Strong Balance SheetA high equity ratio and very low debt-to-equity provide durable financial flexibility, enabling the company to fund projects, absorb construction cycle volatility, and access cheaper financing when needed. Conservative leverage supports long-term resilience and strategic optionality.

Robust Revenue Growth And Improving Gross MarginSustained double-digit revenue growth alongside rising gross margins indicates successful project execution and pricing or cost control improvements. This combination supports durable top-line momentum and the potential to convert scale into longer-term margin expansion if operational efficiencies continue.

Positive Free Cash FlowGenerating positive free cash flow even amid weaker operating cash flow shows underlying cash conversion ability. This supports dividend sustainability, reinvestment, and de-risking initiatives over the medium term, providing a buffer for cyclical revenue swings in construction.

Bears Say

Declining Operating Cash FlowA large drop in operating cash flow strains working capital and can limit the firm's ability to fund project pipelines or respond to cost overruns without tapping reserves. If persistent, it threatens long-term funding of operations, dividends, and growth initiatives.

Modest Return On EquityA low ROE indicates the company is generating limited returns on shareholder capital relative to peers. Over the medium term, persistently modest ROE can constrain shareholder value creation and indicate either pricing/efficiency gaps or capital allocation that needs optimization.

Compressed EBIT/EBITDA MarginsDeclining operating and EBITDA margins point to rising costs or mix shifts that erode core profitability. If structural, margin compression reduces free cash flow potential and limits reinvestment or dividend capacity, requiring management actions to restore unit economics.

1826 FAQ

What was Sata Construction Co., Ltd.’s price range in the past 12 months?

Sata Construction Co., Ltd. lowest stock price was ¥920.00 and its highest was ¥1296.00 in the past 12 months.

What is Sata Construction Co., Ltd.’s market cap?

Sata Construction Co., Ltd.’s market cap is ¥15.07B.

When is Sata Construction Co., Ltd.’s upcoming earnings report date?

Sata Construction Co., Ltd.’s upcoming earnings report date is May 08, 2026 which is in 81 days.

How were Sata Construction Co., Ltd.’s earnings last quarter?

Sata Construction Co., Ltd. released its earnings results on Feb 06, 2026. The company reported ¥24.15 earnings per share for the quarter, beating the consensus estimate of N/A by ¥24.15.

Is Sata Construction Co., Ltd. overvalued?

According to Wall Street analysts Sata Construction Co., Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Sata Construction Co., Ltd. pay dividends?

Sata Construction Co., Ltd. pays a Annually dividend of ¥60 which represents an annual dividend yield of 5.36%. See more information on Sata Construction Co., Ltd. dividends here

What is Sata Construction Co., Ltd.’s EPS estimate?

Sata Construction Co., Ltd.’s EPS estimate for its next earnings report is not yet available.

How many shares outstanding does Sata Construction Co., Ltd. have?

Sata Construction Co., Ltd. has 13,386,233 shares outstanding.

What happened to Sata Construction Co., Ltd.’s price movement after its last earnings report?

Sata Construction Co., Ltd. reported an EPS of ¥24.15 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -2.174%.

Which hedge fund is a major shareholder of Sata Construction Co., Ltd.?

Currently, no hedge funds are holding shares in JP:1826

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

Sata Construction Co., Ltd.

Sata Construction Co., Ltd. engages in the contracting and investigation, planning and designing, and supervision of civil engineering and other construction works in Japan. It also offers civil engineering services for highways, bridges, tunnels, dams, residential land development projects, and disaster recovery works; and extension, renovation, and remodeling of buildings and condominiums. In addition, the company manufactures, sells, and rents construction materials, equipment, and machineries; owns and leases vehicles, ships, aircrafts, and other machineries; and produces and sells gravels and wood products. Further, it engages in the industrial waste recycling and treatment; building rental and tourism; insurance agency and recruitment of life insurance; and land house selling, mediation, and lending businesses, as well as regional development, urban development, and other projects. Additionally, the company generates, supplies, and sells electricity. Sata Construction Co., Ltd. was founded in 1918 and is headquartered in Maebashi, Japan.