Mitsui High-Tec, Inc. (6966) AI Stock Analysis

• Market Cap: ¥135.23B
• Dividend Yield: 2.11%
• Average Volume (3M): 760.60K
• Price to Earnings (P/E): 14.5
• Beta (1Y): 1.26
• Revenue Growth: 6.31%
• EPS Growth: -37.42%
• Country: JP
• Employees: 4,609
• Sector: Technology
• Sector Strength: 85
• Industry: Semiconductors
• EPS (TTM): 17.63
• Shares Outstanding: 197,334,320
• 10 Day Avg. Volume: 956,740
• 30 Day Avg. Volume: 760,600
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥1,089.33
• Price Target Upside: 47.21% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 71 Outperform
• Price Target: ¥818.00 ▲(10.54% Upside)

Mitsui High-Tec, Inc. demonstrates strong financial performance with robust revenue growth and operational efficiency. However, technical indicators suggest a bearish trend, which could pose short-term risks. The valuation is fair, supported by a reasonable P/E ratio and attractive dividend yield. Overall, the stock is well-positioned for long-term growth, but investors should be cautious of current market momentum.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, positioning the company well in the semiconductor industry.

Operational Efficiency

Strong operational efficiency highlights the company's ability to manage costs effectively, ensuring sustainable profitability and competitive advantage.

Market Position

A strong market position in the semiconductor industry suggests resilience and potential for continued growth in a key technological sector.

Negative Factors

Leverage Concerns

Moderate leverage levels may impact financial flexibility and increase risk, requiring careful management to maintain balance sheet health.

Cash Flow Variability

Variability in free cash flow due to high capital expenditures may strain liquidity, necessitating improved cash flow management for stability.

Net Income Decline

A decline in net income affects profitability, indicating potential challenges in maintaining net profit margins despite revenue growth.

Mitsui High-Tec, Inc. Business Overview & Revenue Model

Company Description

Mitsui High-tec, Inc. produces and sells lead frames, precision tools, motor cores, and surface grinders for electronics, automobile, and industrial machinery industries in Japan and internationally. It operates through Tooling, Electronic Parts, Electrical Parts, and Machinery segments. The company's precision tooling/precision parts products include motor core dies, lead frame dies, and other type of stamping tools used in motor cores and IC lead frames, electric motor cores, automobile components, coins, resin injection molding, and others. It also offers surface grinders, such as grinding machines, MSG series products, and profile grinders; and overhaul and parts repair services. In addition, the company provides open lead frames for semiconductor packages; and motor core stamping service. Further, it offers die maintenance services. The company was formerly known as Mitsui Mfg. Co., Ltd. and changed its name to Mitsui High-tec, Inc. in May 1984. Mitsui High-tec, Inc. was incorporated in 1934 and is headquartered in Kitakyushu, Japan.

How the Company Makes Money

Mitsui High-Tec, Inc. makes money primarily through the manufacturing and sale of precision tooling, motor cores, and semiconductor manufacturing equipment. The company earns revenue by supplying critical components to electronics manufacturers, automotive companies, and industrial machinery producers. Key revenue streams include the sales of motor cores used in electric vehicles and other machinery, precision tooling for semiconductor fabrication, and other specialized equipment. Additionally, Mitsui High-Tec benefits from partnerships and collaborations with leading companies in these sectors, enhancing its market reach and contributing to its earnings.

Mitsui High-Tec, Inc. Financial Statement Overview

Summary

Mitsui High-Tec, Inc. shows strong growth in revenue and operational efficiency, especially in revenue and margins. The balance sheet is solid, but leverage needs monitoring. Cash flow management requires improvement to enhance free cash flow. Overall, the company is well-positioned in the semiconductor industry.

Income Statement

The company has shown impressive growth in revenue over the years, with a significant increase from ¥97.35 billion in 2021 to ¥214.89 billion in 2025. The gross profit margin is robust, reflecting efficient cost management. However, there is a slight decline in net income, impacting the net profit margin. Despite this, the EBIT and EBITDA margins remain strong, showcasing the company's operational efficiency.

Balance Sheet

The balance sheet reveals a solid equity base with a healthy equity ratio, suggesting strong asset backing. However, the debt-to-equity ratio indicates a moderate level of leverage, which could pose risks if not managed properly. The return on equity remains competitive, reflecting the company's ability to generate profits from its equity.

Cash Flow

The cash flow statement indicates variability in free cash flow, with negative values in recent years due to high capital expenditures. The operating cash flow remains strong, but the free cash flow to net income ratio shows room for improvement. Overall, the company's cash generation ability is stable, but careful management is needed to enhance free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	214.89B	214.89B	195.88B	174.62B	139.43B	97.35B
Gross Profit	32.38B	32.38B	32.68B	35.94B	26.46B	13.41B
EBITDA	35.53B	30.54B	33.54B	31.92B	24.15B	11.18B
Net Income	12.22B	12.22B	15.54B	17.58B	11.78B	2.59B
Balance Sheet
Total Assets	223.70B	223.70B	195.70B	159.80B	134.04B	96.26B
Cash, Cash Equivalents and Short-Term Investments	49.88B	49.88B	39.25B	33.94B	31.31B	17.75B
Total Debt	76.37B	76.37B	62.48B	51.05B	48.88B	35.38B
Total Liabilities	113.37B	113.37B	98.70B	79.20B	72.65B	48.47B
Stockholders Equity	109.98B	109.98B	96.63B	80.31B	61.12B	47.54B
Cash Flow
Free Cash Flow	0.00	-1.46B	-4.78B	105.00M	-166.00M	-3.55B
Operating Cash Flow	0.00	24.37B	31.68B	22.08B	18.13B	8.96B
Investing Cash Flow	0.00	-26.51B	-36.39B	-19.59B	-17.74B	-12.51B
Financing Cash Flow	0.00	11.07B	8.83B	-665.00M	12.47B	1.71B

Mitsui High-Tec, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 740.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6966, the sentiment is Negative. The current price of 740 is below the 20-day moving average (MA) of 829.20, below the 50-day MA of 775.00, and below the 200-day MA of 760.79, indicating a bearish trend. The MACD of 11.68 indicates Positive momentum. The RSI at 34.40 is Neutral, neither overbought nor oversold. The STOCH value of 55.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6966.

Mitsui High-Tec, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6966	71 Outperform	¥135.23B	14.49		2.11%	6.31%	-37.42%
Sector *	61 Neutral	$36.58B	11.16	-10.39%	1.86%	8.71%	-7.09%
FRRZF	―	$1.22B	13.45	6.22%	―	―	―
TWA	―	€793.52M	21.18	10.40%	―	―	―
5384	69 Neutral	¥161.61B	17.10		3.45%	21.20%	36.43%
6707	54 Neutral	¥187.31B	3.50		0.38%	-58.24%	―
6871	―	¥175.73B	17.86		1.54%	―	―

Mitsui High-Tec, Inc. Corporate Events

Mitsui High-Tec Revises Financial Forecasts Amid Market Challenges

Mitsui High-Tec, Inc. has revised its financial forecasts for the fiscal year ending January 31, 2026, due to recent operating trends. The company expects lower net sales and profits than initially projected, primarily due to decreased sales in its Electrical Parts Business. This decline is attributed to falling raw material prices and a reduction in orders as a result of mass production rescheduling to align with customer demand trends. Despite these adjustments, the dividend forecast remains unchanged.

The most recent analyst rating on (JP:6966) stock is a Buy with a Yen899.00 price target. To see the full list of analyst forecasts on Mitsui High-Tec, Inc. stock, see the JP:6966 Stock Forecast page.

Mitsui High-Tec Revises Earnings Forecasts Amid Q2 Financial Results

Mitsui High-Tec, Inc. announced its financial results for the second quarter of the fiscal year ending January 31, 2026, highlighting revisions to its earnings forecasts. The company has adjusted its consolidated earnings expectations for its electrical parts, electronic parts, and tooling & machine tools businesses, which may impact its operational strategies and shareholder returns.

The most recent analyst rating on (JP:6966) stock is a Buy with a Yen899.00 price target. To see the full list of analyst forecasts on Mitsui High-Tec, Inc. stock, see the JP:6966 Stock Forecast page.

Mitsui High-Tec Reports Increased Sales but Declining Profits for Interim 2025

Mitsui High-Tec, Inc. reported its consolidated financial results for the interim period ending July 31, 2025, showing a 4.2% increase in net sales compared to the previous year. However, the company experienced a significant decline in profits, with operating profit down by 19.2% and ordinary profit dropping by 36.6%. The results indicate challenges in maintaining profitability despite increased sales, which could impact its market positioning and stakeholder confidence.

The most recent analyst rating on (JP:6966) stock is a Buy with a Yen899.00 price target. To see the full list of analyst forecasts on Mitsui High-Tec, Inc. stock, see the JP:6966 Stock Forecast page.

Mitsui High-Tec Reports Q1 2025 Financial Results with Increased Sales but Declining Profits

Mitsui High-Tec, Inc. reported its consolidated financial results for the three months ending April 30, 2025, showing an 8.4% increase in net sales compared to the previous year. However, the company experienced significant declines in operating profit, ordinary profit, and profit attributable to owners, with decreases of 12.6%, 77.1%, and 79.7% respectively. The financial position also showed a slight decrease in net assets and equity-to-asset ratio. Despite these challenges, the company has maintained its dividend forecast for the fiscal year ending January 31, 2026, indicating a commitment to shareholder returns.

The most recent analyst rating on (JP:6966) stock is a Buy with a Yen1850.00 price target. To see the full list of analyst forecasts on Mitsui High-Tec, Inc. stock, see the JP:6966 Stock Forecast page.