has released its financial results for the third quarter of fiscal year 2025 and provided an earnings forecast, outlining the company’s recent performance and expectations for the remainder of the year. The announcement, which also highlights key topics and additional information in an appendix, is intended to update stakeholders on the company’s operational and financial trajectory, reinforcing its positioning in the electronics components market and offering insight into how management views current business conditions.

The most recent analyst rating on (JP:6908) stock is a Buy with a Yen3663.00 price target. To see the full list of analyst forecasts on IRISO Electronics Co., Ltd. stock, see the JP:6908 Stock Forecast page.

IRISO Electronics Lifts Nine-Month Profit 27% and Plans Higher Dividend

IRISO Electronics reported consolidated net sales of ¥47.1 billion for the nine months ended December 31, 2025, an 11.8% year-on-year increase, with operating profit up 15.1% to ¥4.47 billion and profit attributable to owners of parent rising 27.0% to ¥3.70 billion, reflecting improved profitability and stronger earnings momentum compared with the prior-year period. Total assets grew to ¥95.9 billion and the equity ratio improved to 79.0%, underlining a solid financial base, while the company maintained its full-year forecast calling for modest top-line growth but an 80.3% jump in full-year profit to ¥4.8 billion and plans to raise the annual dividend to ¥150 per share, including a commemorative component, signaling confidence in earnings strength and enhanced returns to shareholders.

The most recent analyst rating on (JP:6908) stock is a Buy with a Yen3663.00 price target. To see the full list of analyst forecasts on IRISO Electronics Co., Ltd. stock, see the JP:6908 Stock Forecast page.