Japan Medical Dynamic Marketing, Inc. (7600) AI Stock Analysis

• Market Cap: ¥14.43B
• Dividend Yield: 3.12%
• Average Volume (3M): 89.74K
• Price to Earnings (P/E): 14.8
• Beta (1Y): 0.57
• Revenue Growth: 3.59%
• EPS Growth: -163.08%
• Country: JP
• Employees: 511
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): N/A
• Shares Outstanding: 26,475,880
• 10 Day Avg. Volume: 96,020
• 30 Day Avg. Volume: 89,743
• PEG Ratio: 0.24
• Price to Book (P/B): 0.61
• Price to Sales (P/S): 0.60
• P/FCF Ratio: -29.78
• 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: 63 Neutral
• Price Target: ¥573.00 ▲(17.66% Upside)
• Action: Reiterated Date: 03/14/26
• Date: Action: Reiterated 03/14/26

The score is driven primarily by moderate financial strength: a solid balance sheet is offset by 2025 profitability deterioration and negative free cash flow. Technical signals are mixed-to-weak (below the 20-day average, softer momentum), while valuation is a relative support with a reasonable P/E and dividend yield.

Positive Factors

Strong balance sheet

A strong equity base and healthy equity ratio provide financial resilience against shocks and discretionary flexibility for R&D, certifications, or targeted investments. Over a 2-6 month horizon this stability reduces refinancing risk and supports execution while profitability recovers.

Conservative leverage

Relatively low leverage limits interest burden and preserves capacity to raise debt or absorb temporary cash shortfalls. This conservative capital structure is a durable buffer that supports strategic options and lowers solvency risk during periods of negative free cash flow.

Stable gross profit margins

Stable gross margins imply the core device business retains unit-level profitability and pricing power. Even if operating costs rise, steady gross margins help protect underlying cash generation potential and make margin recovery feasible with targeted cost control or modest revenue improvement.

Negative Factors

Negative net profit in 2025

A negative net margin indicates the company reported operating losses that erode retained earnings and could force strategic trade-offs. Persisting losses over several quarters would reduce reinvestment ability, pressure stakeholder confidence, and may necessitate restructuring or external funding.

Negative free cash flow

Negative free cash flow constrains internal funding for capex, regulatory approvals, or inventory, increasing reliance on external financing. Over a multi-month horizon this raises liquidity and execution risks, potentially forcing capital raises or cuts to growth initiatives if not reversed.

Declining operating margins

Shrinking EBIT/EBITDA margins indicate operating cost pressure that can outpace revenue gains. If structural, margin erosion reduces free cash generation and competitiveness, requiring sustained cost discipline or price increases to restore profitability across the next several quarters.

Japan Medical Dynamic Marketing, Inc. Business Overview & Revenue Model

Company Description

Japan Medical Dynamic Marketing, INC. develops, manufactures, imports, and sells medical devices in Japan and the United States. The company provides trauma devices, including nails, screws, plates, and other products surgically implanted in the fracture site; joint prostheses, which replaces natural joints and restores functions damaged or lost due to disease or injury; spinal fixation devices for the use in spinal instability surgery; and artificial bone fillers for the treatment of bone fractures, tumors, and other defects. It offers its products to medical professionals and hospitals. The company was incorporated in 1973 and is headquartered in Tokyo, Japan.

How the Company Makes Money

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Japan Medical Dynamic Marketing, Inc. Financial Statement Overview

Summary

Stable revenue growth and a strong, low-leverage balance sheet support the score, but profitability weakened with negative net income in 2025 and free cash flow turned negative, raising execution and liquidity concerns.

Income Statement

The company experienced a moderate revenue growth rate over recent years, with a notable increase from 2024 to 2025. However, the net profit margin turned negative in 2025, indicating profitability challenges. Gross profit margins have remained relatively stable, but declining EBIT and EBITDA margins suggest rising operational costs.

Balance Sheet

The balance sheet shows a strong equity base with a healthy equity ratio, demonstrating financial stability. The debt-to-equity ratio is relatively low, indicating conservative leverage. However, a decrease in stockholders' equity in 2025 could be a concern if it continues.

Cash Flow

Free cash flow has fluctuated, turning negative in 2025, which might impact liquidity. The operating cash flow to net income ratio shows adequate cash conversion, but the negative free cash flow raises concerns about the company's ability to fund operations and growth without external financing.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	24.98B	25.11B	23.18B	21.31B	19.19B	16.74B
Gross Profit	14.46B	15.65B	14.76B	13.99B	12.99B	11.42B
EBITDA	1.03B	1.40B	3.27B	3.35B	4.21B	3.47B
Net Income	-669.47M	-461.80M	1.27B	1.42B	2.14B	1.66B
Balance Sheet
Total Assets	32.22B	33.83B	31.49B	29.43B	27.34B	25.19B
Cash, Cash Equivalents and Short-Term Investments	2.35B	3.18B	2.32B	2.80B	2.59B	2.47B
Total Debt	4.31B	3.29B	1.49B	1.87B	1.85B	3.09B
Total Liabilities	8.25B	9.09B	5.88B	6.14B	5.85B	6.48B
Stockholders Equity	23.96B	24.68B	25.51B	23.16B	21.39B	18.63B
Cash Flow
Free Cash Flow	0.00	-504.10M	302.45M	870.67M	1.53B	1.23B
Operating Cash Flow	0.00	1.05B	2.10B	2.19B	3.11B	2.60B
Investing Cash Flow	0.00	-1.67B	-1.80B	-1.48B	-1.75B	-1.35B
Financing Cash Flow	0.00	1.49B	-840.71M	-514.78M	-1.29B	-1.31B

Japan Medical Dynamic Marketing, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 487.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7600, the sentiment is Positive. The current price of 487 is below the 20-day moving average (MA) of 607.30, below the 50-day MA of 539.72, and below the 200-day MA of 524.63, indicating a neutral trend. The MACD of 7.80 indicates Positive momentum. The RSI at 47.34 is Neutral, neither overbought nor oversold. The STOCH value of 10.72 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7600.

Japan Medical Dynamic Marketing, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6678	78 Outperform	¥20.77B	15.12	―	3.02%	-4.36%	-14.92%
4549	68 Neutral	¥93.50B	26.70	―	2.31%	4.36%	79.43%
6849	65 Neutral	¥250.33B	36.37	―	1.92%	4.31%	96.31%
7600	63 Neutral	¥14.43B	14.76	―	3.12%	3.59%	-163.08%
7779	56 Neutral	¥63.76B	87.82	-0.46%	―	-4.30%	82.87%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
6523	51 Neutral	¥126.72B	28.05	2.42%	3.73%	0.04%	―

Japan Medical Dynamic Marketing, Inc. Corporate Events

Japan Medical Dynamic Marketing Profit Slumps but Dividend Raised Despite Weak Outlook

Japan Medical Dynamic Marketing reported a 2.9% year-on-year decline in net sales to ¥17.9 billion for the nine months ended December 31, 2025, with operating profit dropping 57.9% to ¥518 million and profit attributable to owners of parent falling 67.3% to ¥287 million, reflecting a significant contraction in earnings despite relatively stable assets and a high equity ratio of 72.9%. While the balance sheet remained solid and equity increased slightly, the company expects continued profit pressure for the full year to March 31, 2026, forecasting a further sharp decline in operating and ordinary profit, even as it plans to raise its annual dividend from ¥15 to ¥17 per share, signaling management’s intent to maintain shareholder returns despite weaker profitability.

The most recent analyst rating on (JP:7600) stock is a Hold with a Yen527.00 price target. To see the full list of analyst forecasts on Japan Medical Dynamic Marketing, Inc. stock, see the JP:7600 Stock Forecast page.