Daishinku Corp., (6962) AI Stock Analysis

• Market Cap: ¥21.86B
• Dividend Yield: 4.91%
• Average Volume (3M): 152.37K
• Price to Earnings (P/E): 58.8
• Beta (1Y): 1.13
• Revenue Growth: -1.71%
• EPS Growth: N/A
• Country: JP
• Employees: 3,278
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 13.39
• Shares Outstanding: 32,138,880
• 10 Day Avg. Volume: 188,440
• 30 Day Avg. Volume: 152,373
• PEG Ratio: -0.75
• Price to Book (P/B): 0.49
• Price to Sales (P/S): 0.47
• P/FCF Ratio: -3.96
• 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): 10.44
• Revenue Forecast (FY): ¥40.12B

• Rating: 60 Neutral
• Price Target: ¥722.00 ▲(23.42% Upside)
• Action: Reiterated Date: 11/01/25
• Date: Action: Reiterated 11/01/25

Daishinku Corp. faces significant financial challenges, with declining revenue and profitability, and cash flow inefficiencies. The technical analysis shows a neutral trend with some bullish indicators, but valuation concerns persist due to a negative P/E ratio. The high dividend yield offers some compensation, but overall, strategic improvements are needed to enhance financial health and investor confidence.

Positive Factors

Essential product portfolio & diversified end markets

Daishinku's quartz resonators and oscillators are embedded in OEM bills of materials across consumer, industrial and automotive markets. This structural B2B role creates steady baseline demand and recurring order potential, supporting revenue stability over months.

Moderate leverage and stable capital structure

A moderate debt-to-equity ratio and stable equity ratio give Daishinku financial flexibility and lower refinancing risk. Balanced leverage supports short-to-medium term funding for working capital or selective capex while management addresses operational improvements.

Robust asset base and manufacturing scale

A sizable asset base and manufacturing scale underpin production capacity and supply reliability, creating execution advantages in components manufacturing. These assets support contract fulfillment, incremental modernization, and longer-term customer relationships.

Negative Factors

Declining revenue trend

Revenue contraction from 2024–2025 signals weakening demand or lost share. Continued top-line decline reduces operating leverage, constrains reinvestment, and makes margin recovery and cash generation harder without a credible commercial turnaround in the coming quarters.

Deteriorating profitability and returns

Falling gross and net margins alongside a significantly lower ROE indicate the business is generating less profit per unit of sales and equity. Persistent margin pressure undermines free cash flow and limits capacity for capex, dividends, or strategic initiatives.

Weak cash conversion and negative FCF trend

Volatile and recently negative free cash flow, plus weak operating cash conversion, constrains the company's ability to fund operations, service debt, or invest. Unless working capital or margins improve, execution and funding risk remain elevated.

Daishinku Corp., Business Overview & Revenue Model

Company Description

Daishinku Corp. manufactures and sells electronic components and equipment in Japan and internationally. The company offers crystal resonators, crystal and MEMS oscillators, monolithic crystal filters, optical quartz products, and hermetic seal products. Its products are used in various applications, including wearable devices, smart phones/mobile phones, IoT/M2M, wireless communication, network, automotive electronics, information communication equipment, audio and visual equipment, gaming equipment, and FA equipment. Daishinku Corp. was founded in 1959 and is headquartered in Kakogawa, Japan.

How the Company Makes Money

Daishinku Corp. generates revenue primarily through the sale of its precision quartz crystal devices and oscillators. The company has a diverse customer base that includes major players in the telecommunications and automotive sectors, which provides a stable demand for its products. Additionally, Daishinku engages in long-term partnerships with technology firms that require high-quality timing devices, contributing to its steady revenue stream. The company also invests in research and development to innovate and improve its product offerings, which helps maintain competitive pricing and quality. Furthermore, Daishinku may benefit from fluctuations in demand driven by trends in consumer electronics and advancements in technology, such as the growing need for reliable frequency control in smart devices and IoT applications.

Daishinku Corp., Financial Statement Overview

Summary

Daishinku Corp. faces challenges across all financial verticals. The income statement reveals declining revenue and profitability, while the balance sheet suggests stability in leverage with a need for improving returns. The cash flow statement highlights cash conversion inefficiencies, impacting the company's capacity to fund operations and growth. Overall, strategic adjustments are necessary to address operational and financial inefficiencies.

Income Statement

The company shows a declining revenue trend over recent years, with a negative revenue growth rate from 2024 to 2025. Gross and net profit margins have also decreased, indicating pressure on profitability. The EBIT and EBITDA margins have been under strain, reflecting operational inefficiencies. Overall, the income statement reveals challenges in sustaining growth and maintaining profitability.

Balance Sheet

Daishinku Corp. maintains a moderate debt-to-equity ratio, indicating balanced leverage. However, the return on equity has decreased significantly, reflecting lower profitability on shareholders' investments. The equity ratio is stable, suggesting a solid capital structure. While the company has a robust asset base, the declining ROE and leverage require careful management.

Cash Flow

The cash flow statement shows fluctuating free cash flow, with a negative trend in recent years. The operating cash flow to net income ratio highlights challenges in converting revenue into cash flow. The significant drop in free cash flow indicates potential issues in sustaining operations and investments, necessitating improvements in cash management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	38.17B	38.62B	39.34B	38.43B	41.31B	33.19B
Gross Profit	9.32B	9.33B	9.79B	11.64B	12.22B	8.32B
EBITDA	4.61B	5.98B	8.44B	9.41B	9.77B	5.46B
Net Income	-506.34M	285.59M	1.88B	3.21B	3.85B	1.22B
Balance Sheet
Total Assets	90.58B	89.89B	91.06B	83.62B	81.32B	68.63B
Cash, Cash Equivalents and Short-Term Investments	17.70B	18.71B	24.54B	18.56B	18.52B	14.32B
Total Debt	35.11B	33.65B	34.01B	30.84B	27.84B	26.14B
Total Liabilities	46.05B	44.67B	44.02B	40.44B	41.09B	34.86B
Stockholders Equity	36.24B	37.05B	38.71B	35.90B	33.12B	27.89B
Cash Flow
Free Cash Flow	0.00	-4.59B	3.36B	-661.04M	2.96B	-2.23B
Operating Cash Flow	0.00	2.30B	8.24B	5.86B	8.76B	2.71B
Investing Cash Flow	0.00	-6.31B	-3.99B	-6.52B	-5.18B	-5.39B
Financing Cash Flow	0.00	-1.71B	1.10B	1.30B	382.83M	870.75M

Daishinku Corp., Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 585.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6962, the sentiment is Positive. The current price of 585 is below the 20-day moving average (MA) of 635.90, below the 50-day MA of 605.14, and above the 200-day MA of 568.11, indicating a bullish trend. The MACD of 23.91 indicates Negative momentum. The RSI at 68.78 is Neutral, neither overbought nor oversold. The STOCH value of 79.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6962.

Daishinku Corp., Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6951	78 Outperform	¥351.36B	21.69	―	2.04%	-0.69%	-29.88%
6590	77 Outperform	¥399.31B	31.00	―	1.49%	18.20%	28.13%
6965	74 Outperform	¥625.35B	47.17	4.19%	2.25%	3.97%	-41.76%
2760	70 Outperform	¥113.08B	13.08	―	3.02%	-14.47%	-26.11%
6728	62 Neutral	¥516.13B	41.36	6.61%	2.35%	-9.06%	-35.95%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
6962	60 Neutral	¥21.86B	58.77	1.29%	4.91%	-1.71%	―

Daishinku Corp., Corporate Events

Daishinku Posts Profit Decline but Keeps Full‑Year Outlook and Dividend Steady

Daishinku Corp. reported consolidated results for the nine months ended Dec. 31, 2025, showing net sales essentially flat year on year at about ¥29.5 billion, with ordinary profit and profit attributable to owners of parent declining sharply. Despite the drop in profit, comprehensive income more than doubled, stockholders’ equity rose to about ¥38.2 billion, and the equity ratio remained above 40%, indicating a strengthened financial base.

The company kept its full‑year forecast for the fiscal year ending March 31, 2026 unchanged, projecting net sales of ¥40 billion, operating profit of ¥1 billion, ordinary profit of ¥500 million and profit attributable to owners of parent of ¥300 million, and it also maintained its annual dividend forecast at ¥28 per share. These steady forecasts and stable dividend policy suggest management expects profitability to recover later in the year while continuing to prioritize shareholder returns and capital stability.

The most recent analyst rating on (JP:6962) stock is a Hold with a Yen566.00 price target. To see the full list of analyst forecasts on Daishinku Corp., stock, see the JP:6962 Stock Forecast page.