CMK Corporation (6958) AI Stock Analysis

• Market Cap: ¥42.28B
• Dividend Yield: 3.75%
• Average Volume (3M): 686.69K
• Price to Earnings (P/E): 20.0
• Beta (1Y): 1.57
• Revenue Growth: 2.98%
• EPS Growth: -56.70%
• Country: JP
• Employees: 4,580
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 23.46
• Shares Outstanding: 71,298,100
• 10 Day Avg. Volume: 911,660
• 30 Day Avg. Volume: 686,690
• PEG Ratio: -0.44
• Price to Book (P/B): 0.36
• Price to Sales (P/S): 0.30
• P/FCF Ratio: -3.13
• 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): 31.54
• Revenue Forecast (FY): ¥97.46B

• Rating: 76 Outperform
• Price Target: ¥711.00 ▲(35.69% Upside)
• Action: Reiterated Date: 11/14/25
• Date: Action: Reiterated 11/14/25

The overall stock score of 76 is driven primarily by strong technical analysis indicators showing bullish momentum and a reasonable valuation with an attractive dividend yield. Financial performance is solid but tempered by concerns over negative cash flow and rising debt.

Positive Factors

Revenue and gross margin improvement

Consistent revenue growth alongside a rising gross margin indicates improving product mix and cost control. Over a multi-quarter horizon this supports operating leverage, enhances the company's ability to absorb fixed costs, and provides a more durable base for reinvestment and margin recovery.

Solid equity base and capital structure

An increasing shareholders' equity and a roughly 53% equity ratio provide a meaningful buffer against shocks. Manageable leverage (D/E 0.56) supports capital spending and strategic flexibility, enabling the firm to fund growth or weather cyclical downturns without immediate solvency pressure.

Diversified PCB business with engineering services

CMK's combination of volume PCB manufacturing and embedded engineering/prototyping capabilities creates customer stickiness and allows premium pricing on high-reliability boards. Exposure to automotive and industrial electronics is a structural demand tailwind supporting steadier long-term order visibility.

Negative Factors

Consistent negative free cash flow

Worsening negative free cash flow reduces internal funding for capex and working capital. Persistent cash deficits force reliance on external financing, constrain strategic investments, and increase vulnerability to higher borrowing costs or tighter credit conditions over the medium term.

Rising debt levels

Although leverage is currently moderate, the noted increase in total debt alongside negative FCF raises refinancing and interest-rate sensitivity. Higher indebtedness can limit financial flexibility, increase fixed obligations, and amplify downside risk during revenue slowdowns or margin pressure.

Declining net margin and weak EPS growth

A meaningful EPS decline and slipping net margin signal pressure from higher operating expenses or lower-margin sales. This weakens return on capital and reduces retained earnings available for reinvestment, making sustained margin recovery and cash generation harder without structural cost changes.

CMK Corporation Business Overview & Revenue Model

Company Description

CMK Corporation develops, produces, and markets various printed circuit boards and electronic devices for consumer and industrial use worldwide. The company offers automotive printed wiring boards (PWBs); high heat radiation copper base and metal composite PWBs; semi-flex and rigid-flex PWB series; thinner multi-layer FPC for high density components; high frequency correspondence PWBs; stress easing PWB technology series; PPBU series; through-hole PWBs. It also provides double-sided, multilayer, build-up, and environmentally friendly PWBs. The company's products are used in automobiles; digital still and video cameras; amusements; mobile communications devices; and audio-visual, visual, and digital equipment, as well as in products for housing equipment, medical and healthcare products, aero products, and lighting equipment. The company was formerly known as Chuo Meiban Kogyo Co., Ltd. and changed its name to CMK Corporation in 1984. CMK Corporation was incorporated in 1961 and is headquartered in Tokyo, Japan.

How the Company Makes Money

CMK Corporation generates revenue primarily through the sale of printed circuit boards and electronic components to various industries. Their revenue model is driven by a combination of direct sales to manufacturers, long-term supply contracts, and partnerships with major electronics firms. Key revenue streams include the production of high-density interconnect (HDI) boards, flexible printed circuits, and multilayer PCBs, which are in high demand for advanced electronic devices. The company also benefits from economies of scale and operational efficiencies, allowing it to maintain competitive pricing and secure repeat business from established clients.

CMK Corporation Financial Statement Overview

Summary

CMK Corporation shows solid revenue growth and improved gross margins. However, the decline in net profit margin and consistent negative free cash flow are concerns. The balance sheet is strong with good equity levels, but rising debt warrants caution.

Income Statement

CMK Corporation's revenue has shown consistent growth, with an increase from JPY 90,568 million in 2024 to JPY 95,486 million in 2025, representing a revenue growth rate of 5.45%. The gross profit margin increased from 15.85% in 2024 to 16.30% in 2025, indicating improved cost management. However, the net profit margin slightly declined from 4.26% to 3.97% due to higher operating expenses. The EBIT margin showed a modest improvement, reflecting stronger operational efficiency.

Balance Sheet

The balance sheet highlights a stable equity base, with stockholders' equity increasing from JPY 70,814 million in 2024 to JPY 79,112 million in 2025. The debt-to-equity ratio remains manageable at 0.56, although total debt increased. The equity ratio improved from 53.81% in 2024 to 53.23% in 2025, suggesting a solid capital structure despite moderate leverage.

Cash Flow

CMK Corporation experienced negative free cash flow in both 2024 and 2025, with a decline from JPY -6,531 million to JPY -9,208 million. The operating cash flow slightly decreased, impacting the operating cash flow to net income ratio negatively. The company needs to address its cash outflows, particularly capital expenditures, to improve liquidity.

Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	95.39B	95.49B	90.57B	83.84B	81.49B	69.97B
Gross Profit	15.00B	15.57B	14.36B	12.63B	12.29B	6.96B
EBITDA	10.24B	11.83B	9.79B	7.56B	8.02B	2.73B
Net Income	2.44B	3.79B	3.85B	1.59B	2.79B	-1.87B
Balance Sheet
Total Assets	140.65B	148.54B	131.61B	114.57B	104.86B	96.50B
Cash, Cash Equivalents and Short-Term Investments	17.38B	22.19B	25.34B	23.60B	15.88B	17.47B
Total Debt	40.73B	44.23B	37.40B	38.05B	29.90B	26.13B
Total Liabilities	64.20B	67.11B	58.69B	55.79B	50.40B	44.98B
Stockholders Equity	74.22B	79.11B	70.81B	56.85B	52.72B	48.04B
Cash Flow
Free Cash Flow	0.00	-9.21B	-6.53B	-520.00M	-3.77B	-364.00M
Operating Cash Flow	0.00	9.06B	9.44B	6.25B	2.48B	3.42B
Investing Cash Flow	0.00	-18.75B	-14.21B	-6.60B	-6.11B	-3.19B
Financing Cash Flow	0.00	4.70B	5.38B	6.91B	1.57B	1.16B

CMK Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 524.00
• 50DMA: Positive
• 100DMA: Positive
• 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:6958, the sentiment is Positive. The current price of 524 is below the 20-day moving average (MA) of 607.50, below the 50-day MA of 561.30, and above the 200-day MA of 424.60, indicating a bullish trend. The MACD of 19.55 indicates Positive momentum. The RSI at 62.61 is Neutral, neither overbought nor oversold. The STOCH value of 57.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6958.

CMK Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6866	79 Outperform	¥106.31B	19.22	―	3.23%	7.28%	4.16%
6958	76 Outperform	¥42.28B	19.97	―	3.75%	2.98%	-56.70%
6814	76 Outperform	¥241.29B	15.44	―	1.88%	6.56%	106.55%
6787	69 Neutral	¥656.42B	32.87	―	0.76%	15.02%	46.62%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6996	60 Neutral	¥145.46B	52.89	―	2.18%	-0.93%	-45.03%

CMK Corporation Corporate Events

CMK Lifts Full-Year Earnings Outlook on Foreign Exchange Gains and Stronger Sales

CMK Corporation reported non-operating income of 2,095 million yen in foreign exchange gains for the first nine months of the fiscal year ending March 31, 2026, driven by fluctuations in exchange rates, and noted that this figure may change depending on future currency movements. Reflecting stronger-than-expected sales and FX-related gains, the company revised its full-year forecast, raising projected net sales from 96.0 billion yen to 98.0 billion yen and ordinary profit from 4.1 billion yen to 4.9 billion yen, with profit attributable to owners of parent increasing to 3.8 billion yen and earnings per share to 53.31 yen, signaling improved earnings momentum and a more favorable profit outlook for shareholders compared with its previous guidance.

The most recent analyst rating on (JP:6958) stock is a Buy with a Yen633.00 price target. To see the full list of analyst forecasts on CMK Corporation stock, see the JP:6958 Stock Forecast page.

CMK Corporation Posts Profit Decline Despite Higher Sales, Keeps Dividend Outlook Unchanged

CMK Corporation reported a modest 3.3% year-on-year increase in consolidated net sales to ¥73.0 billion for the nine months ended December 31, 2025, but profitability weakened sharply, with operating income down 53.6% and profit attributable to owners of parent dropping 32.8%, resulting in a swing to negative comprehensive income and a slight decline in total assets and net assets. Despite the earnings deterioration, the company kept its dividend policy intact, maintaining a full-year forecast of a ¥20 per-share dividend and updating its fiscal 2025 outlook to project a small 2.6% rise in annual sales but further declines in operating and ordinary income, signaling ongoing margin pressure even as it aims to keep shareholder returns stable.

The most recent analyst rating on (JP:6958) stock is a Buy with a Yen633.00 price target. To see the full list of analyst forecasts on CMK Corporation stock, see the JP:6958 Stock Forecast page.

CMK Corporation Discloses Increase in Stake Held by Institutional Investor fundnote

CMK Corporation announced that fundnote Co., Ltd., an investment management firm engaged in financial instruments business, has become a major shareholder after increasing its stake in the company. Based on a large shareholding report filed with the Kanto Local Finance Bureau, fundnote’s holdings rose from 6,692,800 shares (9.40% of voting rights) as of November 28, 2025, to 7,984,900 shares (11.21% of voting rights) as of December 15, 2025, signaling heightened institutional investor interest but with the company stating that this ownership change has no stated impact on its business outlook at this time.

The most recent analyst rating on (JP:6958) stock is a Buy with a Yen559.00 price target. To see the full list of analyst forecasts on CMK Corporation stock, see the JP:6958 Stock Forecast page.