Shimadzu (7701) AI Stock Analysis

• Market Cap: $1.07T
• Dividend Yield: 1.71%
• Average Volume (3M): 843.86K
• Price to Earnings (P/E): 20.4
• Beta (1Y): 0.67
• Revenue Growth: 4.01%
• EPS Growth: -6.45%
• Country: JP
• Employees: 14,519
• Sector: Technology
• Sector Strength: 87
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 27.42
• Shares Outstanding: 296,070,250
• 10 Day Avg. Volume: 640,430
• 30 Day Avg. Volume: 843,860
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.85
• Enterprise Value/Revenue: 1.71
• Enterprise Value/Gross Profit: 3.97
• Enterprise Value/Ebitda: 9.93
• 1Y Price Target: $4,519.56
• Price Target Upside: 24.57% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 69 Neutral
• Price Target: ¥3,973.00 ▲(9.51% Upside)

Shimadzu's strong financial performance is the primary driver of its stock score, supported by solid revenue growth and financial stability. Technical indicators suggest moderate upward momentum, but valuation metrics indicate potential overvaluation, which tempers the overall score.

Shimadzu Business Overview & Revenue Model

Company Description

Shimadzu Corporation manufactures and sells analytical and measuring instruments, medical systems, industrial machinery, and aircraft equipment worldwide. Its analytical instruments include gas and liquid chromatography, gas and liquid chromatograph-mass spectrometry, data management and software, molecular spectroscopy, elemental analysis, surface analysis, life science lab instrument, total organic carbon analysis, continuous monitoring analysis, thermal analysis, particle size analysis, materials testing and inspection, non-destructive testing, and balance products. It provides medical systems comprising angiography, fluoroscopy, mobile C-arm, radiography, mobile X-ray systems, and fluorescence imaging products; consist of diffraction gratings, aspherical mirrors, laser mirrors and windows for high power lasers, polka-dot beam splitters, and precision refractometers. The company also offers industrial machinery, including turbo molecular pumps, helium leak detectors, sputtering system, multi deposition system, vacuum heat-treatment furnaces, liquid delivery equipment gear pumps, mechatronic systems glass fiber winders, liquid crystal injection system, and dynamic balancing machines. Further, it provides hydraulic equipment, such as hydraulic gear pumps, power packages, and multi control valves; and aircraft equipment, including electro-mechanical actuators, flight control systems, landing gear systems, and electro-mechanical actuators. Shimadzu Corporation was founded in 1875 and is headquartered in Kyoto, Japan.

How the Company Makes Money

Shimadzu Corporation generates revenue through the sale of its diverse range of products and solutions, predominantly in the analytical and measuring instruments sector. The company earns income from the sale of chromatography and spectrometry instruments, which are crucial for laboratories and research facilities. Additionally, its medical systems division contributes significantly to revenue by providing advanced diagnostic imaging equipment and services to healthcare institutions. Shimadzu also benefits from recurring revenues through maintenance services, technical support, and software updates for its equipment. Strategic partnerships and collaborations with research institutions and industry leaders further enhance revenue opportunities by driving innovation and expanding market reach.

Shimadzu Financial Statement Overview

Summary

Shimadzu demonstrates strong financial health with consistent revenue growth, robust profit margins, and effective cost management. The balance sheet is solid with low debt levels, and cash flow generation is healthy, supporting sustainable growth.

Income Statement

Shimadzu has shown consistent revenue growth with a notable increase in total revenue over recent years. The gross profit margin is strong, indicating efficient production and cost management. The net profit margin is healthy, reflecting solid profitability. EBIT and EBITDA margins are robust, suggesting effective operational management.

Balance Sheet

The company maintains a strong equity position relative to its total assets, leading to a favorable equity ratio. The debt-to-equity ratio is low, indicating prudent financial leverage. Return on equity is solid, demonstrating effective use of shareholder funds to generate profits.

Cash Flow

Shimadzu's cash flow from operations is strong and covers its capital expenditures, leading to positive free cash flow. The free cash flow growth rate is favorable, showing increasing cash generation. The operating cash flow to net income ratio is solid, indicating good cash conversion efficiency.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	539.05B	511.89B	482.24B	428.18B	393.50B
Gross Profit	234.44B	220.84B	200.96B	178.62B	156.19B
EBITDA	91.90B	95.81B	89.02B	82.55B	65.74B
Net Income	53.77B	57.04B	52.05B	47.29B	36.10B
Balance Sheet
Total Assets	672.18B	673.96B	618.87B	560.53B	497.46B
Cash, Cash Equivalents and Short-Term Investments	143.41B	165.28B	159.27B	157.97B	112.76B
Total Debt	11.75B	11.91B	11.27B	11.59B	10.26B
Total Liabilities	174.10B	181.63B	195.37B	179.37B	161.96B
Stockholders Equity	498.06B	492.33B	423.50B	381.16B	335.50B
Cash Flow
Free Cash Flow	36.90B	14.63B	31.46B	53.24B	50.49B
Operating Cash Flow	52.00B	30.13B	48.30B	63.37B	63.80B
Investing Cash Flow	-23.17B	-16.00B	-34.51B	-6.04B	-13.86B
Financing Cash Flow	-48.41B	-21.10B	-19.42B	-15.66B	-13.03B

Shimadzu Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3628.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7701, the sentiment is Positive. The current price of 3628 is below the 20-day moving average (MA) of 3634.40, above the 50-day MA of 3496.72, and below the 200-day MA of 3802.75, indicating a neutral trend. The MACD of 28.68 indicates Positive momentum. The RSI at 54.99 is Neutral, neither overbought nor oversold. The STOCH value of 44.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7701.

Shimadzu Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7701	69 Neutral	$1.07T	20.44	10.54%	1.71%	4.01%	-6.45%
Sector *	61 Neutral	$36.85B	12.13	-10.22%	1.85%	8.52%	-7.53%
HPHTF	―	$3.38B	36.58	4.46%	2.25%	―	―
HRIBF	―	$3.46B	14.33	11.91%	0.85%	―	―
OMRNF	―	$5.28B	24.18	4.20%	2.66%	―	―
TOPCF	―	$2.34B	758.46	-0.73%	0.61%	―	―
6951	78 Outperform	¥249.13B	12.83		1.88%	10.15%	-18.57%

Shimadzu Corporate Events

Shimadzu Corporation Reports Q1 2025 Financial Results with Mixed Performance

Shimadzu Corporation reported its consolidated financial results for the three months ending June 30, 2025, showing a slight increase in net sales by 1.2% year-on-year. However, the company experienced a decline in ordinary profit and profit attributable to owners of the parent by 17.3% and 20.7%, respectively. The financial results indicate challenges in maintaining profit margins despite increased sales, impacting the company’s short-term financial performance and potentially influencing its strategic decisions moving forward.

The most recent analyst rating on (JP:7701) stock is a Buy with a Yen5800.00 price target. To see the full list of analyst forecasts on Shimadzu stock, see the JP:7701 Stock Forecast page.