F-Tech Inc. (7212) AI Stock Analysis

• Market Cap: ¥14.78B
• Dividend Yield: 2.47%
• Average Volume (3M): 71.21K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.27
• Revenue Growth: -2.19%
• EPS Growth: -601.89%
• Country: JP
• Employees: 7,787
• Sector: Consumer Cyclical
• Sector Strength: 81
• Industry: Auto - Parts
• EPS (TTM): N/A
• Shares Outstanding: 18,712,244
• 10 Day Avg. Volume: 68,860
• 30 Day Avg. Volume: 71,206
• 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: ¥737.00
• Price Target Upside: -7.30% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 58 Neutral
• Price Target: ¥737.00 ▼(-7.30% Downside)

The most significant factor impacting the score is the mixed financial performance, with strong operational efficiency improvements but offset by profitability issues. The strong technical analysis supports a positive outlook, though high leverage and valuation concerns due to negative earnings weigh negatively on the overall score.

F-Tech Inc. Business Overview & Revenue Model

Company Description

F-Tech Inc. (7212) is a specialized company operating within the automotive sector, primarily focusing on the design, development, and manufacture of automotive parts and systems. The company's core products include suspension systems, engine components, and other essential parts that enhance vehicle performance and safety. F-Tech Inc. is dedicated to innovation and quality, striving to meet the evolving needs of the global automotive industry.

How the Company Makes Money

F-Tech Inc. generates revenue through the sale of its automotive parts and systems to major automobile manufacturers worldwide. The company's key revenue streams include contracts and partnerships with various car manufacturers who integrate F-Tech's products into their vehicles. Additionally, F-Tech may earn income from aftermarket sales, providing replacement parts and components for vehicles already in use. Strategic partnerships and collaborations with other automotive technology firms can also contribute to its earnings by expanding its market reach and technological capabilities.

F-Tech Inc. Financial Statement Overview

Summary

F-Tech Inc. exhibits a mixed financial performance. Revenue growth and operational efficiency have shown improvement, but the significant net loss in the latest period is concerning. The balance sheet is stable, though rising leverage poses a risk. Cash flow generation remains strong, though declining free cash flow trends require attention.

Income Statement

The income statement shows a mixed performance. While the gross profit margin is stable at around 8.4%, the net profit margin has deteriorated significantly, turning negative in 2025 due to a substantial net loss. Revenue growth is positive over the years, showing a steady increase, but profitability issues, particularly in the latest period, are concerning. The EBIT and EBITDA margins improved in the most recent year, indicating better operational efficiency, but the net income loss overshadows this improvement.

Balance Sheet

The balance sheet reflects a stable equity base, with stockholders' equity consistently growing over time. The debt-to-equity ratio has increased, indicating higher leverage, which poses a risk if the company cannot manage its debt obligations. The equity ratio remains stable, suggesting a balanced capital structure. However, the increasing debt levels could become a concern if not matched by growth in earnings.

Cash Flow

Cash flows are generally positive, with the company generating healthy operating cash flows. The free cash flow, although positive, shows a declining trend due to increased capital expenditures and lower net income. The ability to convert operating cash flow into free cash flow is a positive sign, but the declining trend needs monitoring. The operating cash flow to net income ratio is strong, indicating effective cash generation despite net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	300.83B	300.83B	298.76B	261.16B	191.89B	183.65B
Gross Profit	25.33B	25.33B	22.32B	18.74B	15.60B	17.03B
EBITDA	20.73B	11.90B	20.48B	18.17B	12.72B	12.16B
Net Income	-6.92B	-6.92B	1.68B	1.73B	209.00M	-1.17B
Balance Sheet
Total Assets	177.56B	177.56B	191.77B	176.14B	160.93B	136.71B
Cash, Cash Equivalents and Short-Term Investments	14.36B	14.36B	12.20B	5.49B	1.98B	3.71B
Total Debt	72.59B	72.59B	76.24B	74.15B	65.00B	49.60B
Total Liabilities	113.31B	113.31B	120.03B	111.38B	100.35B	81.68B
Stockholders Equity	51.51B	51.51B	55.83B	50.04B	45.10B	40.30B
Cash Flow
Free Cash Flow	0.00	6.71B	10.60B	1.75B	-14.15B	-342.00M
Operating Cash Flow	0.00	14.76B	19.47B	17.43B	1.79B	9.96B
Investing Cash Flow	0.00	-7.87B	-8.90B	-16.34B	-15.64B	-10.73B
Financing Cash Flow	0.00	-5.73B	-4.26B	2.34B	11.57B	-4.36B

F-Tech Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 795.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7212, the sentiment is Positive. The current price of 795 is above the 20-day moving average (MA) of 779.20, above the 50-day MA of 727.14, and above the 200-day MA of 590.87, indicating a bullish trend. The MACD of 17.57 indicates Positive momentum. The RSI at 65.91 is Neutral, neither overbought nor oversold. The STOCH value of 62.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7212.

F-Tech Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7218	78 Outperform	¥10.45B	6.08		2.88%	-7.85%	-34.41%
7247	74 Outperform	¥12.82B	5.11		3.66%	0.85%	94.79%
7299	74 Outperform	¥16.56B	8.57		3.23%	9.67%	9.29%
Sector *	61 Neutral	$17.92B	12.81	-0.76%	2.98%	1.30%	-14.28%
7212	58 Neutral	¥14.78B	―		2.47%	-2.19%	-601.89%
7277	56 Neutral	¥10.10B	―		2.40%	-3.20%	-454.63%
7266	55 Neutral	¥16.73B	7.96		2.58%	-7.01%	-108.77%

F-Tech Inc. Corporate Events

F-Tech Inc. Reports Better-Than-Expected Fiscal Year Earnings

F-Tech Inc. announced a discrepancy between its forecasted and actual consolidated earnings for the fiscal year ending March 31, 2025. The actual results showed a slight increase in sales and significant improvements in operating and ordinary profits compared to the forecast. This positive variance is attributed to the company’s efforts to reduce personnel and expenses while ramping up production of new model components, which enhanced overall profitability.