Kanaden Corporation (8081) AI Stock Analysis

• Market Cap: ¥48.21B
• Dividend Yield: 3.48%
• Average Volume (3M): 43.25K
• Price to Earnings (P/E): 13.3
• Beta (1Y): 0.80
• Revenue Growth: 18.42%
• EPS Growth: 51.06%
• Country: JP
• Employees: 880
• Sector: Industrials
• Sector Strength: 72
• Industry: Conglomerates
• EPS (TTM): 31.81
• Shares Outstanding: 22,500,000
• 10 Day Avg. Volume: 23,590
• 30 Day Avg. Volume: 43,246
• PEG Ratio: 0.61
• Price to Book (P/B): 0.71
• Price to Sales (P/S): 0.27
• P/FCF Ratio: 7.18
• 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: 78 Outperform
• Price Target: ¥2,394.00 ▲(11.66% Upside)
• Action: Reiterated Date: 10/23/25
• Date: Action: Reiterated 10/23/25

Kanaden Corporation's overall stock score is driven by strong financial performance and positive technical indicators. The company's robust balance sheet and consistent revenue growth are significant strengths. Technical analysis supports a bullish outlook, with the stock trading above key moving averages. The valuation is reasonable, with an attractive dividend yield. These factors collectively contribute to a favorable stock score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion and stability.

Balance Sheet Health

A strong balance sheet with low debt enhances financial stability, providing flexibility for strategic investments and weathering economic fluctuations.

Cash Flow Management

Effective cash flow management ensures the company can fund operations, invest in growth opportunities, and return value to shareholders, supporting long-term sustainability.

Negative Factors

Cash Flow Volatility

Volatile cash flows can hinder the company's ability to consistently fund operations and investments, potentially impacting long-term growth and stability.

Net Profit Margin

Improving net profit margins is crucial for enhancing profitability, as it reflects the company's ability to manage costs and maximize earnings from revenue.

Stockholders' Equity Decrease

A decrease in stockholders' equity may signal challenges in retaining earnings or managing financial resources, potentially affecting long-term financial health.

Kanaden Corporation Business Overview & Revenue Model

Company Description

Kanaden Corporation operates as an electronics technology trading company in Japan and internationally. It provides FA control components, including sequencers, inverters, AC servos, robots, and other control and drive systems; FA sensors; breakers, magnets, measuring instruments and transformers, and measuring devices; electrical discharge and laser processing machines; industrial measuring instruments; and wattmeters, waveform measuring instruments, and direct current power supplies. The company also offers power generators, uninterrupted power supplies, lithium ion storage batteries, and other optimal systems; elevators and escalators; building management systems; photovoltaic generation systems; LED lighting products; air conditioning systems for stores, offices, factories, and warehouses; and refrigeration and cold storage equipment, and showcases. In addition, it provides electrical drive and control components, braking and safety devices, and in-train information display and air conditioning systems for rolling stock and other vehicles; receiving substation and station power distribution facilities, train radio systems, and other information and communication equipment; wireless microphones, photovoltaic generation systems, wind power generators, and LED lighting products for use in railway stations; LED traffic lights and road lighting fixtures; and photovoltaic generation systems and chargers for electric vehicles. Further, it offers power semiconductors and network ICs; interface connectors and TFT liquid crystal panel modules; security systems; LED display systems for indoor use and disaster prevention signage systems; and radiotherapy systems and other medical equipment. The company was formerly known as Kanagawa Electric Co., Ltd. and changed its name to Kanaden Corporation in October 1990. Kanaden Corporation was founded in 1907 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Kanaden Corporation generates revenue through the sale of electronic components and systems to various industries. Its primary revenue streams include direct sales of products, ongoing service contracts, and maintenance agreements for the systems it installs. The company benefits from significant partnerships with leading manufacturers of electronic components, which allows them to offer a wide portfolio of products. Additionally, Kanaden engages in value-added services, such as system integration and consulting, which further contribute to its earnings. The company's strong presence in the industrial automation sector, combined with its focus on innovative technology solutions, positions it well for sustained revenue growth.

Kanaden Corporation Financial Statement Overview

Summary

Kanaden Corporation demonstrates solid financial health with stable revenue growth and a strong balance sheet. The income statement shows consistent revenue growth, and the balance sheet is robust with low debt levels. However, cash flow performance, while generally positive, shows some inconsistencies that may pose risks.

Income Statement

Kanaden Corporation's revenue has shown consistent growth over the years, with a notable increase from 116.3 billion to 125.7 billion yen in the most recent year. The Gross Profit Margin remains healthy, supported by stable EBIT and EBITDA margins. However, the Net Profit Margin indicates some room for improvement in operational efficiency.

Balance Sheet

The company's balance sheet is robust, with significant stockholders' equity and a low debt-to-equity ratio thanks to minimal total debt. The equity ratio is strong, reflecting a solid financial foundation, though there is a slight decrease in stockholders' equity over the years.

Cash Flow

Kanaden Corporation’s cash flow statement reveals a strong free cash flow growth, supported by positive operating cash flows. The Free Cash Flow to Net Income ratio indicates effective cash management, yet fluctuations in operating cash flow over the years suggest potential volatility.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	132.83B	125.67B	116.27B	106.42B	100.83B	108.23B
Gross Profit	17.53B	17.33B	17.31B	16.23B	14.63B	14.06B
EBITDA	6.52B	6.53B	5.44B	4.73B	3.49B	3.93B
Net Income	3.90B	3.94B	3.47B	2.90B	1.92B	2.32B
Balance Sheet
Total Assets	80.08B	89.08B	85.60B	83.29B	78.55B	77.30B
Cash, Cash Equivalents and Short-Term Investments	19.99B	16.72B	17.05B	15.34B	19.37B	17.16B
Total Debt	569.00M	77.00M	836.00M	60.00M	87.00M	91.00M
Total Liabilities	32.58B	41.09B	37.39B	38.92B	32.98B	32.78B
Stockholders Equity	47.50B	47.99B	48.04B	44.38B	45.57B	44.52B
Cash Flow
Free Cash Flow	0.00	4.77B	3.46B	-1.09B	3.15B	-580.00M
Operating Cash Flow	0.00	5.11B	3.81B	-348.00M	3.61B	-19.00M
Investing Cash Flow	0.00	-1.91B	-731.00M	102.00M	-511.00M	778.00M
Financing Cash Flow	0.00	-3.99B	-977.00M	-4.38B	-1.05B	-3.06B

Kanaden Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2144.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8081, the sentiment is Positive. The current price of 2144 is below the 20-day moving average (MA) of 2259.90, below the 50-day MA of 2206.70, and above the 200-day MA of 2024.57, indicating a bullish trend. The MACD of 40.04 indicates Negative momentum. The RSI at 61.40 is Neutral, neither overbought nor oversold. The STOCH value of 77.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8081.

Kanaden Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8081	78 Outperform	¥48.21B	13.27	―	3.48%	18.42%	51.06%
8157	75 Outperform	¥68.06B	11.93	―	2.82%	-5.63%	52.73%
8070	74 Outperform	¥26.39B	5.86	―	3.66%	-18.88%	42.17%
8014	73 Outperform	¥115.42B	11.31	―	3.74%	-2.33%	-16.42%
8020	73 Outperform	¥408.28B	12.68	―	3.13%	1.50%	9.82%
8057	68 Neutral	¥109.09B	9.68	―	2.91%	31.48%	83.15%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Kanaden Corporation Corporate Events

Kanaden lifts nine-month sales and profit, keeps full-year forecast and higher dividend on track

Kanaden Corporation reported strong consolidated results for the nine months ended December 31, 2025, with net sales up 23.7% year on year to ¥98.2 billion and operating profit rising 24.6% to ¥2.5 billion, while profit attributable to owners of parent increased 4.3% to ¥1.9 billion. The company’s equity ratio improved to 58.5% as total assets declined modestly, and comprehensive income more than tripled, highlighting a healthier balance sheet and earnings recovery after a weaker prior-year period.

The distributor maintained its dividend stance, having already raised the interim dividend to ¥36 per share and keeping its full-year dividend forecast at ¥72, signaling confidence in cash generation. For the full fiscal year ending March 31, 2026, Kanaden left its guidance unchanged, projecting net sales of ¥135 billion and a 26.7% increase in operating profit, even as it anticipates a slight dip in full-year profit attributable to owners of parent, suggesting ongoing investment, portfolio shifts or other factors that may temper bottom-line growth for shareholders.

The most recent analyst rating on (JP:8081) stock is a Buy with a Yen2600.00 price target. To see the full list of analyst forecasts on Kanaden Corporation stock, see the JP:8081 Stock Forecast page.

Kanaden Replaces Resigning Outside Auditor With Experienced Independent Board Member

Kanaden Corporation announced that outside Audit & Supervisory Board Member Keiji Uchida resigned from his position on February 2, 2026 for personal reasons, which temporarily reduced the number of board auditors below the statutory minimum. To maintain legal compliance and governance continuity, substitute Audit & Supervisory Board Member Chieko Ogawa, a certified public accountant and tax accountant with extensive experience in corporate auditing and outside directorships, assumed the role of outside Audit & Supervisory Board Member on the same day and is expected to be designated as an independent officer under Tokyo Stock Exchange rules, reinforcing the company’s audit structure and independent oversight for shareholders and other stakeholders.

The most recent analyst rating on (JP:8081) stock is a Buy with a Yen2540.00 price target. To see the full list of analyst forecasts on Kanaden Corporation stock, see the JP:8081 Stock Forecast page.

Kanaden Lifts Nine-Month Sales and Profit, Confirms Full-Year Outlook and Higher Dividend

Kanaden Corporation reported strong consolidated results for the nine months ended December 31, 2025, with net sales up 23.7% year-on-year to ¥98.2 billion, operating profit rising 24.6% to ¥2.5 billion, and profit attributable to owners of parent increasing 4.3% to ¥1.9 billion. The company’s equity ratio improved to 58.5%, and net assets per share increased, reflecting a stronger balance sheet following the finalization of accounting for a recent business combination. Kanaden maintained its full-year forecast for the fiscal year ending March 31, 2026, projecting net sales of ¥135.0 billion and operating profit of ¥5.7 billion, while expecting a slight decline in full-year profit attributable to owners of parent, and confirmed a higher dividend payout plan of ¥72 per share for the year, signaling continued shareholder returns alongside profit growth in its core operations.

The most recent analyst rating on (JP:8081) stock is a Buy with a Yen2540.00 price target. To see the full list of analyst forecasts on Kanaden Corporation stock, see the JP:8081 Stock Forecast page.