F.C.C.Co., Ltd. (7296) AI Stock Analysis

• Market Cap: ¥145.58B
• Dividend Yield: 4.25%
• Average Volume (3M): 135.00K
• Price to Earnings (P/E): 9.2
• Beta (1Y): 0.82
• Revenue Growth: 6.80%
• EPS Growth: 31.44%
• Country: JP
• Employees: 7,819
• Sector: Consumer Cyclical
• Sector Strength: 66
• Industry: Auto - Parts
• EPS (TTM): 323.65
• Shares Outstanding: 52,056,530
• 10 Day Avg. Volume: 150,660
• 30 Day Avg. Volume: 135,003
• PEG Ratio: 0.68
• Price to Book (P/B): 0.48
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.18
• 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: ¥2,969.00
• Price Target Upside: 0.17% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 78 Outperform
• Price Target: ¥3,186.00 ▲(7.49%Upside)

F.C.C.Co., Ltd. is well-positioned with strong financial performance and an attractive valuation, driven by a low P/E ratio and high dividend yield. Technical analysis presents mixed signals with potential short-term volatility, but the company's financial health and valuation provide a solid foundation for investment.

F.C.C.Co., Ltd. Business Overview & Revenue Model

Company Description

F.C.C. Co., Ltd. (7296) is a leading manufacturer in the automotive industry, specializing in the production of clutch systems and related components. The company operates globally, catering primarily to the needs of automobile and motorcycle manufacturers. F.C.C. Co., Ltd. is renowned for its innovative engineering and commitment to quality, serving major automotive brands and contributing significantly to advancements in vehicular performance and efficiency.

How the Company Makes Money

F.C.C. Co., Ltd. generates revenue through the design, manufacture, and sale of clutch systems and related components for both automobiles and motorcycles. The company's primary revenue streams include direct sales to vehicle manufacturers (OEMs), aftermarket sales, and licensing agreements. F.C.C. Co., Ltd. maintains strategic partnerships with leading automotive brands, ensuring a steady demand for its products. The company's earnings are bolstered by its focus on research and development, which allows it to offer cutting-edge technologies that meet the evolving needs of the automotive industry.

F.C.C.Co., Ltd. Financial Statement Overview

Summary

F.C.C.Co., Ltd. shows strong financial performance with robust revenue growth, improved profitability margins, and a solid balance sheet. Despite a slight dip in free cash flow growth, the company maintains strong cash generation and low leverage, enhancing financial stability.

Income Statement

F.C.C.Co., Ltd. has shown robust revenue growth with a 6.8% increase from 2024 to 2025 and consistent improvements over the years. The gross profit margin improved to 19.2%, indicating efficient cost management. Net profit margin also increased, standing at 6.2%. EBIT and EBITDA margins are healthy at 6.9% and 12.8% respectively, highlighting strong operational performance.

Balance Sheet

The company's balance sheet displays strong financial stability with a low debt-to-equity ratio of 0.02, suggesting minimal leverage risk. ROE has improved to 8.6%, reflecting enhanced profitability from equity. The equity ratio is stable at 74.8%, indicating a solid capital structure.

Cash Flow

Cash flow analysis shows a decline in operating cash flow, but free cash flow remains positive at ¥13.2 billion. The free cash flow to net income ratio is 0.83, demonstrating strong cash generation relative to profit. However, the free cash flow growth rate is negative due to increased capital expenditures.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	256.62B	240.28B	218.94B	170.97B	146.16B
Gross Profit	49.31B	42.05B	32.99B	27.74B	22.87B
EBITDA	32.78B	32.06B	25.58B	22.96B	21.30B
Net Income	15.86B	12.23B	9.57B	8.55B	4.46B
Balance Sheet
Total Assets	246.21B	245.00B	210.63B	195.36B	175.64B
Cash, Cash Equivalents and Short-Term Investments	68.50B	86.21B	57.64B	47.04B	44.10B
Total Debt	3.00B	6.10B	6.10B	6.10B	7.21B
Total Liabilities	60.76B	58.40B	48.50B	46.83B	43.65B
Stockholders Equity	184.22B	185.32B	160.06B	146.63B	130.24B
Cash Flow
Free Cash Flow	13.21B	26.51B	12.47B	4.55B	6.03B
Operating Cash Flow	27.93B	35.38B	21.01B	15.46B	12.97B
Investing Cash Flow	-25.77B	-7.43B	-10.31B	-9.63B	-8.52B
Financing Cash Flow	-14.63B	-4.82B	-3.23B	-4.20B	-3.17B

F.C.C.Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2964.00
• 50DMA: Positive
• 100DMA: Negative
• 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:7296, the sentiment is Positive. The current price of 2964 is above the 20-day moving average (MA) of 2774.20, above the 50-day MA of 2798.16, and above the 200-day MA of 2824.42, indicating a bullish trend. The MACD of 21.14 indicates Negative momentum. The RSI at 65.80 is Neutral, neither overbought nor oversold. The STOCH value of 84.87 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7296.

F.C.C.Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6995	81 Outperform	¥198.74B	7.01		4.34%	-0.95%	21.31%
7242	78 Outperform	¥158.33B	11.20	6.70%	3.49%	-1.01%	0.48%
7296	78 Outperform	¥145.58B	9.15		4.25%	6.80%	31.44%
7220	70 Outperform	¥204.46B	26.27		1.60%	-0.78%	-2.01%
5191	69 Neutral	¥179.41B	6.54		4.17%	2.91%	47.09%
7313	67 Neutral	¥206.97B	24.55		4.96%	3.58%	-17.59%
Sector *	67 Neutral	¥251.91B	13.52	6.48%	2.72%	5.20%	-11.34%

F.C.C.Co., Ltd. Corporate Events

F.C.C. Co., Ltd. Maintains Independence Amid Strong Ties with Honda

F.C.C. Co., Ltd. has announced its continued stable relationship with Honda Motor Co., Ltd., an affiliated company holding a significant portion of its voting rights. Despite this affiliation, F.C.C. maintains operational independence and bases its business decisions on its own judgment. The company engages in substantial transactions with Honda, including the sale of its products and the purchase of raw materials, contributing significantly to its revenue.

The most recent analyst rating on (JP:7296) stock is a Hold with a Yen2300.00 price target. To see the full list of analyst forecasts on F.C.C.Co., Ltd. stock, see the JP:7296 Stock Forecast page.

F.C.C. Co., Ltd. Announces Treasury Stock Disposal for Executive Compensation

F.C.C. Co., Ltd. announced the disposal of 12,132 shares of its treasury stock as part of a Restricted Share Compensation Plan for its directors and managing officers. This initiative aims to align the interests of the company’s leadership with its shareholders by providing incentives to increase corporate value sustainably. The plan involves a monetary remuneration claim of 32,768,532 yen, with restrictions on the transfer of shares until the recipients resign from their positions.

The most recent analyst rating on (JP:7296) stock is a Hold with a Yen2300.00 price target. To see the full list of analyst forecasts on F.C.C.Co., Ltd. stock, see the JP:7296 Stock Forecast page.

F.C.C. Co., Ltd. Receives Dividends from Thai Subsidiary

F.C.C. Co., Ltd. announced the receipt of dividends amounting to 480 million THB from its consolidated subsidiary, FCC (Thailand) Co., Ltd. This dividend will be recorded as non-operating income in the company’s non-consolidated financial statements for the fiscal year ending March 2026, with no impact on consolidated earnings.

The most recent analyst rating on (JP:7296) stock is a Hold with a Yen2300.00 price target. To see the full list of analyst forecasts on F.C.C.Co., Ltd. stock, see the JP:7296 Stock Forecast page.

F.C.C. Co., Ltd. Records Significant Warranty Compensation Cost

F.C.C. Co., Ltd. announced it has recorded a compensation cost for product warranty in the fourth quarter of the fiscal year ending March 31, 2025, due to defects in products delivered to a U.S. customer. This decision, resulting in a provision of ¥3,516 million, reflects the company’s response to an extended warranty period for affected vehicles and impacts its consolidated financial results for the fiscal year.

F.C.C. Co., Ltd. Announces Commemorative Year-End Dividend

F.C.C. Co., Ltd. announced a year-end dividend of 101 yen per share, including a commemorative dividend of 63 yen, to celebrate its 20th anniversary of listing on the TSE. This decision reflects the company’s commitment to returning profits to shareholders and maintaining a stable dividend policy, aiming for a total shareholder return ratio of 40% or more, which underscores its strategy to enhance corporate value through investments and R&D.

F.C.C. Co., Ltd. Reports Strong Financial Performance and Increased Dividends

F.C.C. Co., Ltd. reported a 6.8% increase in revenue for the fiscal year ending March 31, 2025, with significant growth in operating profit and profit attributable to owners of the parent. The company also announced a substantial increase in annual cash dividends per share, reflecting a strong financial performance and commitment to shareholder returns.