Howa Machinery Hits Day High with 8.11% Surge in Stock Price

Howa Machinery, a small-cap player in the industrial manufacturing sector, has shown significant activity today, gaining 8.11% on October 6, 2025. The stock reached an intraday high of JPY 1,303.00, reflecting a strong performance compared to the Japan Nikkei 225, which rose by 1.85% on the same day.
Over the past week, Howa Machinery has increased by 3.86%, while its one-year performance stands at an impressive 35.98%, outpacing the Nikkei's 18.72%. However, the stock has faced challenges in the longer term, with a decline of 10.97% over the past month. Despite this, the company's financial health remains robust, evidenced by a strong EBIT to Interest ratio of 42.52, indicating a solid ability to service its debt.

Recent financial results have been positive, with net sales for the half-year reaching JPY 13,456 million, marking a growth of 35.63%. The company also reported a net profit of JPY 199.29 million, contributing to a return on capital employed (ROCE) of 4.89%. With a price-to-book ratio of 0.91 and a dividend yield of 0.04%, Howa Machinery continues to maintain an attractive valuation in its sector.