Aisan Industry Co., Ltd. (7283) AI Stock Analysis

• Market Cap: ¥123.21B
• Dividend Yield: 3.5%
• Average Volume (3M): 176.34K
• Price to Earnings (P/E): 10.4
• Beta (1Y): 1.02
• Revenue Growth: 1.71%
• EPS Growth: -11.98%
• Country: JP
• Employees: 8,920
• Sector: Consumer Cyclical
• Sector Strength: 78
• Industry: Auto - Parts
• EPS (TTM): 60.89
• Shares Outstanding: 63,406,880
• 10 Day Avg. Volume: 145,590
• 30 Day Avg. Volume: 176,336
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ¥2,022.00
• Price Target Upside: 4.07% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 80 Outperform
• Price Target: ¥2,022.00 ▲(4.07% Upside)

Aisan Industry Co., Ltd. presents a strong investment case with robust financial performance and an attractive valuation. The company's solid revenue growth and profitability, coupled with a low P/E ratio and high dividend yield, make it appealing. Technical indicators show a balanced outlook, supporting the overall positive assessment.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, enhancing the company's competitive position and long-term viability.

Operational Cash Generation

Strong operational cash generation supports ongoing investments and financial stability, enabling the company to fund growth initiatives and manage debt efficiently.

Profitability Improvement

Improved profitability through higher net margins suggests effective cost management and pricing strategies, strengthening the company's financial health and shareholder returns.

Negative Factors

Free Cash Flow Reduction

A significant reduction in free cash flow may constrain the company's ability to invest in growth opportunities and manage unexpected expenses, impacting long-term financial flexibility.

Earnings Per Share Decline

A decline in earnings per share can signal challenges in maintaining profitability, potentially affecting investor confidence and the company's ability to attract capital.

High Leverage Concerns

While moderate, leverage levels can pose risks if economic conditions worsen, potentially increasing financial strain and limiting strategic flexibility.

Aisan Industry Co., Ltd. Business Overview & Revenue Model

Company Description

Aisan Industry Co., Ltd. is a Japanese company primarily engaged in the manufacturing and sale of automotive parts and components. Established in 1938, the company specializes in producing a wide range of products including fuel injection systems, throttle bodies, and engine-related components that are essential for vehicle performance and efficiency. Aisan Industry operates in the automotive sector and serves major automobile manufacturers globally, contributing to advancements in automotive technology and emissions reduction.

How the Company Makes Money

Aisan Industry Co., Ltd. generates revenue through the production and sale of automotive components, with a significant portion of its income derived from supplying fuel injection systems, throttle bodies, and related engine components to major automotive manufacturers. The company's revenue streams are supported by long-term contracts and partnerships with leading automobile companies, which ensure a steady demand for its products. Aisan Industry also invests in research and development to innovate and improve its offerings, thereby maintaining its competitive edge in the automotive industry. Additionally, the company's global presence allows it to tap into various markets, diversifying its revenue sources and mitigating risks associated with regional economic fluctuations.

Aisan Industry Co., Ltd. Financial Statement Overview

Summary

Aisan Industry Co., Ltd. demonstrates robust financial performance with strong revenue growth and improving profitability. The balance sheet reflects stability with moderate leverage and solid equity. Despite a significant reduction in free cash flow, the company maintains strong operational cash generation. Overall, the company's financial health is strong, with positive growth trends and stable financial metrics.

Income Statement

Aisan Industry Co., Ltd. has shown strong revenue growth with an impressive 7.29% increase from 2024 to 2025. The gross profit margin is robust at 14.52%, indicating efficient production. The net profit margin rose to 3.92%, reflecting improved profitability. EBIT and EBITDA margins are healthy at 5.44% and 10.01% respectively, showcasing strong operational performance. Overall, the income statement depicts a positive trajectory with growing revenues and margins.

Balance Sheet

The company maintains a strong equity base with an equity ratio of 45.14%, demonstrating financial stability. The debt-to-equity ratio stands at 0.41, indicating moderate leverage. With a return on equity of 9.74%, Aisan Industry is generating reasonable returns for shareholders. The balance sheet reflects a solid financial position with managed debt levels and a strong equity base.

Cash Flow

The free cash flow decreased by 70.06% from 2024 to 2025, highlighting potential challenges in cash generation. However, the operating cash flow to net income ratio of 2.13 indicates strong cash generation relative to profits. The free cash flow to net income ratio of 0.59 suggests efficient use of cash. Overall, the cash flow statement shows strong operational cash generation but highlights a significant reduction in free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	337.26B	337.26B	314.34B	240.81B	193.75B	181.43B
Gross Profit	48.97B	48.97B	41.22B	32.76B	24.93B	20.46B
EBITDA	32.97B	33.77B	32.36B	26.68B	20.68B	16.30B
Net Income	13.23B	13.23B	11.74B	8.50B	6.83B	3.52B
Balance Sheet
Total Assets	300.98B	300.98B	272.55B	225.76B	201.94B	189.92B
Cash, Cash Equivalents and Short-Term Investments	85.78B	85.78B	67.04B	45.97B	50.09B	46.33B
Total Debt	56.22B	56.22B	41.84B	48.83B	42.10B	43.55B
Total Liabilities	160.64B	160.64B	132.99B	115.38B	101.05B	102.15B
Stockholders Equity	135.83B	135.83B	134.77B	106.49B	97.05B	84.36B
Cash Flow
Free Cash Flow	0.00	7.87B	26.29B	13.84B	5.57B	11.12B
Operating Cash Flow	0.00	28.22B	38.63B	20.27B	13.54B	17.76B
Investing Cash Flow	0.00	-20.13B	-9.66B	-29.60B	-6.96B	-6.79B
Financing Cash Flow	0.00	10.95B	-11.43B	3.54B	-4.13B	-1.18B

Aisan Industry Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1943.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7283, the sentiment is Neutral. The current price of 1943 is below the 20-day moving average (MA) of 1990.05, above the 50-day MA of 1845.40, and above the 200-day MA of 1799.67, indicating a neutral trend. The MACD of 39.90 indicates Positive momentum. The RSI at 50.55 is Neutral, neither overbought nor oversold. The STOCH value of 48.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7283.

Aisan Industry Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7283	80 Outperform	¥123.21B	10.41		3.50%	1.71%	-11.98%
Sector *	61 Neutral	$18.08B	12.82	-2.51%	3.03%	1.45%	-15.68%
60V	―	€1.17B	7.80	10.75%	―	―	―
7250	81 Outperform	¥156.90B	11.97		2.05%	-1.29%	-26.66%
7296	81 Outperform	¥154.71B	9.91		6.23%	2.11%	16.65%
7287	61 Neutral	¥103.68B	15.62		2.79%	0.60%	172.55%

Aisan Industry Co., Ltd. Corporate Events

Aisan Industry Co., Ltd. Reports Decline in Q1 2025 Financial Performance

Aisan Industry Co., Ltd. reported a decline in its financial performance for the three months ended June 30, 2025, with net sales decreasing by 3.9% and operating profit dropping by 39.2% compared to the previous year. The company also experienced a significant decrease in ordinary profit and profit attributable to owners of the parent, reflecting challenges in the market. Despite these setbacks, Aisan Industry has maintained its dividend forecast for the fiscal year ending March 31, 2026, indicating a stable outlook for shareholders.

Aisan Industry Finalizes Treasury Share Disposal for Stock Compensation

Aisan Industry Co., Ltd. has completed the payment procedures for the disposal of 15,031 treasury shares as restricted stock compensation. This move, resolved by the Board of Directors, involves a total disposal price of ¥25,718,041, impacting directors and senior executive officers, and aims to enhance the company’s compensation strategy.

Aisan Industry Announces Treasury Share Disposal for Executive Compensation

Aisan Industry Co., Ltd. has announced the disposal of 15,031 treasury shares as part of a restricted stock compensation scheme aimed at enhancing corporate value and aligning the interests of directors and senior executive officers with shareholders. This initiative is expected to strengthen the company’s governance and incentivize leadership to focus on sustainable growth, potentially impacting its market position positively.