O-WELL CORPORATION (7670) AI Stock Analysis

• Market Cap: ¥9.56B
• Dividend Yield: 3.74%
• Average Volume (3M): 4.16K
• Price to Earnings (P/E): 5.4
• Beta (1Y): 0.69
• Revenue Growth: -2.30%
• EPS Growth: 16.63%
• Country: JP
• Employees: 637
• Sector: Industrials
• Sector Strength: 89
• Industry: Conglomerates
• EPS (TTM): 97.95
• Shares Outstanding: 10,500,000
• 10 Day Avg. Volume: 5,540
• 30 Day Avg. Volume: 4,163
• PEG Ratio: 0.08
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 36.14
• 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: ¥998.00
• Price Target Upside: 6.51% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 73 Outperform
• Price Target: ¥1,006.00 ▲(7.36%Upside)

O-WELL CORPORATION scores a 73, driven primarily by its strong valuation, which indicates it may be undervalued with a favorable dividend yield. Financial performance also supports this score, showcasing stable profitability and a solid equity structure, despite some cash flow concerns. Technical analysis presents a neutral outlook, with no strong market momentum.

O-WELL CORPORATION Business Overview & Revenue Model

Company Description

O-WELL CORPORATION (7670) is a Japan-based company primarily engaged in the manufacturing and distribution of automotive parts and industrial equipment. The company operates through several segments, including the automotive parts segment, which provides a wide range of products such as engine components, transmissions, and vehicle electronics, and the industrial equipment segment, which focuses on the production of machinery and tools for various industries. O-WELL CORPORATION is committed to innovation and quality, serving both domestic and international markets.

How the Company Makes Money

O-WELL CORPORATION generates revenue primarily through the sale of its automotive parts and industrial equipment. The company serves a diverse customer base, including major automotive manufacturers and industrial companies, leveraging longstanding relationships and a reputation for high-quality products. The automotive parts segment contributes significantly to the company's earnings, driven by demand from the automotive industry for reliable and efficient components. Additionally, the industrial equipment segment provides a steady stream of income through sales of machinery and tools, capitalizing on the needs of various sectors such as manufacturing and construction. O-WELL CORPORATION may also engage in strategic partnerships and alliances to expand its market reach and enhance its product offerings, further bolstering its revenue streams.

O-WELL CORPORATION Financial Statement Overview

Summary

O-WELL CORPORATION's financial performance is strong with a solid gross profit margin and improved operational efficiencies, as seen in the EBIT and EBITDA margins. Although revenue growth has fluctuated, the company maintains a prudent leverage and a strong equity ratio. However, the negative free cash flow growth rate indicates a need for better cash flow management.

Income Statement

O-WELL CORPORATION shows a solid gross profit margin of 13.16% and a net profit margin of 2.56% for 2025. The revenue growth rate has fluctuated, with a slight decline of 2.30% in 2025 compared to 2024. However, the company has improved its EBIT margin to 1.79% and its EBITDA margin to 4.26%, indicating better operational efficiencies.

Balance Sheet

The company maintains a debt-to-equity ratio of 0.18, reflecting prudent leverage. The return on equity (ROE) is 8.33%, showing good shareholder value creation. A strong equity ratio of 46.63% underscores a solid financial structure with substantial equity backing its assets.

Cash Flow

O-WELL CORPORATION's free cash flow growth rate is negative at -71.05%, but the company has a favorable operating cash flow to net income ratio of 0.35. The free cash flow to net income ratio stands at 0.26, indicating room for improvement in cash conversion.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	69.23B	69.42B	71.05B	64.33B	56.95B	54.62B
Gross Profit	8.76B	9.13B	8.68B	8.09B	7.12B	6.77B
EBITDA	1.31B	2.96B	2.58B	971.00M	483.00M	164.00M
Net Income	1.62B	1.78B	1.53B	650.00M	261.00M	398.00M
Balance Sheet
Total Assets	47.14B	45.82B	48.42B	45.47B	41.65B	44.56B
Cash, Cash Equivalents and Short-Term Investments	6.34B	6.54B	6.39B	4.36B	4.42B	6.07B
Total Debt	3.87B	3.76B	4.63B	4.36B	4.44B	4.29B
Total Liabilities	26.06B	24.28B	27.42B	26.15B	23.56B	24.37B
Stockholders Equity	20.92B	21.37B	20.85B	19.16B	17.96B	20.08B
Cash Flow
Free Cash Flow	0.00	471.00M	1.63B	224.00M	-1.58B	1.32B
Operating Cash Flow	0.00	624.00M	1.92B	563.00M	-1.18B	1.68B
Investing Cash Flow	0.00	1.04B	178.00M	-319.00M	-338.00M	164.00M
Financing Cash Flow	0.00	-1.57B	-121.00M	-332.00M	-205.00M	-238.00M

O-WELL CORPORATION Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 937.00
• 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:7670, the sentiment is Positive. The current price of 937 is above the 20-day moving average (MA) of 911.60, above the 50-day MA of 905.70, and above the 200-day MA of 906.54, indicating a bullish trend. The MACD of 10.57 indicates Negative momentum. The RSI at 65.45 is Neutral, neither overbought nor oversold. The STOCH value of 53.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7670.

O-WELL CORPORATION Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6554	78 Outperform	¥10.44B	12.35		2.60%	19.85%	78.11%
3353	74 Outperform	¥9.21B	8.78		0.38%	19.52%	-9.23%
7795	73 Outperform	¥7.69B	10.75		4.54%	0.83%	-20.99%
7670	73 Outperform	¥9.56B	5.39		3.74%	-2.30%	16.63%
3512	71 Outperform	¥8.05B	19.38		4.33%	-3.80%	-9.74%
3420	71 Outperform	¥11.57B	11.60		3.18%	4.00%	-15.26%
Sector *	58 Neutral	HK$13.95B	4.43	-3.01%	7.31%	3.67%	-54.16%