Ushio (6925) AI Stock Analysis

• Market Cap: $156.88B
• Dividend Yield: 3.97%
• Average Volume (3M): 220.51K
• Price to Earnings (P/E): 24.8
• Beta (1Y): 0.59
• Revenue Growth: -1.01%
• EPS Growth: -26.89%
• Country: JP
• Employees: 5,439
• Sector: Industrials
• Sector Strength: 86
• Industry: Industrial - Machinery
• EPS (TTM): 12.05
• Shares Outstanding: 92,500,000
• 10 Day Avg. Volume: 211,050
• 30 Day Avg. Volume: 220,513
• PEG Ratio: 1.35
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -27.22
• 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: $1,849.98
• Price Target Upside: 6.20% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 65 Neutral
• Price Target: ¥1,893.00 ▲(8.67%Upside)

Ushio's overall stock score reflects a stable financial foundation with low leverage and moderate profitability. The stock's technical indicators show a neutral trend with slight upward momentum, while valuation metrics suggest moderate overvaluation. Despite the attractive dividend yield, stagnant revenue growth and inconsistent cash flow performance are concerns that weigh on the score.

Ushio Business Overview & Revenue Model

Company Description

Ushio Inc. is a Japan-based company primarily engaged in the manufacture and sale of a wide range of light sources and related products. Established in 1964, Ushio operates in sectors including electronics, imaging, and industrial machinery. Its core products include lamps for cinematic projectors, industrial lamps for exposure equipment, and various other specialized lighting solutions, serving industries such as semiconductor manufacturing, entertainment, and healthcare.

How the Company Makes Money

Ushio Inc. generates revenue through the production and sale of its diverse range of lighting products and solutions. Key revenue streams include the sale of lamps and lighting systems for digital cinema projectors, which are used extensively in the entertainment industry. Additionally, Ushio supplies industrial lamps used in the manufacturing of semiconductors and flat panel displays, sectors that demand high precision and reliability. The company also capitalizes on its technological expertise by offering specialized lighting products for medical and scientific applications. Besides direct sales, Ushio collaborates with equipment manufacturers and industries worldwide, ensuring a steady demand for its innovative lighting solutions. The company's earnings are further supported by its strong global presence, allowing it to tap into various emerging markets.

Ushio Financial Statement Overview

Summary

Ushio maintains a strong balance sheet with low leverage, indicated by a debt-to-equity ratio of 0.21. However, revenue has declined slightly, and while the company is operationally efficient, its profitability metrics are moderate. Cash flow has been inconsistent, with recent improvements in free cash flow but limited reinvestment capacity.

Income Statement

Ushio has shown a mixed performance over the examined period. The recent gross profit margin is around 35%, and the net profit margin stands at approximately 3.8%. These margins indicate moderate profitability. Revenue has declined slightly by about 1% from the previous year, suggesting a need for growth stimulation. However, the company maintains a solid EBIT margin of 5% and an EBITDA margin of 12.6%, reflecting efficient operations despite the revenue dip.

Balance Sheet

The balance sheet shows a robust equity structure with a debt-to-equity ratio of 0.21, indicating low leverage and financial stability. The equity ratio is approximately 67.5%, reflecting strong asset backing. Return on equity is modest at about 3.4%, suggesting room for improving shareholder returns. Overall, the company maintains a strong financial position with low risk of financial distress.

Cash Flow

Ushio's cash flow performance has been volatile. The company achieved a substantial increase in free cash flow to ¥6.78 billion, marking a significant turnaround from the previous negative figures. The operating cash flow to net income ratio is 3.0, indicating healthy cash generation relative to income. However, the free cash flow to net income ratio is 1.0, showing that free cash flow is closely aligned with net earnings, which could limit reinvestment capacity.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	175.01B	177.62B	179.42B	175.03B	148.82B	118.56B
Gross Profit	63.38B	62.22B	64.92B	63.22B	54.03B	39.84B
EBITDA	16.56B	22.32B	24.43B	23.65B	20.17B	8.11B
Net Income	7.84B	6.80B	10.79B	13.70B	12.61B	-687.00M
Balance Sheet
Total Assets	325.64B	297.30B	337.55B	323.62B	321.10B	290.27B
Cash, Cash Equivalents and Short-Term Investments	61.97B	63.55B	69.77B	66.81B	93.62B	76.58B
Total Debt	42.59B	41.40B	32.85B	8.32B	18.59B	24.63B
Total Liabilities	103.68B	96.79B	100.57B	79.52B	85.90B	79.10B
Stockholders Equity	221.95B	200.50B	236.96B	244.09B	235.12B	211.10B
Cash Flow
Free Cash Flow	0.00	6.78B	-1.04B	-7.24B	15.44B	7.73B
Operating Cash Flow	0.00	20.42B	8.97B	871.00M	21.63B	14.52B
Investing Cash Flow	0.00	2.72B	5.39B	-1.18B	-5.52B	-3.42B
Financing Cash Flow	0.00	-24.99B	-13.49B	-26.81B	-10.63B	-784.00M

Ushio Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1742.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6925, the sentiment is Negative. The current price of 1742 is below the 20-day moving average (MA) of 1743.87, above the 50-day MA of 1740.30, and below the 200-day MA of 1908.18, indicating a neutral trend. The MACD of 7.10 indicates Negative momentum. The RSI at 48.62 is Neutral, neither overbought nor oversold. The STOCH value of 47.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6925.

Ushio Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6508	76 Outperform	€239.10B	12.93	14.03%	2.20%	4.59%	64.99%
6407	75 Outperform	¥172.96B	12.75		3.21%	15.78%	62.07%
6622	71 Outperform	¥150.62B	13.40		2.50%	20.05%	-26.75%
6507	69 Neutral	¥261.31B	21.62		1.02%	16.07%	61.08%
6420	68 Neutral	¥128.62B	10.19		2.42%	12.12%	5.56%
6925	65 Neutral	$156.88B	24.79	3.09%	3.97%	-1.01%	-26.89%
Sector *	58 Neutral	HK$10.50B	4.22	-2.96%	7.40%	3.76%	-51.26%

Ushio Corporate Events

Ushio Inc. Reports Extraordinary Loss Due to Restructuring Efforts

Ushio Inc. announced it will record an extraordinary loss for the first quarter of the fiscal year ending March 2026 due to restructuring expenses. This includes costs from its Second Life Support Program and organizational management reviews aimed at improving profitability, but the company’s earnings forecast remains unchanged.

The most recent analyst rating on (JP:6925) stock is a Hold with a Yen2150.00 price target. To see the full list of analyst forecasts on Ushio stock, see the JP:6925 Stock Forecast page.

Ushio Inc. Exceeds Financial Forecasts Amid Market Challenges

Ushio Inc. announced a positive discrepancy between its financial results for the fiscal year ended March 31, 2025, and its previous forecast. The company reported higher net sales and profits due to increased operating profit from its lithography equipment segment and foreign exchange gains. This improvement is attributed to successful contract modifications and cost reductions amid challenging semiconductor market conditions.

The most recent analyst rating on (JP:6925) stock is a Hold with a Yen2150.00 price target. To see the full list of analyst forecasts on Ushio stock, see the JP:6925 Stock Forecast page.

Ushio Inc. Reports Decline in Financial Performance, Increases Dividend

Ushio Inc. reported a decline in its consolidated financial performance for the fiscal year ended March 31, 2025, with net sales slightly decreasing by 1% and operating profit dropping by 32%. Despite the downturn, the company increased its annual dividend per share from 50 yen to 70 yen, indicating a commitment to shareholder returns. Looking ahead, Ushio forecasts a further decrease in net sales by 4.3% for the fiscal year ending March 31, 2026, but anticipates a 13.3% increase in operating profit, reflecting strategic adjustments to improve profitability.

The most recent analyst rating on (JP:6925) stock is a Hold with a Yen2150.00 price target. To see the full list of analyst forecasts on Ushio stock, see the JP:6925 Stock Forecast page.

USHIO INC. Reports Extraordinary Losses Due to Employee Support Program

USHIO INC. has announced the recording of extraordinary losses for the fiscal year ended March 31, 2025, due to the implementation of its ‘Expansion of Second Life Support Program and Special Offering.’ This initiative, aimed at employees aged 56 and above with at least three years of service, involves special retirement benefits and outplacement support. The company expects an extraordinary loss of approximately ¥1.6 billion in the fourth quarter, attributed to severance payments and outplacement expenses. Despite this, USHIO maintains its earnings forecast, indicating no anticipated impact on its financial projections.

USHIO INC. Announces Change in Major Shareholder

USHIO INC. announced a change in its major shareholder as M&G Investment Management Limited and its joint holder, M&G Investments (Singapore) Pte. Ltd., have adjusted their shareholding. The change in voting rights reflects a strategic shift in the ownership structure, potentially impacting USHIO’s market positioning and stakeholder dynamics.