Kyokuto Kaihatsu Kogyo Co., Ltd. (JP:7226)
:7226
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Kyokuto Kaihatsu Kogyo Co., Ltd.
(7226)
Select Model
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Rating:67Neutral
Price Target:
¥3,211.00
▲(2.59% Upside)
Action:ReiteratedDate:01/16/26
The score is driven primarily by solid financial stability and good top-line growth, supported by strong technical momentum. These positives are tempered by weak free cash flow and an expensive valuation (very high P/E), despite an attractive dividend yield.
Positive Factors
Strong balance sheet
A high equity ratio and low leverage provide durable financial resilience, enabling the company to fund seasonal working capital swings, absorb demand downturns, and undertake targeted capex without urgent refinancing. This stability supports long-term operational continuity and strategic investments.
Negative Factors
Negative free cash flow
Sustained negative free cash flow driven by heavy capex reduces internal liquidity and increases reliance on financing or equity issuance to fund growth. Over months this can constrain dividends, strategic investments, or service network expansion unless operating cash conversion improves or capex normalizes.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong balance sheet
A high equity ratio and low leverage provide durable financial resilience, enabling the company to fund seasonal working capital swings, absorb demand downturns, and undertake targeted capex without urgent refinancing. This stability supports long-term operational continuity and strategic investments.
Read all positive factors
Kyokuto Kaihatsu Kogyo Co., Ltd. (7226) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥110.87B
Dividend Yield5.07%
Average Volume (3M)134.11K
Price to Earnings (P/E)13.8
Beta (1Y)0.79
Revenue Growth13.71%
EPS Growth-77.02%
CountryJP
Employees3,237
SectorIndustrials
Sector Strength72
IndustryAgricultural - Machinery
Share Statistics
EPS (TTM)56.93
Shares Outstanding40,150,000
10 Day Avg. Volume110,030
30 Day Avg. Volume134,110
Financial Highlights & Ratios
PEG Ratio0.24
Price to Book (P/B)0.78
Price to Sales (P/S)0.65
P/FCF Ratio-34.32
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)230.7
Revenue Forecast (FY)¥183.00B
Kyokuto Kaihatsu Kogyo Co., Ltd. Business Overview & Revenue Model
Company Description
Kyokuto Kaihatsu Kogyo Co.,Ltd. manufactures and sells special purpose vehicles, environmental equipment and systems, and car parking systems in Japan. It operates through Specialty Truck, Environmental Equipment and Systems, and Real Estate Renta...
How the Company Makes Money
Kyokuto Kaihatsu Kogyo primarily makes money by selling specialized vehicle bodies and purpose-built trucks to commercial and public-sector customers. Its core revenue stream is manufacturing and sales of truck-mounted equipment (e.g., dump bodies...
Kyokuto Kaihatsu Kogyo Co., Ltd. Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
80
Positive
Cash Flow
65
Positive
| Breakdown | TTM | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 145.28B | 140.45B | 128.03B | 113.09B | 116.91B | 117.17B |
| Gross Profit | 25.63B | 24.75B | 20.70B | 16.01B | 21.17B | 23.16B |
| EBITDA | 5.77B | 13.22B | 8.56B | 8.27B | 23.71B | 12.02B |
| Net Income | 17.00M | 5.82B | 3.50B | 3.58B | 14.27B | 6.77B |
Balance Sheet | ||||||
| Total Assets | 180.43B | 187.75B | 170.42B | 158.16B | 154.35B | 142.74B |
| Cash, Cash Equivalents and Short-Term Investments | 16.89B | 20.29B | 19.44B | 33.63B | 37.31B | 21.90B |
| Total Debt | 29.88B | 30.18B | 11.94B | 11.17B | 1.33B | 1.16B |
| Total Liabilities | 72.10B | 70.47B | 52.72B | 46.19B | 41.34B | 42.15B |
| Stockholders Equity | 107.24B | 116.11B | 117.04B | 111.54B | 112.69B | 100.28B |
Cash Flow | ||||||
| Free Cash Flow | 0.00 | -2.65B | -12.66B | -14.84B | 1.23B | 4.91B |
| Operating Cash Flow | 0.00 | 5.22B | -1.84B | -3.42B | 6.87B | 8.26B |
| Investing Cash Flow | 0.00 | -15.07B | -9.41B | -6.82B | 10.66B | -4.30B |
| Financing Cash Flow | 0.00 | 10.79B | -1.56B | 5.12B | -1.55B | -2.77B |
Kyokuto Kaihatsu Kogyo Co., Ltd. Technical Analysis
Neutral
3130.00
Price Trends
3163.62
Negative
3044.12
Negative
2805.49
Positive
Market Momentum
-63.74
Negative
45.69
Neutral
55.17
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7226, the sentiment is Neutral. The current price of 3130 is above the 20-day moving average (MA) of 2978.82, below the 50-day MA of 3163.62, and above the 200-day MA of 2805.49, indicating a neutral trend. The MACD of -63.74 indicates Negative momentum. The RSI at 45.69 is Neutral, neither overbought nor oversold. The STOCH value of 55.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7226.
Kyokuto Kaihatsu Kogyo Co., Ltd. Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | ¥310.44B | 12.67 | ― | 2.99% | 0.31% | -11.04% | |
70 Outperform | ¥176.85B | 6.43 | 9.45% | 2.86% | 10.49% | -5.19% | |
70 Outperform | ¥86.06B | 15.03 | ― | 4.79% | 1.68% | 18.85% | |
67 Neutral | ¥110.87B | 13.75 | ― | 5.07% | 13.71% | -77.02% | |
67 Neutral | ¥1.16T | 13.34 | 9.16% | 3.98% | -2.72% | 29.43% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
51 Neutral | ¥16.76B | 0.51 | ― | 5.40% | -2.22% | 18.80% |
* Industrials Sector Average
JP:7226
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Kyokuto Kaihatsu Kogyo Co., Ltd. Corporate Events
Kyokuto Kaihatsu Kogyo Completes Merger of Parking Subsidiary
Apr 1, 2026
Kyokuto Kaihatsu Kogyo Co., Ltd. has completed an absorption-type merger of its consolidated subsidiary, Kyokuto Kaihatsu Parking Co., Ltd., as planned. The move simplifies the group structure by integrating the parking business directly into the ...
Kyokuto Kaihatsu Kogyo Challenges Antitrust Surcharge While Tightening Compliance
Mar 17, 2026
Kyokuto Kaihatsu Kogyo and its subsidiary Nippon Trex have filed a lawsuit seeking to overturn part of a surcharge payment order imposed by the Japan Fair Trade Commission over antitrust violations related to the sale of vehicle upper bodies. The ...
Kyokuto Kaihatsu Kogyo to Adopt Audit and Supervisory Committee Structure for Faster, More Transparent Governance
Feb 26, 2026
Kyokuto Kaihatsu Kogyo has resolved to change its governance structure from a company with a board of corporate auditors to a company with an audit and supervisory committee, pending shareholder approval at its June 2026 ordinary general meeting. ...
Kyokuto Kaihatsu Kogyo Lifts Sales and Operating Profit but Bottom Line Slumps
Feb 10, 2026
Kyokuto Kaihatsu Kogyo reported consolidated net sales of ¥112.68 billion for the nine months ended December 31, 2025, up 16.6% year on year, with operating profit rising 48.4% to ¥5.63 billion and ordinary profit climbing 48.0% to ¥...
Kyokuto Kaihatsu Kogyo Adjusts Treasury Share Disposal for Employee Stock Plan After Partial Forfeiture
Feb 2, 2026
Kyokuto Kaihatsu Kogyo has completed the payment procedures for a disposal of treasury shares under a restricted stock incentive plan for its employee shareholding association, originally approved by the board in November 2025. Due to partial forf...
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.