Press Kogyo Co., Ltd. (7246) AI Stock Analysis

• Market Cap: ¥53.52B
• Dividend Yield: 4.94%
• Average Volume (3M): 237.29K
• Price to Earnings (P/E): 9.3
• Beta (1Y): 0.84
• Revenue Growth: -4.01%
• EPS Growth: -23.26%
• Country: JP
• Employees: 5,602
• Sector: Consumer Cyclical
• Sector Strength: 65
• Industry: Auto - Parts
• EPS (TTM): 16.44
• Shares Outstanding: 100,000,000
• 10 Day Avg. Volume: 191,440
• 30 Day Avg. Volume: 237,290
• PEG Ratio: -0.57
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 25.64
• 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: ¥611.75
• Price Target Upside: 7.89% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 79 Outperform
• Price Target: ¥628.00 ▲(10.76%Upside)

The overall stock score for Press Kogyo Co., Ltd. reflects a strong valuation with a low P/E ratio and high dividend yield leading to an attractive investment proposition. The technical indicators support a stable outlook, although financial performance raises concerns due to declining margins and cash flow challenges.

Press Kogyo Co., Ltd. Business Overview & Revenue Model

Company Description

Press Kogyo Co., Ltd. (7246) is a Japan-based company primarily engaged in the manufacture and sale of automotive components. The company operates through several business segments, including the Automotive Parts segment, which produces frames, pressed parts, and assembled components for commercial vehicles and passenger cars. Additionally, the company is involved in the production of construction machinery parts and industrial equipment. Press Kogyo Co., Ltd. also provides logistics services and engages in related engineering and development activities, serving a diverse range of clients in the automotive and heavy machinery industries.

How the Company Makes Money

Press Kogyo Co., Ltd. generates revenue through the manufacture and sale of automotive components, with a significant portion of its income derived from its Automotive Parts segment. This includes the production of vehicle frames, pressed parts, and assembled components for both commercial vehicles and passenger cars. The company serves a wide array of automotive manufacturers, who rely on its components to build their vehicles. Additionally, Press Kogyo Co., Ltd. generates income from the sale of parts for construction machinery and industrial equipment. The company also earns revenue from providing logistics services and engaging in engineering and development projects, which support its core manufacturing operations. Key partnerships with major automotive manufacturers enhance its market position and revenue potential.

Press Kogyo Co., Ltd. Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown	TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	184.78B	197.82B	184.84B	160.06B	153.72B	205.29B
Gross Profit	24.90B	28.44B	27.71B	25.79B	17.26B	22.09B
EBITDA	18.66B	26.07B	22.93B	22.10B	14.18B	16.96B
Net Income	5.78B	8.08B	6.79B	7.11B	1.49B	3.73B
Balance Sheet
Total Assets	189.16B	191.74B	178.40B	172.62B	152.61B	154.17B
Cash, Cash Equivalents and Short-Term Investments	23.16B	28.72B	22.34B	21.57B	17.15B	22.29B
Total Debt	7.29B	7.75B	9.37B	13.94B	10.05B	10.72B
Total Liabilities	66.87B	71.30B	67.32B	69.40B	57.01B	59.55B
Stockholders Equity	109.86B	107.82B	100.27B	94.79B	88.94B	86.83B
Cash Flow
Free Cash Flow	2.28B	11.86B	9.69B	4.93B	-2.61B	9.01B
Operating Cash Flow	6.47B	27.23B	21.19B	15.39B	7.10B	18.47B
Investing Cash Flow	-4.00B	-14.13B	-9.78B	-10.48B	-9.89B	-9.70B
Financing Cash Flow	-1.20B	-7.02B	-10.84B	-594.00M	-1.99B	-5.11B

Press Kogyo Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 567.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7246, the sentiment is Positive. The current price of 567 is above the 20-day moving average (MA) of 551.75, above the 50-day MA of 544.48, and above the 200-day MA of 540.96, indicating a bullish trend. The MACD of 6.35 indicates Negative momentum. The RSI at 66.20 is Neutral, neither overbought nor oversold. The STOCH value of 90.39 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7246.

Press Kogyo Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7239	81 Outperform	¥60.33B	5.34	11.96%	5.89%	-2.58%	108.59%
4246	80 Outperform	€48.72B	7.55	7.68%	4.96%	6.00%	12.33%
7246	79 Outperform	¥53.52B	9.30	5.43%	4.94%	-4.01%	-23.26%
7231	77 Outperform	¥57.23B	8.82		5.89%	-9.99%	37.21%
7229	66 Neutral	¥38.59B	8.48		2.76%	-17.14%	-13.01%
Sector *	63 Neutral	$16.78B	10.88	-7.08%	3.04%	1.73%	-25.15%
5992	62 Neutral	¥50.36B	27.31		2.08%	9.09%	-6.77%

Press Kogyo Co., Ltd. Corporate Events

Press Kogyo Announces Disposal of Treasury Shares for Incentive Plan

Press Kogyo Co., Ltd. has announced the disposal of 103,200 treasury shares as part of a restricted share-based remuneration plan aimed at incentivizing directors and executive officers to enhance the company’s sustainable corporate value and align their interests with shareholders. This strategic move is expected to strengthen the company’s operational focus and stakeholder alignment, potentially impacting its market positioning positively.

Press Kogyo Introduces Employee Share Incentive Scheme

Press Kogyo Co., Ltd. has announced a new employee incentive scheme involving the disposal of 266,000 treasury shares to its employee shareholding association. This initiative aims to promote employee welfare and align their interests with shareholders by enabling them to acquire company shares, with an expected minimal impact on market dilution.

Press Kogyo Revises Capital Policy to Boost Shareholder Returns

Press Kogyo Co., Ltd. announced a revision of its capital policy to enhance shareholder returns and improve capital efficiency. The new policy includes maintaining a total return ratio of 60% or higher, committing to an annual dividend of 32 yen or more per share, and aiming for a credit rating of A- or higher. These changes reflect the company’s strategic focus on sustainable growth and financial stability.

Press Kogyo Reports Decline in Financial Performance for FY2025

Press Kogyo Co., Ltd. reported a decline in its financial performance for the fiscal year ending March 31, 2025, with net sales dropping by 4% and operating profit decreasing by 24.7% compared to the previous year. Despite these challenges, the company increased its annual dividend payout, reflecting a commitment to returning value to shareholders. The financial results indicate a challenging environment for the company, with implications for its market position and future strategies.