Mazda Motor (7261) AI Stock Analysis

• Market Cap: $665.77B
• Dividend Yield: 4.92%
• Average Volume (3M): 6.42M
• Price to Earnings (P/E): 30.1
• Beta (1Y): 1.39
• Revenue Growth: -0.83%
• EPS Growth: -75.20%
• Country: JP
• Employees: 48,783
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Manufacturers
• EPS (TTM): N/A
• Shares Outstanding: 631,803,960
• 10 Day Avg. Volume: 4,646,540
• 30 Day Avg. Volume: 6,424,370
• PEG Ratio: -0.12
• Price to Book (P/B): 0.33
• Price to Sales (P/S): 0.12
• P/FCF Ratio: 2.94
• Enterprise Value/Market Cap: 0.40
• Enterprise Value/Revenue: 0.05
• Enterprise Value/Gross Profit: 0.27
• Enterprise Value/Ebitda: 1.53
• 1Y Price Target: $1,028.93
• Price Target Upside: -8.38% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: ¥1,203.00 ▲(7.12% Upside)

Mazda Motor's overall stock score reflects a challenging financial performance with declining revenue and profitability margins, which weigh heavily on the score. The technical analysis provides some optimism with a positive trend, but the high P/E ratio suggests overvaluation concerns. The attractive dividend yield offers some relief, but liquidity issues remain a significant risk.

Mazda Motor Business Overview & Revenue Model

Company Description

Mazda Motor Corporation is a Japanese automotive manufacturer headquartered in Hiroshima, Japan. Established in 1920, the company primarily operates in the automotive sector, designing, manufacturing, and selling a range of vehicles, including sedans, SUVs, and sports cars. Mazda is well-known for its innovative technologies, particularly its SKYACTIV technology, which enhances fuel efficiency and performance. The company also emphasizes the development of electric and hybrid vehicles as part of its commitment to sustainability and reducing environmental impact.

How the Company Makes Money

Mazda generates revenue primarily through the sale of vehicles, which include passenger cars and commercial vehicles. The company operates a revenue model that relies on direct sales to consumers, dealerships, and fleet sales. Key revenue streams include new vehicle sales, financing and leasing services, and parts and accessories sales. Mazda also collaborates with other automotive manufacturers and engages in joint ventures, which can enhance its market reach and share development costs. Additionally, the company benefits from licensing its technologies and intellectual property, further contributing to its overall earnings.

Mazda Motor Financial Statement Overview

Summary

Mazda Motor faces a challenging financial landscape with declining revenue growth and profitability margins. While the balance sheet shows moderate leverage, the cash flow statement indicates significant liquidity concerns. The company needs to address operational inefficiencies and improve cash flow management to enhance financial stability and shareholder value.

Income Statement

Mazda Motor's income statement shows a mixed performance. The TTM data indicates a decline in revenue growth at -2.11%, which is concerning. However, the company maintains a stable gross profit margin of around 20.14% in TTM, though it has decreased from previous years. The net profit margin has significantly dropped to 0.45% in TTM from 2.27% in the previous annual report, indicating reduced profitability. EBIT and EBITDA margins have also decreased, reflecting challenges in operational efficiency.

Balance Sheet

Mazda's balance sheet reflects moderate financial stability. The debt-to-equity ratio in TTM is 0.42, showing a manageable level of leverage, though it has increased slightly from the previous year. The return on equity has decreased to 1.26% in TTM, indicating lower profitability for shareholders. The equity ratio remains stable, suggesting a balanced capital structure.

Cash Flow

The cash flow statement reveals significant challenges. The free cash flow growth rate has plummeted by 88.68% in TTM, indicating potential liquidity issues. The operating cash flow to net income ratio is low at 0.10, suggesting that operating cash flows are not sufficiently covering net income. The free cash flow to net income ratio is also low at 0.17, highlighting potential cash flow constraints.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.91T	5.02T	3.83T	4.83T	3.12T	2.88T
Gross Profit	989.37B	1.08T	801.52B	1.04T	687.70B	613.64B
EBITDA	175.22B	283.42B	247.92B	419.51B	194.51B	98.58B
Net Income	22.16B	114.08B	142.81B	207.70B	81.56B	-31.65B
Balance Sheet
Total Assets	3.92T	4.09T	3.26T	3.79T	2.97T	2.92T
Cash, Cash Equivalents and Short-Term Investments	1.01T	1.21T	717.10B	922.56B	740.39B	739.00B
Total Debt	716.59B	723.00B	624.10B	575.79B	677.46B	755.93B
Total Liabilities	2.18T	2.28T	1.80T	2.03T	1.65T	1.72T
Stockholders Equity	1.72T	1.79T	1.44T	1.74T	1.30T	1.18T
Cash Flow
Free Cash Flow	22.86B	202.04B	38.30B	303.65B	49.80B	34.02B
Operating Cash Flow	138.36B	305.63B	137.42B	418.89B	189.16B	120.06B
Investing Cash Flow	-135.47B	-199.96B	-99.43B	-179.89B	-136.24B	-78.86B
Financing Cash Flow	77.71B	90.07B	-89.86B	-84.70B	-86.41B	99.35B

Mazda Motor Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1123.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7261, the sentiment is Positive. The current price of 1123 is above the 20-day moving average (MA) of 1093.82, above the 50-day MA of 1090.26, and above the 200-day MA of 953.37, indicating a bullish trend. The MACD of 5.16 indicates Negative momentum. The RSI at 54.88 is Neutral, neither overbought nor oversold. The STOCH value of 72.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7261.

Mazda Motor Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7270	80 Outperform	$2.51T	9.47	9.73%	3.75%	1.04%	-31.52%
7202	77 Outperform	$1.68T	12.38	―	3.97%	-5.66%	-28.73%
7261	65 Neutral	$665.77B	30.06	1.72%	4.92%	-0.83%	-75.20%
7211	64 Neutral	$542.68B	43.66	-0.65%	3.36%	-0.87%	-105.50%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
7272	60 Neutral	$1.06T	22.47	1.38%	4.52%	-1.83%	-89.60%
7201	46 Neutral	$1.23T	-1.51	-16.69%	―	-3.01%	-755.71%

Mazda Motor Corporate Events

Mazda Motor Corp Reports Challenging First Half

Mazda Motor Corporation is a renowned Japanese automaker known for its innovative vehicle designs and advanced engineering, operating primarily in the automotive industry. In its latest earnings report for the first half of the fiscal year ending March 31, 2026, Mazda reported a challenging financial performance with a notable decline in key metrics. The company experienced a 6.5% decrease in net sales, amounting to ¥2,238.5 billion, and reported an operating loss of ¥53.9 billion compared to an operating income of ¥103.0 billion in the same period last year. The net loss attributable to owners of the parent was ¥45.3 billion, a significant downturn from the previous year’s net income of ¥35.3 billion. This performance was influenced by factors such as tariff impacts, changes in volume and mix, and unfavorable exchange rates. Despite the challenging financial results, Mazda’s management remains focused on strategic initiatives and cost improvements. The company has revised its full-year forecast, projecting net sales of ¥4,900 billion and a net income of ¥20 billion. Looking ahead, Mazda aims to navigate the current economic environment while continuing to innovate and strengthen its market position.

Mazda Announces Interim Dividends and Revises Year-End Forecast

Mazda Motor Corporation announced interim dividends from surplus with a record date of September 30, 2025, and revised its year-end dividend forecast to 30 yen per share, maintaining a full-year forecast of 55 yen per share. This decision reflects the company’s commitment to stable shareholder returns and is based on the current fiscal year’s business performance and financial condition.

The most recent analyst rating on (JP:7261) stock is a Sell with a Yen700.00 price target. To see the full list of analyst forecasts on Mazda Motor stock, see the JP:7261 Stock Forecast page.

Mazda Reports Decline in First Half FY2026 Financial Results

Mazda Motor Corporation reported a decline in its financial performance for the first half of fiscal year 2026, with net sales decreasing by 6.5% compared to the previous year. The company has revised its financial forecast, indicating a challenging market environment and potential implications for stakeholders.

The most recent analyst rating on (JP:7261) stock is a Sell with a Yen700.00 price target. To see the full list of analyst forecasts on Mazda Motor stock, see the JP:7261 Stock Forecast page.