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Mitsubishi Electric (MIELY)
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Mitsubishi Electric (MIELY) AI Stock Analysis

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MIELY

Mitsubishi Electric

(OTC:MIELY)

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Outperform 71 (OpenAI - 5.2)
Rating:71Outperform
Price Target:
$85.00
â–²(41.53% Upside)
Action:ReiteratedDate:02/05/26
The score is driven primarily by strong financial quality—especially a conservative balance sheet and improving margins—tempered by cash-flow volatility. Technicals are supportive with a clear uptrend, but elevated RSI suggests near-term momentum is stretched. Valuation is a mild headwind given the higher P/E and low dividend yield.
Positive Factors
Conservative balance sheet / low leverage
Very low trailing leverage (D/E ~0.09) and a growing equity base provide durable financial flexibility to fund capex, absorb large-project timing shocks, and support strategic investments or buybacks without pressure from creditors. This underpins long-term resilience and credit stability.
Negative Factors
Volatile free cash flow and negative recent FCF growth
Intermittent FCF volatility and recent negative TTM FCF growth reduce confidence in predictable shareholder returns and constrain discretionary spending. Project timing and capex swings can force management to prioritize liquidity over strategic initiatives, slowing long-term investment and returns.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet / low leverage
Very low trailing leverage (D/E ~0.09) and a growing equity base provide durable financial flexibility to fund capex, absorb large-project timing shocks, and support strategic investments or buybacks without pressure from creditors. This underpins long-term resilience and credit stability.
Read all positive factors

Mitsubishi Electric (MIELY) vs. SPDR S&P 500 ETF (SPY)

Mitsubishi Electric Business Overview & Revenue Model

Company Description
Mitsubishi Electric Corporation develops, manufactures, distributes, and sells electrical and electronic equipment worldwide. The company offers turbine generators, hydraulic turbine generators, nuclear power plant and power electronics equipment,...
How the Company Makes Money
Mitsubishi Electric generates revenue through multiple streams, primarily from the sale of its diverse range of products and solutions across different sectors. Key revenue streams include industrial automation systems, which encompass factory aut...

Mitsubishi Electric Earnings Call Summary

Earnings Call Date:Feb 03, 2026
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Apr 28, 2026
Earnings Call Sentiment Positive
The earnings call highlighted a strong quarter for Mitsubishi Electric, with record-breaking revenue and profit, improved margins, and solid performance in key segments like Infrastructure and Life. However, the Industry & Mobility and Semiconductor & Device segments faced challenges, with declines in performance. Despite these challenges, the positive aspects, including the impact of the weaker yen and increased free cash flow, suggest a generally positive outlook.
Positive Updates
Record-Breaking Revenue and Operating Profit
Both revenue and operating profit for the third quarter reached record highs, with revenue amounting to JPY 1,356.7 billion and operating profit at JPY 126.8 billion, surpassing previous records even when excluding gains from MD LOGIS share sales.
Negative Updates
Decline in Industry & Mobility Segment
This segment experienced decreases in both revenue and operating profit, primarily due to weaker demand in the FA Systems and Automotive Equipment businesses.
Read all updates
Q3-2025 Updates
Negative
Record-Breaking Revenue and Operating Profit
Both revenue and operating profit for the third quarter reached record highs, with revenue amounting to JPY 1,356.7 billion and operating profit at JPY 126.8 billion, surpassing previous records even when excluding gains from MD LOGIS share sales.
Read all positive updates
Company Guidance
In the third quarter of fiscal year 2025, Mitsubishi Electric reported record-high revenues of JPY 1,356.7 billion and an operating profit of JPY 126.8 billion, reflecting the impact of a weaker yen and sales growth in Infrastructure and Life segments. Excluding a JPY 24 billion gain from the sale of MD LOGIS shares, the operating margin improved by 0.6 percentage points to 7.6%. The nine-month cumulative figures also reached record highs with revenue at JPY 4.3 trillion and operating profit at JPY 303.5 billion. Despite cost increases in parts, materials, and logistics, the company managed to improve profitability through price adjustments and efficiency efforts. The full-year forecast anticipates JPY 5.4 trillion in revenue, up JPY 10 billion from previous projections, with operating profit expected to remain at JPY 400 billion. The Industry & Mobility segment faced declines, but these were offset by strong performances in other segments. Mitsubishi Electric continues to optimize inventory and enhance financial performance through strategic measures.

Mitsubishi Electric Financial Statement Overview

Summary
Strong overall fundamentals with improving profitability (TTM gross margin ~33.6%, net margin ~6.6%) and consistent multi-year revenue growth. Balance sheet is a key strength with very low leverage (TTM D/E ~0.09) and improving ROE (~9.3% TTM). Main constraint is cash-flow consistency: free cash flow is positive but volatile, with negative TTM FCF growth and a prior negative FCF year.
Income Statement
78
Positive
Balance Sheet
86
Very Positive
Cash Flow
67
Positive
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue5.70T5.52T5.26T5.00T4.48T4.19T
Gross Profit1.86T1.69T1.55T1.41T1.26T1.17T
EBITDA649.29B673.09B450.87B476.19B458.86B443.51B
Net Income376.22B324.08B284.95B213.91B203.48B193.13B
Balance Sheet
Total Assets6.66T6.38T6.17T5.58T5.11T4.80T
Cash, Cash Equivalents and Short-Term Investments719.73B823.04B817.78B706.82B789.31B819.06B
Total Debt355.68B360.66B394.64B400.76B329.46B365.43B
Total Liabilities2.36T2.30T2.30T2.22T2.01T1.93T
Stockholders Equity4.16T3.95T3.74T3.24T2.98T2.75T
Cash Flow
Free Cash Flow309.38B229.83B206.47B-8.85B126.31B353.76B
Operating Cash Flow484.04B455.90B415.48B166.71B282.37B542.12B
Investing Cash Flow-201.05B-191.75B-94.12B-148.53B-114.87B-176.55B
Financing Cash Flow-332.93B-265.33B-240.12B-119.57B-241.32B-157.35B

Mitsubishi Electric Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price60.06
Price Trends
50DMA
69.18
Negative
100DMA
63.72
Positive
200DMA
56.09
Positive
Market Momentum
MACD
-1.32
Positive
RSI
43.79
Neutral
STOCH
32.36
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MIELY, the sentiment is Neutral. The current price of 60.06 is below the 20-day moving average (MA) of 67.53, below the 50-day MA of 69.18, and above the 200-day MA of 56.09, indicating a neutral trend. The MACD of -1.32 indicates Positive momentum. The RSI at 43.79 is Neutral, neither overbought nor oversold. The STOCH value of 32.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for MIELY.

Mitsubishi Electric Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
$26.28B26.6525.00%1.18%0.82%16.05%
78
Outperform
$6.54B15.1016.61%0.67%6.17%20.86%
77
Outperform
$19.08B23.3219.60%0.84%5.31%5.76%
77
Outperform
$99.97B46.4040.26%0.11%28.76%76.31%
74
Outperform
$8.14B23.8615.71%0.18%13.14%-6.09%
71
Outperform
$67.87B21.039.29%1.05%5.32%41.12%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
MIELY
Mitsubishi Electric
64.72
33.81
109.40%
AYI
Acuity Brands
265.39
38.59
17.01%
ENS
EnerSys
177.35
96.98
120.67%
HUBB
Hubbell B
494.25
181.24
57.90%
NVT
nVent Electric
117.96
72.19
157.71%
VRT
Vertiv Holdings
261.29
197.55
309.92%
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: Feb 05, 2026