Misumi Group (9962) AI Stock Analysis

• Market Cap: ¥735.05B
• Dividend Yield: 1.72%
• Average Volume (3M): 1.22M
• Price to Earnings (P/E): 21.9
• Beta (1Y): 0.86
• Revenue Growth: 6.28%
• EPS Growth: 2.62%
• Country: JP
• Employees: 11,039
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Tools & Accessories
• EPS (TTM): 24.78
• Shares Outstanding: 285,144,500
• 10 Day Avg. Volume: 1,160,950
• 30 Day Avg. Volume: 1,215,083
• PEG Ratio: 0.58
• Price to Book (P/B): 1.95
• Price to Sales (P/S): 1.70
• P/FCF Ratio: 15.17
• 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: ¥2,186.92
• Price Target Upside: 0.18% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 123.69
• Revenue Forecast (FY): ¥429.44B

• Rating: 77 Outperform
• Price Target: ¥2,690.00 ▲(23.22% Upside)

Misumi Group's strong financial performance and positive technical indicators are the primary drivers of its overall score. The company's robust profitability and stable balance sheet are significant strengths. However, the high P/E ratio suggests potential overvaluation, and the decline in free cash flow growth is a concern.

Positive Factors

Business Model Strength

Misumi's extensive catalog and focus on standardization streamline production for manufacturers, reinforcing its market position and customer reliance.

Balance Sheet Health

A low debt-to-equity ratio indicates strong financial health, providing stability and flexibility for future investments and growth.

Revenue Growth Trends

Consistent revenue growth suggests sustained demand for Misumi's products, supporting long-term business viability and market presence.

Negative Factors

Decline in Free Cash Flow

A decline in free cash flow may challenge Misumi's ability to fund operations and investments, potentially impacting future growth and financial flexibility.

Free Cash Flow Management

While the ratio is solid, the decline in free cash flow suggests potential inefficiencies in cash management that could affect long-term financial health.

Earnings Growth

Relatively low EPS growth may indicate challenges in scaling profitability, potentially impacting investor confidence and future earnings potential.

Misumi Group Business Overview & Revenue Model

Company Description

MISUMI Group Inc. engages in the factory automation and die components businesses worldwide. The company operates through three segments: FA Business, Die Components Business, and VONA Business. It offers mechanical components, including shafts, timing pulleys, linear bushings, and flat belt conveyors; and locator devices and measurement equipment, such as automatic stage units, actuators, optical measurement devices, and optical waveguide alignment products. The company also provides s metal press/plastic mold components comprising punches, button dies, guide pins, gas springs, ejector pins, sprue bushings, parting lock sets, and taper pins. In addition, it distributes sensors and switches, couplings, screws, bolts, nuts, castors, connectors, switches, cables, transformers, end mills, hexagonal wrenches, milling chips, calipers, carts, work gloves, parts cleaners, and laboratory equipment and supplies. MISUMI Group Inc. was incorporated in 1963 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Misumi Group generates revenue through the sale of its extensive range of mechanical components and industrial equipment. The company's revenue model is primarily based on direct sales to manufacturers, where they offer both standard and custom parts. A significant portion of their earnings comes from their online platform, which allows customers to configure and order components efficiently. Additionally, Misumi benefits from partnerships with manufacturers and suppliers, enhancing its product offerings and distribution capabilities. The company also focuses on providing value-added services, such as design support and rapid prototyping, which further contribute to its revenue streams.

Misumi Group Financial Statement Overview

Summary

Misumi Group demonstrates strong operational efficiency and financial stability with healthy margins and low leverage. However, the company faces challenges with declining revenue and free cash flow growth, which could impact future profitability and liquidity.

Income Statement

The income statement shows a strong gross profit margin of 46.23% TTM, indicating efficient cost management. However, the net profit margin has decreased to 8.59% TTM, reflecting a decline in profitability. The revenue growth rate is negative at -4% TTM, suggesting a contraction in sales. Despite these challenges, the EBIT and EBITDA margins remain healthy at 11.15% and 15.48% TTM, respectively, showcasing operational efficiency.

Balance Sheet

The balance sheet is robust with a low debt-to-equity ratio of 0.024 TTM, indicating minimal leverage and financial risk. The return on equity is solid at 9.93% TTM, reflecting effective use of equity to generate profits. The equity ratio stands at 83.19% TTM, highlighting a strong equity base relative to total assets, which enhances financial stability.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth by -6.53% TTM, indicating potential liquidity challenges. However, the operating cash flow to net income ratio is healthy at 1.06 TTM, suggesting good cash generation relative to earnings. The free cash flow to net income ratio is 0.75 TTM, showing a reasonable conversion of earnings into free cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	409.78B	401.99B	367.65B	373.15B	366.16B	310.72B
Gross Profit	189.21B	186.99B	167.38B	171.08B	166.86B	134.88B
EBITDA	60.28B	65.79B	56.93B	63.20B	66.57B	38.53B
Net Income	32.34B	36.55B	28.15B	34.28B	37.56B	17.14B
Balance Sheet
Total Assets	425.76B	419.57B	413.52B	378.46B	347.39B	288.92B
Cash, Cash Equivalents and Short-Term Investments	105.37B	159.30B	148.85B	119.56B	108.89B	72.43B
Total Debt	8.20B	7.54B	6.82B	7.68B	7.18B	4.08B
Total Liabilities	68.63B	67.51B	65.84B	64.24B	67.43B	55.35B
Stockholders Equity	355.96B	350.95B	346.60B	313.27B	279.16B	232.93B
Cash Flow
Free Cash Flow	32.38B	45.03B	36.59B	17.82B	38.88B	22.48B
Operating Cash Flow	46.63B	60.46B	54.57B	31.45B	55.39B	36.49B
Investing Cash Flow	-46.15B	-32.45B	-19.00B	-19.03B	-22.76B	-7.07B
Financing Cash Flow	-26.64B	-31.76B	-18.97B	-11.17B	-9.61B	-5.53B

Misumi Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2183.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9962, the sentiment is Positive. The current price of 2183 is below the 20-day moving average (MA) of 2274.52, below the 50-day MA of 2304.28, and below the 200-day MA of 2194.35, indicating a bullish trend. The MACD of 39.49 indicates Negative momentum. The RSI at 75.48 is Negative, neither overbought nor oversold. The STOCH value of 88.16 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9962.

Misumi Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6101	79 Outperform	¥127.76B	10.40	―	2.18%	25.95%	66.92%
6136	79 Outperform	$210.15B	14.36	7.86%	2.48%	0.57%	4.54%
9962	77 Outperform	¥735.05B	21.89	9.10%	1.72%	6.28%	2.62%
6278	76 Outperform	¥144.60B	25.76	―	1.12%	29.51%	48.81%
6474	74 Outperform	€95.02B	21.51	2.64%	2.31%	-4.11%	46.76%
6480	71 Outperform	¥49.24B	23.91	―	3.06%	8.75%	177.16%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

Misumi Group Corporate Events

Misumi Group Revises Dividend Forecast Amid Strategic Growth Focus

Misumi Group Inc. announced an interim dividend distribution and revised its year-end dividend forecast, reflecting a strategic focus on balancing growth investments with shareholder returns. The company aims to enhance long-term corporate value by improving capital efficiency and expanding its equity spread, with an annual dividend expected to be 43.64 yen per share.

MISUMI Group Revises Fiscal Year 2026 Forecast Upwards

MISUMI Group Inc. has revised its full-year consolidated business forecast for the fiscal year ending March 2026, reflecting a positive adjustment in sales and income projections. The revision is attributed to the steady performance of Fictiv Inc., a recent consolidation, and favorable foreign exchange trends, despite challenges in the automotive sector due to U.S. tariffs and economic uncertainties in Japan and Europe.

Misumi Group Reports Mixed Financial Results for First Half of 2025

Misumi Group Inc. reported its consolidated financial results for the six months ending September 30, 2025, showing a 3.9% increase in net sales to 205,814 million yen compared to the previous year. However, the company experienced declines in operating income, ordinary income, and net income attributable to owners of the parent, with decreases of 16.1%, 19.1%, and 23.1% respectively. Despite these declines, the company maintained a strong equity ratio of 83.3%. The report also noted significant changes in the scope of consolidation with the inclusion of nine new companies, including Fictiv Inc. The company has revised its financial forecasts for the fiscal year ending March 31, 2026, projecting a 7.5% increase in net sales but a decrease in operating and ordinary income.