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

• Market Cap: ¥7.30B
• Dividend Yield: 0.89%
• Average Volume (3M): 316.00
• Price to Earnings (P/E): 8.6
• Beta (1Y): 0.23
• 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: 16.14
• 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: 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: ¥2,737.00 ▼(-8.77% Downside)
• 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

Very low leverage and a sizable equity base provide durable financial flexibility, lowering bankruptcy risk and enabling the company to fund operations or opportunistic investments during downturns. This conservatism supports long-term resilience and optionality for strategic moves.

Revenue rebound

A clear rebound in revenue signals recovering demand or improved commercial execution, offering a foundation for restoring margins and profits over time. Sustainable top-line growth is key to leveraging fixed infrastructure and scaling returns in the railroads industry.

Improved cash generation

Return to positive operating and free cash flow demonstrates the business can convert revenue into internally generated funds, enabling capex, maintenance, and gradual debt avoidance. Consistent cash conversion would materially strengthen long-term funding capacity.

Negative Factors

Recent operating and net losses

Shifting from profit to operating and net losses undermines return generation and restricts retained earnings for reinvestment or dividends. Persisting losses can erode stakeholder confidence and hamper the firm's ability to fund growth without using reserves or raising fresh capital.

Inconsistent cash flow history

Volatile cash conversion complicates long-term planning, capital budgeting, and service of obligations. Inconsistency raises forecasting risk for investors and management, and reduces the reliability of internal funding for maintenance and strategic initiatives in a capital-intensive sector.

Margin pressure and negative returns

Compressed gross margins and negative ROE indicate pricing, cost, or mix pressures that impair profitability. If structural, these trends limit the company's ability to generate sustainable returns on its sizable equity base and weaken long-term shareholder value creation.

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

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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	-433.59M	-610.00M	444.84M	160.61M	463.43M	612.41M
Net Income	-273.19M	-509.64M	392.48M	-259.10M	301.43M	279.36M
Balance Sheet
Total Assets	22.71B	25.39B	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	21.14M	17.05M	0.00	0.00	0.00	0.00
Total Liabilities	13.19B	16.03B	15.29B	12.66B	14.92B	14.69B
Stockholders Equity	9.53B	9.36B	9.78B	9.17B	9.34B	8.99B
Cash Flow
Free Cash Flow	0.00	414.59M	3.39B	-1.22B	-1.50B	702.29M
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: Negative
• RSI: Neutral
• STOCH: Neutral

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 2631.90, above the 50-day MA of 2796.22, and above the 200-day MA of 2728.66, indicating a bearish trend. The MACD of -75.93 indicates Negative momentum. The RSI at 42.16 is Neutral, neither overbought nor oversold. The STOCH value of 61.21 is Neutral, 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
9049	80 Outperform	¥15.41B	7.70	―	0.26%	1.75%	-8.92%
9017	72 Outperform	¥7.78B	7.03	―	0.47%	3.15%	4.75%
9033	65 Neutral	¥19.07B	-109.80	―	1.33%	1.70%	1841.47%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
7677	61 Neutral	¥7.30B	8.56	―	0.89%	14.92%	-140.85%
9046	59 Neutral	¥20.07B	9.88	―	0.81%	1.24%	19.78%
9012	51 Neutral	¥3.16B	14.00	―	―	9.04%	―