Eiken Industries Co., Ltd (7265) AI Stock Analysis

• Market Cap: ¥3.50B
• Dividend Yield: 3.22%
• Average Volume (3M): 8.00K
• Price to Earnings (P/E): 19.1
• Beta (1Y): 0.28
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: JP
• Employees: 189
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): 47.27
• Shares Outstanding: 1,240,000
• 10 Day Avg. Volume: 5,380
• 30 Day Avg. Volume: 8,003
• PEG Ratio: 0.21
• Price to Book (P/B): 0.55
• Price to Sales (P/S): 0.41
• P/FCF Ratio: 6.54
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: ¥3,728.00 ▲(5.76% Upside)
• Action: Reiterated Date: 12/11/25
• Date: Action: Reiterated 12/11/25

Eiken Industries' overall stock score is driven by its strong financial performance and attractive valuation. However, technical indicators suggest bearish market momentum, which tempers the overall score. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a robust demand for Eiken's diagnostic products, enhancing its market position and supporting long-term business expansion.

Balance Sheet Health

A strong balance sheet with low leverage provides financial stability, allowing Eiken to invest in growth opportunities and weather economic fluctuations.

Cash Generation Ability

Efficient cash generation supports operational needs and strategic initiatives, ensuring Eiken can sustain its growth and innovation efforts.

Negative Factors

Operational Efficiency

Declining operational efficiency may hinder profitability improvements, suggesting a need for better cost management and process optimization.

Cash Flow Management

Inconsistent cash flow management could impact Eiken's ability to fund operations and growth initiatives, necessitating more stable cash flow practices.

Profit Margin Pressure

Margin pressure from declining EBIT and EBITDA margins may affect overall profitability, requiring strategic adjustments to maintain financial health.

Eiken Industries Co., Ltd Business Overview & Revenue Model

Company Description

Eiken Industries Co.,Ltd. manufactures and sells filters for internal combustion engines and special filters for industrial use primarily in Japan. It offers oil filter, air filter, fuel filter, air conditioner filter, and cabin filter. In addition, it provides kitchen equipment part; bunsen, infrared, ceramic, and blast burner; and press molds, jigs, and press parts. The company was formerly known as Ehken Kogyo Corporation and changed its name to Eiken Industries Co.,Ltd. in July 1972. Eiken Industries Co.,Ltd. was founded in 1967 and is headquartered in Omaezaki, Japan.

How the Company Makes Money

Eiken Industries generates revenue primarily through the sale of its diagnostic products, including immunoassay kits, reagents, and laboratory testing equipment. The company’s revenue model is based on both direct sales to healthcare facilities and partnerships with distributors and hospitals. Key revenue streams include the sale of diagnostic testing solutions for infectious diseases, cancer markers, and other health conditions. Significant partnerships with healthcare organizations and collaborations in research and development further enhance its market reach and contribute to its earnings.

Eiken Industries Co., Ltd Financial Statement Overview

Summary

Eiken Industries demonstrates strong revenue growth and improving profitability, supported by a solid balance sheet with low leverage. However, there is room for improvement in operational efficiency and consistency in cash flow management.

Income Statement

Eiken Industries has shown consistent revenue growth over the past few years, with a notable increase in gross profit margin from 12.38% in 2023 to 14.04% in 2024. The net profit margin has also improved, reaching 3.99% in 2022. However, there was a slight decline in EBIT and EBITDA margins in 2024 compared to previous years, indicating some pressure on operational efficiency. Overall, the company demonstrates strong revenue growth and improving profitability, though operational efficiency could be enhanced.

Balance Sheet

The company maintains a solid balance sheet with a low debt-to-equity ratio of 0.0817 in 2024, reflecting prudent financial management. The equity ratio remains strong, indicating a stable financial structure. Return on equity has shown improvement, reaching 4.86% in 2022, suggesting effective use of equity capital. Overall, the balance sheet reflects financial stability and low leverage, providing a strong foundation for future growth.

Cash Flow

Eiken Industries has demonstrated positive free cash flow growth, with a significant increase in operating cash flow from 2023 to 2024. The operating cash flow to net income ratio improved to 0.347 in 2024, indicating efficient cash generation relative to net income. However, the free cash flow to net income ratio has fluctuated, suggesting variability in cash flow management. Overall, the cash flow statement shows strong cash generation capabilities, though consistency in free cash flow management could be improved.

Breakdown	Oct 2025	Oct 2024	Oct 2023	Oct 2022	Oct 2021
Income Statement
Total Revenue	8.10B	7.28B	6.80B	6.95B	6.80B
Gross Profit	1.18B	999.21M	816.60M	1.02B	1.26B
EBITDA	648.92M	532.68M	377.07M	605.74M	830.14M
Net Income	326.53M	217.85M	135.38M	274.74M	424.60M
Balance Sheet
Total Assets	7.84B	7.48B	7.13B	7.10B	7.19B
Cash, Cash Equivalents and Short-Term Investments	1.88B	1.49B	1.43B	1.36B	1.43B
Total Debt	469.55M	474.30M	512.39M	518.76M	541.33M
Total Liabilities	1.79B	1.68B	1.44B	1.45B	1.70B
Stockholders Equity	6.06B	5.80B	5.69B	5.65B	5.49B
Cash Flow
Free Cash Flow	512.76M	321.19M	53.63M	150.08M	304.81M
Operating Cash Flow	762.39M	464.70M	253.89M	422.07M	520.18M
Investing Cash Flow	-322.92M	-293.52M	139.03M	-304.21M	-293.46M
Financing Cash Flow	-117.31M	-116.87M	-115.96M	-214.56M	-303.11M

Eiken Industries Co., Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3525.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7265, the sentiment is Negative. The current price of 3525 is below the 20-day moving average (MA) of 3570.25, below the 50-day MA of 3605.60, and below the 200-day MA of 3686.41, indicating a bearish trend. The MACD of -36.34 indicates Positive momentum. The RSI at 39.66 is Neutral, neither overbought nor oversold. The STOCH value of 32.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7265.

Eiken Industries Co., Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9551	76 Outperform	¥128.74B	21.86	12.54%	1.84%	13.86%	51.05%
6370	72 Outperform	¥865.10B	16.97	6.61%	1.58%	5.02%	-27.41%
6331	72 Outperform	¥76.52B	11.99	16.37%	2.79%	31.48%	16.11%
6368	71 Outperform	¥671.58B	23.01	―	1.43%	7.87%	38.32%
7265	68 Neutral	¥3.50B	19.06	―	3.22%	―	―
7004	66 Neutral	¥165.84B	-49.70	―	2.41%	2.47%	1.47%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%