tiprankstipranks
Trending News
More News >
Nihon Denkei Co., Ltd. (JP:9908)
:9908
Japanese Market
Advertisement

Nihon Denkei Co., Ltd. (9908) AI Stock Analysis

Compare
0 Followers

Top Page

JP:9908

Nihon Denkei Co., Ltd.

(9908)

Select Model
Select Model
Select Model
Outperform 74 (OpenAI - 4o)
Rating:74Outperform
Price Target:
¥2,299.00
▲(12.09% Upside)
Nihon Denkei Co., Ltd. scores well due to strong financial performance and attractive valuation metrics, including a low P/E ratio and high dividend yield. However, the technical analysis indicates neutral momentum, which slightly tempers the overall score. The absence of earnings call data and corporate events does not impact the score.

Nihon Denkei Co., Ltd. (9908) vs. iShares MSCI Japan ETF (EWJ)

Nihon Denkei Co., Ltd. Business Overview & Revenue Model

Company DescriptionNihon Denkei Co.,Ltd. trades in electronic measuring instruments in Japan and internationally. The company manufactures, distributes, leases, and rents electronic measuring instruments, system equipment, electronic parts, etc. It also provides communication measuring instruments, computers and computer supplies, automate and labor-saving machines, physics and chemistry measuring equipment, industrial application instruments, production process measuring instruments, environmental testing instruments, photonic measuring instruments, educational laboratory equipment, power supplies, electronic components, and mechanical parts. In addition, the company plans, designs, and manufactures software products and testing jigs; and rents and leases measuring instruments and used goods. Further, it is involved in contracting business, including earthworks, steel structural constructions, and interior finishing works. Nihon Denkei Co.,Ltd. was founded in 1950 and is headquartered in Tokyo, Japan.
How the Company Makes MoneyNihon Denkei Co., Ltd. generates revenue through the sale and distribution of electronic measuring instruments. The company's key revenue streams include direct sales to businesses across different industries such as telecommunications, automotive, and healthcare. It also earns income from providing after-sales support and maintenance services, ensuring long-term customer satisfaction and repeat business. Strategic partnerships with leading manufacturers and suppliers of electronic measurement tools contribute significantly to its earnings by enabling Nihon Denkei to offer a wide range of products and maintain competitive pricing. Additionally, the company may engage in collaborative research and development projects, enhancing its product offerings and market presence.

Nihon Denkei Co., Ltd. Financial Statement Overview

Summary
Nihon Denkei Co., Ltd. exhibits strong financial health with consistent revenue and profit growth, supported by efficient operational performance and a solid balance sheet. However, cash flow management poses some challenges, requiring attention to improve liquidity and ensure sustainable growth.
Income Statement
85
Very Positive
Nihon Denkei Co., Ltd. demonstrates strong income statement performance with consistent revenue growth, indicated by a revenue growth rate of 11.70% from 2024 to 2025. The company maintains a healthy gross profit margin of 13.97% in 2025, slightly improved from the previous year. Net profit margin remains stable at 2.45%, showcasing reliable profitability. EBIT and EBITDA margins are robust at 3.91% and 4.57%, respectively, reflecting effective cost management and operational efficiency.
Balance Sheet
78
Positive
The balance sheet exhibits strong equity support with a debt-to-equity ratio of 0.51 in 2025, indicating moderate leverage. Return on equity is healthy at 9.95%, demonstrating effective use of shareholder funds. The equity ratio of 40.30% reflects a stable capital structure. However, total debt levels have increased, which could pose potential risks if not managed carefully.
Cash Flow
70
Positive
Cash flow performance shows some challenges, with a decline in operating cash flow and negative free cash flow growth. The free cash flow to net income ratio is negative, indicating insufficient cash generation to cover net income. However, the operating cash flow to net income ratio is slightly positive, suggesting operational activities still contribute to cash flow generation.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue123.65B121.24B108.54B104.78B91.86B82.67B
Gross Profit17.14B16.93B15.47B13.79B11.45B9.69B
EBITDA5.18B5.54B5.57B4.71B3.95B2.59B
Net Income2.63B2.97B2.95B2.91B2.25B1.47B
Balance Sheet
Total Assets63.51B74.16B66.06B64.11B56.64B50.96B
Cash, Cash Equivalents and Short-Term Investments6.61B10.26B7.90B8.43B8.17B7.28B
Total Debt16.52B15.22B12.51B14.63B11.95B9.43B
Total Liabilities33.85B43.46B37.86B38.11B32.85B29.31B
Stockholders Equity28.88B29.89B27.41B25.23B23.04B20.83B
Cash Flow
Free Cash Flow0.00-32.90M3.13B-1.54B-1.07B4.06B
Operating Cash Flow0.00251.24M3.60B-96.77M-539.21M4.57B
Investing Cash Flow0.00309.92M-764.62M-1.24B-280.79M-311.41M
Financing Cash Flow0.001.51B-3.54B1.45B1.47B-2.24B

Nihon Denkei Co., Ltd. Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price2051.00
Price Trends
50DMA
2047.55
Positive
100DMA
2046.44
Positive
200DMA
1914.61
Positive
Market Momentum
MACD
9.11
Negative
RSI
48.77
Neutral
STOCH
19.28
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9908, the sentiment is Neutral. The current price of 2051 is above the 20-day moving average (MA) of 2050.88, above the 50-day MA of 2047.55, and above the 200-day MA of 1914.61, indicating a neutral trend. The MACD of 9.11 indicates Negative momentum. The RSI at 48.77 is Neutral, neither overbought nor oversold. The STOCH value of 19.28 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:9908.

Nihon Denkei Co., Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
¥46.11B9.306.85%3.96%-9.58%13.22%
75
Outperform
¥45.93B6.7510.27%3.83%7.39%-46.08%
74
Outperform
¥24.11B8.884.25%14.39%-4.41%
74
Outperform
¥886.28B10.708.26%3.71%2.26%9.98%
71
Outperform
¥11.03B8.417.24%4.11%9.16%6.01%
70
Outperform
¥389.85B7.999.52%3.52%-3.25%1.65%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:9908
Nihon Denkei Co., Ltd.
2,051.00
380.83
22.80%
JP:8424
Fuyo General Lease Co., Ltd.
4,254.00
687.57
19.28%
JP:8439
Tokyo Century Corporation
1,804.00
240.58
15.39%
JP:9619
ICHINEN HOLDINGS CO., LTD.
1,965.00
163.91
9.10%
JP:9763
Marubeni Construction Material Lease Co., Ltd.
3,310.00
560.98
20.41%
JP:9991
Gecoss Corporation
1,366.00
514.07
60.34%
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.Date of analysis: Sep 12, 2025