Sakata Seed Corporation (1377) AI Stock Analysis

• Market Cap: ¥179.98B
• Dividend Yield: 1.65%
• Average Volume (3M): 142.84K
• Price to Earnings (P/E): 15.1
• Beta (1Y): 0.46
• Revenue Growth: 4.90%
• EPS Growth: -19.32%
• Country: JP
• Employees: 2,948
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Agricultural Farm Products
• EPS (TTM): 84.09
• Shares Outstanding: 45,410,750
• 10 Day Avg. Volume: 274,000
• 30 Day Avg. Volume: 142,836
• PEG Ratio: -0.40
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 1.62
• P/FCF Ratio: -79.34
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: ¥4,665.00 ▲(9.76% Upside)

Sakata Seed Corporation's overall stock score is driven by its strong financial performance and reasonable valuation. The bullish technical indicators are tempered by overbought signals, suggesting caution in the short term. The absence of earnings call data and corporate events means these factors did not influence the score.

Positive Factors

Strong Balance Sheet

A strong balance sheet with low financial leverage enhances financial stability, providing resilience against economic downturns and flexibility for strategic investments.

Market Position

Being a leading global seed company positions Sakata well to capitalize on growing agricultural demands, ensuring sustained revenue streams and competitive advantage.

Product Innovation

Continuous R&D efforts in developing superior seed varieties allow Sakata to command premium pricing and maintain a competitive edge in the agricultural sector.

Negative Factors

Revenue Growth Challenges

Slowing revenue growth may indicate market saturation or increased competition, potentially impacting long-term profitability if not addressed.

Negative Free Cash Flow

Negative free cash flow suggests difficulties in covering capital expenditures, which could constrain future growth investments and operational flexibility.

Decline in EPS Growth

A decline in EPS growth can signal underlying operational inefficiencies or market challenges, potentially affecting investor confidence and stock performance.

Sakata Seed Corporation Business Overview & Revenue Model

Company Description

Sakata Seed Corporation produces and sells vegetable and flower seeds, bulbs, plants, and agricultural and horticultural materials in Japan and internationally. It also engages in the publication of gardening literature; plant breeding; research and development, and technical consultation of consigned seed production; and designing, management, and contract construction of landscaping, greenhouse, and horticultural facilities. The company was formerly known as T. Sakata & Company and changed its name to Sakata Seed Corporation in January 1986. Sakata Seed Corporation was founded in 1913 and is headquartered in Yokohama, Japan.

How the Company Makes Money

Sakata Seed Corporation generates revenue primarily through the sale of its seeds and related products. The company's revenue model is built on multiple key streams: direct sales of seeds to farmers and distributors, royalties from licensing its proprietary seed technologies, and partnerships with agricultural companies that enhance product offerings. Additionally, the company invests in research and development to create innovative seed varieties that can command higher prices in the market. Strategic collaborations and joint ventures with other agricultural firms also contribute to its earnings, allowing Sakata to expand its market reach and enhance its product portfolio.

Sakata Seed Corporation Financial Statement Overview

Summary

Sakata Seed Corporation demonstrates strong financial health with robust profitability and a solid balance sheet. However, recent challenges in revenue growth and free cash flow generation could pose risks if not addressed.

Income Statement

Sakata Seed Corporation has shown a consistent revenue growth over the years, although there was a slight decline in the most recent year. The company maintains strong gross and net profit margins, indicating efficient cost management and profitability. However, the decline in revenue growth rate and net income in the latest year could be a concern if it continues.

Balance Sheet

The company has a strong balance sheet with a low debt-to-equity ratio, indicating low financial leverage and a solid equity base. The return on equity is healthy, reflecting efficient use of shareholders' funds. The equity ratio is also strong, suggesting financial stability and low risk.

Cash Flow

Cash flow from operations has been positive, but the free cash flow has been negative in the latest year, which could indicate challenges in generating cash after capital expenditures. The free cash flow growth rate is positive, but the negative free cash flow to net income ratio suggests potential cash flow management issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	94.94B	92.92B	88.68B	77.26B	73.05B	69.22B
Gross Profit	60.55B	58.49B	53.97B	47.52B	43.91B	38.56B
EBITDA	12.82B	18.50B	27.34B	16.45B	20.24B	12.73B
Net Income	12.22B	9.71B	16.16B	9.49B	12.26B	7.64B
Balance Sheet
Total Assets	193.67B	190.99B	192.72B	160.72B	147.42B	133.08B
Cash, Cash Equivalents and Short-Term Investments	27.72B	29.62B	37.13B	28.94B	28.07B	20.99B
Total Debt	2.21B	2.87B	3.64B	1.47B	1.49B	2.79B
Total Liabilities	29.11B	29.22B	32.19B	22.64B	21.96B	21.18B
Stockholders Equity	164.10B	161.30B	160.08B	137.68B	125.13B	111.66B
Cash Flow
Free Cash Flow	0.00	-1.90B	641.00M	2.73B	6.09B	8.56B
Operating Cash Flow	0.00	5.10B	6.97B	8.35B	10.04B	11.36B
Investing Cash Flow	0.00	4.07B	-4.25B	-8.11B	468.00M	-5.17B
Financing Cash Flow	0.00	-6.67B	-4.22B	-2.83B	-4.58B	-4.00B

Sakata Seed Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4250.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:1377, the sentiment is Positive. The current price of 4250 is above the 20-day moving average (MA) of 4181.00, above the 50-day MA of 4018.55, and above the 200-day MA of 3567.44, indicating a bullish trend. The MACD of 63.01 indicates Positive momentum. The RSI at 67.11 is Neutral, neither overbought nor oversold. The STOCH value of 59.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:1377.

Sakata Seed Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1379	75 Outperform	¥64.61B	10.12	―	2.44%	5.74%	76.28%
1381	72 Outperform	¥22.49B	11.04	―	2.81%	5.47%	44.78%
1377	69 Neutral	¥179.98B	15.13	―	1.65%	4.90%	-19.32%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
1383	62 Neutral	¥5.02B	102.92	―	0.32%	2.94%	19.68%
7555	59 Neutral	¥3.80B	29.75	―	1.61%	-4.26%	-25.43%
1380	57 Neutral	¥4.17B	43.37	―	1.00%	9.52%	―

Sakata Seed Corporation Corporate Events

Sakata Seed Corporation Reports Security Breach with No Operational Impact

Sakata Seed Corporation announced a security breach involving unauthorized access to its servers. The company is investigating the incident with IT security specialists and has reported it to authorities. Despite the breach, there is no impact on its operations or overseas subsidiaries, and the company will provide updates on its website.

Sakata Seed Completes Tender Offer for Own Shares

Sakata Seed Corporation has successfully completed a tender offer for its own shares, which was resolved by the Board of Directors on October 7, 2025. This acquisition of shares is part of the company’s strategic financial management, potentially impacting its market positioning and shareholder value.

Sakata Seed Corporation Announces Tender Offer to Acquire Own Shares

Sakata Seed Corporation has announced a tender offer to acquire its own shares, following a board resolution on October 7, 2025. This move is part of the company’s strategy to return profits to shareholders and enhance capital efficiency by improving earnings per share and return on equity. The decision was influenced by TM Kosan Co., Ltd.’s intention to sell a significant portion of its shares, prompting Sakata Seed to act in alignment with its shareholder return policy.

Sakata Seed Corporation Reports Strong Q1FY2026 Financial Performance

Sakata Seed Corporation reported a strong financial performance for the first quarter of fiscal year 2026, with a notable increase in sales and profits compared to the previous year. The company’s operating profit surged by 63.5%, and net profit increased by 222.6%, indicating robust growth and improved operational efficiency. These results suggest a positive outlook for the company’s future financial performance, potentially enhancing its market position and benefiting stakeholders.

Sakata Seed Corporation Reports Robust Financial Growth

Sakata Seed Corporation reported significant growth in its financial results for the three months ending August 31, 2025, with net sales increasing by 9.6% and operating profit surging by 63.5% compared to the previous year. This performance underscores the company’s strong market positioning and its ability to deliver value to its stakeholders, reflecting positively on its operational strategies and market demand.