Murata Manufacturing Co (MRAAY) AI Stock Analysis

• Market Cap: $41.65B
• Dividend Yield: 1.51%
• Average Volume (3M): 289.91K
• Price to Earnings (P/E): 28.3
• Beta (1Y): 1.21
• Revenue Growth: 3.70%
• EPS Growth: 30.64%
• Country: US
• Employees: 72,572
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 0.15
• Shares Outstanding: 3,926,003,700
• 10 Day Avg. Volume: 262,061
• 30 Day Avg. Volume: 289,911
• PEG Ratio: 0.60
• Price to Book (P/B): 1.68
• Price to Sales (P/S): 2.48
• P/FCF Ratio: 16.09
• Enterprise Value/Market Cap: 0.58
• Enterprise Value/Revenue: 0.01
• Enterprise Value/Gross Profit: 0.03
• Enterprise Value/Ebitda: 0.05
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: $12.50 ▲(25.00% Upside)

Murata Manufacturing Co's stock is supported by strong financial stability and bullish technical indicators. However, the high P/E ratio suggests potential overvaluation, and challenges in revenue growth and cash flow generation could impact future performance. Investors should monitor these areas closely.

Murata Manufacturing Co Business Overview & Revenue Model

Company Description

Murata Manufacturing Co., Ltd. designs, manufactures, and sells ceramic-based passive electronic components and solutions in Japan and internationally. It operates through Components, Modules, and Others segments. The company offers capacitors, inductors, noise suppression products/EMI suppression filters/ESD protection devices, resistors, thermistors, sensors, timing devices, quartz devices, sound components, power products, batteries, micro mechatronics, RFID devices, matching devices, baluns, couplers, filters, phase shifters, RF switches, front-end modules, SAW components, connectors, antennas, connectivity modules, wireless connectivity platforms, ionizers/active oxygen modules, and transformers. It also provides mercury-free silver watch battery; and Femtet, a CAE software that solves various physical phenomena. The company offers its products for use in communications equipment, mobility, enterprise system, industrial, healthcare and medical, and personal electronics applications. Murata Manufacturing Co., Ltd. was founded in 1944 and is headquartered in Nagaokakyo, Japan.

How the Company Makes Money

Murata generates revenue through the sale of its electronic components and modules, which are integral to the functioning of a multitude of electronic devices. The company's revenue model is primarily based on the sale of products directly to manufacturers in sectors like consumer electronics, automotive, and telecommunications. Key revenue streams include passive components, sensors, and power supply modules. Additionally, Murata benefits from partnerships with major technology and automotive companies, which often require high-quality electronic components for their products. The company also invests in research and development to innovate and expand its product offerings, ensuring that it remains competitive in a rapidly evolving technology landscape.

Murata Manufacturing Co Financial Statement Overview

Summary

Murata Manufacturing Co demonstrates strong profitability and financial stability, with healthy margins and low leverage. However, the company faces significant challenges in revenue growth and free cash flow generation. Overall, the financial position is solid, but attention to revenue and cash flow trends is necessary to maintain long-term growth.

Income Statement

Murata Manufacturing Co shows strong profitability with a consistent gross profit margin around 41% and a net profit margin of 13.4% in the TTM. However, the company faces challenges with revenue growth, experiencing a significant decline of 31.9% in the TTM. Despite this, EBIT and EBITDA margins remain healthy, indicating operational efficiency.

Balance Sheet

The balance sheet is robust with a low debt-to-equity ratio of 0.023, reflecting minimal leverage and financial stability. Return on equity is solid at 9.05%, showcasing effective use of equity to generate profits. The equity ratio is strong, indicating a well-capitalized company with a high proportion of equity financing.

Cash Flow

Cash flow analysis reveals a mixed picture. While the operating cash flow to net income ratio is strong at 1.67, indicating good cash generation relative to profits, the free cash flow growth rate is negative at -5.24% in the TTM. The free cash flow to net income ratio of 0.59 suggests moderate cash conversion efficiency.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.74T	1.74T	1.64T	1.69T	1.81T	1.63T
Gross Profit	720.91B	717.70B	636.80B	675.85B	768.23B	622.20B
EBITDA	477.60B	473.70B	418.49B	473.47B	588.60B	459.88B
Net Income	217.17B	233.82B	180.84B	243.95B	314.12B	237.06B
Balance Sheet
Total Assets	2.93T	3.03T	3.04T	2.87T	2.81T	2.46T
Cash, Cash Equivalents and Short-Term Investments	557.14B	675.83B	641.54B	467.09B	572.91B	450.80B
Total Debt	60.38B	59.99B	105.94B	157.51B	144.11B	182.71B
Total Liabilities	414.71B	448.22B	482.29B	498.36B	564.09B	540.62B
Stockholders Equity	2.52T	2.58T	2.56T	2.36T	2.24T	1.92T
Cash Flow
Free Cash Flow	254.78B	268.97B	253.41B	86.33B	270.93B	173.69B
Operating Cash Flow	433.41B	451.90B	489.64B	276.28B	421.46B	373.57B
Investing Cash Flow	-180.07B	-208.07B	-214.34B	-157.85B	-212.30B	-150.28B
Financing Cash Flow	-235.04B	-242.73B	-165.32B	-173.71B	-117.50B	-118.19B

Murata Manufacturing Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 10.00
• 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 MRAAY, the sentiment is Positive. The current price of 10 is below the 20-day moving average (MA) of 10.21, above the 50-day MA of 9.55, and above the 200-day MA of 8.11, indicating a neutral trend. The MACD of 0.23 indicates Positive momentum. The RSI at 49.65 is Neutral, neither overbought nor oversold. The STOCH value of 11.75 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MRAAY.

Murata Manufacturing Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TEL	79 Outperform	$72.46B	39.98	14.78%	1.15%	8.94%	-39.90%
APH	77 Outperform	$163.71B	44.58	34.78%	0.51%	47.37%	72.30%
MRAAY	76 Outperform	$41.65B	28.29	8.66%	1.51%	3.70%	30.64%
GRMN	74 Outperform	$37.34B	23.92	19.66%	1.69%	16.56%	3.19%
FTV	72 Outperform	$16.39B	29.46	7.79%	0.47%	-8.96%	-30.29%
CGNX	66 Neutral	$6.16B	56.79	7.21%	0.88%	10.23%	25.53%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Murata Manufacturing Co Corporate Events

Murata Manufacturing Reports Modest Growth Amid Challenges

Murata Manufacturing Co., Ltd. is a leading Japanese company specializing in the development, manufacture, and sale of electronic components and related products, with a significant presence in the global electronics market.