KYB Corporation (7242) AI Stock Analysis

• Market Cap: €180.19B
• Dividend Yield: 2.92%
• Average Volume (3M): 133.94K
• Price to Earnings (P/E): 7.5
• Beta (1Y): 0.75
• Revenue Growth: -0.17%
• EPS Growth: 72.81%
• Country: JP
• Employees: 13,634
• Sector: Consumer Cyclical
• Sector Strength: 73
• Industry: Auto - Parts
• EPS (TTM): 257.22
• Shares Outstanding: 50,468,662
• 10 Day Avg. Volume: 160,610
• 30 Day Avg. Volume: 133,936
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: €3,663.45
• Price Target Upside: 2.05% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 78 Outperform
• Price Target: ¥3,664.00 ▲(2.06% Upside)

KYB Corporation's stock is buoyed by strong financial performance and attractive valuation metrics. The technical analysis suggests bullish momentum, though caution is advised due to potential overbought conditions. The absence of earnings call details and corporate events does not detract from the positive outlook.

KYB Corporation Business Overview & Revenue Model

Company Description

KYB Corporation, listed on the Tokyo Stock Exchange under the code 7242, is a Japanese company specializing in the production and distribution of hydraulic equipment and systems. Founded in 1919, the company operates in sectors such as automotive components, industrial machinery, and electronics. Its core products include shock absorbers, hydraulic equipment, and various components for motorcycles, construction equipment, and aircraft.

How the Company Makes Money

KYB Corporation generates revenue primarily through the manufacturing and sale of its diverse range of products, which cater to the automotive, industrial, and aerospace sectors. The company's key revenue streams include the sale of shock absorbers and suspension systems for passenger vehicles and motorcycles, hydraulic equipment for construction and industrial machinery, and components for aircraft systems. KYB Corporation also leverages strategic partnerships and collaborations with major automotive manufacturers to secure long-term contracts and maintain a steady flow of income. Additionally, its global distribution network enhances its market reach and contributes significantly to its earnings.

KYB Corporation Financial Statement Overview

Summary

KYB Corporation demonstrates a strong financial profile with consistent income statement performance, a solid equity base on the balance sheet despite high liabilities, and robust cash flow generation, enhancing financial flexibility.

Income Statement

KYB Corporation has shown a consistent improvement in its income statement metrics over the years. The gross profit margin has remained stable, with a slight decrease in the recent year, highlighting efficiency in cost management. The net profit margin has seen improvement, reflecting a stronger bottom line. Revenue growth, however, has been moderate, indicating room for expansion. The EBIT and EBITDA margins are healthy, demonstrating effective operational management.

Balance Sheet

The balance sheet of KYB Corporation indicates a strong equity position with a steady increase in stockholders' equity. The debt-to-equity ratio has improved over the years, showing effective leverage management. However, the total liabilities remain significant, which could pose risks if not managed carefully. The equity ratio signifies a solid financial foundation, though potential risks from high liabilities exist.

Cash Flow

The cash flow metrics for KYB Corporation reflect a positive trajectory. The operating cash flow has increased, and the free cash flow has seen substantial growth, indicating strong cash generation capabilities. The operating cash flow to net income ratio is robust, demonstrating effective conversion of income to cash. The company has successfully improved its free cash flow position, enhancing its financial flexibility.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	438.32B	442.78B	431.20B	388.36B	328.04B
Gross Profit	82.64B	81.28B	85.25B	78.76B	60.31B
EBITDA	40.59B	40.95B	50.88B	48.52B	37.75B
Net Income	14.90B	15.82B	27.21B	22.55B	17.09B
Balance Sheet
Total Assets	463.11B	476.53B	446.84B	434.19B	426.63B
Cash, Cash Equivalents and Short-Term Investments	47.43B	46.64B	47.75B	54.87B	69.81B
Total Debt	98.97B	101.14B	84.54B	90.86B	124.85B
Total Liabilities	228.09B	250.12B	255.80B	273.27B	309.91B
Stockholders Equity	225.54B	217.19B	182.83B	153.41B	110.68B
Cash Flow
Free Cash Flow	26.80B	15.25B	12.29B	14.95B	9.58B
Operating Cash Flow	43.85B	39.86B	23.91B	24.25B	20.83B
Investing Cash Flow	-34.13B	-23.50B	-13.52B	-10.87B	-6.28B
Financing Cash Flow	-9.10B	-15.03B	-20.18B	-32.71B	1.15B

KYB Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3590.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7242, the sentiment is Positive. The current price of 3590 is above the 20-day moving average (MA) of 3320.50, above the 50-day MA of 3146.82, and above the 200-day MA of 2858.08, indicating a bullish trend. The MACD of 120.37 indicates Negative momentum. The RSI at 82.98 is Negative, neither overbought nor oversold. The STOCH value of 92.34 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7242.

KYB Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7283	80 Outperform	¥120.30B	10.17		3.58%	1.71%	-11.98%
7242	78 Outperform	€180.19B	7.46	10.75%	2.92%	-0.17%	72.81%
6995	77 Outperform	¥220.66B	8.53		3.70%	-1.35%	21.33%
5191	77 Outperform	¥208.38B	7.64		2.69%	0.49%	27.98%
7220	70 Outperform	¥205.20B	31.51		1.56%	-4.23%	-28.48%
7313	67 Neutral	¥218.71B	32.86		4.53%	-2.24%	-43.32%
Sector *	61 Neutral	$17.23B	11.50	-5.97%	3.09%	1.49%	-16.00%