GMB Corporation (7214) AI Stock Analysis

• Market Cap: ¥4.59B
• Dividend Yield: 4.62%
• Average Volume (3M): 10.15K
• Price to Earnings (P/E): 7.7
• Beta (1Y): 0.76
• Revenue Growth: 7.71%
• EPS Growth: 44.35%
• Country: JP
• Employees: 2,543
• Sector: Consumer Cyclical
• Sector Strength: 71
• Industry: Auto - Parts
• EPS (TTM): 30.00
• Shares Outstanding: 5,309,991
• 10 Day Avg. Volume: 7,150
• 30 Day Avg. Volume: 10,150
• PEG Ratio: <0.01
• Price to Book (P/B): 0.19
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.95
• 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: ¥891.00
• Price Target Upside: 8.39% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 78 Outperform
• Price Target: ¥986.00 ▲(19.95%Upside)

The stock is supported by strong technical indicators and attractive valuation metrics, suggesting potential upside. Financial performance is stable with good operational efficiency, though profitability remains an area for improvement. The absence of notable recent corporate events or earnings call data limits the impact of external factors on the score.

GMB Corporation Business Overview & Revenue Model

Company Description

GMB Corporation (7214) is a Japan-based company primarily engaged in the manufacturing and sale of automotive parts and components. The company operates in various sectors, including the production of water pumps, timing components, bearings, and universal joints. With a focus on quality and innovation, GMB Corporation serves a global market, catering to both original equipment manufacturers (OEMs) and the aftermarket segments.

How the Company Makes Money

GMB Corporation generates revenue through the production and sale of automotive parts and components. The company's key revenue streams include the OEM sector, where it supplies parts directly to automobile manufacturers, and the aftermarket sector, where it provides replacement parts to distributors and retailers. GMB maintains significant partnerships with major automotive companies, which helps ensure a steady demand for its products. Additionally, the company invests in research and development to enhance product quality and expand its product lines, which contributes to its earnings by attracting new clients and maintaining existing relationships.

GMB Corporation Financial Statement Overview

Summary

GMB Corporation exhibits robust revenue growth and improved operational efficiency. However, while leverage remains moderate, the company's profitability metrics such as net profit margin and ROE are low, indicating areas for improvement. The cash flow position is strengthening, with positive trends in free cash flow generation.

Income Statement

The company has demonstrated solid revenue growth with a notable increase of 7.7% from 2024 to 2025. The gross profit margin improved to 17.5% in 2025, reflecting efficient cost management. The net profit margin is modest at 0.57%, suggesting limited profitability. The EBIT margin improved slightly to 1.87%, and the EBITDA margin is healthy at 6.69%, indicating good operational efficiency.

Balance Sheet

The company maintains a reasonable debt-to-equity ratio of 1.39, reflecting moderate leverage. However, the return on equity is low at 2.56%, indicating limited profitability relative to shareholder investments. The equity ratio stands at 26.1%, showing a balanced capital structure with stable equity levels.

Cash Flow

The company shows a substantial free cash flow growth rate from negative to positive, indicating improved cash generation. The operating cash flow to net income ratio of 11.54 suggests strong cash conversion efficiency. However, the free cash flow to net income ratio is 1.07, indicating limited free cash flow relative to net income.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	103.71B	96.29B	87.17B	71.41B	57.41B
Gross Profit	18.11B	16.67B	14.26B	11.80B	9.41B
EBITDA	6.94B	6.21B	7.34B	5.76B	3.08B
Net Income	592.37M	408.99M	1.21B	660.23M	-315.16M
Balance Sheet
Total Assets	88.55B	85.11B	79.24B	70.42B	63.61B
Cash, Cash Equivalents and Short-Term Investments	6.15B	4.79B	7.01B	5.92B	7.38B
Total Debt	32.06B	30.19B	27.88B	25.05B	22.12B
Total Liabilities	54.57B	51.83B	47.24B	40.64B	36.02B
Stockholders Equity	23.11B	22.85B	22.07B	21.15B	19.99B
Cash Flow
Free Cash Flow	631.94M	-2.77B	-122.73M	-4.59B	161.88M
Operating Cash Flow	6.83B	2.15B	3.42B	-958.82M	2.78B
Investing Cash Flow	-6.01B	-4.91B	-3.15B	-2.47B	-1.86B
Financing Cash Flow	518.41M	379.69M	635.56M	1.81B	194.86M

GMB Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 822.00
• 50DMA: Positive
• 100DMA: Negative
• 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:7214, the sentiment is Negative. The current price of 822 is below the 20-day moving average (MA) of 825.55, above the 50-day MA of 821.14, and below the 200-day MA of 942.62, indicating a neutral trend. The MACD of 3.49 indicates Positive momentum. The RSI at 48.00 is Neutral, neither overbought nor oversold. The STOCH value of 29.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7214.

GMB Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7208	81 Outperform	¥4.38B	8.10		3.50%	0.23%	-14.50%
7214	78 Outperform	¥4.59B	7.75		4.62%	7.71%	44.35%
7217	74 Outperform	¥3.74B	15.81		4.49%	9.25%	-45.39%
6699	68 Neutral	¥4.94B	12.13		4.20%	-1.72%	―
7284	66 Neutral	¥4.23B	9.35		4.13%	3.82%	―
Sector *	63 Neutral	$17.32B	10.90	-7.25%	3.10%	1.66%	-25.40%
7256	39 Underperform	¥4.80B	―		―	33.86%	69.12%