Yaskawa Electric (YASKY) AI Stock Analysis

• Market Cap: $8.66B
• Dividend Yield: 1.21%
• Average Volume (3M): 500.00
• Price to Earnings (P/E): 34.7
• Beta (1Y): 0.87
• Revenue Growth: -1.13%
• EPS Growth: 30.96%
• Country: US
• Employees: 13,010
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 0.37
• Shares Outstanding: 133,345,000
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 500
• PEG Ratio: 1.46
• Price to Book (P/B): 2.47
• Price to Sales (P/S): 1.98
• P/FCF Ratio: 55.51
• Enterprise Value/Market Cap: 0.83
• Enterprise Value/Revenue: 0.02
• Enterprise Value/Gross Profit: 0.05
• Enterprise Value/Ebitda: 0.13
• 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: 63 Neutral
• Price Target: $66.00 ▲(3.71% Upside)

The score is driven primarily by mixed fundamentals: a strong, conservatively levered balance sheet is offset by a sharp TTM revenue decline, margin compression, and notably weaker/volatile free cash flow. Technicals are supportive with a clear uptrend and positive momentum, but valuation is a headwind due to the high P/E and modest yield.

Positive Factors

Conservative balance sheet

Low and stable debt-to-equity (~0.25) with consistently healthy ROE (~13%) provides durable financial flexibility. This conservative leverage supports investment in automation R&D and cyclicality resilience, reducing refinancing risk and preserving capacity to fund strategic initiatives.

Leadership in robotics & automation

Established market leadership in industrial robots, servo motors, drives, and motion control confers structural advantages: scale, installed base, channel relationships and engineering expertise. These durable assets support product pricing, adoption, and long-term contract opportunities across manufacturing.

Recurring services & Industry 4.0 tailwinds

A recurring services and support revenue stream complements equipment sales, smoothing cash flows and strengthening customer retention. Coupled with secular Industry 4.0 adoption, this durable demand driver can underpin aftermarket growth and higher lifetime customer value over multiple years.

Negative Factors

Sharp TTM revenue decline

A near-term structural drop in trailing revenue (~24.5% TTM) indicates weakening end-market demand or lost volume. If sustained, this erodes scale economics, pressures R&D and SG&A absorption, and risks longer-term share loss absent clear demand recovery or successful new-product traction.

Free cash flow collapse & volatility

A dramatic ~80.9% TTM drop in free cash flow and historical volatility signal inconsistent cash conversion. Persistently weak FCF limits capacity for capex, buybacks, or debt reduction, raising financing and execution risk during industry slowdowns and hindering strategic investments.

Margin compression

Compression of net margin to ~6.9% from ~10.6% reduces earnings resilience and free cash generation. If driven by lower volumes or cost pressure, sustained margin erosion could impair profitability, weaken returns on invested capital, and constrain ability to invest in product development or service expansion.

Yaskawa Electric Business Overview & Revenue Model

Company Description

YASKAWA Electric Corporation engages in motion control, robotics, system engineering, and other businesses worldwide. It manufactures and sells various AC drives, including general purpose AC drives, specific purpose AC drives, AC Drive for systems, regenerative energy saving units, and PM motors for use in household appliances, such as air conditioners and refrigerators; social infrastructures comprising elevators, escalators, trains, cranes, fans, and pumps; and factories that manufacture printing machinery, textile machinery, rubber machinery, and other materials. The company also offers rotary servo motors, direct drive servo motors, linear motors/linear sliders, machine controllers, positioning sensor encoders, and servo amplifiers for use in industrial robots, semiconductor manufacturing apparatus, machine tools, flat panel display manufacturing equipment, and metal working machines; and arc and spot welding, handling/assembling, collaborative, biomedical, palletizing, press handling, sealing/cutting/laser machining, deburring, painting, glass substrates transfer, and semiconductor wafer transfer robots for use in semiconductor wafer conveyance, arc welding, spot welding, handling, assembly, and palletizing applications. In addition, it provides industrial system electrical products, such as medium-voltage AC drives, system use AC drives, and system controllers for use in iron and steel systems, water and wastewater treatment, crane, and paper-making/film/port cargo handling/fiber/printing applications. Further, the company offers equipment for energy saving and creation comprising PV inverters, systems for large wind turbines, control equipment for small-scale power generation, and motor drive systems for use in photovoltaic power generation, large-scale wind power generation, small-scale power generation, and electric vehicles. YASKAWA Electric Corporation was founded in 1915 and is headquartered in Kitakyushu, Japan.

How the Company Makes Money

Yaskawa Electric generates revenue through multiple key streams, primarily from the sales of its industrial robots and motion control systems. The company sells its products directly to manufacturers and industrial clients, as well as through a network of distributors and partners worldwide. Additionally, Yaskawa earns income from providing maintenance, repair, and support services for its equipment, which creates a recurring revenue model. Significant partnerships with other technology firms and collaborations in automation projects also contribute to its earnings, as they expand Yaskawa's market reach and enhance its product offerings. The company further benefits from the growing demand for automation solutions driven by trends such as Industry 4.0 and the increasing focus on operational efficiency in manufacturing.

Yaskawa Electric Financial Statement Overview

Summary

Yaskawa Electric demonstrates robust financial health with strong revenue growth and profitability. The balance sheet reflects low leverage and a strong equity base, contributing to financial stability. Cash flow management shows improvements, though free cash flow fluctuations may pose challenges.

Income Statement

Yaskawa Electric shows strong revenue growth with a consistent upward trend. Gross Profit Margin has increased over the years, reaching 35.6% in 2025. The company maintains a solid Net Profit Margin of 10.6% in 2025, indicating profitability. However, the EBIT margin shows some fluctuation, suggesting potential cost control issues.

Balance Sheet

The company maintains a healthy equity position with an Equity Ratio of 58% in 2025. The Debt-to-Equity ratio is well-managed at 0.25, indicating low leverage. Return on Equity (ROE) is strong at 13.2% in 2025, demonstrating effective use of equity for generating profits.

Cash Flow

Yaskawa Electric shows consistent positive operating cash flow, with an improvement in Free Cash Flow, growing from negative in 2023 to positive in 2025. The Operating Cash Flow to Net Income ratio indicates efficient cash generation relative to net income. However, fluctuations in free cash flow growth rate suggest potential volatility in cash management.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	537.68B	575.66B	555.96B	479.08B	389.71B
Gross Profit	191.48B	209.10B	192.01B	168.65B	116.37B
EBITDA	103.07B	86.55B	83.17B	70.19B	44.62B
Net Income	56.99B	50.69B	51.78B	38.35B	18.93B
Balance Sheet
Total Assets	743.77B	702.34B	653.13B	559.04B	487.43B
Cash, Cash Equivalents and Short-Term Investments	63.31B	44.69B	46.74B	57.23B	52.91B
Total Debt	109.53B	95.90B	99.56B	68.04B	76.54B
Total Liabilities	304.17B	294.32B	298.06B	260.94B	237.87B
Stockholders Equity	431.19B	399.34B	347.50B	291.23B	246.27B
Cash Flow
Free Cash Flow	19.20B	23.59B	-24.14B	25.01B	30.99B
Operating Cash Flow	56.51B	54.62B	-2.21B	49.23B	39.60B
Investing Cash Flow	-21.29B	-29.35B	-19.69B	-24.16B	-9.60B
Financing Cash Flow	-15.67B	-29.42B	7.20B	-22.48B	-20.28B

Yaskawa Electric Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 63.64
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YASKY, the sentiment is Positive. The current price of 63.64 is above the 20-day moving average (MA) of 60.91, above the 50-day MA of 57.44, and above the 200-day MA of 47.53, indicating a bullish trend. The MACD of 1.86 indicates Negative momentum. The RSI at 65.29 is Neutral, neither overbought nor oversold. The STOCH value of 67.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for YASKY.

Yaskawa Electric Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ENS	79 Outperform	$6.01B	19.04	18.22%	0.67%	6.17%	20.86%
POWL	78 Outperform	$4.87B	27.01	32.17%	0.32%	9.08%	19.86%
NVT	76 Outperform	$16.87B	28.80	8.57%	0.84%	5.31%	5.76%
AEIS	67 Neutral	$8.98B	62.59	11.80%	0.18%	17.18%	235.76%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
YASKY	63 Neutral	$8.66B	34.74	13.26%	1.21%	-1.13%	30.96%
BE	62 Neutral	$31.56B	-4,586.25	2.82%	―	44.53%	―