Mitsubishi Heavy Industries Ltd (JP:7011)
:7011
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Mitsubishi Heavy Industries
(7011)
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Rating:69Neutral
Price Target:
¥5,132.00
▲(13.77% Upside)
Action:ReiteratedDate:02/06/26
The score is driven mainly by improving underlying financial performance (higher margins, better leverage, and stronger recent cash flow) and supportive technical momentum. These positives are tempered by expensive valuation (high P/E and low yield) and uncertainty from the sharp TTM revenue growth decline.
Positive Factors
Improving Profitability
Sustained margin expansion over multiple years indicates structural improvement in project selection, pricing power, or operational efficiency across MHI's engineering and services mix. Higher margins increase resilience to cyclical downswings and improve reinvestment capacity for long‑term competitiveness.
Negative Factors
Sharp TTM Revenue Contraction
A dramatic TTM revenue drop materially reduces visibility into sustainable top‑line scale and may reflect lost or nonrecurring project comparables. That uncertainty can strain backlog conversion assumptions and makes durable margin retention harder to assume over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Improving Profitability
Sustained margin expansion over multiple years indicates structural improvement in project selection, pricing power, or operational efficiency across MHI's engineering and services mix. Higher margins increase resilience to cyclical downswings and improve reinvestment capacity for long‑term competitiveness.
Read all positive factors
Mitsubishi Heavy Industries (7011) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥15.39T
Dividend Yield0.62%
Average Volume (3M)20.30M
Price to Earnings (P/E)33.6
Beta (1Y)1.59
Revenue Growth-0.88%
EPS Growth6.85%
CountryJP
Employees77,697
SectorIndustrials
Sector Strength72
IndustryIndustrial - Machinery
Share Statistics
EPS (TTM)N/A
Shares Outstanding3,373,647,700
10 Day Avg. Volume24,489,740
30 Day Avg. Volume20,303,846
Financial Highlights & Ratios
PEG Ratio3.28
Price to Book (P/B)3.62
Price to Sales (P/S)1.69
P/FCF Ratio29.29
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
¥5,507.18Price Target Upside22.08% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering10
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Mitsubishi Heavy Industries Business Overview & Revenue Model
Company Description
Mitsubishi Heavy Industries, Ltd. manufactures and sells heavy machinery worldwide. The company operates through Energy Systems; Plants & Infrastructure Systems; Logistics, Thermal & Drive Systems; and Aircraft, Defense & Space segments. It offers...
How the Company Makes Money
Mitsubishi Heavy Industries generates revenue through multiple key streams, primarily by manufacturing and selling advanced industrial products and systems. The company's core revenue sources include the Aerospace segment, which involves the produ...
Mitsubishi Heavy Industries Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
77
Positive
Cash Flow
70
Positive
| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 4.81T | 5.03T | 4.66T | 4.20T | 3.86T | 3.70T |
| Gross Profit | 996.79B | 1.00T | 906.33B | 740.40B | 633.61B | 549.60B |
| EBITDA | 607.74B | 557.52B | 482.05B | 351.72B | 307.43B | 284.02B |
| Net Income | 284.33B | 245.45B | 222.02B | 130.45B | 113.54B | 40.64B |
Balance Sheet | ||||||
| Total Assets | 7.39T | 6.66T | 6.26T | 5.47T | 5.12T | 4.81T |
| Cash, Cash Equivalents and Short-Term Investments | 686.74B | 657.82B | 431.29B | 347.66B | 314.26B | 245.42B |
| Total Debt | 967.69B | 1.13T | 1.14T | 1.19T | 1.08T | 1.24T |
| Total Liabilities | 4.61T | 4.19T | 3.90T | 3.64T | 3.45T | 3.37T |
| Stockholders Equity | 2.65T | 2.35T | 2.24T | 1.74T | 1.58T | 1.37T |
Cash Flow | ||||||
| Free Cash Flow | 585.23B | 289.77B | 170.70B | -51.02B | 156.31B | -241.16B |
| Operating Cash Flow | 802.99B | 530.46B | 331.19B | 80.89B | 285.56B | -94.95B |
| Investing Cash Flow | -150.59B | -189.52B | -131.05B | -45.58B | 16.31B | -182.25B |
| Financing Cash Flow | -538.16B | -112.32B | -158.90B | -18.90B | -255.77B | 221.74B |
Mitsubishi Heavy Industries Technical Analysis
Neutral
4511.00
Price Trends
4775.40
Negative
4441.76
Positive
4098.94
Positive
Market Momentum
-55.96
Positive
42.36
Neutral
19.62
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7011, the sentiment is Neutral. The current price of 4511 is below the 20-day moving average (MA) of 4751.60, below the 50-day MA of 4775.40, and above the 200-day MA of 4098.94, indicating a neutral trend. The MACD of -55.96 indicates Positive momentum. The RSI at 42.36 is Neutral, neither overbought nor oversold. The STOCH value of 19.62 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7011.
Mitsubishi Heavy Industries Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | ¥15.39T | 33.57 | 10.81% | 0.62% | -0.88% | 6.85% | |
69 Neutral | ¥2.38T | 18.60 | 10.09% | 0.97% | 5.35% | 26.51% | |
67 Neutral | ¥3.78T | 25.09 | 23.30% | 0.71% | -1.66% | 19.02% | |
66 Neutral | ¥2.04T | 22.15 | 16.00% | 1.38% | 13.96% | 12.97% | |
64 Neutral | ¥2.54T | 9.91 | 14.59% | 1.40% | 14.12% | 54.64% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
54 Neutral | ¥622.19B | 11.29 | 4.83% | 2.95% | -2.67% | -85.21% |
* Industrials Sector Average
JP:7011
Mitsubishi Heavy Industries
4,577.00
1,944.21
73.85%
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2,117.16
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130.00%
JP:7012
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5,905.22
63.57%
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-503.25
-19.48%
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Sumitomo Heavy Industries
5,079.00
2,049.59
67.66%
Mitsubishi Heavy Industries Corporate Events
Mitsubishi Heavy Industries Reshapes Top Management Ahead of 2026 Shareholders’ Meeting
Feb 4, 2026
Mitsubishi Heavy Industries announced a series of executive-level personnel changes effective March 31 and April 1, 2026, alongside nominations for its Board to be presented at the June 26, 2026 shareholders’ meeting. The reshuffle elevates ...
MHI Refines FY2025 Reporting After Excluding Logisnext Operations
Feb 4, 2026
The company’s Q1-3 FY2025 update highlights financial results and forecasts under IFRS, treating Mitsubishi Logisnext operations as discontinued, thereby reshaping reported order intake, revenue, and profit data to reflect only continuing bu...
Mitsubishi Heavy Industries Delivers Strong Profit and Cash Flow Growth in First Nine Months of FY2025
Feb 4, 2026
For the first nine months of FY2025 ended December 31, Mitsubishi Heavy Industries reported solid top- and bottom-line growth, with order intake rising 12.6% year on year to ¥5,029.1 billion and revenue climbing 9.2% to ¥3,326.9 billion....
Mitsubishi Heavy Industries Confirms Start of Tender Offer to Take Mitsubishi Logisnext Private
Jan 20, 2026
Mitsubishi Heavy Industries announced that LVJ Holdings 2 LLC will commence a tender offer for the shares and stock acquisition rights of Mitsubishi Logisnext Co., Ltd., its consolidated subsidiary in the logistics and material handling equipment ...
Mitsubishi Heavy Updates Timeline for Mitsubishi Logisnext Take-Private Tender Offer
Dec 25, 2025
Mitsubishi Heavy Industries has provided an update on its plan to take its consolidated subsidiary Mitsubishi Logisnext Co., Ltd. private through a tender offer to be conducted by LVJ Holdings 2 LLC. The tender offer, originally targeted to start ...
Mitsubishi Heavy Industries to Transfer Wind Power Business to J-POWER
Nov 7, 2025
Mitsubishi Heavy Industries has entered a basic agreement with Electric Power Development Co., Ltd. (J-POWER) to transfer its domestic onshore wind power generation business to a newly established subsidiary, which will then be transferred to J-PO...
Mitsubishi Heavy Industries Reports Stable 1H FY2025 Financial Results and Strategic Focus
Nov 7, 2025
Mitsubishi Heavy Industries announced its financial results for the first half of fiscal year 2025, highlighting a stable financial position and positive cash flows. The company also provided an earnings forecast for FY2025, indicating a strategic...
Mitsubishi Heavy Industries Revises Earnings Forecast for Subsidiary
Nov 7, 2025
Mitsubishi Heavy Industries announced a significant revision in the earnings forecast for its subsidiary, Mitsubishi Logisnext Co., Ltd., for the fiscal year ending March 31, 2026. The revised forecast indicates a decrease in net sales and profits...
Mitsubishi Heavy Industries Reports Strong First Half FY2025 Financial Results
Nov 7, 2025
Mitsubishi Heavy Industries reported a positive financial performance for the first half of FY2025, with a notable increase in order intake by 8.5% and revenue by 7.3% compared to the same period in FY2024. The company’s strategic focus on c...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.