Daiwa Motor Transportation Hits Day Low at JPY 1,485 Amid Price Pressure

Daiwa Motor Transportation Co., Ltd. experienced significant volatility on October 7, 2025, with the stock plunging by 32.72% and reaching an intraday low of JPY 1,485.00. This sharp decline stands in stark contrast to the Japan Nikkei 225, which posted a gain of 4.75% on the same day.
Over the past week, Daiwa's performance has also been notably weak, with a decrease of 26.84%. However, the company has shown resilience in the longer term, boasting a remarkable 105.09% increase over the past year and a year-to-date performance of 115.77%. Despite these gains, the company's financial metrics raise concerns. With a Return on Capital Employed (ROCE) of just 0.11%, profitability remains low relative to total capital. Additionally, Daiwa's debt-to-equity ratio stands at 0.86, indicating a reliance on debt financing.

The company's market capitalization is approximately JPY 5,171 million, and it currently trades at a price-to-earnings ratio of 67.00. While Daiwa has a dividend yield of 0.05%, its financial health and management efficiency are under scrutiny, particularly given the flat growth in net sales and operating profit over the past five years.