Canon Inc (CAJPY)

Price$29.70Cached quoteAs of 2026-09-04 16:23 UTC

AI: Fair-priced

Price checkThe shares look fairly priced because modest valuation is offset by uneven cash generation.

At the observed over-the-counter quote, each CAJPY receipt represents one ordinary Canon share and is roughly 12 times recent earnings and about 11.6 times Canon’s 2026 earnings estimate. Using the Tokyo share and June equity, the market values Canon near 1.1 times shareholder equity, often called book value. Management projects ¥290 billion of 2026 free cash flow—cash left after running and investing in the business—equal to about 7% of market value, plus cash dividends near 3.5%. Supplied 2017-2022 cash flow ranged from about ¥74 billion to ¥401 billion, making this reasonable rather than clearly cheap.

Big pictureCanon has recovered from its 2020 slump, but profits remain meaningfully cyclical.

From 2017 through 2022, revenue stayed near ¥4 trillion overall, yet net income ranged from ¥83 billion in 2020 to ¥252 billion in 2018. Free cash flow ranged from about ¥74 billion to ¥401 billion, showing earnings and cash can survive a cycle but are not steady each year. The latest first half improved: sales rose 3.5%, operating profit 7.6%, and net income 9.8%. Still, 2026 profit benefits from currency, tariff refunds, and an accounting change that lowered depreciation expense, so recent earnings deserve some normalization.

Business strengthStrong printing and imaging earnings support cash flow, while the balance sheet stays adequate.

Canon’s June balance sheet held ¥732 billion of cash against roughly ¥1.14 trillion of short- and long-term debt, leaving moderate net debt rather than the near-net-cash position seen in 2022. Current assets exceeded current liabilities by about ¥891 billion, and shareholder equity was ¥3.48 trillion, supporting its ability to meet obligations. Goodwill was about ¥989 billion, roughly 28% of shareholder equity. Printing produced ¥158 billion of first-half operating profit and Imaging ¥98 billion; Medical and Industrial profits fell 29% and 33%, respectively.

What could change the storyFurther buybacks and durable imaging growth could help, but debt-funded payouts raise the bar.

Canon is shrinking the share count aggressively: through August 20 it had repurchased 42.7 million shares for ¥187.7 billion under a program capped at ¥200 billion. Average shares used for first-half earnings fell about 6% year over year, while stock compensation was tiny, so dilution—existing owners being spread over more shares—is not the concern. First-half dividends plus share purchases were about ¥198 billion versus only ¥82 billion of cash after operations and fixed-asset spending. The bull case strengthens if Imaging keeps growing and cash generation reaches roughly ¥290 billion without more debt; otherwise the lift looks less durable.

AI: News

Second-quarter outlook raisedFirst-half profit grew and Canon raised guidance, but unusual benefits softened the quality of the beat.

On July 27, Canon reported first-half sales of ¥2.27 trillion, up 3.5%, operating profit of ¥230.6 billion, up 7.6%, and net income of ¥171.2 billion, up 9.8%. It lifted full-year operating profit guidance by ¥9 billion to ¥465 billion. However, tariff refunds contributed strongly, foreign exchange helped, and a depreciation-method change lifted first-half net income by ¥8.7 billion. The U.S. receipts gained about 1% that day; timing supports association, not proof of causation.

Share purchases near limitCanon has used most of its share-purchase budget, supporting remaining shares while reducing future flexibility.

On August 20, Canon bought another 4.2 million shares for ¥18.8 billion. That brought purchases under the current authorization to 42.7 million shares costing ¥187.7 billion, or about 94% of the ¥200 billion budget. The program can buy up to 54 million shares through January 2027, so much of the cash authorization is already spent. CAJPY was flat on August 20 and rose about 2% the next trading day; the move cannot be confidently attributed to the share purchase alone.

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Free cash flow

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Total cash / debt

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Financial statements

	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015	2014	2013	2012	2011	2010	2009	2008	2007
Revenue	¥4.62T	¥4.51T	¥4.18T	¥4.03T	¥3.51T	¥3.16T	¥3.59T	¥3.95T	¥4.08T	¥3.40T	¥3.80T	¥3.73T	¥3.73T	¥3.48T	¥3.56T	¥3.71T	¥3.21T	¥4.09T	¥4.48T
Gross profit	¥2.16T	¥2.14T	¥1.97T	¥1.83T	¥1.63T	¥1.38T	¥1.61T	¥1.84T	¥1.99T	¥1.67T	¥1.93T	¥1.86T	¥1.80T	¥1.65T	¥1.74T	¥1.78T	¥1.43T	¥1.94T	¥2.25T
Gross margin	46.75%	47.52%	47.09%	45.34%	46.33%	43.54%	44.81%	46.45%	48.79%	49.15%	50.90%	49.94%	48.20%	47.42%	48.82%	48.10%	44.48%	47.34%	50.14%
Research & development	¥339.29B	¥337.35B	¥331.91B	¥306.73B	¥287.34B	¥272.31B	¥298.50B	¥315.84B	¥333.37B	¥306.54B	¥328.50B	¥308.98B	¥306.32B	¥296.46B	¥307.80B	¥315.82B	¥304.60B	¥374.02B	¥368.26B
Operating expenses	¥1.71T	¥1.70T	¥1.59T	¥3.68T	¥3.23T	¥3.05T	¥3.42T	¥3.61T	¥3.76T	¥3.19T	¥3.45T	¥3.36T	¥3.39T	¥3.16T	¥3.18T	¥3.32T	¥2.99T	¥1.44T	¥1.49T
Operating income	¥455.39B	¥444.85B	¥375.37B	¥353.40B	¥281.92B	¥110.55B	¥174.42B	¥342.45B	¥321.61B	¥216.43B	¥355.21B	¥363.49B	¥337.28B	¥323.86B	¥378.07B	¥387.55B	¥217.06B	¥496.07B	¥756.67B
Operating margin	9.85%	9.86%	8.98%	8.77%	8.02%	3.50%	4.85%	8.67%	7.88%	6.36%	9.35%	9.75%	9.04%	9.31%	10.63%	10.45%	6.76%	12.12%	16.88%
EBITDA	¥728.60B	¥540.37B	¥631.71B	¥579.89B	¥503.16B	¥338.37B	¥411.75B	¥594.01B	¥583.49B	¥466.52B	¥628.54B	¥626.97B	¥612.45B	¥581.99B	¥639.41B	¥663.75B	¥532.45B	¥837.41B	¥1.10T
EBITDA margin	15.75%	11.98%	15.11%	14.38%	14.32%	10.71%	11.46%	15.03%	14.30%	13.72%	16.54%	16.82%	16.41%	16.72%	17.97%	17.91%	16.59%	20.45%	24.51%
Net income	¥332.05B	¥160.03B	¥264.51B	¥243.96B	¥214.72B	¥83.32B	¥124.96B	¥252.44B	¥241.92B	¥150.65B	¥220.21B	¥254.80B	¥230.48B	¥224.56B	¥248.63B	¥246.60B	¥131.65B	¥309.15B	¥488.33B
Net profit margin	7.18%	3.55%	6.33%	6.05%	6.11%	2.64%	3.48%	6.39%	5.93%	4.43%	5.79%	6.84%	6.18%	6.45%	6.99%	6.65%	4.10%	7.55%	10.90%
Basic EPSper basic share	¥367.48	¥165.53	¥264.20	¥236.71	¥205.35	¥79.37	¥116.79	¥233.80	¥222.88	¥137.95	¥201.65	¥229.03	¥200.78	¥191.34	¥204.49	¥199.71	¥106.64	¥246.21	¥377.59
Diluted EPSper diluted share	¥367.25	¥165.44	¥264.08	¥236.63	¥205.29	¥79.35	¥116.77	¥233.78	¥222.88	¥137.95	¥201.65	¥229.03	¥200.78	¥191.34	¥204.48	¥199.70	¥106.64	¥246.20	¥377.53

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Owners

Reported shareholders

Reference date Jun 30, 2026

Reported holdings Number of shares

View holders

Top 9 reported holders of CAJPY
Holder	Shares held
LSV ASSET MANAGEMENT	196.84K
RHUMBLINE ADVISERS	30.74K
First Command Advisory Services, Inc.	6.54K
GAMMA Investing LLC	3.55K
Vermillion Wealth Management, Inc.	476
BOYD WATTERSON ASSET MANAGEMENT LLC/OH	382
MOTCO	32
HUNTINGTON NATIONAL BANK	23
Salomon & Ludwin, LLC	22

Bars compare reported share counts. A matching total for this share class and reporting period is unavailable, so percentages are not shown.

Source: SEC Form 13F ↗Updated Sep 29, 2026 · Quarterly data

Insider buys & sells

Jul 1, 2024–Jun 30, 2026

Buys0$0.00 disclosed value

Sells (SEC code S)0$0.00 disclosed value

No insider transactions transactions were reported in the stored SEC coverage.

Review ownership filings at SEC.gov ↗

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Canon Inc (CAJPY)

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