Daitron Co., Ltd. (7609) AI Stock Analysis

• Market Cap: ¥42.72B
• Dividend Yield: 3.44%
• Average Volume (3M): 25.75K
• Price to Earnings (P/E): 8.8
• Beta (1Y): 0.83
• Revenue Growth: 7.19%
• EPS Growth: 45.73%
• Country: JP
• Employees: 1,061
• Sector: Technology
• Sector Strength: 83
• Industry: Semiconductors
• EPS (TTM): 143.22
• Shares Outstanding: 10,633,349
• 10 Day Avg. Volume: 23,760
• 30 Day Avg. Volume: 25,753
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ¥4,208.00
• Price Target Upside: 4.16% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 81 Outperform
• Price Target: ¥4,208.00 ▲(4.16% Upside)

Daitron Co., Ltd. receives a strong overall score due to its robust financial performance characterized by solid profitability and effective cash management. The attractive valuation with a low P/E ratio and high dividend yield further strengthens its investment appeal. Positive technical indicators support the stock's upward momentum, making it a promising candidate in the semiconductor industry.

Daitron Co., Ltd. Business Overview & Revenue Model

Company Description

Daitron Co., Ltd. is a Japanese company engaged primarily in the electronics industry. It operates through various segments, including electronic components, semiconductor equipment, and electronic devices. The company provides a wide range of products and services, such as power supplies, electronic components, and semiconductor manufacturing equipment, catering to diverse industrial needs and incorporating advanced technologies to enhance efficiency and performance.

How the Company Makes Money

Daitron Co., Ltd. generates revenue primarily through the sale of electronic components and semiconductor manufacturing equipment. The company supplies power supplies and electronic devices to manufacturers and businesses in various sectors, including consumer electronics, automotive, and telecommunications. Additionally, Daitron's semiconductor equipment division contributes significantly to its earnings by providing essential tools and machinery for semiconductor manufacturing processes. The company may also engage in strategic partnerships and collaborations to expand its market reach and enhance its technological capabilities, further driving its revenue streams.

Daitron Co., Ltd. Financial Statement Overview

Summary

Daitron Co., Ltd. demonstrates strong financial performance with consistent revenue growth, robust gross profit margin, and improved net profit margin. The low debt-to-equity ratio and positive cash flow further enhance its financial stability. However, the increase in total liabilities requires monitoring.

Income Statement

Daitron Co., Ltd. has shown consistent revenue growth over the years, with a 1.5% increase from 2023 to 2024. The gross profit margin is robust at 20.2% for 2024, indicating strong pricing power and cost management. The net profit margin improved to 4.7%, reflecting enhanced profitability. EBIT and EBITDA margins are solid at 6.6% and 7.1%, respectively, suggesting efficient operations. Overall, the company demonstrates solid profitability and stable growth.

Balance Sheet

The company maintains a low debt-to-equity ratio of 0.02, indicating conservative leverage. The return on equity (ROE) is healthy at 13.3%, showcasing effective use of shareholder funds. The equity ratio stands at 45.1%, reflecting a balanced capital structure. While the balance sheet is strong, the total liabilities have been increasing over time, which could pose some risk if not managed appropriately.

Cash Flow

Daitron Co., Ltd. exhibited a significant turnaround in free cash flow, increasing significantly from the previous year's negative flow to a positive ¥9.79 billion in 2024. The operating cash flow to net income ratio is 2.28, indicating strong cash conversion. The free cash flow to net income ratio is also positive, highlighting good cash generation relative to earnings. The cash flow statement indicates strong liquidity and efficient cash management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	93.54B	92.16B	87.64B	72.34B	57.42B
Gross Profit	18.87B	18.15B	17.59B	14.28B	11.48B
EBITDA	6.82B	6.45B	6.55B	4.69B	2.80B
Net Income	4.38B	4.01B	4.24B	2.95B	1.61B
Balance Sheet
Total Assets	73.15B	67.79B	63.20B	58.45B	46.25B
Cash, Cash Equivalents and Short-Term Investments	19.56B	11.24B	12.90B	14.20B	12.28B
Total Debt	619.16M	761.17M	583.36M	467.49M	374.36M
Total Liabilities	40.15B	38.34B	37.19B	36.00B	26.45B
Stockholders Equity	32.98B	29.43B	26.01B	22.45B	19.80B
Cash Flow
Free Cash Flow	9.79B	-150.57M	-445.66M	2.50B	2.97B
Operating Cash Flow	10.01B	315.75M	-275.13M	2.80B	3.07B
Investing Cash Flow	-353.32M	-627.24M	-237.26M	-371.71M	-156.69M
Financing Cash Flow	-1.60B	-1.50B	-1.00B	-672.21M	-762.32M

Daitron Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4040.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7609, the sentiment is Positive. The current price of 4040 is above the 20-day moving average (MA) of 3963.50, above the 50-day MA of 3803.67, and above the 200-day MA of 3183.54, indicating a bullish trend. The MACD of 111.33 indicates Negative momentum. The RSI at 62.59 is Neutral, neither overbought nor oversold. The STOCH value of 50.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7609.

Daitron Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7609	81 Outperform	¥42.72B	8.75		3.44%	7.19%	45.73%
6855	78 Outperform	¥36.24B	10.14		2.27%	32.53%	182.70%
7510	77 Outperform	¥31.41B	13.15		3.17%	2.04%	-11.59%
2737	75 Outperform	¥42.64B	8.03		4.86%	9.23%	13.49%
7420	73 Outperform	¥26.78B	10.63		4.60%	5.49%	17.69%
Sector *	61 Neutral	$35.62B	7.50	-10.94%	1.87%	8.86%	-10.27%
6614	45 Neutral	¥3.64B	31.45		1.82%	-5.64%	-113.92%

Daitron Co., Ltd. Corporate Events

Daitron Co., Ltd. Exceeds Forecasts in 2Q Fiscal 2025

Daitron Co., Ltd. reported a positive variance between its forecasted and actual financial results for the first half of fiscal 2025, with net sales and profits surpassing expectations. This improvement was attributed to the advance recording of overseas sales initially planned for the latter half of the year. Despite this, the company has maintained its annual forecast due to potential impacts from changes in the business environment, such as increased U.S. tariffs.

Daitron Co., Ltd. Reports Strong First Half 2025 Financial Results

Daitron Co., Ltd. reported strong financial results for the first half of 2025, with a notable increase in net sales and income compared to the previous year. The company’s performance reflects its robust market positioning and operational efficiency, which are expected to continue supporting its growth trajectory and stakeholder value.

Daitron Completes Treasury Share Disposal for Employee Compensation

Daitron Co., Ltd. has completed the payment for the disposal of treasury shares as restricted stock compensation to its employees, following a resolution made by its Board of Directors in April 2025. This move involves the disposal of 3,900 shares at a value of 2,964 yen per share, amounting to a total of 11,559,600 yen, and is aimed at incentivizing 39 employees, potentially impacting employee motivation and company performance.

Daitron Completes Treasury Share Disposal for Stock Compensation Plan

Daitron Co., Ltd. has completed the payment for the disposal of treasury shares as part of a performance-linked stock compensation plan. This move, resolved in March 2025, involved the disposal of 3,800 shares at a value of 3,370 yen per share, totaling 12,806,000 yen. The shares were allocated to various executive and administrative officers, potentially enhancing alignment with company performance and incentivizing leadership.