# Jtekt (6473.JP)

Canonical: https://gigainvestors.com/s/6473.JP

Analysis as of: 2026-10-15T07:10:58.691Z. Financial observations: FY2013–FY2026.

Listing currency: JPY. Reporting currency: JPY.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: JPY 2,101.00 per share; close as of 2026-10-15.

Estimated value: low JPY 1,718.10 per share, central JPY 1,912.08 per share, high JPY 2,170.31 per share. Buy at or below the central value JPY 1,912.08 per share. Valuation as of 2026-10-15T07:10:58.691Z; scenarios are not confidence intervals.

Expected annual return: 9.2% at the stated quote. About 9.2% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; JP 10-year bond 2.9% + 4 points).

## Checklist

### understandable: fail

- 5 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 5

- Years with a net loss: 1

- Operating margin variation: 0.56×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.06×

- FY2019: 0.04×

- FY2020: 0.01×

- FY2021: 0.01×

- FY2022: 0.03×

- FY2023: 0.03×

- FY2024: 0.03×

- FY2025: 0.02×

- FY2026: 0.01×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 3.7%

- ROIC, second-lowest year: 1.5%

- Years with nonpositive capital: 0

- Capital spending / revenue: 4.6%

- ROIC including acquisitions, ten-year median: 2.4%

- Typical minus recent gross margin: 0.3 pp

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 11.7%

- FY2018: 7.8%

- FY2019: 6.1%

- FY2020: 1.5%

- FY2021: 1.2%

- FY2022: 3.1%

- FY2023: 4.2%

- FY2024: 4.7%

- FY2025: 2.9%

- FY2026: 1.9%

### economics: fail

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: 1.09×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: JPY 132B

- Net income, five-year total: JPY 121B

- Return on incremental invested capital: -53.7%

- Working capital / revenue, annual change: -0.2 pp

- Working capital / revenue, final three-year average: 12.7%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: 2.18×

- FY2023: 1.32×

- FY2024: 1.00×

- FY2025: -0.20×

- FY2026: 0.40×

### management: fail

- Historical market-dollar context (not the management verdict): 2017 to 2026 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 7.8% vs 2.9%

- Per-share earnings: 138.56 to 40.36 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -0.7%

- Ordinary dilution, 5-year annual growth: -1.5%

- Market cap gain: JPY -72B

- Cumulative retained earnings: JPY 225B

- Diluted shares, 10-year annual growth: -0.7%

- Diluted shares, 5-year annual growth: -1.5%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2026

- Per-share value growth: -14.3%

- Per-share value change: JPY -98.20

- Per-share value, starting three-year median: JPY 138.56

- Per-share value, ending three-year median: JPY 40.36

- Buyback history: 0 years

- Debt-funded buybacks: No

- Acquisition spending: JPY 28B

- Cumulative net income, 10 years: JPY 193B

- ROIC, first three-year median: 7.8%

- ROIC, last three-year median: 2.9%

Chart: Earnings per share; fiscal year observations.

- FY2017: JPY 138.56

- FY2018: JPY 0

- FY2019: JPY 79.45

- FY2020: JPY -11.06

- FY2021: JPY 2.33

- FY2022: JPY 60.31

- FY2023: JPY 99.94

- FY2024: JPY 117.37

- FY2025: JPY 40.36

- FY2026: JPY 37.62

### accounting: pass

- Sloan accruals: -6.1%

- Receivables to sales index (DSRI): 0.93×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 9.06×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.01×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -4.6%

- FY2018: 0.0%

- FY2019: -5.9%

- FY2020: -5.3%

- FY2021: -7.0%

- FY2022: -3.3%

- FY2023: -3.1%

- FY2024: -7.0%

- FY2025: -4.2%

- FY2026: -6.1%

## Holders

## Price story

Price needs cash profits to grow 2.3% a year for ten years · sales +2.2%

Story as of 2026-10-16T10:00:14.456Z; price observation 2026-10-15.

Price needs cash profits to grow 2.3% a year for ten years

### Sales · FY2025–2026

sales +2.2%; source https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YEL3.pdf; observed 2026-06-19.

- FY2017: JPY 1.32T 

- FY2018: JPY 0 

- FY2019: JPY 1.52T 

- FY2020: JPY 1.42T 

- FY2021: JPY 1.25T 

- FY2022: JPY 1.43T 

- FY2023: JPY 1.68T 

- FY2024: JPY 1.89T 

- FY2025: JPY 1.88T 

- FY2026: JPY 1.92T 

### Gross margin · FY2026

gross margin 15.4%; source https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YEL3.pdf; observed 2026-06-19.

- FY2017: 16.4% 

- FY2019: 16.3% 

- FY2020: 14.7% 

- FY2021: 13.8% 

- FY2022: 14.7% 

- FY2023: 15.2% 

- FY2024: 15.0% 

- FY2025: 14.9% 

- FY2026: 15.4% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Annual sales are JPY 1.9 trillion.

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YEL3.pdf (filed 2026-06-19); FY2026: revenue 1924950000000; grossProfit 297035000000; margin = grossProfit / revenue.

### Why customers stay

Margins ranged from 14.9% to 15.4% during 2024–26; it earns 3.7% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-19); FY2024: grossProfit / revenue = 15%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-19); FY2025: grossProfit / revenue = 14.9%.

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YEL3.pdf (filed 2026-06-19); FY2026: grossProfit / revenue = 15.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-19); 10-year return on capital observations [[2017,0.11682447959806906],[2018,0.07847654953789585],[2019,0.06088460317553626],[2020,0.015346500655346295],[2021,0.011810918419153996],[2022,0.03139507883053227],[2023,0.0416865624805354],[2024,0.04726968722595732],[2025,0.029127892680209447],[2026,0.018745118020582947]]; median 0.03654082065553384. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 15% gross margin through 2022 cost inflation.

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YEL3.pdf (filed 2026-06-19); Gross margin observations: [[2021,0.13777335218400913],[2022,0.14692955742894626],[2023,0.15204040649621667]]; range within 2 percentage points.

### Where the cash goes

Paid dividends in 3 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-19); FY2017: growth capex 0; upkeep 66590000000; owner earnings 36111000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-19); FY2019: growth capex 6854000000; upkeep 64318000000; owner earnings 26643000000. Growth capex / owner earnings = 0.2572533123146793.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-19); FY2021: growth capex 0; upkeep 55248000000; owner earnings 8608000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-19); FY2022: growth capex 0; upkeep 42684000000; owner earnings 44988000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-19); FY2023: growth capex 0; upkeep 58658000000; owner earnings 45111000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-19); FY2024: growth capex 9098000000; upkeep 72350000000; owner earnings 40257000000. Growth capex / owner earnings = 0.22599796308716497.

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YEL3.pdf (filed 2026-06-19); FY2026: growth capex 11078848392.256134; upkeep 78412151607.74387; owner earnings 4747848392.256134. Growth capex / owner earnings = 2.3334461164189717.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-19); Dividend observations: [[2017,14406000000],[2018,14406000000],[2019,15092000000],[2020,0],[2021,0],[2022,0],[2023,0],[2024,0],[2025,0],[2026,0]]. Zero only counted when supported by a complete cash-flow statement.

### What the price says

The price assumes cash profits grow 2.3% yearly over ten years; actual decline was 20%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-19); Ten-year compound average after fade. Initial solved rate 0.019884858347336887. Price 2101; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2016 owner earnings/share 138.83691609138725 → FY2026 14.916824496131262. Closing-price date 2026-10-15.

## Monthly share-price history (JPY per share)

- 2016-11: JPY 1,830.00 per share

- 2016-12: JPY 1,870.00 per share

- 2017-01: JPY 1,860.00 per share

- 2017-02: JPY 1,908.00 per share

- 2017-03: JPY 1,729.00 per share

- 2017-04: JPY 1,754.00 per share

- 2017-05: JPY 1,663.00 per share

- 2017-06: JPY 1,642.00 per share

- 2017-07: JPY 1,575.00 per share

- 2017-08: JPY 1,471.00 per share

- 2017-09: JPY 1,558.00 per share

- 2017-10: JPY 1,856.00 per share

- 2017-11: JPY 1,929.00 per share

- 2017-12: JPY 1,936.00 per share

- 2018-01: JPY 1,944.00 per share

- 2018-02: JPY 1,664.00 per share

- 2018-03: JPY 1,576.00 per share

- 2018-04: JPY 1,775.00 per share

- 2018-05: JPY 1,587.00 per share

- 2018-06: JPY 1,508.00 per share

- 2018-07: JPY 1,612.00 per share

- 2018-08: JPY 1,557.00 per share

- 2018-09: JPY 1,663.00 per share

- 2018-10: JPY 1,409.00 per share

- 2018-11: JPY 1,444.00 per share

- 2018-12: JPY 1,226.00 per share

- 2019-01: JPY 1,409.00 per share

- 2019-02: JPY 1,380.00 per share

- 2019-03: JPY 1,362.00 per share

- 2019-04: JPY 1,429.00 per share

- 2019-05: JPY 1,152.00 per share

- 2019-06: JPY 1,306.00 per share

- 2019-07: JPY 1,298.00 per share

- 2019-08: JPY 1,152.00 per share

- 2019-09: JPY 1,239.00 per share

- 2019-10: JPY 1,394.00 per share

- 2019-11: JPY 1,360.00 per share

- 2019-12: JPY 1,301.00 per share

- 2020-01: JPY 1,184.00 per share

- 2020-02: JPY 1,053.00 per share

- 2020-03: JPY 735.00 per share

- 2020-04: JPY 796.00 per share

- 2020-05: JPY 869.00 per share

- 2020-06: JPY 837.00 per share

- 2020-07: JPY 700.00 per share

- 2020-08: JPY 819.00 per share

- 2020-09: JPY 820.00 per share

- 2020-10: JPY 824.00 per share

- 2020-11: JPY 811.00 per share

- 2020-12: JPY 801.00 per share

- 2021-01: JPY 925.00 per share

- 2021-02: JPY 1,117.00 per share

- 2021-03: JPY 1,130.00 per share

- 2021-04: JPY 984.00 per share

- 2021-05: JPY 1,141.00 per share

- 2021-06: JPY 1,139.00 per share

- 2021-07: JPY 1,032.00 per share

- 2021-08: JPY 995.00 per share

- 2021-09: JPY 978.00 per share

- 2021-10: JPY 1,003.00 per share

- 2021-11: JPY 992.00 per share

- 2021-12: JPY 1,005.00 per share

- 2022-01: JPY 991.00 per share

- 2022-02: JPY 991.00 per share

- 2022-03: JPY 964.00 per share

- 2022-04: JPY 907.00 per share

- 2022-05: JPY 981.00 per share

- 2022-06: JPY 1,020.00 per share

- 2022-07: JPY 980.00 per share

- 2022-08: JPY 985.00 per share

- 2022-09: JPY 916.00 per share

- 2022-10: JPY 1,050.00 per share

- 2022-11: JPY 1,010.00 per share

- 2022-12: JPY 929.00 per share

- 2023-01: JPY 959.00 per share

- 2023-02: JPY 1,017.00 per share

- 2023-03: JPY 1,021.00 per share

- 2023-04: JPY 1,115.00 per share

- 2023-05: JPY 1,162.00 per share

- 2023-06: JPY 1,305.00 per share

- 2023-07: JPY 1,338.50 per share

- 2023-08: JPY 1,319.50 per share

- 2023-09: JPY 1,411.00 per share

- 2023-10: JPY 1,226.50 per share

- 2023-11: JPY 1,355.50 per share

- 2023-12: JPY 1,193.50 per share

- 2024-01: JPY 1,362.50 per share

- 2024-02: JPY 1,394.00 per share

- 2024-03: JPY 1,424.50 per share

- 2024-04: JPY 1,224.00 per share

- 2024-05: JPY 1,138.00 per share

- 2024-06: JPY 1,119.50 per share

- 2024-07: JPY 1,097.00 per share

- 2024-08: JPY 1,122.00 per share

- 2024-09: JPY 1,021.50 per share

- 2024-10: JPY 1,046.00 per share

- 2024-11: JPY 1,048.00 per share

- 2024-12: JPY 1,179.50 per share

- 2025-01: JPY 1,224.00 per share

- 2025-02: JPY 1,133.00 per share

- 2025-03: JPY 1,127.50 per share

- 2025-04: JPY 1,103.50 per share

- 2025-05: JPY 1,136.00 per share

- 2025-06: JPY 1,188.00 per share

- 2025-07: JPY 1,310.50 per share

- 2025-08: JPY 1,453.00 per share

- 2025-09: JPY 1,470.50 per share

- 2025-10: JPY 1,549.50 per share

- 2025-11: JPY 1,697.50 per share

- 2025-12: JPY 1,735.00 per share

- 2026-01: JPY 1,819.50 per share

- 2026-02: JPY 2,149.00 per share

- 2026-03: JPY 1,635.50 per share

- 2026-04: JPY 1,913.00 per share

- 2026-05: JPY 2,166.00 per share

- 2026-06: JPY 1,991.50 per share

- 2026-07: JPY 2,216.00 per share

- 2026-08: JPY 2,150.50 per share

- 2026-09: JPY 2,143.50 per share

- 2026-10: JPY 2,143.00 per share

## Annual estimated value (JPY per share)

- FY2023: low JPY 1,325.36 per share, central JPY 1,641.68 per share, high JPY 1,875.10 per share

- FY2024: low JPY 1,811.95 per share, central JPY 2,214.06 per share, high JPY 2,523.74 per share

- FY2025: low JPY 1,656.05 per share, central JPY 2,017.61 per share, high JPY 2,315.24 per share

- FY2026: low JPY 1,718.10 per share, central JPY 1,912.08 per share, high JPY 2,170.31 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T07:10:58.691Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original EDINET filing](https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YEL3.pdf); period 2026-03-31, filed 2026-06-19.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.