Nissan Motor Co (7201) AI Stock Analysis

• Market Cap: $1.52T
• Dividend Yield: N/A
• Average Volume (3M): 27.47M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.26
• Revenue Growth: -3.01%
• EPS Growth: -755.71%
• Country: JP
• Employees: 133,580
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Manufacturers
• EPS (TTM): N/A
• Shares Outstanding: 3,713,998,500
• 10 Day Avg. Volume: 28,296,099
• 30 Day Avg. Volume: 27,474,239
• PEG Ratio: <0.01
• Price to Book (P/B): 0.27
• Price to Sales (P/S): 0.11
• P/FCF Ratio: -1.17
• Enterprise Value/Market Cap: 5.58
• Enterprise Value/Revenue: 0.70
• Enterprise Value/Gross Profit: 6.05
• Enterprise Value/Ebitda: 329.23
• 1Y Price Target: $386.35
• Price Target Upside: -9.35% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 9
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 47 Neutral
• Price Target: ¥457.00 ▲(7.23% Upside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is held down primarily by deteriorating financial performance (losses, higher leverage, and negative free cash flow). Technicals are a key offset with a strong uptrend and positive momentum, but overbought indicators add near-term risk. Valuation is constrained by negative earnings and no dividend yield data.

Positive Factors

Diversified revenue mix

Nissan’s business combines large-scale vehicle sales with a captive finance arm and parts/aftersales, creating multiple, recurring cash channels. This structural diversification supports demand smoothing, captive finance interest income and higher lifecycle margins versus a single revenue stream.

Positive operating cash flow

Despite accounting losses, Nissan generates substantial operating cash flow TTM, indicating underlying cash-generative operations from vehicle sales and finance activities. Positive OCF sustains near-term operations, funds some investment and reduces immediate reliance on external financing.

Strategic autonomous driving investment

Developing a lower-cost AI-powered 'self-driving' system is a durable strategic move to differentiate products, raise average selling prices and capture recurring software/service revenue. If executed, it strengthens long-term competitiveness in ADAS/EV platforms versus rivals emphasizing hardware-only approaches.

Negative Factors

Large TTM net loss

A large trailing net loss and negative operating profit erode retained earnings and reduce internal funding for capex and R&D. Sustained losses weaken pricing power, limit strategic flexibility and increase pressure to improve mix or cut costs to restore durable profitability.

Rising leverage

Elevated and increasing debt-to-equity raises interest and refinancing risk and reduces balance-sheet flexibility. Higher leverage limits ability to absorb cyclical downturns or fund strategic initiatives without dilutive equity or costly debt, impairing long-term resilience.

Negative free cash flow

Persistent negative free cash flow alongside weak cash-flow coverage suggests heavy capex or working-capital strain. Over months this constrains discretionary spending, raises refinancing needs, and may force asset sales, dividend cuts or higher-cost borrowing to fund operations.

Nissan Motor Co Business Overview & Revenue Model

Company Description

Nissan Motor Co., Ltd. manufactures and sells vehicles and automotive parts worldwide. It sells vehicles under the Nissan, Infiniti, Datsun, Heritage, and Motorsports brands. The company offers vehicle and vehicle parts; engines, manual transmissions, and multiplier/reducer units; automotive parts; axles; specially equipped vehicles; and motorsports engines. It also provides financial services, auto credit and car leasing, card business, insurance agency, and inventory finance, as well as engages in exterior and interior design for automobiles, and operations and consulting related to the analysis and assay of raw materials. In addition, the company engages in the provision of travel, environmental and engineering, production technology center, and facility services; ground and vehicle management, and information and logistics businesses; design, vehicle drawings and experiments, other engineering, electronic devices, and electronic equipment businesses; export and import of auto components and materials; and real estate businesses. Further, it is involved in promotion of motorsports, including race and motorsports event planning, and vehicle remodeling; sale of car parts and accessories for motorsports; and demonstration test and commercialization study for second-life use of lithium-ion batteries for automotive use. Additionally, the company imports and sells Renault vehicles and parts; and manages and plans professional soccer team and soccer schools. The company was founded in 1933 and is headquartered in Yokohama, Japan.

How the Company Makes Money

Nissan generates revenue primarily through the sale of vehicles across different markets worldwide. Its revenue model includes direct sales of cars to consumers, dealerships, and fleet buyers. Key revenue streams also include financing services offered through Nissan's financial services division, which provides loans and leases to customers. Additionally, Nissan earns revenue from parts and accessories sales, as well as through strategic partnerships, such as its alliance with Renault and Mitsubishi, which allows for shared technology, platforms, and production efficiencies. The company's focus on electric vehicles and sustainability initiatives also positions it to benefit from growing consumer demand in these areas, further contributing to its earnings.

Nissan Motor Co Financial Statement Overview

Summary

Financials are weak: TTM shows a large net loss and negative operating profit, leverage is elevated (debt-to-equity ~1.87x), and free cash flow is deeply negative despite positive operating cash flow—raising execution and balance-sheet risk.

Income Statement

Profitability has deteriorated meaningfully: TTM (Trailing-Twelve-Months) shows a net loss of about ¥926B with negative operating profit, and revenue is down sharply versus the prior period. While gross margin remains positive (~12% TTM), operating performance has swung from healthy profits in FY2023–FY2024 to losses in FY2025/TTM, indicating weaker pricing/mix and/or higher costs. The main strength is the company’s ability to generate sizable revenue scale, but the near-term earnings trajectory and margin compression are clear concerns.

Balance Sheet

Leverage is elevated and rising again: TTM debt-to-equity is ~1.87x (up from ~1.31x in FY2024), while return on equity is negative in FY2025 and TTM, reflecting losses on a still-material equity base. Total assets remain large and equity is not thin in absolute terms, but the combination of higher leverage and negative profitability reduces balance-sheet flexibility and increases sensitivity to operating volatility.

Cash Flow

Cash generation is mixed: operating cash flow remains positive (TTM ~¥839B), but free cash flow is meaningfully negative (TTM ~-¥849B), implying heavy investment and/or working-capital pressure. Cash flow support for debt looks weak based on the provided coverage metric (TTM ~0.13), and the business has been inconsistent—positive free cash flow in FY2021 and FY2023, but negative in most other years including FY2024–TTM. The key strength is continued positive operating cash flow despite losses, but persistent negative free cash flow is a near-term risk.

Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	12.07T	12.63T	12.69T	10.60T	8.42T	7.86T
Gross Profit	1.40T	1.69T	2.07T	1.71T	1.35T	1.05T
EBITDA	25.81B	360.76B	1.36T	1.16T	1.13T	406.91B
Net Income	-926.27B	-670.90B	426.65B	221.90B	215.53B	-448.70B
Balance Sheet
Total Assets	19.69T	19.02T	19.86T	17.60T	16.37T	16.45T
Cash, Cash Equivalents and Short-Term Investments	2.21T	2.20T	2.13T	2.01T	1.79T	2.03T
Total Debt	9.22T	8.14T	7.81T	7.04T	7.13T	7.60T
Total Liabilities	14.36T	13.58T	13.38T	11.98T	11.34T	12.11T
Stockholders Equity	4.90T	4.96T	5.98T	5.13T	4.58T	3.94T
Cash Flow
Free Cash Flow	-849.09B	-1.16T	-666.88B	87.55B	-276.70B	140.48B
Operating Cash Flow	839.49B	753.69B	960.90B	1.22T	847.19B	1.32T
Investing Cash Flow	-967.07B	-971.23B	-812.66B	-447.04B	-146.84B	-369.12B
Financing Cash Flow	187.70B	263.25B	-131.55B	-670.61B	-1.09T	-639.69B

Nissan Motor Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 426.20
• 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:7201, the sentiment is Positive. The current price of 426.2 is above the 20-day moving average (MA) of 418.07, above the 50-day MA of 406.49, and above the 200-day MA of 366.91, indicating a bullish trend. The MACD of 12.66 indicates Negative momentum. The RSI at 54.58 is Neutral, neither overbought nor oversold. The STOCH value of 47.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7201.

Nissan Motor Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7269	74 Outperform	¥4.41T	10.58	12.95%	1.85%	2.99%	9.99%
6201	68 Neutral	¥6.27T	30.22	3.94%	0.78%	2.91%	-11.26%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
7267	59 Neutral	¥6.30T	12.57	5.23%	4.41%	-0.43%	-26.68%
7270	58 Neutral	¥2.09T	20.55	9.73%	3.61%	1.04%	-31.52%
7261	55 Neutral	¥824.81B	94.09	1.72%	4.52%	-0.83%	-75.20%
7201	47 Neutral	$1.52T	-1.62	-16.69%	―	-3.01%	-755.71%

Nissan Motor Co Corporate Events

Nissan Narrows Losses, Lifts FY2025 Outlook as Re:Nissan Restructuring Accelerates

Nissan Motor Co. reported resilient but still loss-making results for the nine months to December 2025, with global sales of 2.26 million vehicles led by the U.S. and China, net revenue of 8.6 trillion yen and a narrowed operating loss of 10.1 billion yen. The company achieved a positive third-quarter operating profit of 17.5 billion yen and maintained solid liquidity of 3.6 trillion yen, even as net income remained deeply negative due to lower contributions from equity-method affiliates and restructuring costs.

The automaker raised its full-year fiscal 2025 outlook, forecasting 11.9 trillion yen in net revenue and a significantly improved operating loss of 60 billion yen, despite continued tariff headwinds and a projected net loss of 650 billion yen largely from non-cash charges. Nissan also announced the consolidation of seven production sites and highlighted 240 billion yen of potential variable cost savings under its Re:Nissan program, underscoring an aggressive drive to streamline operations and reach positive automotive operating profit and free cash flow by fiscal 2026 before tariffs.

The most recent analyst rating on (JP:7201) stock is a Sell with a Yen250.00 price target. To see the full list of analyst forecasts on Nissan Motor Co stock, see the JP:7201 Stock Forecast page.

Nissan Narrows FY2025 Operating Loss Outlook but Deepens Net Loss on Restructuring

Nissan Motor has revised its fiscal 2025 consolidated forecast, now projecting net sales of ¥11.9 trillion and an operating loss of ¥60 billion, an improvement from the previously expected ¥275 billion loss, aided by faster fixed-cost reductions under its Re:Nissan recovery plan and a smaller negative currency impact. Despite the better operating outlook, the company now expects a net loss attributable to owners of ¥650 billion for the year, driven mainly by non-cash restructuring and business-alignment charges related to ongoing turnaround measures, signaling continued financial strain for shareholders even as operational metrics stabilize.

The revision narrows the gap versus fiscal 2024, when Nissan posted net sales of ¥12.63 trillion and an operating profit of ¥69.8 billion but a net loss of ¥670.9 billion, underscoring that structural cleanup and balance-sheet adjustments are still weighing on the bottom line. For investors and creditors, the updated guidance indicates incremental progress on cost discipline and execution of the Re:Nissan program, while highlighting that the turnaround remains in a capital-intensive phase with significant accounting charges that delay a return to profitability.

The most recent analyst rating on (JP:7201) stock is a Sell with a Yen250.00 price target. To see the full list of analyst forecasts on Nissan Motor Co stock, see the JP:7201 Stock Forecast page.

Nissan Swings to Deep Nine-Month Loss, Keeps Dividend at Zero

Nissan Motor Co. reported consolidated net sales of ¥8.58 trillion for the nine months to December 31, 2025, down 6.2% year on year, with an operating loss of ¥10.1 billion and a net loss attributable to owners of the parent of ¥250.2 billion, reflecting a sharp deterioration from the prior-year period. The automaker’s comprehensive income remained negative, net assets slipped slightly to ¥5.45 trillion with the equity ratio easing to 24.9%, and the company maintained a zero dividend for the period while revising its full-year forecast, signaling ongoing earnings pressure and a cautious stance toward shareholder payouts.

The most recent analyst rating on (JP:7201) stock is a Sell with a Yen250.00 price target. To see the full list of analyst forecasts on Nissan Motor Co stock, see the JP:7201 Stock Forecast page.

Nissan to Sell South African Manufacturing Assets as Part of Global Recovery Plan

Nissan Motor Co., Ltd. has decided to sell the land, buildings and equipment of its manufacturing and stamping plants in Rosslyn, South Africa, owned by its wholly owned subsidiary Nissan (South Africa) Proprietary Limited, as part of its global recovery plan “Re:Nissan.” Despite divesting these production assets to Chery International Proprietary Limited under undisclosed financial terms, Nissan’s South African subsidiary will continue to offer vehicles and services in the local market, with the timing of the sale and its financial impact still under assessment and subject to regulatory approvals. The move signals a restructuring of Nissan’s manufacturing footprint rather than a full exit from South Africa, and reflects the company’s broader efforts to streamline operations and improve efficiency under its recovery strategy.

The most recent analyst rating on (JP:7201) stock is a Hold with a Yen425.00 price target. To see the full list of analyst forecasts on Nissan Motor Co stock, see the JP:7201 Stock Forecast page.

Nissan Withdraws Treasury Stock Disposal Registration

Nissan Motor Co. has withdrawn its Shelf Registration Statement for the disposal of treasury stock related to restricted stock units granted in FY2022. The withdrawal follows the completion of the offerings of shares under the previously announced plan, with no proceeds gained by the company as shares were allotted to recipients through a contribution-in-kind of monetary compensation claims.

The most recent analyst rating on (JP:7201) stock is a Hold with a Yen382.00 price target. To see the full list of analyst forecasts on Nissan Motor Co stock, see the JP:7201 Stock Forecast page.

Nissan Withdraws Shelf Registration for Treasury Stock Disposal

Nissan Motor Co. has withdrawn its Shelf Registration Statement for the disposal of treasury stock related to its Restricted Stock Units (RSUs) plan. This decision indicates a shift in the company’s approach to managing its equity compensation strategy, potentially impacting its financial operations and stakeholder relations.

The most recent analyst rating on (JP:7201) stock is a Hold with a Yen382.00 price target. To see the full list of analyst forecasts on Nissan Motor Co stock, see the JP:7201 Stock Forecast page.

Nissan Withdraws Shelf Registration for Treasury Stock Disposal

Nissan Motor Co. has withdrawn its Shelf Registration Statement related to the disposal of treasury stock, initially announced in June 2024. This decision affects the restricted stock units granted in FY2024, with an Extraordinary Report to be submitted instead, impacting the company’s stock-based compensation strategy.

The most recent analyst rating on (JP:7201) stock is a Hold with a Yen382.00 price target. To see the full list of analyst forecasts on Nissan Motor Co stock, see the JP:7201 Stock Forecast page.