Gross Margin StrengthA 57.3% gross margin implies substantial value retained per unit—indicative of pricing power or low COGS. This durable margin provides a cushion to absorb restructuring or SG&A and supports a pathway to recovering operating profitability as revenue stabilizes.

Low Financial LeverageDebt-to-equity of 0.12 indicates low leverage, giving the company flexibility to withstand revenue shocks and pursue restructuring or targeted investments without immediate refinancing pressure. Low debt reduces solvency risk and preserves strategic optionality over months.

Lean Operating BaseA small headcount signals a lean cost structure with lower fixed payroll and SG&A burden. That makes it easier to scale expenses with revenue, reallocate resources quickly, and realize operating leverage during a multi-quarter recovery, aiding long-term margin improvement.

Bears Say

Severe Revenue DeclineA 66.4% decline in revenue is a structural concern that erodes scale, supplier leverage, and market position. Loss of demand at this magnitude can take multiple quarters to reverse, making fixed costs relatively heavier and complicating a reliable path back to sustainable profits.

Negative Overall ProfitabilityNegative net margin and ROE indicate the company cannot convert gross profits into returns for shareholders. Persistent unprofitability reduces reinvestment ability, strains equity, and hampers competitive positioning, limiting sustainable growth and capital allocation flexibility.

Negative Operating And Free Cash FlowNegative operating and free cash flows constrain liquidity and limit internal funding for capex, marketing, or working capital. Over months this raises reliance on external financing, increasing dilution or borrowing costs and reducing the company's ability to execute strategic improvements.

2437 FAQ

What was SHINWA WISE HOLDINGS CO. LTD.’s price range in the past 12 months?

SHINWA WISE HOLDINGS CO. LTD. lowest stock price was ¥236.00 and its highest was ¥567.00 in the past 12 months.

What is SHINWA WISE HOLDINGS CO. LTD.’s market cap?

SHINWA WISE HOLDINGS CO. LTD.’s market cap is ¥6.17B.

When is SHINWA WISE HOLDINGS CO. LTD.’s upcoming earnings report date?

The company’s upcoming earnings report date is not yet available.

How were SHINWA WISE HOLDINGS CO. LTD.’s earnings last quarter?

Currently, no data Available

Is SHINWA WISE HOLDINGS CO. LTD. overvalued?

According to Wall Street analysts SHINWA WISE HOLDINGS CO. LTD.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does SHINWA WISE HOLDINGS CO. LTD. pay dividends?

SHINWA WISE HOLDINGS CO. LTD. pays a Notavailable dividend of ¥7 which represents an annual dividend yield of N/A. See more information on SHINWA WISE HOLDINGS CO. LTD. dividends here

What is SHINWA WISE HOLDINGS CO. LTD.’s EPS estimate?

SHINWA WISE HOLDINGS CO. LTD.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does SHINWA WISE HOLDINGS CO. LTD. have?

SHINWA WISE HOLDINGS CO. LTD. has 11,017,818 shares outstanding.

What happened to SHINWA WISE HOLDINGS CO. LTD.’s price movement after its last earnings report?

Currently, no data Available

Which hedge fund is a major shareholder of SHINWA WISE HOLDINGS CO. LTD.?

Currently, no hedge funds are holding shares in JP:2437

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

SHINWA WISE HOLDINGS CO. LTD.

Shinwa Wise Holdings Co.,Ltd., together with its subsidiaries, operates as an auction company in Japan. The company operates an art dealing and gallery management business; sells asset defense diamonds; microfinance; medical and cultural support; and real estate business. It also sells electricity, as well as involved in solar power generation facilities business. The company was formerly known as Shinwa Art Auction Co.,Ltd. and changed its name to Shinwa Wise Holdings Co.,Ltd. in December 2017. Shinwa Wise Holdings Co.,Ltd. was incorporated in 1989 and is based in Chuo, Japan.