Hakuto Co., Ltd. (7433) AI Stock Analysis

• Market Cap: ¥72.16B
• Dividend Yield: 6.84%
• Average Volume (3M): 56.21K
• Price to Earnings (P/E): 16.7
• Beta (1Y): 0.73
• Revenue Growth: 0.81%
• EPS Growth: -36.93%
• Country: JP
• Employees: 1,203
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 35.03
• Shares Outstanding: 21,137,213
• 10 Day Avg. Volume: 49,960
• 30 Day Avg. Volume: 56,206
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 68 Neutral
• Price Target: ¥4,142.00 ▲(10.75% Upside)

Hakuto Co., Ltd. scores moderately due to a mixed financial performance with strong cash flow but declining revenue and profitability margins. The technical analysis indicates potential short-term weakness, while the valuation is attractive with a high dividend yield. The absence of recent earnings call data and corporate events limits additional insights.

Hakuto Co., Ltd. Business Overview & Revenue Model

Company Description

Hakuto Co., Ltd. (7433) is a Japanese company primarily engaged in the manufacturing and distribution of automotive components and systems. The company operates in the automotive sector, focusing on high-precision parts and technologies that enhance vehicle performance and safety. Hakuto is known for its innovative solutions in areas such as electronic control units, sensors, and other essential automotive components, serving both domestic and international markets.

How the Company Makes Money

Hakuto Co., Ltd. generates revenue through the production and sale of automotive components, which are supplied to major automobile manufacturers. The company's revenue model is largely based on long-term contracts and partnerships with key clients in the automotive industry, ensuring a stable income stream. Additional revenue sources may include the provision of engineering services, research and development contracts, and aftermarket support. The company also benefits from economies of scale and efficiency in its manufacturing processes, which contribute to higher profit margins. Strategic alliances with technology firms and participation in automotive innovation projects further enhance Hakuto's market position and revenue potential.

Hakuto Co., Ltd. Financial Statement Overview

Summary

Hakuto Co., Ltd. presents a mixed financial picture. The company maintains stable margins and a strong balance sheet, with a moderate debt-to-equity ratio and stable return on equity. However, recent declines in revenue and profitability margins pose challenges. The significant growth in free cash flow is a positive indicator of financial health, but the company needs to address revenue growth and operational efficiency to sustain long-term performance.

Income Statement

Hakuto Co., Ltd. shows a stable gross profit margin around 15%, indicating consistent cost management. However, the net profit margin has decreased slightly to 2.8% in the TTM, reflecting some pressure on profitability. Revenue growth has been negative recently, which is a concern for future earnings potential. The EBIT and EBITDA margins have also seen a decline, suggesting reduced operational efficiency.

Balance Sheet

The company's debt-to-equity ratio is moderate at 0.54, indicating a balanced approach to leveraging. Return on equity is stable at approximately 7.8%, showing decent profitability relative to shareholder equity. The equity ratio is healthy, suggesting a solid capital structure with a good proportion of assets financed by equity.

Cash Flow

Hakuto Co., Ltd. has demonstrated strong free cash flow growth of 59.4% in the TTM, indicating improved cash generation capabilities. The operating cash flow to net income ratio is low, suggesting potential issues in converting income into cash. However, the free cash flow to net income ratio is robust, reflecting effective cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	181.09B	183.13B	182.05B	233.62B	191.50B	165.41B
Gross Profit	27.32B	27.88B	26.83B	32.38B	23.97B	18.66B
EBITDA	8.69B	9.27B	8.63B	13.27B	8.24B	5.37B
Net Income	4.25B	5.13B	5.17B	8.93B	4.97B	3.06B
Balance Sheet
Total Assets	130.79B	130.38B	137.76B	145.90B	131.49B	116.42B
Cash, Cash Equivalents and Short-Term Investments	15.89B	14.93B	15.57B	16.75B	18.62B	17.87B
Total Debt	33.94B	35.28B	36.48B	42.08B	33.13B	29.36B
Total Liabilities	66.14B	64.83B	71.83B	82.04B	69.82B	58.41B
Stockholders Equity	64.65B	65.55B	65.93B	63.86B	61.67B	58.02B
Cash Flow
Free Cash Flow	15.59B	9.78B	8.15B	-3.89B	401.00M	7.16B
Operating Cash Flow	16.23B	10.59B	8.71B	-3.38B	872.00M	7.42B
Investing Cash Flow	-3.94B	-4.57B	876.00M	-300.00M	-527.00M	601.00M
Financing Cash Flow	-9.41B	-6.51B	-11.45B	1.31B	-379.00M	-5.28B

Hakuto Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3740.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7433, the sentiment is Negative. The current price of 3740 is below the 20-day moving average (MA) of 3805.00, below the 50-day MA of 3857.57, and below the 200-day MA of 3868.84, indicating a bearish trend. The MACD of -22.42 indicates Positive momentum. The RSI at 40.49 is Neutral, neither overbought nor oversold. The STOCH value of 16.75 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7433.

Hakuto Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6814	―	¥255.17B	15.42	―	1.54%	6.56%	106.55%
6957	―	¥109.21B	36.16	―	2.12%	4.48%	-39.40%
8159	―	¥66.02B	9.86	―	3.58%	-4.57%	-11.79%
6908	―	¥69.38B	23.47	―	3.29%	6.60%	-36.94%
7433	―	¥72.16B	16.70	―	6.84%	0.81%	-36.93%
6866	―	¥82.29B	13.89	―	3.45%	7.28%	4.16%
Sector *	―	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Hakuto Co., Ltd. Corporate Events

Hakuto Co., Ltd. Reports Decline in Q1 Financial Performance

Hakuto Co., Ltd. reported a decline in its financial performance for the three months ended June 30, 2025, with net sales down by 4.8% and significant drops in operating and ordinary profits. The company also announced a reduction in its annual dividend forecast for the fiscal year ending March 31, 2026, reflecting cautious financial management amid challenging market conditions.