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LEC INC
(7874)
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Rating:63Neutral
Price Target:
¥1,007.00
▼(-8.20% Downside)
Action:Reiterated
Date:05/19/26
The score is driven primarily by improving financial performance (revenue growth with a latest-year profitability and cash-flow rebound) and supportive valuation (low P/E and a solid dividend). This is tempered by clear technical weakness (price below key moving averages with negative MACD and weak RSI), and balance-sheet leverage remains a key financial risk.
Positive Factors
Multi-year revenue growth
Consistent, multi-year revenue expansion from ¥49.7B to ¥68.3B demonstrates durable demand and an expanding market footprint. That steady top-line growth provides a structural base for investment, scale benefits, and ongoing earnings recovery even if near-term volatility appears.
Negative Factors
Moderate leverage
Debt-to-equity near 1.23 and a rising leverage trend reduce financial flexibility and increase refinancing and interest risks if profits weaken. Moderate leverage limits ability to absorb shocks, constrains discretionary spending, and raises the cost of pursuing growth or smoothing cyclicality.
Read all positive and negative factors
Positive Factors
Negative Factors
Multi-year revenue growth
Consistent, multi-year revenue expansion from ¥49.7B to ¥68.3B demonstrates durable demand and an expanding market footprint. That steady top-line growth provides a structural base for investment, scale benefits, and ongoing earnings recovery even if near-term volatility appears.
Read all positive factors
LEC INC (7874) vs. iShares MSCI Japan ETF (EWJ)
Market Cap
¥33.48B
Dividend Yield1.9%
Average Volume (3M)44.43K
Price to Earnings (P/E)10.6
Beta (1Y)0.56
Revenue Growth3.00%
EPS Growth74.62%
CountryJP
Employees956
SectorGeneral
Sector StrengthN/A
IndustryFurnishings, Fixtures & Appliances
Share Statistics
EPS (TTM)91.17
Shares Outstanding38,165,340
10 Day Avg. Volume47,380
30 Day Avg. Volume44,430
Financial Highlights & Ratios
PEG Ratio0.17
Price to Book (P/B)0.97
Price to Sales (P/S)0.53
P/FCF Ratio5.36
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
LEC INC Business Overview & Revenue Model
Company Description
LEC, Inc. operates as a Japanese manufacturer and international supplier of household goods. Its extensive product portfolio encompasses a diverse range of home essentials, including sanitary items for bathrooms, dressing rooms, and toilets; merch...
How the Company Makes Money
null...
LEC INC Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
58
Neutral
Cash Flow
64
Positive
| Breakdown | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 68.29B | 66.30B | 60.78B | 55.46B | 51.42B |
| Gross Profit | 20.69B | 17.45B | 16.19B | 14.60B | 16.72B |
| EBITDA | 7.20B | 6.28B | 6.11B | 5.77B | 6.89B |
| Net Income | 2.98B | 1.73B | 796.00M | 942.00M | 2.28B |
Balance Sheet | |||||
| Total Assets | 93.81B | 89.42B | 90.07B | 85.05B | 75.13B |
| Cash, Cash Equivalents and Short-Term Investments | 34.70B | 30.25B | 33.47B | 28.31B | 21.21B |
| Total Debt | 46.48B | 46.34B | 44.28B | 41.29B | 32.39B |
| Total Liabilities | 55.00B | 53.37B | 52.48B | 48.76B | 39.38B |
| Stockholders Equity | 37.69B | 34.64B | 35.77B | 34.64B | 34.18B |
Cash Flow | |||||
| Free Cash Flow | 6.81B | 2.72B | 3.21B | 685.00M | -5.08B |
| Operating Cash Flow | 9.03B | 4.21B | 5.94B | 3.37B | 3.35B |
| Investing Cash Flow | 2.50B | -10.76B | -2.25B | -7.42B | -9.59B |
| Financing Cash Flow | -1.11B | -251.00M | 2.25B | 6.85B | 3.55B |
LEC INC Technical Analysis
Neutral
1097.00
Price Trends
946.64
Positive
1037.76
Negative
1046.88
Negative
Market Momentum
5.26
Negative
56.02
Neutral
72.59
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7874, the sentiment is Neutral. The current price of 1097 is above the 20-day moving average (MA) of 943.45, above the 50-day MA of 946.64, and above the 200-day MA of 1046.88, indicating a neutral trend. The MACD of 5.26 indicates Negative momentum. The RSI at 56.02 is Neutral, neither overbought nor oversold. The STOCH value of 72.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:7874.
LEC INC Peers Comparison
UnderperformOutperform
Sector (55)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | ¥193.32B | 13.32 | ― | 3.41% | 3.85% | 41.80% | |
73 Outperform | ¥505.74B | 13.80 | 8.51% | 2.25% | 2.19% | 23.97% | |
73 Outperform | ¥33.77B | 9.80 | ― | 3.56% | 3.46% | 102.68% | |
73 Outperform | ¥174.10B | 12.04 | ― | 4.91% | 3.03% | 16.46% | |
67 Neutral | ¥18.86B | 8.61 | ― | 3.46% | 4.06% | 3.43% | |
63 Neutral | ¥33.48B | 10.57 | ― | 1.90% | 3.00% | 74.62% | |
55 Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
* General Sector Average
JP:7874
LEC INC
961.00
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-14.47%
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LEC INC Corporate Events
LEC Inc. Posts Strong Profit Growth and Hikes Dividend, Signals Modest FY2027 Gains
May 15, 2026
LEC Inc. reported consolidated net sales of ¥68.3 billion for the year ended March 31, 2026, a 3% rise year on year, while operating profit jumped 48.8% to ¥4.1 billion and profit attributable to owners surged 78.6% to ¥3.0 billion....
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.