Yashima & Co. Ltd. (7677) AI Stock Analysis

• Market Cap: ¥7.40B
• Dividend Yield: 0.89%
• Average Volume (3M): 316.00
• Price to Earnings (P/E): 8.6
• Beta (1Y): 0.19
• Revenue Growth: 14.92%
• EPS Growth: -140.85%
• Country: JP
• Employees: 250
• Sector: Industrials
• Sector Strength: 72
• Industry: Railroads
• EPS (TTM): 85.62
• Shares Outstanding: 2,880,000
• 10 Day Avg. Volume: 80
• 30 Day Avg. Volume: 316
• PEG Ratio: 0.06
• Price to Book (P/B): 0.71
• Price to Sales (P/S): 0.23
• P/FCF Ratio: 18.03
• 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: 61 Neutral
• Price Target: ¥3,158.00 ▲(5.27% Upside)
• Action: Reiterated Date: 12/30/25
• Date: Action: Reiterated 12/30/25

The score is held back primarily by weak financial performance (recent operating and net losses despite revenue growth) and a negative P/E, which outweigh the positives. Offsetting factors include a very conservative, low-debt balance sheet and improving (but still volatile) cash generation, plus supportive technical momentum with the stock trading above key moving averages.

Positive Factors

Conservative balance sheet

Extremely low leverage and a sizable equity base give the company resilience to economic downturns and funding stress. This financial conservatism preserves optionality for multi‑year capital spending, strategic investments or restructuring without forcing dilutive financing, supporting durable operational continuity.

Top-line rebound

A renewed revenue rebound signals recovering demand or improved pricing/volume, which is fundamental to restoring profitability over time. Sustained top‑line growth can leverage fixed-cost structure in rail operations, improving throughput economics and creating a path to margin recovery if maintained across quarters.

Improving cash generation

Positive operating and free cash flow after prior negatives enhances the firm's ability to self‑fund maintenance capex, service obligations and modest shareholder returns. Durable cash generation reduces dependency on external financing and supports gradual reinvestment to drive long‑term operational stability.

Negative Factors

Profitability deterioration

A swing to operating and net losses indicates structural pressure on margins or costs that revenue growth has not absorbed. Persistent unprofitability undermines reinvestment capacity, erodes retained earnings, and may force management to choose between cutting investment, raising capital or sacrificing shareholder distributions over the medium term.

Inconsistent cash conversion

High variability in operating and free cash flow creates uncertainty for capital planning and weakens the reliability of internal funding for capex or dividends. Over time, inconsistent cash conversion complicates strategic execution, increases financing risk and limits the firm's ability to commit to multi‑year investments.

Negative returns on equity

Negative ROE means shareholders' capital is not generating positive returns despite a strong equity base. Over the medium term, failure to translate capital strength into returns may pressure management to change strategy, curtail payouts or undertake value‑dilutive actions to restore profitability and shareholder value.

Yashima & Co. Ltd. Business Overview & Revenue Model

Company Description

Yashima & Co.,Ltd. engages in the sale, maintenance, and import/export of railway related products and electronic parts for industrial machines in Japan and internationally. The company operates through two segments, Railway Business and General Business. It offers tachometer generators, connectors, optical harness, sensors, door switches, terminal boards, power supply devices, polycarbonate window units, compressors for air-conditioning, brake-parts, wheelsets, wipers, flooring materials, and other electrical and mechanical parts and maintenance equipment. The company sells its products to railway operators, railway vehicle manufacturers, manufacturers of electrical components for railway vehicles and body equipment, industrial equipment manufacturers, electric power equipment manufacturers, automotive manufacturers, and commercial equipment mail order business operators. Yashima & Co.,Ltd. was incorporated in 1948 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Yashima & Co. Ltd. generates revenue through the distribution and sale of industrial machinery and electrical equipment. The company sources these products from various manufacturers and distributes them to businesses across different sectors. Its revenue model is primarily based on wholesale transactions, leveraging its extensive network and expertise in logistics to facilitate the distribution process. Significant partnerships with manufacturers and industry stakeholders enhance its ability to offer a diverse product range, while its established market presence ensures steady demand from industrial clients.

Yashima & Co. Ltd. Financial Statement Overview

Summary

Mixed fundamentals: revenue rebounded, and operating/free cash flow turned positive in the latest year, but profitability deteriorated sharply with an operating loss and net loss and weaker margins. Balance sheet strength is a clear positive (very low leverage), but returns are currently negative.

Income Statement

Revenue rebounded in the latest annual period (2025-03-31) with solid growth versus the prior year, but profitability deteriorated sharply: the company swung to an operating loss and a net loss after being profitable in 2024. Gross margin also compressed versus 2024, signaling weaker pricing/mix or higher costs. Overall, the top line is improving, but earnings are volatile and recently negative.

Balance Sheet

The balance sheet appears conservative, with extremely low leverage (very low debt relative to equity) and a sizable equity base versus total assets. The key weakness is returns: the latest annual period shows negative return on equity due to the net loss, highlighting that strong capitalization is not currently translating into shareholder profitability.

Cash Flow

Cash generation improved in the latest annual period, with positive operating cash flow and positive free cash flow after prior years that included negative operating and free cash flow. However, cash flow strength is inconsistent across the history, and the latest year’s operating cash flow is much lower than the strong level seen in 2024, indicating uneven cash conversion and higher variability in underlying cash earnings.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	30.75B	29.05B	27.73B	25.52B	28.29B	31.83B
Gross Profit	3.79B	3.63B	3.97B	3.51B	3.75B	3.76B
EBITDA	-395.96M	-442.89M	685.09M	-105.99M	640.65M	739.76M
Net Income	-272.75M	-508.98M	392.48M	-259.10M	301.43M	279.36M
Balance Sheet
Total Assets	22.71B	25.33B	25.07B	21.82B	24.26B	23.68B
Cash, Cash Equivalents and Short-Term Investments	10.65B	11.57B	11.28B	7.98B	9.24B	10.65B
Total Debt	21.47M	17.05M	0.00	0.00	0.00	0.00
Total Liabilities	13.19B	15.96B	15.29B	12.66B	14.92B	14.69B
Stockholders Equity	9.53B	9.37B	9.78B	9.17B	9.34B	8.99B
Cash Flow
Free Cash Flow	0.00	371.13M	3.34B	-1.23B	-1.53B	672.69M
Operating Cash Flow	0.00	430.45M	3.39B	-1.21B	-1.50B	709.15M
Investing Cash Flow	0.00	-114.18M	-45.60M	545.37M	-469.84M	-120.47M
Financing Cash Flow	0.00	-77.87M	-71.48M	-60.46M	-71.00M	-70.84M

Yashima & Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3000.00
• 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:7677, the sentiment is Negative. The current price of 3000 is above the 20-day moving average (MA) of 2818.60, above the 50-day MA of 2885.94, and above the 200-day MA of 2721.98, indicating a bearish trend. The MACD of -48.47 indicates Positive momentum. The RSI at 33.24 is Neutral, neither overbought nor oversold. The STOCH value of 14.64 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7677.

Yashima & Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9074	77 Outperform	¥16.67B	8.84	―	1.96%	5.60%	13.64%
9017	72 Outperform	¥8.22B	7.03	―	0.47%	3.15%	4.75%
9049	71 Outperform	¥14.83B	7.70	―	0.26%	1.75%	-8.92%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
7677	61 Neutral	¥7.40B	8.56	―	0.89%	14.92%	-140.85%
9046	59 Neutral	¥20.04B	9.88	―	0.81%	1.24%	19.78%
9012	54 Neutral	¥3.12B	14.00	―	―	9.04%	―