Makita (MKTAY) AI Stock Analysis

• Market Cap: $9.23B
• Dividend Yield: 1.44%
• Average Volume (3M): 557.00
• Price to Earnings (P/E): 16.6
• Beta (1Y): 0.57
• Revenue Growth: -0.92%
• EPS Growth: 70.75%
• Country: US
• Employees: 17,641
• Sector: Industrials
• Sector Strength: 73
• Industry: Manufacturing - Tools & Accessories
• EPS (TTM): 0.48
• Shares Outstanding: 280,017,550
• 10 Day Avg. Volume: 630
• 30 Day Avg. Volume: 557
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.74
• Enterprise Value/Revenue: <0.01
• Enterprise Value/Gross Profit: 0.02
• Enterprise Value/Ebitda: 0.05
• 1Y Price Target: $36.00
• Price Target Upside: 5.23% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: $36.00 ▲(5.23% Upside)

Makita is well-positioned with strong financial performance and favorable technical indicators. Despite some cash flow volatility, the company's stable valuation metrics support its growth potential.

Makita Business Overview & Revenue Model

Company Description

Makita Corporation (MKTAY) is a leading global manufacturer of power tools, outdoor power equipment, and accessories. Based in Japan, the company operates primarily in the construction, woodworking, and gardening sectors, providing a wide range of high-quality products designed for professional and industrial applications. Makita's core offerings include electric tools, cordless tools, and various equipment for cutting, drilling, and fastening, catering to both professionals and DIY enthusiasts.

How the Company Makes Money

Makita generates revenue through the sale of its extensive lineup of power tools and outdoor equipment. The company's primary revenue streams include direct sales to distributors, retailers, and end-users, as well as international exports. The company also benefits from a strong brand reputation, which allows it to maintain premium pricing for its products. Additionally, Makita's ongoing investment in research and development enables the introduction of innovative technologies and products, further driving sales. Partnerships with construction companies and collaborations with retailers enhance its market reach and distribution capabilities, contributing to its overall earnings.

Makita Financial Statement Overview

Summary

Makita's financial health is robust, with strong revenue growth and efficient operations. The company's profitability metrics are commendable, and its balance sheet reflects financial stability with a strong equity base. Cash flow generation is solid, though historical fluctuations suggest potential volatility.

Income Statement

Makita has shown strong revenue growth, with a 2.84% increase from 2024 to 2025, and an impressive gross profit margin of 36.04% for 2025. The net profit margin for 2025 stands at 10.53%, reflecting efficient cost management. EBIT and EBITDA margins are solid at 14.21% and 19.15% respectively, indicating robust operational performance. However, the slight decrease in revenue from 2023 to 2024 suggests some volatility in revenue growth.

Balance Sheet

The company maintains a strong equity position with an equity ratio of 83.70% in 2025, indicating financial stability. The debt-to-equity ratio is low at 0.01, reflecting conservative leverage. Return on equity is healthy at 8.57%, though there is room for improvement. The balance sheet shows a consistent increase in total assets, supporting future growth potential.

Cash Flow

Makita has achieved a substantial operating cash flow to net income ratio of 1.64 in 2025, demonstrating strong cash generation capability. The free cash flow grew by 19.32% from 2024 to 2025, highlighting effective cash management. Free cash flow to net income ratio is impressive at 1.64, ensuring sufficient liquidity for operations and investments. However, fluctuations in cash flow from prior years indicate potential volatility in cash generation.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	751.90B	753.13B	741.39B	764.70B	739.26B	608.33B
Gross Profit	272.92B	271.43B	223.94B	188.75B	228.32B	203.05B
EBITDA	139.83B	144.25B	99.74B	54.13B	112.73B	104.95B
Net Income	82.41B	79.34B	43.69B	11.71B	64.77B	62.02B
Balance Sheet
Total Assets	1.11T	1.11T	1.06T	1.10T	1.01T	812.88B
Cash, Cash Equivalents and Short-Term Investments	292.94B	292.94B	215.21B	162.72B	71.06B	148.64B
Total Debt	10.15B	10.15B	19.89B	203.62B	96.46B	16.45B
Total Liabilities	174.03B	174.03B	180.60B	323.65B	254.97B	149.55B
Stockholders Equity	926.01B	926.01B	868.16B	769.25B	746.34B	657.86B
Cash Flow
Free Cash Flow	121.06B	129.87B	219.24B	5.34B	-163.60B	14.68B
Operating Cash Flow	140.37B	129.87B	237.09B	44.43B	-103.66B	64.54B
Investing Cash Flow	-30.68B	-37.87B	-25.62B	-37.68B	-27.89B	-42.91B
Financing Cash Flow	-36.34B	-33.55B	-191.28B	80.97B	52.63B	-23.04B

Makita Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 34.21
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MKTAY, the sentiment is Positive. The current price of 34.21 is below the 20-day moving average (MA) of 34.56, above the 50-day MA of 32.48, and above the 200-day MA of 31.08, indicating a neutral trend. The MACD of 0.34 indicates Positive momentum. The RSI at 54.03 is Neutral, neither overbought nor oversold. The STOCH value of 17.23 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MKTAY.

Makita Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SNA	78 Outperform	$17.15B	17.52	18.18%	2.60%	-0.76%	-2.62%
LECO	78 Outperform	$13.48B	27.48	37.35%	1.21%	0.24%	0.05%
MKTAY	76 Outperform	$9.23B	16.65	9.22%	1.44%	-0.92%	70.75%
TKR	72 Outperform	$5.42B	17.69	10.52%	1.77%	-2.01%	-9.95%
TTC	72 Outperform	$7.99B	24.76	21.85%	1.84%	0.78%	-13.62%
SWK	69 Neutral	$12.14B	24.87	5.38%	4.20%	-2.71%	―
Sector *	64 Neutral	$10.73B	15.74	7.63%	2.01%	2.75%	-15.09%