Imasen Electric Industrial Co., Ltd. (7266) AI Stock Analysis

• Market Cap: ¥19.23B
• Dividend Yield: 2.77%
• Average Volume (3M): 59.98K
• Price to Earnings (P/E): 15.4
• Beta (1Y): 0.65
• Revenue Growth: -8.63%
• EPS Growth: -55.68%
• Country: JP
• Employees: 3,177
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 54.74
• Shares Outstanding: 23,475,351
• 10 Day Avg. Volume: 31,060
• 30 Day Avg. Volume: 59,980
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.26
• Price to Sales (P/S): 0.15
• P/FCF Ratio: 19.98
• 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: 64 Neutral
• Price Target: ¥926.00 ▲(7.05% Upside)

The stock's overall score is driven by strong technical momentum and reasonable valuation. However, financial performance issues, particularly in profitability and cash flow, weigh down the score. The absence of earnings call insights and corporate events limits additional context.

Positive Factors

Low Leverage

Low leverage enhances financial stability, providing the company with flexibility to invest in growth opportunities without high debt burdens.

Stable Balance Sheet

A stable balance sheet with a healthy equity ratio supports long-term operational resilience and the ability to withstand economic fluctuations.

Positive Operating Cash Flow

Positive operating cash flow indicates the company's core operations are generating cash, which is crucial for sustaining business activities and funding strategic initiatives.

Negative Factors

Negative Profit Margins

Negative profit margins highlight ongoing profitability issues, which can hinder reinvestment in business growth and affect long-term sustainability.

Declining Revenue

Declining revenue growth suggests challenges in market demand or competitive positioning, potentially impacting future earnings and market share.

Negative Free Cash Flow

Negative free cash flow can strain liquidity, limiting the company's ability to invest in growth or weather economic downturns without external financing.

Imasen Electric Industrial Co., Ltd. Business Overview & Revenue Model

Company Description

Imasen Electric Industrial Co., Ltd. (7266) is a Japanese company specializing in the development, manufacture, and sale of electrical equipment and components. The company operates primarily in sectors such as automotive, industrial machinery, and consumer electronics. Its core products include automotive wiring harnesses, electric connectors, and various electronic components that cater to both domestic and international markets.

How the Company Makes Money

Imasen Electric Industrial Co., Ltd. generates revenue through the production and sale of its electrical components and systems, primarily focusing on the automotive sector where demand for wiring harnesses and connectors is significant due to the growing automotive industry. The company also earns income from supplying electronic components for industrial machinery and consumer electronics. Key revenue streams include direct sales to automotive manufacturers, partnerships with major industrial clients, and contracts for large-scale projects. Additionally, Imasen benefits from strategic alliances with other technology firms, enhancing its product offerings and market reach, which in turn contributes to its overall earnings.

Imasen Electric Industrial Co., Ltd. Financial Statement Overview

Summary

Imasen Electric Industrial Co., Ltd. faces significant challenges with declining revenues and profitability pressures. While the balance sheet remains strong with low leverage, cash flow issues and negative net income highlight operational and liquidity concerns. The company needs to focus on improving profitability and cash flow generation to enhance financial health.

Income Statement

The company has faced challenges with declining revenue growth and negative net income in the TTM period. Gross profit margin remains low, and the net profit margin has turned negative, indicating profitability issues. However, the EBIT margin shows slight improvement, suggesting some operational efficiency gains.

Balance Sheet

The balance sheet shows a strong equity position with a low debt-to-equity ratio, indicating financial stability. However, return on equity is low, reflecting challenges in generating returns for shareholders. The equity ratio is healthy, suggesting a solid asset base.

Cash Flow

Cash flow analysis reveals negative free cash flow growth and a negative free cash flow in the TTM period, indicating liquidity challenges. The operating cash flow to net income ratio is positive, suggesting some ability to generate cash from operations despite profitability issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	90.38B	94.34B	99.73B	99.73B	85.16B	87.10B
Gross Profit	8.00B	7.46B	7.64B	6.29B	6.95B	6.01B
EBITDA	5.26B	6.67B	3.17B	3.19B	3.62B	3.17B
Net Income	1.25B	2.08B	-71.00M	-2.05B	-1.21B	-3.08B
Balance Sheet
Total Assets	75.06B	78.33B	81.18B	82.90B	80.16B	82.28B
Cash, Cash Equivalents and Short-Term Investments	15.55B	15.23B	12.29B	17.28B	19.71B	20.07B
Total Debt	794.00M	3.56B	6.86B	9.95B	8.62B	8.86B
Total Liabilities	22.47B	25.29B	29.91B	34.02B	30.38B	32.69B
Stockholders Equity	52.25B	52.70B	50.85B	48.51B	49.43B	49.26B
Cash Flow
Free Cash Flow	-391.00M	690.00M	-963.00M	-2.43B	-411.00M	462.00M
Operating Cash Flow	2.36B	2.77B	958.00M	-787.00M	3.50B	3.04B
Investing Cash Flow	-713.00M	4.50B	-1.21B	-2.05B	-3.46B	-2.72B
Financing Cash Flow	-3.58B	-4.99B	-5.00B	-30.00M	-1.33B	4.60B

Imasen Electric Industrial Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 865.00
• 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:7266, the sentiment is Positive. The current price of 865 is above the 20-day moving average (MA) of 834.85, above the 50-day MA of 797.32, and above the 200-day MA of 704.41, indicating a bullish trend. The MACD of 23.31 indicates Negative momentum. The RSI at 69.38 is Neutral, neither overbought nor oversold. The STOCH value of 81.46 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7266.

Imasen Electric Industrial Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6382	82 Outperform	¥19.33B	6.85	―	5.61%	3.55%	27.86%
7299	79 Outperform	¥19.24B	8.16	―	2.88%	19.42%	74.63%
7266	64 Neutral	¥19.23B	15.38	―	2.77%	-8.63%	-55.68%
7273	62 Neutral	¥21.66B	5.07	―	4.45%	34.99%	468.97%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
6584	59 Neutral	¥29.77B	11.51	―	3.40%	-3.91%	-36.53%
6470	51 Neutral	¥23.56B	670.08	―	2.46%	4.93%	―