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Musashi Seimitsu Industry Co., Ltd. (JP:7220)
:7220
Japanese Market

Musashi Seimitsu Industry Co., Ltd. (7220) AI Stock Analysis

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JP:7220

Musashi Seimitsu Industry Co., Ltd.

(7220)

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Neutral 68 (OpenAI - 5.2)
Rating:68Neutral
Price Target:
¥3,153.00
▼(-0.22% Downside)
Action:ReiteratedDate:03/27/26
The score is primarily driven by solid financial performance, especially strong cash flow and improving operating profitability, partially offset by leverage risk and uneven net income. Technical indicators are mixed with negative momentum signals, and valuation is less supportive due to a negative P/E despite a modest dividend yield.
Positive Factors
Strong cash generation
Consistent operating cash flow and rising free cash flow since 2023 give the company durable internal funding for capex, program ramps, and working capital. This reduces reliance on external financing, supports reinvestment into manufacturing capacity, and bolsters resilience through vehicle cycle swings.
Negative Factors
Relatively high leverage
Elevated debt-to-equity increases interest and refinancing exposure, reducing financial flexibility for investments or program-specific tooling. In a capital-intensive supply environment, higher leverage can constrain the firm's ability to pursue large platform opportunities or absorb prolonged OEM demand weakness.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong cash generation
Consistent operating cash flow and rising free cash flow since 2023 give the company durable internal funding for capex, program ramps, and working capital. This reduces reliance on external financing, supports reinvestment into manufacturing capacity, and bolsters resilience through vehicle cycle swings.
Read all positive factors

Musashi Seimitsu Industry Co., Ltd. (7220) vs. iShares MSCI Japan ETF (EWJ)

Musashi Seimitsu Industry Co., Ltd. Business Overview & Revenue Model

Company Description
Musashi Seimitsu Industry Co., Ltd. manufactures and sells transportation equipment in Japan and internationally. The company provides parts for automobiles, such as power train, and linkage and suspension products. It also manufactures and suppli...
How the Company Makes Money
Musashi Seimitsu primarily makes money by manufacturing and selling automotive and motorcycle components to vehicle manufacturers (OEMs) and, where applicable, to tier-1 suppliers. Revenue is generated from (1) serial-production supply contracts f...

Musashi Seimitsu Industry Co., Ltd. Financial Statement Overview

Summary
Strong overall fundamentals supported by solid income statement performance (steady revenue growth and improving EBIT margin) and robust cash generation (positive operating cash flow and rising free cash flow). Balance sheet strength is moderate due to relatively high leverage, and net income has been inconsistent.
Income Statement
78
Positive
Balance Sheet
70
Positive
Cash Flow
82
Very Positive
BreakdownTTMMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue341.33B347.20B349.92B301.50B241.90B204.71B
Gross Profit52.14B52.66B50.71B35.45B32.03B29.68B
EBITDA36.19B36.64B36.35B27.28B26.32B26.51B
Net Income6.51B7.78B7.92B2.44B5.43B7.38B
Balance Sheet
Total Assets287.34B285.13B290.34B269.28B259.96B226.07B
Cash, Cash Equivalents and Short-Term Investments38.04B34.16B26.79B26.84B28.95B25.25B
Total Debt101.37B97.91B100.20B99.90B97.29B78.22B
Total Liabilities165.07B161.15B164.94B154.84B147.69B130.15B
Stockholders Equity112.85B114.76B115.78B102.73B100.59B85.14B
Cash Flow
Free Cash Flow0.0016.86B19.00B5.12B-11.01B5.74B
Operating Cash Flow0.0031.92B31.64B19.41B5.80B18.26B
Investing Cash Flow0.00-16.10B-15.99B-17.93B-20.13B-12.20B
Financing Cash Flow0.00-7.74B-17.75B-4.51B14.76B-6.89B

Musashi Seimitsu Industry Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3160.00
Price Trends
50DMA
2727.25
Positive
100DMA
2743.92
Positive
200DMA
2988.72
Positive
Market Momentum
MACD
69.89
Negative
RSI
60.93
Neutral
STOCH
91.15
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7220, the sentiment is Positive. The current price of 3160 is above the 20-day moving average (MA) of 2796.18, above the 50-day MA of 2727.25, and above the 200-day MA of 2988.72, indicating a bullish trend. The MACD of 69.89 indicates Negative momentum. The RSI at 60.93 is Neutral, neither overbought nor oversold. The STOCH value of 91.15 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7220.

Musashi Seimitsu Industry Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
75
Outperform
¥499.02B7.768.58%2.62%1.44%-0.92%
69
Neutral
¥204.14B10.657.50%5.39%-2.26%
68
Neutral
¥207.16B-8.321.93%-3.23%24.93%
68
Neutral
¥572.67B28.263.52%1.43%83.34%
63
Neutral
¥561.86B15.033.35%3.18%0.44%-11.36%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
54
Neutral
¥1.69T14.238.34%2.03%4.33%524.86%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:7220
Musashi Seimitsu Industry Co., Ltd.
3,160.00
1,076.28
51.65%
JP:7259
Aisin Seiki Co
2,248.50
854.62
61.31%
JP:6473
JTEKT
1,765.00
853.48
93.63%
JP:7282
Toyoda Gosei Co
4,264.00
1,949.09
84.20%
JP:7278
Exedy Corporation
5,590.00
1,771.75
46.40%
JP:6471
NSK Ltd.
1,171.50
608.30
108.01%

Musashi Seimitsu Industry Co., Ltd. Corporate Events

Musashi Seimitsu Slashes Profit and Dividend Forecasts on Energy Expansion and Europe Restructuring Costs
Feb 6, 2026
Musashi Seimitsu Industry sharply downgraded its full-year profit outlook for the fiscal year ending March 31, 2026, while keeping net sales unchanged at ¥330 billion, citing higher upfront costs for launching its Energy Solution business and...
Musashi Seimitsu Reshapes Executive Ranks to Bolster Energy and e-Mobility Push
Feb 6, 2026
Musashi Seimitsu Industry announced a wide-ranging set of personnel changes effective April 1, 2026, highlighted by the promotion of Haruhisa Otsuka to Executive Vice President and Chief Energy Solution Business Officer, underscoring the company&#...
Musashi Seimitsu Lifts Operating Profit but Cuts Full-Year Outlook and Dividend
Feb 6, 2026
For the nine months ended 31 December 2025, Musashi Seimitsu reported a slight 1.4% year-on-year decline in net sales to ¥252.99 billion but improved profitability, with operating profit up 5.1% to ¥12.67 billion and ordinary profit up 1...
Musashi Seimitsu to Shut German Bases and Book ¥7.1 Billion Reform Charge in Europe Overhaul
Feb 6, 2026
Musashi Seimitsu Industry Co., Ltd. has approved a sweeping restructuring of its European operations to shore up profitability and reinforce its business foundation in the region, centered on its German subsidiary Musashi Europe GmbH. The plan inc...
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.Date of analysis: Mar 27, 2026