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

• Market Cap: ¥29.39B
• Dividend Yield: 3.96%
• Average Volume (3M): 7.16K
• Price to Earnings (P/E): 4.8
• Beta (1Y): 0.65
• Revenue Growth: 13.63%
• EPS Growth: 17.47%
• Country: JP
• Employees: 1,166
• Sector: Industrials
• Sector Strength: 72
• Industry: Rental & Leasing Services
• EPS (TTM): 118.54
• Shares Outstanding: 11,818,507
• 10 Day Avg. Volume: 4,600
• 30 Day Avg. Volume: 7,163
• PEG Ratio: 3.34
• Price to Book (P/B): 0.70
• Price to Sales (P/S): 0.17
• P/FCF Ratio: -635.10
• 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): 314.5
• Revenue Forecast (FY): ¥127.00B

• Rating: 79 Outperform
• Price Target: ¥3,033.00 ▲(33.61% Upside)
• Action: Reiterated Date: 02/11/26
• Date: Action: Reiterated 02/11/26

The score is driven primarily by strong financial performance (good growth and profitability with a stable balance sheet) and attractive valuation (low P/E and solid dividend yield). The main constraint is weaker cash flow quality and technically overextended momentum, which increases near-term pullback risk despite the broader uptrend.

Positive Factors

Consistent revenue growth

Sustained double-digit revenue growth (11.7% year-over-year) signals durable demand for Nihon Denkei's services. Over a 2–6 month horizon this supports recurring lease revenues, enables reinvestment in assets and services, and underpins longer-term planning and contract stability.

Negative Factors

Weak free cash flow

Negative free cash flow growth and declining operating cash flow reduce the company's ability to self-fund capex, pay down debt, or sustain dividends without external financing. Over months this can constrain strategic investments and raise refinancing or liquidity risks.

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

Company Description

Nihon 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 com...

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Nihon 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 com...

How the Company Makes Money

Nihon Denkei generates revenue through the production and sale of its electronic components and systems. Key revenue streams include direct sales to original equipment manufacturers (OEMs) and distributors, as well as contracts with large enterpri...

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Nihon Denkei generates revenue through the production and sale of its electronic components and systems. Key revenue streams include direct sales to original equipment manufacturers (OEMs) and distributors, as well as contracts with large enterpri...

Nihon Denkei Co., Ltd. Financial Statement Overview

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	123.65B	121.24B	108.54B	104.78B	91.86B	82.67B
Gross Profit	17.14B	16.93B	15.47B	13.79B	11.45B	9.69B
EBITDA	5.18B	5.54B	5.57B	4.71B	3.95B	2.59B
Net Income	2.63B	2.97B	2.95B	2.91B	2.25B	1.47B
Balance Sheet
Total Assets	63.51B	74.16B	66.06B	64.11B	56.64B	50.96B
Cash, Cash Equivalents and Short-Term Investments	6.61B	10.26B	7.90B	8.43B	8.17B	7.28B
Total Debt	16.52B	15.22B	12.51B	14.63B	11.95B	9.43B
Total Liabilities	33.85B	43.46B	37.86B	38.11B	32.85B	29.31B
Stockholders Equity	28.88B	29.89B	27.41B	25.23B	23.04B	20.83B
Cash Flow
Free Cash Flow	0.00	-32.90M	3.13B	-1.54B	-1.07B	4.06B
Operating Cash Flow	0.00	251.24M	3.60B	-96.77M	-539.21M	4.57B
Investing Cash Flow	0.00	309.92M	-764.62M	-1.24B	-280.79M	-311.41M
Financing Cash Flow	0.00	1.51B	-3.54B	1.45B	1.47B	-2.24B

Nihon Denkei Co., Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2270.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9908, the sentiment is Positive. The current price of 2270 is below the 20-day moving average (MA) of 2463.16, below the 50-day MA of 2479.33, and above the 200-day MA of 2163.06, indicating a bullish trend. The MACD of 3.79 indicates Negative momentum. The RSI at 52.99 is Neutral, neither overbought nor oversold. The STOCH value of 85.47 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9908.

Nihon Denkei Co., Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9908	79 Outperform	¥29.39B	4.79	―	3.96%	13.63%	17.47%
9699	79 Outperform	¥126.00B	9.20	―	2.85%	8.02%	4.39%
7081	76 Outperform	¥14.50B	7.37	―	3.03%	5.72%	60.38%
8596	68 Neutral	¥32.36B	8.57	―	4.66%	-13.01%	9.74%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
5834	58 Neutral	¥42.57B	6.79	―	3.90%	0.17%	58.30%