Okaya Electric Industries Co., Ltd. (6926) AI Stock Analysis

• Market Cap: ¥4.47B
• Dividend Yield: N/A
• Average Volume (3M): 13.44K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.36
• Revenue Growth: -6.31%
• EPS Growth: -64.22%
• Country: JP
• Employees: 1,115
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -21.70
• Shares Outstanding: 22,921,562
• 10 Day Avg. Volume: 17,660
• 30 Day Avg. Volume: 13,443
• PEG Ratio: <0.01
• Price to Book (P/B): 0.67
• Price to Sales (P/S): 0.49
• P/FCF Ratio: -8.22
• 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: 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: 46 Neutral
• Price Target: ¥202.00 ▲(1.51% Upside)

The overall stock score of 46 reflects significant financial and valuation challenges faced by Okaya Electric Industries Co., Ltd. The company's declining revenues, profitability, and cash flows are major concerns, compounded by a negative P/E ratio. Technical analysis indicates a neutral to slightly bearish trend, further impacting the score.

Positive Factors

Business Model Strength

Okaya's focus on electronic components like noise suppression products and film capacitors supports a diversified revenue base across industries, enhancing resilience.

Market Position

Strategic partnerships with key manufacturers and distributors bolster Okaya's market position, facilitating access to broader markets and driving sales growth.

Product Quality

Commitment to high-quality products fosters customer loyalty and repeat business, supporting stable revenue streams and long-term growth prospects.

Negative Factors

Revenue Decline

A sharp revenue decline suggests challenges in market demand or competitive pressures, potentially impacting long-term financial health and growth.

Profitability Challenges

Decreasing profit margins and negative net profit indicate operational inefficiencies, which may hinder investment in growth and innovation.

Cash Flow Issues

Negative operating cash flows limit the company's ability to fund operations and capital expenditures, posing risks to financial stability and growth initiatives.

Okaya Electric Industries Co., Ltd. Business Overview & Revenue Model

Company Description

Okaya Electric Industries Co., Ltd. manufactures and sells electrical components and equipment in Japan and internationally. The company offers noise suppression products, such as noise suppression capacitors, spark killers, high pulse capacitors, noise filters, and common mode choke coils; module, PCB mounted, and SMD type surge protective devices; LED display devices and lighting source products; and sensors. Its products are used in air conditioner, communication, printer, power conditioner, refrigerator, AV equipment, rapid charger, security camera, and LED lighting. The company was formerly known as Okaya Radio Co., Ltd. and changed its name to Okaya Electric Industries Co., Ltd. in 1967. Okaya Electric Industries Co., Ltd. was founded in 1939 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Okaya Electric Industries Co., Ltd. generates revenue through the production and sale of electronic components and devices. The company's primary revenue streams include the sale of noise suppression products, film capacitors, and power supply units to manufacturers in various industries. Additionally, Okaya engages in research and development to create new technologies and improve existing products, enhancing their market competitiveness. Significant partnerships with manufacturers and distributors help Okaya expand its market reach and increase sales. The company's focus on high-quality, reliable products contributes to long-term contracts and repeat business, supporting its financial performance.

Okaya Electric Industries Co., Ltd. Financial Statement Overview

Summary

Okaya Electric Industries Co., Ltd. faces significant financial challenges, with declining revenues, profitability, and cash flows. The income statement and cash flow statement highlight operational and liquidity concerns, while the balance sheet shows a moderate debt-to-equity ratio but declining equity and assets.

Income Statement

The income statement indicates a significant decline in revenue, with a sharp drop from 2023 to 2025. The gross profit margin decreased considerably, and the company experienced a negative net profit margin in 2025. This highlights profitability challenges, with EBIT and EBITDA both turning negative, indicating operational difficulties.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, suggesting a balanced leverage position. However, the decline in stockholders' equity and total assets over the years indicates potential financial strain. The equity ratio remains stable, reflecting a consistent financial structure despite challenges.

Cash Flow

The cash flow analysis reveals declining operating cash flows, turning negative in recent years, which poses liquidity concerns. Free cash flow has also decreased significantly, indicating potential issues in sustaining operational and capital expenditures. The cash flow to net income ratios suggest inefficiencies in translating profits into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.60B	9.60B	14.32B	17.11B	13.37B	10.52B
Gross Profit	790.35M	906.95M	3.18B	3.58B	2.22B	2.47B
EBITDA	-1.44B	-1.28B	635.59M	1.18B	-45.86M	424.30M
Net Income	-1.78B	-1.71B	120.96M	613.18M	-436.27M	2.54M
Balance Sheet
Total Assets	13.40B	14.05B	17.06B	16.79B	16.00B	14.40B
Cash, Cash Equivalents and Short-Term Investments	2.48B	3.30B	4.89B	3.49B	4.33B	4.78B
Total Debt	3.95B	4.00B	4.76B	4.92B	5.42B	4.01B
Total Liabilities	6.92B	6.98B	8.02B	8.56B	8.74B	6.85B
Stockholders Equity	6.49B	7.07B	9.04B	8.23B	7.26B	7.55B
Cash Flow
Free Cash Flow	0.00	-574.72M	1.70B	-298.69M	-1.74B	259.71M
Operating Cash Flow	0.00	-400.16M	2.10B	-52.76M	-1.57B	366.74M
Investing Cash Flow	0.00	-178.31M	-398.07M	-245.93M	-177.11M	-107.03M
Financing Cash Flow	0.00	-966.45M	-454.44M	-587.28M	1.23B	-133.46M

Okaya Electric Industries Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 199.00
• 50DMA: Negative
• 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:6926, the sentiment is Negative. The current price of 199 is below the 20-day moving average (MA) of 201.45, below the 50-day MA of 203.76, and below the 200-day MA of 206.71, indicating a bearish trend. The MACD of -1.17 indicates Negative momentum. The RSI at 39.93 is Neutral, neither overbought nor oversold. The STOCH value of 44.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6926.

Okaya Electric Industries Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6800	81 Outperform	¥48.18B	58.83	―	2.33%	4.75%	164.54%
6958	76 Outperform	¥26.91B	11.66	―	5.01%	2.98%	-56.70%
6915	75 Outperform	¥32.09B	12.36	―	5.07%	-7.10%	6.38%
6989	71 Outperform	¥17.22B	10.78	―	3.83%	2.48%	39.69%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6844	58 Neutral	¥36.08B	-29.86	―	2.00%	6.10%	―
6926	46 Neutral	¥4.47B	―	―	―	-6.31%	-64.22%