TOKAI RIKA CO., LTD. (6995) AI Stock Analysis

• Market Cap: ¥191.54B
• Dividend Yield: 4.53%
• Average Volume (3M): 145.32K
• Price to Earnings (P/E): 6.4
• Beta (1Y): 0.99
• Revenue Growth: -0.95%
• EPS Growth: 21.28%
• Country: JP
• Employees: 20,247
• Sector: Consumer Cyclical
• Sector Strength: 73
• Industry: Auto - Parts
• EPS (TTM): 60.39
• Shares Outstanding: 94,234,170
• 10 Day Avg. Volume: 119,520
• 30 Day Avg. Volume: 145,320
• PEG Ratio: 0.24
• Price to Book (P/B): 0.59
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥1,800.00
• Price Target Upside: -14.20% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 0

• Rating: 75 Outperform
• Price Target: ¥2,349.00 ▲(11.96%Upside)

The overall stock score of 74.9 reflects TOKAI RIKA CO., LTD.'s strong financial performance and attractive valuation. The company's robust profitability and stable financial position are complemented by a low P/E ratio and high dividend yield, making it appealing from a valuation standpoint. However, the technical analysis suggests a cautious approach due to mixed momentum indicators.

TOKAI RIKA CO., LTD. Business Overview & Revenue Model

Company Description

TOKAI RIKA CO., LTD. is a Japanese company primarily engaged in the manufacture and sale of automobile parts. The company operates in sectors including automotive, electronics, and other related industries. Its core products include switches, security systems, connectors, and human interface systems, with a focus on enhancing safety and comfort in vehicles. TOKAI RIKA is dedicated to innovation and quality, serving a global market through its extensive product offerings.

How the Company Makes Money

TOKAI RIKA CO., LTD. makes money primarily through the production and sale of automotive components. The company generates revenue by supplying products to major automobile manufacturers worldwide. Key revenue streams include sales of switches, which are integral to vehicle control systems, and security systems such as keyless entry systems and immobilizers. Additionally, the company earns from its human interface systems, which enhance the interaction between vehicles and users. Significant partnerships with leading car manufacturers and continuous investment in research and development also contribute to its financial performance, allowing the company to stay competitive and meet evolving industry demands.

TOKAI RIKA CO., LTD. Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
608.12B	623.56B	553.12B	487.30B	440.06B	500.00B
	Gross Profit
86.48B	91.58B	64.65B	54.97B	52.12B	64.34B
	EBIT
23.23B	28.82B	16.66B	9.21B	14.04B	22.60B
	EBITDA
39.44B	48.88B	36.20B	27.38B	32.61B	42.47B
	Net Income Common Stockholders
20.55B	24.85B	10.90B	3.57B	12.03B	15.07B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
89.44B	78.52B	70.03B	62.78B	76.90B	71.00B
	Total Assets
515.87B	519.72B	456.15B	447.83B	419.26B	378.49B
	Total Debt
10.00B	11.25B	10.99B	10.89B	10.97B	10.93B
	Net Debt
-70.97B	-61.87B	-58.74B	-47.09B	-63.23B	-57.58B
	Total Liabilities
166.82B	180.23B	159.75B	162.30B	148.99B	137.47B
	Stockholders Equity
327.03B	317.87B	277.38B	268.71B	255.25B	228.38B
Cash Flow		Free Cash Flow
0.00	26.40B	4.22B	-3.40B	18.52B	17.97B
	Operating Cash Flow
0.00	53.27B	26.75B	14.68B	34.68B	40.35B
	Investing Cash Flow
0.00	-31.47B	-8.70B	-26.00B	-27.50B	-22.29B
	Financing Cash Flow
0.00	-22.57B	-6.08B	-6.44B	-4.53B	-6.77B

TOKAI RIKA CO., LTD. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2098.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6995, the sentiment is Neutral. The current price of 2098 is below the 20-day moving average (MA) of 2113.40, below the 50-day MA of 2138.77, and above the 200-day MA of 2065.77, indicating a neutral trend. The MACD of -1.68 indicates Positive momentum. The RSI at 48.39 is Neutral, neither overbought nor oversold. The STOCH value of 15.78 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6995.

TOKAI RIKA CO., LTD. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6995	75 Outperform	¥191.54B	6.39		4.53%	-0.95%	21.28%
5191	74 Outperform	¥174.74B	6.37		3.96%	2.91%	47.09%
7283	72 Outperform	¥115.98B	8.64		3.73%	7.29%	13.03%
7220	72 Outperform	¥181.92B	23.37		1.80%	-0.78%	-2.01%
7296	71 Outperform	¥136.15B	8.56		7.32%	6.80%	31.64%
7313	67 Neutral	¥188.36B	22.35		5.22%	3.58%	-17.59%
Sector *	62 Neutral	$6.84B	11.23	3.09%	3.95%	2.66%	-25.23%

TOKAI RIKA CO., LTD. Corporate Events

TOKAI RIKA Announces Share Cancellation to Optimize Capital Structure

TOKAI RIKA CO., LTD. has announced a resolution to cancel 5,000,000 of its common stock shares, which represents 5.3% of the total shares issued before cancellation. This strategic move, scheduled for completion on May 30, 2025, is expected to impact the company’s share structure, potentially enhancing shareholder value and optimizing capital management.

TOKAI RIKA’s Strategic Relationship with Toyota Motor Corporation

TOKAI RIKA CO., LTD. announced its relationship with Toyota Motor Corporation, which holds 34.4% of its voting rights, classifying Toyota as an ‘other affiliated company.’ Despite this significant shareholding, TOKAI RIKA maintains operational independence, conducting its own research, development, production, and sales activities. The company’s substantial sales to the Toyota group highlight both the benefits and potential risks of this relationship, as changes in Toyota’s business could impact TOKAI RIKA’s financial results.

TOKAI RIKA Announces Increased Year-End Dividends

TOKAI RIKA CO., LTD. announced a resolution to pay year-end dividends of 50 yen per share, reflecting an increase from the previous fiscal year’s 39 yen. This decision underscores the company’s policy of balancing earnings with shareholder returns, aiming for a stable dividend payout using a 3% dividend-on-shareholders’ equity ratio as a baseline.