Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
IHI Corporation is a diversified multinational industrial conglomerate engaged in the production and engineering of machinery and systems for a wide range of sectors. Originating from Japan, this company operates across various industries, including aerospace, energy, social infrastructure, logistics, and machinery manufacturing. Its primary purpose is to deliver technologically advanced solutions that support vital sectors such as transportation, power generation, and environmental systems. IHI Corporation's impact is notably seen in the aerospace industry, where it supplies jet engine components and space development equipment, as well as in power systems offering advanced boilers, turbines, and nuclear power technologies. Furthermore, its social infrastructure sector thrives on providing essential construction machinery and bridge-building equipment, contributing significantly to urban development and public works. IHI Corporation is integral to global markets, emphasizing sustainable development and technological excellence, boosting infrastructure efficiency worldwide.
¥14.79
¥0.30 (-1.97%)
EOD Jun 25, 2026 · Twelve Data
10.07% operating margin is respectable but not wide. ROIC at 13.44%. Suggests the business covers its cost of capital, but doesn't point to a wide moat.
Revenue growth slowed to 1.0%, essentially flat. This is a business that needs a catalyst.
Free cash flow declined 75% versus the prior year, cash generation momentum has weakened. Net debt of ¥330.71B represents 11.2x FCF, leverage limits flexibility.
18.1x earnings, 101.3x FCF. Valuation is in a reasonable range. The main question is whether the business can re-accelerate or if current trajectory is already priced in.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
¥1.64T
▲ +1.0% YoY
Net Income (TTM)
¥165.22B
▲ +40.9% YoY
Op. Margin
10.07%
▲ +1.3pp YoY
ROIC
13.44%
▲ +1.4pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
¥29.59B
▼ -74.8% YoY
Op. Cash Flow (TTM)
¥31.66B
▼ -81.0% YoY
Net Debt
¥330.71B
Cash & Equiv.
¥159.18B
3Y CAGR: +6.7%
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At a P/E of 18.1 and a price-to-free-cash-flow of 101.3, IHI (IHICF) trades below a two-stage DCF intrinsic value of about JPY 165.16 per share, so at JPY 14.79 the stock looks undervalued (1,016.4% below estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, IHI scores 62/100 on Intrinsiqq's quality scorecard (a solid business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. It currently yields about 0.7%; see dividend safety for coverage and history. All figures are computed from SEC filings; read the full methodology. This is analysis, not investment advice.
Intrinsiqq's two-stage DCF estimates an intrinsic value of about JPY 165.16 per share for IHICF, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around JPY 123.87. At today's JPY 14.79, that puts the stock about 1,016.4% below estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.
IHI scores 62 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a solid business on these measures. Recent fundamentals include a 10.1% operating margin and a 13.4% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Yes, IHI pays a regular dividend of about JPY 19.26 per share per year (typically in quarterly installments), a yield of roughly 0.7% at the current price. That is a payout ratio of about 12.8% of earnings, so the dividend is amply covered by earnings. IHI has grown the dividend at roughly 47.0% a year over the past few years. A low headline yield is not the same as a weak dividend: what matters is how well earnings and free cash flow cover the payout and whether it is growing, not the percentage alone. For IHICF's full payout history, growth streak and dividend-safety score, see the dividends tab.
That depends on valuation and quality together, not either alone. IHICF currently trades below its estimated intrinsic value and scores 62/100 on quality (solid). It also yields about 0.7%. A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.