Tokyo Koki Co. Ltd. (7719) AI Stock Analysis

• Market Cap: ¥1.68B
• Dividend Yield: N/A
• Average Volume (3M): 293.46K
• Price to Earnings (P/E): 26.7
• Beta (1Y): 0.30
• Revenue Growth: 3.52%
• EPS Growth: -30.91%
• Country: JP
• Employees: 123
• Sector: Industrials
• Sector Strength: 84
• Industry: Industrial - Machinery
• EPS (TTM): 16.41
• Shares Outstanding: 7,133,791
• 10 Day Avg. Volume: 114,770
• 30 Day Avg. Volume: 293,456
• PEG Ratio: 0.00
• Price to Book (P/B): 0.83
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.37
• 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

• Rating: 61 Neutral
• Price Target: ¥253.00 ▲(7.20%Upside)

Tokyo Koki Co. Ltd. faces significant financial challenges, primarily with cash flow and profitability. Although technical indicators show some positive trends, the high P/E ratio raises valuation concerns. Addressing operational efficiencies and cash management issues is crucial for improving stock attractiveness.

Tokyo Koki Co. Ltd. Business Overview & Revenue Model

Company Description

Tokyo Koki Co. Ltd. is a Japanese company primarily engaged in the manufacturing sector. The company specializes in producing precision machinery and equipment, catering to various industrial applications. Their core products include a range of machine tools and related components, serving industries such as automotive, aerospace, and electronics manufacturing.

How the Company Makes Money

Tokyo Koki Co. Ltd. generates revenue through the sale of its precision machinery and equipment to industrial clients. The company's key revenue streams include the direct sale of machine tools, maintenance services, and spare parts. Additionally, the company may engage in partnerships with industrial clients for customized machinery solutions, further contributing to its earnings. Its revenue model relies on maintaining a strong reputation for quality and precision, which is critical in attracting and retaining industrial clients who demand high-performance equipment.

Tokyo Koki Co. Ltd. Financial Statement Overview

Summary

Tokyo Koki Co. Ltd. faces financial challenges characterized by a decline in revenue and volatile profitability. While the balance sheet is stable with manageable debt levels, the company struggles with cash flow generation, necessitating improvements in operational efficiency and cash management.

Income Statement

The company has shown inconsistent revenue trends, with significant decreases in the recent years. The gross profit margin remained relatively stable around 34%, but the net profit margin has been volatile due to fluctuations in net income. EBIT and EBITDA margins have suffered in recent periods, indicating operational challenges.

Balance Sheet

The balance sheet indicates moderate leverage with a debt-to-equity ratio around 0.5. However, the equity ratio has slightly decreased over time, suggesting increased liabilities. The return on equity is inconsistent, primarily due to varying net income results, posing potential risks to financial stability.

Cash Flow

Cash flow statements reveal a troubling trend with negative free cash flow in the most recent years. The operating cash flow to net income ratio indicates inefficiencies in converting income to cash. However, historical free cash flow was positive, suggesting past capability to generate cash, which needs to be restored.

Breakdown
TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
3.13B	3.48B	3.37B	3.05B	4.04B	8.32B
	Gross Profit
1.05B	1.20B	1.21B	1.07B	1.28B	1.28B
	EBIT
-91.73M	29.85M	132.76M	106.92M	198.00M	340.05M
	EBITDA
-43.30M	89.21M	252.33M	-632.67M	236.29M	402.56M
	Net Income Common Stockholders
-125.19M	62.94M	91.11M	-702.35M	121.55M	303.19M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
477.00M	494.58M	976.65M	693.23M	1.24B	990.90M
	Total Assets
3.40B	3.77B	3.66B	3.45B	4.40B	4.47B
	Total Debt
535.00M	842.03M	682.31M	636.85M	1.02B	901.21M
	Net Debt
58.00M	347.46M	-294.34M	-56.38M	-221.66M	-89.69M
	Total Liabilities
1.90B	2.15B	2.14B	2.03B	2.26B	2.43B
	Stockholders Equity
1.50B	1.62B	1.52B	1.42B	2.14B	2.04B
Cash Flow		Free Cash Flow
0.00	-855.68M	193.67M	-162.41M	66.89M	168.58M
	Operating Cash Flow
0.00	-809.73M	219.59M	-160.24M	217.31M	207.46M
	Investing Cash Flow
0.00	-47.51M	186.39M	-51.82M	-92.97M	-98.23M
	Financing Cash Flow
0.00	159.72M	35.43M	-383.14M	98.70M	-129.19M

Tokyo Koki Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 236.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7719, the sentiment is Neutral. The current price of 236 is below the 20-day moving average (MA) of 245.75, above the 50-day MA of 234.78, and above the 200-day MA of 201.19, indicating a neutral trend. The MACD of 1.60 indicates Positive momentum. The RSI at 45.95 is Neutral, neither overbought nor oversold. The STOCH value of 4.61 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7719.

Tokyo Koki Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6336	83 Outperform	¥5.24B	5.99		3.11%	0.55%	21.35%
6317	80 Outperform	¥13.29B	10.53		3.68%	-6.96%	-1.73%
6396	72 Outperform	¥3.18B	8.00		1.74%	-10.20%	-6.44%
6363	67 Neutral	¥47.25B	11.77		3.33%	6.66%	-34.80%
Sector *	66 Neutral	$4.44B	12.06	5.34%	6.22%	4.17%	-11.81%
7719	61 Neutral	¥1.68B	26.74		―	3.52%	-30.91%
6347	50 Neutral	¥1.85B	―		3.06%	-37.17%	-1132.44%