Canon Inc

Canon Inc maintains a conservative capital structure with a debt-to-equity ratio of 0.18, indicating a low reliance on debt financing. The company's liquidity position is characterized by a current ratio of 1.5, suggesting moderate short-term liquidity. With cash and equivalents amounting to ¥593.54 billion and long-term debt of ¥63.65 billion, the firm has a net cash position of ¥529.89 billion, which supports its operational flexibility.

In terms of profitability, Canon Inc's return on equity (ROE) of 2.53% and return on assets (ROA) of 1.49% are below the industry median for the Technology Hardware, Storage & Peripherals sector. This suggests that the company is underperforming relative to its peers in generating returns for shareholders and asset utilization.

The company's revenue is concentrated in the Asia-Pacific region, which accounts for a significant portion of its total revenue. This geographic concentration may expose Canon Inc to regional economic fluctuations and regulatory changes. Additionally, Canon Inc's business is segmented into Imaging Systems, Industrial Systems, and Medical Systems, with the Imaging Systems segment being the largest contributor to revenue.

Looking ahead, Canon Inc is projected to experience a modest growth trajectory, with revenue expected to increase by a low single-digit percentage in the current fiscal year. The company's free cash flow of ¥92.27 billion and operating cash flow of ¥241.98 billion provide a solid foundation for future investments and shareholder returns. However, the company's capital expenditure of ¥114.77 billion indicates ongoing investment in its operations.

The risk assessment for Canon Inc highlights a medium liquidity risk and a low dilution risk. The company's net cash position is negative after subtracting total debt, which could impact its ability to meet short-term obligations. Additionally, the company's dilution potential is low, as there is no significant dilution expected from new share issuances.

Recent events, including analyst estimates and recommendations, indicate a mixed outlook for Canon Inc. The mean price target of ¥4,804.17 and median price target of ¥4,700.00 suggest a range of expectations among analysts. The mean recommendation of 2.69, with 10 "hold" ratings, indicates a cautious stance from the analyst community.

Canon Inc (7751.T) is currently undergoing its first analysis, meaning there is no prior basis for computing material changes or deltas in its financial profile. Consequently, no specific shifts in performance, strategy, or market position can be identified from historical comparisons at this time. The company’s current analyst coverage is limited, with only 11 analysts tracking the stock. This relatively small pool of coverage may result in less frequent updates or a narrower range of consensus estimates compared to more heavily followed peers. Data on institutional ownership and index membership is currently unavailable, as the counts for top holders and index memberships are recorded as zero. This lack of data prevents any assessment of institutional sentiment or the company’s role within major market benchmarks. Recent cross-source signals show zero dispatches per day over the 30-day period ending in June 2026, indicating a complete absence of recent news flow or sentiment data. Without new events or analyst commentary, the immediate market narrative for Canon remains static and undefined.

Net income surged 107.5% year-over-year to JPY 332 billion in FY2026, demonstrating strong bottom-line growth momentum.

Operating income jumped 62.8% to JPY 455 billion in FY2026, indicating significant improvement in core operational profitability.

Free cash flow exploded 355.6% to JPY 188 billion in FY2026, highlighting a massive recovery in cash generation capabilities.

Analysts project 12.2% upside to a mean price target of JPY 4,804, suggesting undervaluation relative to current market price.

Long-term debt increased to JPY 816 billion in FY2026, nearly tripling from FY2022 levels and raising leverage concerns.

Revenue growth slowed to just 2.5% year-over-year in FY2026, indicating stagnating top-line expansion despite profit gains.

Return on equity stands at only 2.53%, which is merely above the cohort median, suggesting modest capital efficiency.

The company faces medium liquidity risk, which could constrain financial flexibility during periods of market stress.

Analyst consensus recommendation is 'hold', reflecting limited enthusiasm for near-term price appreciation among 13 analysts.

Revenue ¥1.09T, +3,3% YoY; Operating income −26,1% YoY.

• ▍Revenue ¥1.09T, +3,3% YoY
• ▍Operating income −26,1% YoY
• ▍Net income −33,1% YoY
• ▍Free cash flow −699,8% YoY
• ▍Net margin 4.4%

Revenue ¥1.32T, +3,8% YoY; Operating income +1 006,4% YoY.

• ▍Revenue ¥1.32T, +3,8% YoY
• ▍Operating income +1 006,4% YoY
• ▍Net income +292,1% YoY
• ▍Free cash flow +314,7% YoY
• ▍Net margin 8.5%

Revenue ¥1.10T, +2,3% YoY; Operating income −10,3% YoY.

• ▍Revenue ¥1.10T, +2,3% YoY
• ▍Operating income −10,3% YoY
• ▍Net income −7,4% YoY
• ▍Free cash flow −210,1% YoY
• ▍Net margin 5.8%

Revenue ¥1.14T, −2,4% YoY; Operating income −0,5% YoY.

• ▍Revenue ¥1.14T, −2,4% YoY
• ▍Operating income −0,5% YoY
• ▍Net income −6,9% YoY
• ▍Free cash flow −14,7% YoY
• ▍Net margin 7.3%

Revenue ¥1.06T; Operating income ¥96.52B.

• ▍Revenue ¥1.06T
• ▍Operating income ¥96.52B
• ▍Net margin 6.8%

Revenue ¥1.27T; Operating income -¥16.88B.

• ▍Revenue ¥1.27T
• ▍Operating income -¥16.88B
• ▍Net margin -4.6%

Revenue ¥1.08T; Operating income ¥98.16B.

• ▍Revenue ¥1.08T
• ▍Operating income ¥98.16B
• ▍Net margin 6.4%

Revenue ¥1.17T; Operating income ¥118.39B.

• ▍Revenue ¥1.17T
• ▍Operating income ¥118.39B
• ▍Net margin 7.7%

Revenue ¥4.62T, +2,5% YoY; Operating income +62,8% YoY.

• ▍Revenue ¥4.62T, +2,5% YoY
• ▍Operating income +62,8% YoY
• ▍Net income +107,5% YoY
• ▍Free cash flow +355,6% YoY
• ▍Net margin 7.2%

Revenue ¥4.51T, +7,9% YoY; Operating income −25,5% YoY.

• ▍Revenue ¥4.51T, +7,9% YoY
• ▍Operating income −25,5% YoY
• ▍Net income −39,5% YoY
• ▍Free cash flow −74,5% YoY
• ▍Net margin 3.5%

Revenue ¥4.18T, +3,7% YoY; Operating income +6,2% YoY.

• ▍Revenue ¥4.18T, +3,7% YoY
• ▍Operating income +6,2% YoY
• ▍Net income +8,4% YoY
• ▍Free cash flow −9,4% YoY
• ▍Net margin 6.3%

Revenue ¥4.03T, +14,8% YoY; Operating income +25,4% YoY.

• ▍Revenue ¥4.03T, +14,8% YoY
• ▍Operating income +25,4% YoY
• ▍Net income +13,6% YoY
• ▍Free cash flow −3,8% YoY
• ▍Net margin 6.1%