Mabuchi Motor Co (MBUMY) AI Stock Analysis

• Market Cap: $2.36B
• Dividend Yield: 1.72%
• Average Volume (3M): 0.00
• Price to Earnings (P/E): 34.2
• Beta (1Y): 0.23
• Revenue Growth: 1.59%
• EPS Growth: 38.15%
• Country: US
• Employees: 18,032
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Parts
• EPS (TTM): 0.13
• Shares Outstanding: 260,649,840
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: -1.45
• Price to Book (P/B): 1.91
• Price to Sales (P/S): 3.11
• P/FCF Ratio: 15.20
• Enterprise Value/Market Cap: 168.60
• Enterprise Value/Revenue: 2.03
• Enterprise Value/Gross Profit: 6.99
• Enterprise Value/Ebitda: 11.41
• 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: 71 Outperform
• Price Target: $9.50 ▲(2.37% Upside)

Mabuchi Motor Co's stock score is primarily driven by its strong financial performance, characterized by robust revenue growth, effective cost management, and solid cash flow generation. However, the high P/E ratio and modest dividend yield suggest a relatively expensive valuation, which tempers the overall score. Technical indicators are neutral, indicating no clear momentum in the stock price.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for products and effective market penetration, supporting long-term business expansion.

Balance Sheet Strength

A strong balance sheet with low leverage enhances financial stability and provides flexibility for strategic investments and growth.

Cash Flow Management

Efficient cash flow management ensures the company can sustain operations, invest in growth opportunities, and return value to shareholders.

Negative Factors

Decline in Net Income

A decline in net income may indicate challenges in cost management or market conditions, potentially impacting profitability and investor confidence.

Earnings Volatility

Significant earnings volatility can undermine investor confidence and affect the company's ability to plan and execute long-term strategies.

Profit Margin Pressure

Pressure on profit margins may limit the company's ability to reinvest in growth and innovation, affecting competitive positioning over time.

Mabuchi Motor Co Business Overview & Revenue Model

Company Description

Mabuchi Motor Co., Ltd. engages in the manufacture and sale of small electric motors. It provides motors for use in automotive products, home appliances, power tools, housing equipment, office equipment, health and medical care products, light electric vehicles, collaborative robots, and personal care products. The company sells its products in Japan, Europe, China, the Asia Pacific, and the Americas. Mabuchi Motor Co., Ltd. was incorporated in 1926 and is headquartered in Matsudo, Japan.

How the Company Makes Money

Mabuchi Motor generates revenue primarily through the sale of its electric motors to a wide array of industries. The company operates on a business-to-business (B2B) model, with key revenue streams including direct sales to manufacturers of consumer electronics, automotive components, and industrial machinery. Mabuchi's motors are critical components in products such as power tools, toys, and household appliances, providing consistent demand. Additionally, the company benefits from long-term partnerships and contracts with major players in its target markets, which help ensure a steady flow of orders and contribute to its financial stability. Mabuchi also invests in research and development to innovate and improve motor technology, keeping it competitive in the marketplace and allowing for potential expansion into new sectors.

Mabuchi Motor Co Financial Statement Overview

Summary

Mabuchi Motor Co presents a strong overall financial position with robust revenue growth, effective cost management, and solid cash flow generation. The balance sheet strength is notable, with low leverage and high equity levels, minimizing financial risk. Potential areas of concern include the recent decline in net income, requiring close monitoring.

Income Statement

Mabuchi Motor Co has demonstrated strong revenue growth with a 9.83% increase from the previous year. The gross profit margin is healthy at 26.94%, and the net profit margin is solid at 6.54%. The EBIT margin of 11.03% and EBITDA margin of 18.27% indicate strong operational efficiency. However, the net income has decreased compared to the prior year, which could be a concern.

Balance Sheet

The company exhibits a robust balance sheet with a low debt-to-equity ratio of 0.002, indicating minimal leverage. A high equity ratio of 90.03% suggests strong solvency. ROE is reasonable at 4.01%, reflecting effective use of equity to generate profits. The company maintains a strong liquidity position with significant cash reserves.

Cash Flow

Mabuchi Motor Co shows excellent cash flow management with a strong free cash flow, significantly improved from prior periods. The operating cash flow to net income ratio is high at 3.13, demonstrating efficient cash conversion. Free cash flow to net income ratio stands at 3.13, indicating solid cash generation capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	195.86B	196.21B	178.66B	156.71B	134.59B	116.43B
Gross Profit	56.86B	52.88B	44.15B	37.46B	36.41B	34.86B
EBITDA	34.83B	35.85B	28.37B	22.52B	23.77B	21.84B
Net Income	9.27B	12.83B	19.42B	14.29B	14.25B	8.99B
Balance Sheet
Total Assets	334.03B	354.99B	336.61B	307.78B	285.70B	262.56B
Cash, Cash Equivalents and Short-Term Investments	125.78B	134.94B	116.60B	103.11B	105.50B	111.52B
Total Debt	1.77B	517.00M	830.00M	1.11B	122.00M	380.00M
Total Liabilities	30.39B	35.37B	31.57B	27.61B	25.80B	23.46B
Stockholders Equity	303.63B	319.62B	305.03B	280.17B	259.91B	239.10B
Cash Flow
Free Cash Flow	0.00	40.13B	18.73B	-267.00M	-879.00M	11.01B
Operating Cash Flow	0.00	40.13B	31.74B	10.21B	8.74B	18.74B
Investing Cash Flow	0.00	-15.75B	-15.61B	-10.47B	-12.97B	-5.30B
Financing Cash Flow	0.00	-16.18B	-11.85B	-10.09B	-11.29B	-10.95B

Mabuchi Motor Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.28
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MBUMY, the sentiment is Positive. The current price of 9.28 is above the 20-day moving average (MA) of 9.22, above the 50-day MA of 8.95, and above the 200-day MA of 8.10, indicating a bullish trend. The MACD of 0.10 indicates Positive momentum. The RSI at 52.81 is Neutral, neither overbought nor oversold. The STOCH value of 45.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MBUMY.

Mabuchi Motor Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DORM	75 Outperform	$3.87B	15.70	18.19%	―	7.94%	34.84%
LEA	75 Outperform	$6.44B	15.26	8.96%	2.63%	-1.90%	-13.86%
VC	73 Outperform	$2.71B	8.94	23.16%	0.57%	-4.03%	-39.51%
MBUMY	71 Outperform	$2.36B	34.17	3.00%	1.72%	1.59%	38.15%
SMP	65 Neutral	$845.21M	12.51	10.49%	3.32%	23.96%	11.01%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
DAN	55 Neutral	$3.12B	60.41	-4.82%	1.70%	-18.23%	―