Estic Corporation (6161) AI Stock Analysis

• Market Cap: ¥8.20B
• Dividend Yield: 3.27%
• Average Volume (3M): 14.02K
• Price to Earnings (P/E): 7.1
• Beta (1Y): 0.32
• Revenue Growth: 17.03%
• EPS Growth: 2.33%
• Country: JP
• Employees: 215
• Sector: Industrials
• Sector Strength: 70
• Industry: Industrial - Machinery
• EPS (TTM): 115.85
• Shares Outstanding: 11,768,000
• 10 Day Avg. Volume: 25,330
• 30 Day Avg. Volume: 14,020
• PEG Ratio: 3.05
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Estic Corporation's strong financial performance, evidenced by robust profit margins and a debt-free balance sheet, positions it well within the industrial machinery sector. Despite these strengths, technical indicators suggest bearish momentum, with the stock trading below all major moving averages. The low P/E ratio and solid dividend yield enhance its valuation appeal, contributing positively to the overall score.

Estic Corporation Business Overview & Revenue Model

Company Description

Estic Corporation (6161) is a Japanese company specializing in the manufacturing and sales of industrial tools and equipment. The company primarily focuses on providing advanced fastening systems, including electric and pneumatic tools, which are used in various sectors such as automotive, aerospace, and general manufacturing. Estic Corporation is known for its innovative solutions that enhance productivity and efficiency in assembly processes.

How the Company Makes Money

Estic Corporation generates revenue through the sale of its industrial tools and equipment, particularly its advanced fastening systems. The company’s key revenue streams include the direct sales of electric and pneumatic tools to manufacturers in the automotive, aerospace, and other industrial sectors. Additionally, Estic Corporation may engage in service contracts, maintenance agreements, and provide ancillary services related to its products. Partnerships with major manufacturing companies and a strong distribution network also play a significant role in the company's earnings, allowing it to reach a broad customer base and maintain steady revenue growth.

Estic Corporation Financial Statement Overview

Summary

Estic Corporation demonstrates strong profitability with impressive gross and net profit margins. The balance sheet is solid with zero total debt and a favorable return on equity. However, while there is improvement in cash flow, the cash conversion metrics indicate potential areas for enhancement.

Income Statement

Estic Corporation demonstrates strong profitability with impressive gross and net profit margins. The TTM gross profit margin is 45.76%, and the net profit margin is 14.90%. Revenue growth is robust, showing a 35.42% increase from the previous year. Earnings before interest and taxes (EBIT) and EBITDA margins are healthy at 20.55% and 20.95% respectively, indicating effective cost management and operational efficiency.

Balance Sheet

The company's balance sheet is solid with zero total debt as of the latest TTM period, leading to a strong debt-to-equity ratio of 0.0. Return on Equity (ROE) is favorable at 14.66%, reflecting efficient use of equity to generate profit. The equity ratio is high at 86.58%, indicating a strong capital structure with substantial equity backing the assets.

Cash Flow

While the free cash flow has turned positive in the TTM at 82.44 million, a significant improvement from the previous negative free cash flow, the operating cash flow to net income ratio is lower at 0.06, suggesting that operating cash generation relative to net income could be improved. The free cash flow to net income ratio of 0.06 also indicates room for enhancing cash conversion.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
9.65B	7.13B	6.72B	5.75B	5.29B	6.77B
	Gross Profit
4.42B	3.29B	3.17B	2.58B	2.33B	3.11B
	EBIT
1.98B	1.49B	1.48B	1.12B	1.06B	1.77B
	EBITDA
2.02B	1.64B	1.60B	1.31B	1.22B	1.88B
	Net Income Common Stockholders
1.44B	1.13B	1.08B	820.23M	729.66M	1.19B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
686.80M	1.57B	2.25B	2.03B	1.21B	544.88M
	Total Assets
2.71B	10.73B	9.87B	8.38B	7.49B	7.15B
	Total Debt
0.00	60.99M	72.55M	8.95M	8.42M	6.39M
	Net Debt
-686.80M	-1.51B	-2.17B	-2.02B	-1.20B	-538.49M
	Total Liabilities
217.94M	1.35B	1.54B	1.09B	964.71M	1.12B
	Stockholders Equity
2.49B	9.25B	8.22B	7.21B	6.47B	5.98B
Cash Flow		Free Cash Flow
82.44M	-325.74M	360.03M	945.07M	935.31M	566.80M
	Operating Cash Flow
82.44M	376.96M	620.26M	1.26B	981.10M	1.16B
	Investing Cash Flow
0.00	-845.83M	-259.76M	-317.45M	-9.77M	-583.22M
	Financing Cash Flow
0.00	-244.45M	-173.02M	-154.54M	-243.56M	-1.50B

Estic Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 825.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6161, the sentiment is Negative. The current price of 825 is below the 20-day moving average (MA) of 838.70, below the 50-day MA of 868.84, and below the 200-day MA of 864.49, indicating a bearish trend. The MACD of -17.11 indicates Positive momentum. The RSI at 39.74 is Neutral, neither overbought nor oversold. The STOCH value of 51.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6161.

Estic Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6269	80 Outperform	$279.01B	8.18	20.28%	2.03%	25.60%	127.93%
6479	73 Outperform	¥853.39B	13.24	8.72%	2.37%	7.44%	-5.08%
6161	67 Neutral	¥8.20B	7.12		3.27%	17.03%	2.33%
Sector *	63 Neutral	$4.28B	11.33	5.43%	214.88%	4.12%	-8.65%
6268	61 Neutral	¥256.74B	24.98	3.75%	3.49%	-3.07%	-30.51%
6480	58 Neutral	¥33.56B	79.16		3.89%	-8.70%	-89.31%
6471	52 Neutral	¥280.27B	38.49		5.71%	-3.42%	-35.09%