TORQ, Inc. (8077) AI Stock Analysis

• Market Cap: ¥5.82B
• Dividend Yield: 2.55%
• Average Volume (3M): 27.08K
• Price to Earnings (P/E): 5.9
• Beta (1Y): 0.47
• Revenue Growth: 0.57%
• EPS Growth: 8.60%
• Country: JP
• Employees: 223
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Distribution
• EPS (TTM): 13.14
• Shares Outstanding: 28,007,448
• 10 Day Avg. Volume: 19,660
• 30 Day Avg. Volume: 27,080
• PEG Ratio: 0.69
• Price to Book (P/B): 0.41
• Price to Sales (P/S): 0.26
• P/FCF Ratio: 2.85
• 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: 64 Neutral
• Price Target: ¥251.00 ▲(6.81% Upside)

The overall stock score reflects a strong valuation with a low P/E ratio and good dividend yield, offset by bearish technical indicators. Financial performance is stable, but the lack of revenue growth and negative technical signals weigh on the score.

Positive Factors

Partnerships with Major Manufacturers

These partnerships enhance market reach and integration of products into vehicle designs, supporting long-term revenue stability and growth.

Sustainability Focus

Focusing on sustainable technologies positions the company well in the growing electric vehicle market, ensuring relevance and demand.

Improved Leverage Management

Better leverage management strengthens the balance sheet, enhancing financial stability and reducing risk over the long term.

Negative Factors

Declining Revenue Growth

A decline in revenue growth could indicate challenges in market expansion or product demand, potentially impacting future profitability.

Negative Cash Flow History

Past negative cash flows highlight the need for consistent cash generation, which is crucial for funding operations and growth initiatives.

Stable but Low Profit Margins

While margins have improved, they remain relatively low, which could limit the company's ability to reinvest in growth or weather economic downturns.

TORQ, Inc. Business Overview & Revenue Model

Company Description

TORQ, Inc. (8077) is a technology-driven company specializing in innovative solutions for the automotive and transportation sectors. The company focuses on developing advanced torque management systems and automation technologies that enhance vehicle performance, safety, and efficiency. With a commitment to sustainability, TORQ, Inc. also offers products that support the transition to electric and hybrid vehicles, positioning itself as a key player in the evolving automotive landscape.

How the Company Makes Money

TORQ, Inc. generates revenue primarily through the sale of its specialized torque management systems and related automotive technologies. The company has established key partnerships with major automotive manufacturers, allowing it to integrate its products into their vehicle designs. Additionally, TORQ, Inc. offers consulting services and technical support, which contribute to its revenue streams. The growing demand for electric and hybrid vehicle technologies further enhances its earnings potential, as the company develops tailored solutions for this market segment.

TORQ, Inc. Financial Statement Overview

Summary

TORQ, Inc. maintains a stable financial position with consistent profitability and improved leverage. The company has enhanced its margins and cash flow generation, although revenue growth has slightly declined.

Income Statement

TORQ, Inc. has demonstrated stable profitability with a consistent gross profit margin around 21-22% over the years. The net profit margin has improved to 4% in the latest year, indicating better cost management. However, the revenue growth rate has slightly declined by 1.96% in the latest period, which could be a concern if it continues. Overall, the company maintains healthy EBIT and EBITDA margins, reflecting operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved from 1.25 to 0.89, indicating better leverage management. Return on equity has remained stable around 6.3%, which is a positive sign of profitability. The equity ratio is solid, suggesting a strong capital structure. However, the company should continue to monitor its debt levels to maintain financial stability.

Cash Flow

TORQ, Inc. has shown significant improvement in cash flow management, with a positive operating cash flow and free cash flow in the latest year. The free cash flow to net income ratio is nearly 1, indicating efficient cash conversion. However, the company experienced negative cash flow in previous years, which highlights the need for consistent cash flow generation.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	22.99B	22.54B	22.41B	21.76B	20.48B	19.25B
Gross Profit	5.06B	4.73B	5.07B	4.91B	4.57B	4.02B
EBITDA	1.71B	1.86B	1.87B	1.84B	1.18B	582.16M
Net Income	970.05M	904.88M	895.48M	845.38M	532.24M	258.95M
Balance Sheet
Total Assets	33.37B	34.04B	33.68B	32.69B	31.12B	28.44B
Cash, Cash Equivalents and Short-Term Investments	3.05B	3.63B	2.77B	3.24B	1.78B	2.37B
Total Debt	13.00B	12.80B	13.28B	13.27B	13.76B	11.55B
Total Liabilities	19.89B	19.75B	20.41B	20.35B	20.08B	17.82B
Stockholders Equity	13.48B	14.29B	13.27B	12.34B	11.04B	10.62B
Cash Flow
Free Cash Flow	0.00	2.06B	-67.78M	1.77B	-2.03B	-2.65B
Operating Cash Flow	0.00	2.06B	-20.03M	1.87B	-869.95M	-28.65M
Investing Cash Flow	0.00	-191.03M	78.05M	-61.15M	-1.70B	-3.17B
Financing Cash Flow	0.00	-781.72M	-508.98M	-634.42M	2.06B	3.20B

TORQ, Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 235.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8077, the sentiment is Negative. The current price of 235 is below the 20-day moving average (MA) of 244.55, below the 50-day MA of 250.00, and below the 200-day MA of 247.84, indicating a bearish trend. The MACD of -4.77 indicates Positive momentum. The RSI at 28.90 is Positive, neither overbought nor oversold. The STOCH value of 15.79 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:8077.

TORQ, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7417	77 Outperform	¥18.51B	9.52	―	3.81%	-4.72%	-10.50%
8147	76 Outperform	¥6.76B	9.68	―	1.69%	11.54%	33.71%
9986	69 Neutral	¥14.30B	18.60	―	4.00%	-1.00%	-14.87%
8077	64 Neutral	¥5.82B	5.89	―	2.55%	0.57%	8.60%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
8089	63 Neutral	¥22.76B	6.61	―	3.55%	12.31%	90.88%
7624	59 Neutral	¥7.89B	24.41	―	2.78%	1.08%	82.69%

TORQ, Inc. Corporate Events

TORQ, Inc. Reports Increased Sales and Profits for Nine Months Ending July 2025

TORQ, Inc. reported its consolidated financial results for the nine months ended July 31, 2025, showing a year-on-year increase in net sales by 3.5% to ¥17,169 million and a significant rise in operating profit by 33.5% to ¥872 million. The company’s equity-to-asset ratio improved slightly to 40.4%, indicating a stable financial position. Despite a decrease in comprehensive income, the company maintained its dividend forecast, reflecting confidence in its fiscal stability.

The most recent analyst rating on (JP:8077) stock is a Buy with a Yen285.00 price target. To see the full list of analyst forecasts on TORQ, Inc. stock, see the JP:8077 Stock Forecast page.